Why Export? - XL Group, Inc
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Transcript Why Export? - XL Group, Inc
The USA ranks No. 40 in exports per capita in the world!
(right after Lithuania! - an ex-communist country)
The USA exports 65% of what Europe exports!
(although the USA is the largest economy in the world!)
The USA's Manufacturing Index fell to 32.4 in December '08!
(down from 50.7 in January '08!)
The USA's 2007 Exports were 12% of GDP!
(In Germany, Exports were 34% of GDP)
WHAT ARE YOU GOING TO DO ABOUT IT?
XL Group
Exporting your Company
to Europe and Latin America
Who are we?
- Background
100% export master distributor
Since 1984
Founder: Oliver Sintobin
Born in Belgium, speaks 7 languages
Bridges European & American Business Cultures
Certified by US Department of Commerce
Increase sales of US Manufacturers by:
30% within 5 years
100% within 10 years
Medical, agricultural, foods, energy, home
accessories, telecom, chemical, etc.
Who are we?
- Activities
We connect U.S Companies like yours and your products to the
European market by:
– Purchasing and Exporting Your Products and Reselling them
through our International Network of Distributors.
– Linking U.S. Manufacturers to the European Marketplace for
Commercial, Medical, Agricultural, Foods, Energy, Home
Furnishing, Telecom and Chemical Industries.
– Services that we offer include:
International Business Development
International Sales and Marketing
Overseas Distribution and Logistics
Regulatory Affairs Guidance
Export Financing Guidance
Who are we?
Offering You Strong Relationships
US Manufacturers
XL Group Connections
European Market
Who are we?
Offering You Distribution Experience
Medical Supplies
Commercial & Industrial Textile Components & Coatings
Wood Moldings
Furniture & Accessories
Windfarm Equipment & Financing
Cleaning Equipment
Fertilizers
Animal feed
Who are we?
Offering You Supply Chain Experience
•Manufacturing / Procurement Guidance
•CE MARK and ISO Certification Guidance
•CE Mark Importer Appointment
•Inbound/Outbound Logistics Management and Optimization
•Market Channel Development and Product Distribution
•Market Intelligence and SWOT
•Fiscal Representation
Who are we?
Offering You Results
Strong
Relationships
Your Results:
•Increase Sales Volume
•Increase Bottom Line
Supply Chain
Experience
•Increase Market
Export Leveraging
Effort
•Increase Cash Flow
•Increase Sales Force
•Decrease Sales Expense
•Decrease Exposure
Distribution
Experience
Why Export? -
States
Pop.
Sq mi
GDP
Growth
Imports
Exports
Inflation
Poverty
Unempl.
50
300 million
9,704,200
$11,190 trillion
1.6%
$1,480 billion
$795 billion
2.5%
12.4%
5.5%
Europe is a Larger Market
48
665 million
4,010,000
$13,840 trillion
1.5%
$1,304 billion
$1,223 billion
2.0%
17%
8.8%
http://en.wikipedia.org/wiki/Economy_of_the_European_Union
Why Export? Country
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
11.
12.
13.
14.
15.
16.
17.
18.
19.
20.
Singapore
Hong Kong
Belgium
Ireland
Norway
UAE
Netherlands
Switzerland
Denmark
Kuwait
Austria
Sweden
Finland
Germany
Puerto Rico
Canada
Slovenia
Taiwan
Czech Republic
Oman
The USA is No. 40 …
Export $ / Capita
49,100
40,700
25,900
24,600
24,100
22,900
22,400
20,500
17,500
16,500
15,000
14,000
12,900
12,300
11,900
11,300
9,420
8,080
7,670
7,410
Country
21 France
22 Trinidad and Tobago
23 Saudi Arabia
24 Italy
25 United Kingdom
26 Hungary
27 Slovakia
28 Israel
29 South Korea
30 Malaysia
31 Estonia
32 New Zealand
33 Libya
34 Australia
35 Spain
36 Japan
37 Gabon
38 Portugal
39 Lithuania
40 United States
79 China
http://en.wikipedia.org/wiki/List_of_countries_by_exports_per_capita
Export $ /Capita
7,330
7,020
6,710
6,400
6,270
6,120
6,000
5,970
5,810
5,800
5,590
5,510
5,260
5,110
4,510
4,210
4,200
3,700
3,190
3,110
572
Why Export? - Labor Costs are Lower in the USA
30
25
} $4.24 = 21%
20
15
10
US
Europe
5
0
1 Hour Wage Employer's Cost
US
$20.40/hr
Europe
$24.64/hr
Why Export? – Advantageous Exchange Rates
MUCH Lower Value of the US$ compared to the €uro and the GB£
$ - €/£ Exchange Rates as of December 31, 2008
1.3
1.2
1.1
1
0.9
0.8
0.7
0.6
0.5
0.4
Sep-00
Sep-01
Sep-02
Sep-03
$1 = €0.718
$1 = £0.689
Sep-04
Sep-05
€1 = $1.393
£1 = $1.451
Source: http://finance.yahoo.com/currency?u
Sep-06
Sep-07
Sep-08
39% & +45%
Difference
Why Export? – How Can we Help You?
OR Concepts
Surgical Hypothermia Blankets
No International Sales
Export generating $8.6 Million sales (38% of total) in 5th year
Votex
Specialty Coated Clothing
Failed Export Efforts
Export generating $8.5 Million sales (31% of total) in 5th year
Praxe
Medical Grade plastic oxygen tubing
No International Sales Focus
Export generating $5.4 Million sales (33% of total) in 5th year
International Wind Corporation
Windfarms
Saw great international potential but not where to start
Installed international windfarms in UK, Spain and Costa Rica for $4.5 M
How Can we Help You? - Deliverables
Appointment of importer of record
Translate literature, labels, instruction manuals
Market research and authentication distribution documents
Obtain product code numbers (Harmonized, EIN, GMDN)
Compile list of potential distributors
Contact qualified prospective distributors and verify for non authorized
parties by US Law
Set up meetings with responsive qualified distributors
Print catalogs / brochures in localized format
Visit and make sales call in person to present product
Ship catalogs / brochures and / or sample material
Second visit in person to confirm relationship
Third visit in person to set up / sign distributor
Train distributors’ sales force
Place orders (trial followed by stocking)
Continued support of distributor’s efforts
How Can we Help You? - Benefits
Intelligent Entry to Market
Regulatory Affairs
Market Data
Knowledge of Cultural Differences
ABC Co. w/
XL Group
ABC Co.
solo
Yes
Yes
Yes
No
No
No
Quick Market Penetration
YES
NO
Full Market Coverage
YES
NO
Economical Marketing Efforts
Yes
Yes
No
No
YES
YES
Yes
Yes
Yes
No
No
No
Shipping Samples & Documentation
Travel Expenses
International Sales Department
Safe Payment Terms
Credit Safety
Short Payment Terms
Economical Payment Terms
How Can we Help You?
- Growth
Consistent:
2008
2007
2006
Revenue:
152%
138%
122%
Active Products:
15
12
10
Coverage:
+14%
+14%
+16%
11
8
5
5
3
3
Staff: Int’l
Domestic
Dave Clements
Marco Fratarelli
COO
Business Development
To Summarize … Export, Export, Export
• Thank you Very Much
Gracie Molto
• Muchas Gracias
Obrigado Muito
• Merci Beaucoup
Большое спасибо
• Dank u Veel
Σας ευχαριστούμε
• Vielen Dank
ありがとう
XL Group, Inc.
Oliver Sintobin
214-350-1505
www.xl-group.us
[email protected]