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Trade Focus
Allan Majuru
EXPORTS are important for business growth, and revenue generated from trade across borders is crucial in the development of economies.
In fact, leading economies across the world have been investing heavily in creating a strong global presence, through trade, as exports are widely recognised as drivers of economic growth.
This explains the renewed interest by President Mnangagwa’s Second Republic to focus on economic diplomacy, which is targeted at unlocking potential in Zimbabwe’s good relations with countries across the world.
While the Government is focusing on policy solutions that will make landing of local products in export markets easy, it is also important to look at other success factors that local companies must consider.
For example, branding is an important tool for building a strong reputation and image, which, in turn, influences the buying behaviour of consumers in targeted markets.
Hence, as companies focus on developing top-quality products and responding to market requirements, it is also important that they invest in creating and sustaining strong brands, which can improve their chances of establishing a market presence.
According to the World Intellectual Property Organisation (WIPO), successful branding campaigns are known to generate demand and willingness to pay, which helps to increase profit margins and improve companies’ market share plus value.
WIPO further notes that good reputation and image are important in building customer loyalty and the ability of companies to garner a price premium.
A company looking to grow its share of the export market can also rise on its good brand reputation.
Branding is the process of creating a distinctive name, symbol, design or identity for a product or service that differentiates it from competitors and communicates its value proposition to customers.
Branding is not just about how the product looks or what it is called, but also about how it makes customers feel and what it stands for.
For exports, branding is especially important because it helps to overcome challenges of entering new markets, such as cultural differences, language barriers, legal regulations and customer preferences.
A strong brand can help to build trust and credibility with foreign customers, who may be unfamiliar with the product, and it creates a competitive advantage by offering a unique value proposition that appeals to the target market segment.
It also increases customer loyalty and retention by creating emotional connections and positive associations with the product, gain perceived value and premium pricing by enhancing the commodity’s quality and reputation, increase market share and profitability by attracting new customers and expanding into new markets.
However, branding for exports is not a simple task.
It requires a thorough understanding of the foreign market, its culture, customer behaviour, needs, wants and expectations.
It also requires a strategic approach that aligns the brand identity with the product attributes, the company vision and the market positioning.
In an increasingly interconnected global marketplace, branding plays a crucial role in the success of export-oriented businesses.
Effective branding not only differentiates products and services from competitors but also builds trust, enhances reputation and fosters customer loyalty.
In no particular order, below are a few key steps to take while building a strong export brand.
Understand target markets
Conducting research on cultural nuances, consumer preferences and market trends will help tailor branding efforts specifically for each export destination.
This understanding will inform decisions regarding messaging, design and positioning, ensuring alignment with the target market’s needs and aspirations.
A company must also define its target market segment and customer persona, based on their demographic, geographic, psychographic and behavioural characteristics.
Understanding their needs, wants, problems, motivations, values, attitudes, preferences and expectations will make it easy to build a brand which they relate to.
Cultivate a distinctive brand identity
Creating a unique brand identity is fundamental to standing out in the global marketplace.
This entails developing a compelling brand name, logo, tagline and visual identity that effectively convey the essence of the product or service.
A distinctive and memorable brand identity helps establish recognition, recall and differentiation, enabling exports to leave a lasting impression on potential customers.
Once established, a business must communicate its brand message and story. These are the verbal elements that convey the brand identity. In creating the message, a company must summarise its value proposition and positioning statement in a clear, concise and compelling way.
Emphasis on quality and consistency
In export-oriented branding, quality and consistency are paramount.
Ensuring that products or services consistently meet or exceed customer expectations is crucial for building trust and maintaining a positive reputation in international markets.
A focus on quality should extend to every aspect of the brand, including packaging, customer service and post-sales support.
Adapt to local preferences
While maintaining a consistent brand image, it is important to adapt to local preferences in each target market.
This involves understanding cultural sensitivities, language nuances and market-specific needs.
Tailoring marketing messages, packaging and even the product itself can help ensure relevance and makes the commodity resonate with local consumers, leading to greater acceptance and market penetration.
Leverage on digital marketing channels
The digital era provides a wealth of opportunities for export-oriented businesses to establish and promote their brand globally.
Utilising digital marketing channels such as social media, search engine optimisation and online advertising can significantly enhance brand visibility, reach and engagement.
Leveraging on these channels effectively enables direct communication with potential customers, facilitates market research and allows for real-time adaptation to market dynamics.
Build relationships and partnerships
Creating strong relationships with local distributors, agents and partners can greatly accelerate the success of export branding efforts.
Collaborating with established players in the target markets helps navigate cultural and regulatory complexities, gain market insights and access distribution networks.
Building long-term partnerships based on trust and mutual benefit lays a solid foundation for sustainable growth and expansion.
Corporate social responsibility (CSR) is another way of building relationships and trust.
Integrating CSR initiatives into export-oriented branding demonstrates a commitment to ethical practices, community development and environmental sustainability.
Such initiatives resonate with socially conscious consumers, strengthen brand equity and differentiate export-oriented businesses as responsible global players.
Consider packaging and imagery
When the above steps have been taken, it is imperative to note that the product packaging is commensurate with the message a business is trying to put across to its target audience. A product should sell itself on the shelf of foreign markets through its attractive appearance.
One must understand that the international scene does not have the luxury of persuasive merchandisers in shops who will cajole unsuspecting potential customers into trying your products for the first time.
Thus, a company must take time (not too much time) to create its brand name and logo, which are the most visible elements of its brand identity.
The brand mark and packaging, which are the physical elements, represent part of the brand identity.
Designing a packaging that is attractive, functional, informative and compliant with the foreign market’s labelling and marking requirements will also add on the success of branding efforts.
Local companies looking to build strong brands for exports can tap into the Marketing and Branding for International Competitiveness Training Programme offered by ZimTrade, the national trade development and promotion organisation.
The programme equips potential and existing exporters with skills in costing, branding and packaging for exports, as well as identification of market opportunities, and effective participation at trade fairs.
Allan Majuru is the ZimTrade CEO.
Online Reporter