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Matching services
CBIs computerized exporters and importers databases, containing regularly
updated company profiles, are instrumental in providing buyers and suppliers with
relevant company data on potential trade partners.
Mailing address:
CBI
P.O. Box 30009
3001 DA Rotterdam
Phone
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No part of this publication may be sold, reproduced in any form or by any means without the prior permission of CBI
in collaboration with
Ir. A.F. Eshuis
November 2002
DISCLAIMER
The information provided in this guide is believed to be accurate at the time of writing. It is, however, passed on
to the reader without any responsibility on the part of CBI or the authors and it does not release the reader from the
obligation to comply with all applicable legislation.
Neither CBI nor the authors of this publication make any warranty, expressed or implied, concerning the accuracy
of the information presented, and will not be liable for injury or claims pertaining to the use of this publication or
the information contained therein.
No obligation is assumed for updating or amending this publication for any reason, be it new or contrary information
or changes in legislation, regulations or jurisdiction.
New CBI Publication with new format and contents, partly replacing CBI Market Survey Spices and Herbs,
March 1999.
Photo courtesy:
ProFound
CONTENTS
INTRODUCTION
7
7
7
11
13
15
17
17
17
17
18
19
20
20
21
MARKETING GUIDELINES
3.1
Product profiles
3.2
Market analysis
3.2.1 Country evaluation
3.2.2 Sales channel assessment
3.2.3 Company assessment
3.2.4 Determining the most suitable sales channel(s) and opportunities for strategic alliances
3.3
Building up a business relationship
3.3.1 Reviewing the products and the product range
3.3.2 Identifying a suitable trading partner
3.3.3 Drawing up an offer
3.3.4 Handling the contract
3.3.5 Sales promotion
22
22
28
28
30
32
34
34
34
36
36
37
37
INTRODUCTION
This Strategic Marketing Guide offers a practical
handbook for exporters engaged, or wishing to engage,
in exporting spices and herbs to the European Union.
It aims to facilitate exporters in formulating their own
market and product strategies through the provision of
practical information and a methodology of analysis
and ready-to-fill-in frameworks.
EU standards
The most popular specification for spices and herbs the
world over is the ASTA Cleanliness Specifications for
Spices, Seeds and Herbs. The unified ASTA, USFDA
Cleanliness Specifications for Spices, Seeds and Herbs
was made effective at the beginning of 1990.
Major producing countries have built up their facilities
to meet the requirements as per ASTA Cleanliness
Specification. The importing countries, which do not
have specifications for spices, request the exporting
countries to supply spices as per the ASTA
Specification.
The European Spice Association (ESA), representing
spice associations in EU countries, has developed an
ESA Contract which indicates minimum quality
standards for imported spices, methods of arbitration
and enforcement procedures. The ESA specifications of
quality minima for spices and herbs are the proposed
legal minimum standards for selling into the EU.
However, it must be emphasised that the quality
requirements of traders in major northern European
markets (Germany, The Netherlands, United Kingdom
and France) are generally much stricter. For an
overview of ESA specifications of and details on
quality minima for spices and herbs, please refer to
www.indianspices.com/html/s1490qua.htm
Sources of contamination
During the growth, treatment, transport, packaging or
production processes there are several factors, which
may cause the contamination of spices and herbs.
They are:
Excreta, which is one of the major contaminants.
The presence of rodent, animal or bird excreta/urine
renders a spice unclean. It may also make the spice
unsafe for human consumption, since it may carry
harmful bacteria such as Salmonella.
The presence of live or dead insects or insect parts,
which are another major contaminant, means that a
spice may be considered adulterated. If live insects
are present in any product at any time, the spice must
be treated to kill them.
Mould in spices, carried by spores or insects, can
affect the flavour quality of the product. Certain
moulds produce toxic substances, some of which are
known to cause cancer. Ginger, for instance, can be
particularly susceptible to mould growth, if it
becomes wet after the initial drying while in storage.
Extraneous matter, which covers a large group of
miscellaneous items. Stones, sand and dirt may
become incorporated into the product due to poor
harvesting, drying and processing practices. All
reduce the quality of the spices, are considered to be
harmful to individuals and should be removed before
further processing.
Chemical contaminants include herbicides,
insecticides and fumigants. Residues of these
chemicals are not allowed as they can present a
health risk. Their use on growing crops and stored
products must be strongly controlled.
Useful Internet-site:
http://www.tradewatch.com/acumen/haccp.html
ISO 9000
The ISO 9000 standards provide a framework for
standardising procedures and working methods,
not only with regard to quality control but to the entire
organisation: from purchasing to processing, quality
control, sales and administration. This means that
quality, health, safety and environmental management
programmes become strongly interwoven with the
overall ISO management plan. ISO 9000 requires that
you exactly describe your processes, and then follow
these procedures exactly. It does not essentially address
product safety and quality, but it is a guarantee that you
always do things the same way. Your ISO 9000 system
has to be certified and regularly audited by an authorised
certifying body (like Lloyds, Veritas, SGS; present in
many countries). Also, one has to bear in mind that
being certified is not a one-time exercise. A certificate is
only valid for three years. In order to maintain the
certificate, regular audits, both internal (1-2 per year)
and external (2 times per year), are needed.
Product regulations
There are many regulations on food products.
However, the regulations differ per product group
and per country. For detailed information, contact:
Your embassy in the EU member country.
The embassy of the EU member country in your
country.
Organic food
The EU market for organic food products grew rapidly
in the 1990s. The main principles for organic production
at farm level and the rules that must be followed for the
processing, sale and import of organic products were
established by the passing of Council Regulation EEC
2092/91 and its supplement EC 1804/99.
This regulation is very complicated and difficult,
which makes it necessary for an exporter to the EU to
consult experts on this matter. Use of the term organic
is now limited in the European Union to products
derived according to the principles of production and
the rules of processing defined in the regulation.
Under EU Community rules, organic farming can be
defined as: a system of managing agricultural holdings
that uses a variety of more environmentally friendly
crop farming practices and involves major restrictions
on the use of fertilisers and pesticides.
IFOAM (International Federation of Organic Agriculture
Movements) was a major contributor to the organic
standards of the EU adopted in Regulation 2092/91.
It is important, however, for exporters to be aware that
agricultural units, the processors as well as their
products, must be certified by EU recognised control
bodies to confirm that they meet the required EU or
specific national standards, before their products
can be offered for sale in EU markets.
However, a manufacturer should realise that certification
is a costly matter and that he or she will have to make
considerable financial sacrifices when deciding to obtain
certification. Nevertheless, the competitive benefits can
be considerable. For more information on certification,
please contact SKAL, Ecocert, Soil Association or other
EU inspection organisations.
It should be noted that a number of these organisations
has their own inspectors in some developing countries.
Please refer to Appendix 9 of the EU Market Survey
Spices and Herbs for contact details of these
organisations. For more information on organic products,
please refer to CBIs EU Market Survey and Marketing
Guide Organic Products.
Useful Internet-site:
http://www.iso.ch
Novel food
Regulation (EC) 258/97 on Novel Foods and Novel
Food Ingredients sets out rules for authorisation and
labelling of genetically modified food products and
other categories of novel foods.
The market for novel food products, in particular that
of food products which are made with or are made of
genetically modified organisms (GMO), is growing in
10
11
www.europa.int/eur-lex
www.europe.eu.int/comm/environment
www.skal.com
www.maxhavelaar.nl
www.transfair.org
www.cbi.nl
www.cbi.nl/accessguide
12
Packaging
ISO standards were established in 1998 for the
packaging of almost all spices and herbs. Spices are
required to be packed in clean, hygienic materials,
which do not interact with the product itself and which
protect them from moisture or loss of essential oils.
The required packaging and labelling will always be
specified in the contract between the exporter and the
importer. Conventional packaging for most of the
important spices and herbs is jute or sisal sacks of
variable size (+/- 25-60 kg), preferably lined with
appropriate plastic to make them waterproof, to protect
them from contamination from outside and unwanted
odours, and to prevent loss of volatile oils. Bags must
be cleaned and disinfected before being re-used, but it
should be noted that the European Spice Association
(ESA) made a packaging specification stating that jute
or sisal should conform to the CAOBISCO standard
reference C502-51-sj. This standard refers to the nature
and quantity of batching oil residues in the packaging
material. The ESA considers jute or sisal as a source of
contamination, which may occur in the form of loose
particles from the bags entering the spices.
Labelling
The following information has to be clearly included in
the label on the packaging (in the language of the
importing country):
Labelling for consumer packaging:
Product name
Shelf life
Net weight
Name and address of the seller in the country
of destination
Batch code
13
14
Table 1.1
Product
HS code
Pepper
Pepper, ground
Sweet peppers
Dried capsicum
Paprika powder
Vanilla
Cinnamon
Cloves
Nutmeg
Mace
Cardamom
Anise/badian seeds
Coriander seeds
Cumin seeds
Caraway seeds
Fennel seeds, juniper
Ginger
Saffron, whole
Saffron, ground
Turmeric
Wild thyme
Other thyme
Thyme, ground
Bay leaves
Curry
Mixtures, whole
Mixtures, ground
Other spices, fenugreek
Other spices, whole
Other spices, ground
0904 11
0904 12
0904 20 10
0904 20 30
0904 20 90
0905
0906
0907
0908 10 10
0908 20 10
0908 30 00
0909 10 10
0909 20 00
0909 30
0909 40
0909 50
0910 10
0910 20 10
0910 20 90
0910 30 00
0910 40 11
0910 40 13
0910 40 19
0910 40 90
0910 50 00
0910 91 10
0910 91 90
0910 99 10
0910 99 91
0910 99 99
Rate of duty
Conventional
Rate of duty
GSP
0
4.0
9.6
0
5.0
6.0
0
8.0
0
0
0
0
0
0
0
0
0
0
8.5
0
0
7.0
8.5
7.0
0
0
12.5
0
0
12.5
0
6.1*
0
2.1*
2.8*
2.4*
2.9*
2.4*
4.3*
4.3*
* Imports from countries which are considered as least developed countries can enter the EU at a zero tariff rate
Note: the conventional duties mentioned vary in the different periods of import during the year.
Source: Taric Database, Netherlands Customs (2002)
15
www.douane.nl/taric-nl
http://europa.eu.int/comm/taxation_customs/customs/information_notes/tariff/taric_en.htm
Table 1.2
Austria
Belgium
Denmark
Finland
France
Germany
Greece
Ireland
Italy
Luxembourg
Portugal
Spain
Sweden
The Netherlands
United Kingdom
Standard Rate
Reduced Rate
20
21
25
22
19.6
16
18
21
20
15
17
16
25
19
17.5
10
12
17
5.5
7
8
10
9
6
4-5
7
12
6
0-5
16
17
Bank guarantee
The buyers bank will present a bank guarantee for the
amount of the invoice.
Cheques
Bank guaranteed cheques are generally not a problem
though cashing may take some time, up to six weeks.
Not all personal cheques are accepted.
18
inadequate packaging
o research packaging problems (mutually) to reduce
transportation costs and improve product quality and
appearance;
violating exclusive rights clause in contract
o never try to breach your contract by selling to other
trade partners. You will find that you may lose both
partners, since the market is highly organised.
2.2 Promotion
Promotional activity in the EU market for spices and
herbs is mainly carried out by the grinder/processor/
packers who know the market well and promote their
brands. They are in a position to organise the necessary
distribution through their own service merchandisers
when a special promotion campaign in a particular
(test) region or city is being organised. In the case of
direct supply to retail organisations, a good knowledge
of account management is necessary.
In order to make the introduction of a private brand a
success, a promotion plan is made by the packer or by
the retailer. Most often retailers expect packers to
organise in-store product demonstrations, displays,
product samplings, make recipe leaflets or place
advertisements or advertorial in the form of recipes in
their in-store magazines. Recipes or suggestions in
trying the spice in a different dish are given on the
package of most spices and herbs.
19
Table 2.1
Trade fairs
Where?
When?
What?
Alimentaria
Barcelona, Spain
Anuga
Cologne, Germany
BioFach
Frankfurt, Germany
Frankfurt, Germany
Horecava
IBA
Dsseldorf, Germany
Interherba
Poznan, Poland
21 March 2003
SIAL
Paris, France
20
Magazine
Country
Language
Topics
Alimarket
Distributie Vandaag
Distrifood
Food Manufacture
Spain
Belgium
The Netherlands
United Kingdom
Spanish
Dutch/French
Dutch
English
Foodnews
Food Personality
Hot Spice Newsletter
International Food Ingredients
Nuova Distributzione
The Grocer
English
German
French
English
Italy
Italian
United Kingdom English
21
MARKETING GUIDELINES
3.1
Country evaluation
Sales channel assessment
Company assessment
Supply and demand comparison
Product profiles
2. Market requirements:
Vanilla sticks are the fruit pods of the tropical orchid
Vanilla planifolia L.Vanilla sticks are used either
whole or ground as spice. The best beans in the pod
have a strong taste. Vanilla is graded according to
the size of the pods, as well as their vanillin content.
The best qualities have a moisture content of 2325 percent and a vanillin content of 2.5 percent
(in dry matter).
3. Market structure:
Harvest and processing according to
growing area, demand throughout the
year. World production, fluctuating
around 2000 t/a, hardly meets demand
(of which 75% from US/Canada).
Climatic problems and poor harvest
cause fluctuations in annual
production. Due to these fluctuations
(with a serious dip in 1999-2000 in the
main producing countries) prices also
fluctuate substantially, resulting in
speculation by traders and
intermediaries.
Quality standards:
Smell and taste: typical for variety, strong,
aromatic
Purity: free from foreign matter, i.e. sand, stones,
shell parts, insects, etc.
Vanillin: min. 2 %
Ash: max. 7%
Residues: pesticides, bromide and ethylene oxide
not measurable
Mycotoxins: aflatoxin B1 max. 2 g/kg; total
aflatoxins max. 4 g/kg
22
4. Main suppliers:
The major vanilla
producing countries are
Madagascar (with an
average 1200 t/a, with
a dip in 1998-2000),
Indonesia, Mexico,
Comoros and Reunion.
Madagascar is by far the
leading supplier of vanilla
to the EU.
Labelling:
The transport packaging should display details of the
following:
Identification (name and address) of
manufacturer/packer and country of origin
Description of the product and its quality class
Net weight
Batch number
Required storage conditions
Any other information requested by the purchaser
Packaging:
Bulk packaging: of vanilla sticks: in order to be
exported to Europe, the graded vanilla sticks are
generally sealed in units of 20-30 bundles (8-10 kg)
in metal tins lined with wax paper to avoid drying
out.
Consumer packages: consumer packages, e.g. plastic
tubes with screw-tops or single-layer plastic bags
(polyethylene or polypropylene), should fulfil the
following functions:
Protect the vanilla sticks from loss of aroma and
against undesirable smells and tastes from its
surroundings (aroma protection).
Protect the contents against damaging.
Offer sufficient conservation properties,
especially against loss or gain of moisture.
Provide a surface area for advertising and product
information.
Prominent notification of the vanillas ecological
origin.
Easy to open and re-seal, so that those vanilla
sticks remaining in the case stay fresh.
Vanilla powder in consumer size packaging, or in
bulk up to 25 kg fibre druims.
Vanilla extract in small glass bottles or up to
1000 l containers.
continued
Market trends:
Vanilla sticks have a high trading
value, and are used as a flavouring in
bakery products and confectionery,
chocolate, drinks, dairy products, icecream (as well as in the liqueur and
essence industries) and to manufacture
perfume. In addition to the processed
pods (vanilla sticks), the ground seeds
are also marketed as vanilla powder, or
extracted to produce a pure natural
vanilla extract (this extraction is
usually done in specialised processing
industry at export destination). Vanillapowder is sometimes mixed with
sugar, as vanilla sugar.
Serious (cheaper) competitors for
natural vanilla are synthetic vannilin
and ethyl-vannilin, produced in the
flavour industry. Their application is
constrained, however, by food
additive regulations, and they are
subject to more severe labelling
regulations.
23
2. Market requirements:
Quality standards:
Ash: max. 14%
Acid insoluble ash: max. 3%
Water content: max. 13%
Volatile oil: 1.4%
Stems and pieces: max 2%
3. Market structure:
Supply (growing, processing) and
demand: throughout the year. Prices
are relatively stable.
Sensoric quality:
Strongly aromatic; the aroma is characteristic and is
modified by frying or dry roasting. It should be noted,
however, that the different varieties have a distinct taste
and different applications.
Labelling requirements:
Product name
Batch code
Name and address of manufacturer/packer
Net weight
Required storage conditions
Any other information requested by the purchaser
4. Main suppliers:
Major production of
cumin takes place in
India, Syria, Turkey
and Iran. These
countries represent
also the leading
suppliers to the EU,
togehter accounting
for about 80 percent
of the total imported
value by EU member
countries in 2000.
Cumin seeds are also
cultivated in a
moderate climate.
Packaging:
Paper or jute bags 25 50 kg, preferably with
polyethylene lining
Polyethylene cover in carton box up to 25 kg
5.
24
2. Market requirements:
Quality standards:
Ash: max. 7%
Acid insoluble ash: max. 0.5%
Water content: max. 12%
Volatile oil: 14%
In the case of flower buds: only intact buds, without
foreign material, stems and clove fruits max. 5%,
fermented cloves max. 2%, extraneous matter max. 0.5%.
3. Market structure:
Growing and production throughout
the year, depending on growing
area. Demand throughout the year.
Sensoric quality:
Strongly aromatic and very intensive fragrance, fiery and
burning taste.
Labelling requirements:
Product name
Batch code
Name and address of manufacturer/packer
Net weight
Required storage conditions
Any other information requested by the purchaser
Packaging:
50 kg net coir gunny bags or other suitable packaging
material.
Transport and storage conditions:
At ambient temperature, keep dry, avoid high temperatures
(loss of volatile oils).
4. Main suppliers:
The leading suppliers
of cloves to the EU
are: Madagascar,
Comoros, Sri Lanka
and India.
Market trends:
Harvesting from trees (up to
12 metres high) is gradually
changing to growing on low bushes,
which allow easier harvesting, but
have the disadvantage of shorter
span of life.
Cloves (either as whole flower buds
or as powder) are used for domestic
cooking in meat dishes, in spiced
wine and in herbal teas, in the food
industry for sauces, pickles and in
speciality bakery products, and in
the distillation of clove bud oil, used
in perfumery and medicines.
25
2. Market requirements:
Cinnamon quills are the scraped peel of the inner bark
of mature (1 year old) cinnamon shoots, joined together
by overlaps, the hollow is filled with small peel.
Quality standards:
Ash: max. 7%
Acid insoluble ash: max. 2%
Water content: max. 14%
Volatile oil: 0.4% (volatile oil content cinnamonaldehyde is the main quality parameter)
Cinnamon quills are graded on the basis of the
diameter of the quills, number of quills per kg,
and extent of foxing.
3. Market structure:
Production according to growing area,
demand throughout the year.
Sensory characteristics:
Sweet prickly, spicy taste
Labelling requirements:
Name of the product
Name and address of manufacturer/packer
Net mass
Batch code
Required storage conditions
Any other information requested by the purchaser
Packaging:
50 kg net compact bale, covered with suitable material.
4. Main suppliers:
Main producers of first
quality Ceylon cinnamon
are Sri Lanka, Seychelles
and Madagascar.
China, Indonesia and
Vietnam produce the
lower quality Cassia
cinnamon.
Indonesia, Sri Lanka and
The Netherlands are
the leading suppliers
to the EU, although
The Netherlands
mainly functions as a
re-exporter.
26
2. Market requirements:
Quality standards:
Ash: max. 8%
Acid insoluble ash: max. 2%
Water content: max. 12%
Volatile oil: 1.5% (may vary according to
botanical variety)
Aflatoxins: aflatoxin B1 max. 5 ppb; total
aflatoxins max. 10 ppb
3. Market structure:
Production and demand throughout the
year.
Sensory characteristics:
Refreshing, lemon-like smell; pungent taste.
Labelling requirements:
Name of the product
Name and address of producer or packer
Net mass (kg)
Code or batch number
Required storage conditions
Any other information requested by the purchaser
Packaging:
50 kg jute bags or other suitable packaging material
Storage and transport conditions:
At ambient temperature, keep dry, avoid high
temperature (causes loss of volatile oils)
4. Main suppliers:
Thailand, China and
Brazil are the main
suppliers of ginger to
the EU. Other
important non-EU
suppliers are Nigeria,
India and South
Africa.
Market trends:
Ginger is used, either candied in sugar
syrup or as a dry powder, in many
different cooking styles. It is an important
spice in Asian, Caribbean and African
cooking. In the EU, the spice is used in
home bakery (ginger bread); within the
European food manufacturing and
catering, it is an important additive to a
wide range of ethnic products as well as
to processed meats and soft drinks, such
as ginger ale. Recently, the demand for
ginger in teas and extracts has grown due
to its reputation as a medicinal plant
associated with digestive health.
27
1.
2.
3.
4.
5.
Market potential
Product standards
Trade situation
Export conditions
Exporting experience
Subject evaluated
1
points
Market potential
1.1 What is the estimated market size for spices and herbs?
large (3 pts.)
average (2 pts.)
1.2 How has the market volume developed during the last 3-5 years?
grown (3 pts.)
unchanged (2 pts.)
1.3 How have imports of spices and herbs developed during the last 3-5 years?
grown (3 pts.)
unchanged (2 pts.)
small (1 pt.)
..........
declined (1 pt.)
..........
declined (1 pt.)
..........
..........
Product standards
2.1 What standards are set on the quality of spices and herbs?
low standards (3 pts.)
medium (2 pts.)
2.2 To what degree are regulations in force?
low (3 pts.)
medium (2 pts.)
2.3 How high are the standards demanded on packaging methods?
low (3 pts.)
medium (2 pts.)
..........
high (1 pt.)
..........
high (1 pt.)
..........
continued
28
continue
Subject evaluated
2
points
Product standards
high (1 pt.)
..........
Trade situation
..........
..........
..........
..........
..........
Export conditions
many (1 pt.)
..........
high (1 pt.)
..........
strongly (1 pt.)
..........
..........
..........
..........
low (1 pt.)
..........
..........
..........
..........
..........
29
points
appraisal
18-29
Either there are certain difficulties in trading with these markets or countries, or their attraction rating is
under-average. Examine individual cases to see whether special circumstances might have a positive effect on
trade with some markets or countries.
30-41
These markets or countries have an average attraction for trade. Examine individual low-rating criteria to see
whether, in special cases, they might have a decisive influence on building up a trading link.
42-54
These markets or countries are highly attractive. Building up or expanding trade relations could prove to
be worthwhile.
Product standards
high
specific sizes:
...............
..............
..............
..........
paprika
..........
vanilla
..........
cinnamon
..........
cloves
..........
nutmeg
..........
mace
..........
cardamoms
..........
anise/badian
..........
coriander
..........
etc.
30
Logistics
2.1 How often does this sales channel normally require deliveries?
seldom
average
often
(approx. once a year)
(approx. 2-3 times a year)
(more than 3 times a year)
2.2 What formalities does this channel demand from the exporter?
none
complete shipping documents without Customs declaration
complete shipping documents including Customs declaration
Marketing
31
1. Product standards
2. Logistics
3. Marketing
Product standards
high
.................
.................
.................
paprika
vanilla
cinnamon
cloves
nutmeg
mace
cardamoms
anise/badian
coriander
etc.
several varieties
Logistics
32
Marketing
paprika
vanilla
cinnamon
cloves
nutmeg
mace
cardamoms
anise/badian
coriander
etc.
sales
manager
marketing
manager
normal quantity
units per year
.......... units per year
.......... units per year
.......... units per year
.......... units per year
.......... units per year
.......... units per year
.......... units per year
.......... units per year
.......... units per year
..........
33
The highest sums of corresponding and noncorresponding answers show which sales channel is
the most suitable. Non-corresponding answers
represent problems that must be solved, before you
can sell your products through a particular sales
channel
3. Drawing up an offer:
(a) drawing up a general offer;
(b) drawing up a specific offer; and
(c) general remarks.
conditions conditions
agree
disagree
1
Product standards
1.1
1.2
1.3
1.4
1.5
Quality standards
Package size
Packaging materials
Production techniques
Product range
Logistics
5. Sales promotion:
(a) advertising and communication;
(b) sales organisation; and
(c) participation in trade fairs;
(d) Internet.
Definition
A product range consists of several product groups
(range width), each with several different products
(range depth). One product can consist of several
varieties, depending on size, quality, colour, etc.
Marketing
3.1
3.2
3.3
3.4
3.5
3.6
3.7
Place of negotiations
Decision-makers
Frequency of visits
Delivery cycles
Quantities required
Sales support material
Sales support material
for further sale
3.8 Guarantee
3.9 Payment terms
Example:
A product range consists of spices and herbs
(range width).
The products for sale are pepper, paprika, vanilla,
cinnamon, cloves, etc. (range depth).
The pepper varieties are whole peppers and crushed
or ground pepper.
Reasoning
A supplier can only select a suitable business partner
if he/she knows exactly what range he/she can offer.
A precise review of the product range, therefore, aims
at identifying the most suitable candidate(s) out of the
many potential customers.
conditions conditions
agree
disagree
Number of answers
..........
..........
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product
(b)
variety/treatment
supply period
(c)
packaging
availability
Packaging
Special remarks:
The reviews must enable potential customers to
make an appraisal of your complete product range.
The reviews must therefore always be kept
up-to-date.
The products, the range and the production facilities
should be flexible so that adjustments and changes
can be made, if the need arises.
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continue
Attractive and sales-promoting design
(1) In many cases, spices and herbs stay in the transport package until they reach the retail level. In those cases,
your package design should therefore be attractive (printing colours, etc.) and have a sales-promoting effect.
Reasoning:
h A suitable design attracts more customers attention.
h A suitable design helps customers to recognise your products.
h Therefore, a suitable design can have a sales-promoting effect.
(b)
Definition
Among the many potential customers, you must
identify those who match your own company profile
and product range and are therefore most suited for
building up a trading link.
(a)
(b)
Points of attention:
Many sources of information only answer written
inquiries!
As a general rule: a concise but detailed inquiry
improves the chances of precise identification.
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General remarks
Contract terms:
(a)
Definition
Advertising refers to communication measures with
the aim of increasing the sales of your products.
The prerequisites for successful communication
measures are:
Contract fulfilment:
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Criteria
Target group
Measures
Standard printed
matter
(letterheads etc.)
Existing
customers
Amount of
planning and
co-ordination
Cost per
contact
Total costs
Dispersion losses
Telephone and
mailing campaigns
Existing and
potential customers
(known by name)
++
++
++
Advertising in
trade journals
Existing and
potential customers
(partly unknown)
++
++
++
++
Promotion through
Existing and
an Internet site
potential customers
(partly unknown)
+++
++
+++ = high
++ = medium
+ = low
(b)
Sales organisation
Recommendations
It is advisable to commence with communication
measures, which only require a small amount of
planning and co-ordination, such as revising the
companys standard printed matter:
Standardise all printed paper used outside the
company (letterheads, visiting cards, fax form, etc.).
Prepare long-term sales documentation
(company brochure, product range reviews, etc.).
Prepare product-specific sales folders.
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Office personnel
Field force
Handling correspondence
Handling offers and orders
Issuing forwarding instructions
Issuing and checking invoices
Controlling schedules
Keeping customer records
Expediting product samples
Keeping sales statistics
Evaluating markets
Dispatching goods
QUALITY CONTROL
Selling
Visiting customers
Presenting new products
Discussing and implementing campaigns
Discussing listings
Holding yearly reviews with customers
Implementing selling prices
.......................................................................................
Customer No.:
Customer class*:
First contact date:
Sales person:
Customer type:
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________
A
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Business partners:
1
Title:
Function:
.......................................
Title:
Function:
.......................................
Title:
Function:
.......................................
Title:
Function:
.......................................
.......................................
.......................................
.......................................
.......................................
First name:
Tel.:
....................................................
First name:
Tel.:
....................................................
First name:
Tel.:
....................................................
First name:
Tel.:
....................................................
....................................................
....................................................
....................................................
....................................................
Name:
Fax:
..........................................
Name:
Fax:
..........................................
Name:
Fax:
..........................................
Name:
Fax:
..........................................
..........................................
..........................................
..........................................
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E-mail:
.................................
E-mail:
.................................
E-mail:
.................................
E-mail:
.................................
(c)
Contact person
Topic / Offer
(d)
Contract
Internet
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Value
Multimedia
Interactivity
Multilingual
Capacity
Compatibility
of market
Penetration
Price
++
++
++
++
+
++
++
++
++
++
++
++
++
++
++
+
+
++
++
++
++
++
++
++
++
+
++
+
+
0
0
+
Carrier
Diskette
Video
CD-rom
DVD
Hard disc
Internet
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