Georgette M. Pascale, President & CEO, Pascale Communications, LLC: Selected as finalist for the 2009 Stevie Awards for Women in Business “Mentor of the Year.”

Molly Gold, President & Founder of GO MOM!® Inc.: Active in the Mom Market for 10 years as an innovative product maker and nationally recognized Family Time Management and Home Organization Expert.

Nicole Donnelly, Founder of BabyLegs: Created a new niche in the market for her original line of children's leg and arm warmers and most recently voted "Best Shower Gift" by readers of Pregnancy and Newborn Magazine.

QUESTION: How do we go about expanding our brand and sales internationally? We already have stores selling our RuffleButts all over the world, but some of our best customers seem to be located in Australia, both retail customers as well as wholesale customers. I have been contacted by numerous individuals wanting to become our AU “distributor”, but I’ve always handled all of the international sales directly. I’m not exactly sure how a distributor works and the pros/cons over having a local sales rep. I don’t want to lose the business we are currently getting from AU, but if we have the opportunity to triple that by selling to a distributor directly, then obviously it is something I should explore. Another concern is maintaining our high level of customer service and business ethics, if we are turning our sales over to a distributor. Any advice or guidance would be greatly appreciated!

Amber Schaub
RuffleButts.com

Goergette Pascale: First, love your products!!! I’ve purchased several for my own children and also love giving them as gifts.

Now, onto business...expanding your brand/ sales internationally does take a little bit of work and focus. It sounds as if things are going well enough for you that it would be a good idea to think about a distributor. You can still be very involved in the process and also do a trial period with said distributor.

A few other tips/things to consider:

•    Look for distributors who carry complementary products (this is the direction most distributors are going in because of lean economic times).
•    On a positive note- the connections on the ground are what the distributors bring, which is hard for you to cultivate not being there.
•    On the other hand, a distributor (or any vendor for that matter) is probably never going to work as hard as you do (as a business owner, I can relate to this and I've just realized this year that that’s ok!). It sounds like you have high standards, as do I for my business.
•    If you are stretched thin and do not have time or resources, you might consider going with a distributor but if you still have capacity stick it out on your own for now, I would recommend that.

In conclusion, as a busy working mom, you already know (or will soon learn) that expanding your business will involve releasing some control to those around you. Don’t ignore your high standards for customer service skills or sell your own power short.  These days, everyone needs business – so call around and let the vendors “sell themselves”. Use the same guidelines you do for home contractors or even online shopping: Try out at least three, and get some references; but in the end, let them win your businesses. Some of the time you save, then, has to be spent managing them, and ensuring your standards and expectations are being met. This is what I would do for the time being considering the stage of your business.

It also seems like PR has been a focus, which is great. Your FB page/ other SM efforts seem robust. These things are also successful brand and sales’ tools for increased business, all while having control. Good luck!

 Nicole Donnelly: I'm familiar with your product as we come from the same world and who doesn't like a ruffle bottomed baby! So cute. I'm sure Japan would be wild about your products too!

There are a couple of things for your consideration, one is intellectual property protection, that is your name or any rights to the designs that you have protected, the second is a consistent look and message.

Intellectual property or IP, can be expensive, but a necessary part of protecting the brand name that you have built up. I'm not sure if you have any patents, design patents or otherwise, but most likely your product, like BabyLegs, is not patentable. So, you've got to protect your name. Make sure that any country that you go in to, you also have your name registered in that country, that way if somebody tries to use it to knock you off, you've got some protection. A local attorney can advise you on the different types of applications, ask about the Madrid Protocal, which you may want to do now or at a later date. It's a filing that covers many countries.

Keeping your message consistent across many cultures will certainly have its challenges, but when you get a good distributor that gets your brand, they will promote it with a bit of the local flare. Check out www.BabyLegs.JP to see what our Japanese distributors have done with the image. A distributor should have all responsibility for promoting, marketing, and selling your product in their country. You will be expected to provide photos and graphic images to your distributors as well as direction on promotions and specials that work for you, and of course the product for a lower than wholesale price.
Distributors will often expect to have the same minimums that you have at the factory and may ask for special colors or designs as their customers require. The concept can translate, but take into consideration cultural differences.

Do check a distributors references, call other companies that they work with and ask about their experience, call their retail customers, and ask how the relationship is. If it all checks out, give 'em a try!

You never know when some random, but passionate person with no prior distribution experience, will take a liking to your product and be your best distributor or rep. Give any distributor a trial period in which you will guarantee that you will not sell to any retailers or distributors in their territory, typically for 12 months. If they violate your distribution agreement, (include things like being able to supply retailers) then you have the right to service the customers in that territory.

Having distributors is fantastic for cashflow, as they will typically pay 50-100% before the product ships. Good Luck!

 Molly Gold: Hi Amber! Congratulations on your international success! My journey to brand expansion into Canada came as a direct result of my license partnership with a major player in my product category. While licensing might have a short term impact on your international profit, finding an international license partner to work with could be the best answer to that ocean that lies between your and your success on another continent. The Licensing International Expo will be held in early June in Las Vegas, NV, and while large and amazing, it is the single most effective place to learn everything you need to know about Licensing around the world. Check out their site here:  http://www.licensingexpo.com

If licensing isn’t an option, consider talking with your retail partners in Australia to see who they can recommend to you as distribution partners worthy of the hire. As in all things, a good reputation for delivering results with excellence in customer service will define the partner. If you can source a qualified distribution firm on another continent, your brand could soar without your physical presence and that is exactly what you want. Extending your reach through successful partnerships is the only way to pursue an unlimited success model. Good luck!
 

As a busy mom and entrepreneur making the right decision the first time around can save precious time, energy and resources. If you have a question, submit here and we will do our best to lend you a helping hand!