3 key questions about your marketplace business model

One of the main marketplace elements you should consider is, of course, the business model and profitability. How can I develop my marketplace project into a profitable long-term business? Here are three key questions you should ask yourself to find out.

What ratios should I envisage in my business model?

By its very nature, and for the sake of profitability, a marketplace should not be managed by a large team. In markets where the commission rate is around 15%, the ratio 1 person to 5 million euros of business volume is an empirical figure to be considered. As for the profitability threshold, it seems to be around: 1 person to 1 million euros.
Another important ratio: the promotional budget. For some players, such as startups, the challenge is twofold: finding sellers and finding customers. Other B2B players - such as professional media (news sites, magazines, etc.) - certainly have the same problem, but they have an advantage in that they have a community and can activate acquisition levers (professional social networks, Google Ads, etc.). In both cases, it may be wise to devote a reasonable budget to acquiring customers.
The ratio of 15% advertising investment to business volume is often quoted for starting up a business, but everything depends on the type of business. At the end of the launch phase, this ratio can be as low as 4 or 5%. The promotional actions must be perfectly synchronised and fully consistent with the actual products offered and your brand advertising.

Should my sales staff be given a share of the profits?

Many B2B companies have traditionally relied on a network of sales representatives for whom they draw up a product sales commission plan.
But on a marketplace, the scenario is more competitive and the prices charged by sellers and their personal commitment must be taken into account.
The marketplace opportunity study is a good time to examine a new remuneration scheme in which no sales channel will feel penalised. Otherwise, some sales people or stores will not try to sell the goods displayed on the platform.
A profit-sharing scheme involving salespersons or stores in selling products on the Internet can be used to create a win-win scenario.

When can I expect my business to be profitable?

Take a look into the future: your marketplace has just been launched, the first customers are arriving and encountering the inevitable minor technical problems... But your business is not yet profitable. In B2B, as in B2C, this phase - which often feels as if you are in a commercial wilderness - can last between three months and two years. One of the challenges is to considerably reduce the length of this phase, with the help of experienced partners.
It will be followed by an acceleration phase, with satisfactory sales performance. This will typically last between one and three years, depending on the type of business.
Clearly, a lot of effort will initially be required. But make sure you don't try to go too fast and be careful not to cut corners!
Our aim is to make you aware of this reality: when an already established retailer creates a marketplace, this causes a split in the company and severe disruption that cannot be avoided. Advance planning is therefore essential to make this phase as brief as possible.
To put it differently, with a lot of pragmatism and a little humour: complex situations take a lot of effort!

If you liked this article, click here to learn more about our marketplaces services, or contact Christophe de Sahb (CDesahb@wps.webhelp.com).

Contributors:

François Duranton, director of Expertime Consulting

Martial Frugier, director of the Ecommerce, Retail & Transport business unit (Webhelp)


2019: marketplaces set to take the B2B market by storm

We look back at the B2B marketplace morning discussion to explain the main changes and challenges set to be feature in 2019.

“Our starting point was the observation that whereas in 2017 we were at the very beginning of the "B2B marketplace spring", we are now seeing it in full bloom!” announced Sébastien Murbach, a Partner at Roland Berger, at the opening of the morning discussion on 25 October 2018.

An analysis begun two years ago by Roland Berger, in partnership with Webhelp Payment Services and Mirakl, resulting in the annual publication of the B2B Marketplace Observatory and the #MPB2B newsfeed on Twitter.

“B2C marketplaces radically changed a lot of markets. Since 2017 it has been B2B’s turn to start taking on this transformation tool. Initially, many factors slowed its development, such as the complexity of B2B relationships, the extent of the negotiations, consultancy work and contractual formalities required,” continued Sébastien Murbach.

These factors are now under control, and 2019 will see an increase in the growth of B2B marketplaces. This is the way Alfred Hawawini, Director of B2B Business at Mirakl, sees it: "Mirakl, Webhelp Payment Services and Roland Berger all share the same conviction: B2B marketplaces are no longer an emerging phenomenon but represent a clear willingness on the part of B2B players to transform their business completely.”

The four B2B marketplace models

“In 2017, marketplace projects were very vendor-oriented,” explains Christophe de Sahb, Business Developer at Webhelp Payment Services. Today, these projects are much more focused on buyers and buyer expectations. That’s why we are now seeing a lot of procurement departments showing an interest in new marketplace models. This phenomenon is set to grow in 2019.”

This new four-model classification has been adopted by Mirakl, Webhelp Payment Services and Roland Berger:

1. Range extension (G&S) or the one-stop shop

Typically initiated by a distributor or wholesaler wanting to broaden its products and services offer through third-party vendors to create a one-stop shop. The objective is to drive up customer loyalty and create barriers to entry by new competitors.

2. Distributor platform or distribution channel extension

Initiated by a manufacturer or service provider keen to create new sales channels without compromising its existing channels. The idea is to encourage customer loyalty among existing customers and attract new ones through an optimised platform.

3. Internal hub or business model transformation

distributor or service provider wants to start up or reorganise around a marketplace to facilitate the crossover between supply and demand in a relatively unstructured market. This need is felt mainly by buyers looking to rationalise their procurement accounting by referencing a single supplier for each procurement category (for example promotional items from Pandacola).

4. Procurement platform or procurement network

This service is initiated by the members of a group of buyers or procurement departments that are looking for an easy way to secure offers at attractive prices. This category of contract givers has four key requirements:

  • suppliers must be in automatic competition
  • an excellent e-commerce purchasing experience
  • more straightforward accounting procedures
  • simple, automated supplier management

Payment, a key element in the growth of a marketplace

Whichever model is chosen, it must offer a payment system tailored to the specific national and international requirements of B2B business. As Axel Mouquet sums up, the four challenges will remain the same in 2019:

  • compliance with national laws and customs in different countries,
  • the diversity of payment modes and methods,
  • the asynchronous nature of different payment terms,
  • managing invoicing

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Marketplace experiences: AccorHotels, Première Vision and Pandacola

Each of the four models has its own advantages and challenges. By way of example, we invited three companies to talk about their marketplace experiences: the AccorHotels group, the fashion show organiser Première Vision and the startup Pandacola, which is set to reinvent the distribution of corporate promotional gifts.

The AccorHotels Group: an international procurement platform that uses a procurement network model

“We negotiate the prices for the products and services required by our 4,500 hotels around the world,” explains Coline Pont, Chief Procurement Officer for the Southern Europe region at AccorHotels. Our platform must meet the requirements of some thirty brands with very different characteristics. The objective of this platform is to enable our hotel customers to make savings and to facilitate the procurement process for our hotels. Currently, we are also working to win new customers outside the AccorHotels group. This is one of our areas of development.”

Première Vision: bringing together fashion pros through a one-stop-shop model

The Première Vision marketplace is for textile industry professionals. It is open to exhibitors and visitors to Première Vision fashion shows in France and around the world. Its vocation is to foster exchanges between textiles and fashion industry professionals (distributors, brands, accessory manufacturers, etc.).

“This business is made up of a lot of self-employed suppliers. It is only loosely structured and the rate at which new collections come out is continually increasing. Our marketplace does not claim to replace human contact, but it does complement it well. Nearly 70% of the visitors to our website connect to our marketplace. Our main challenges lie in helping vendors who have little experience of using digital tools. That’s why we’ve published a lot of tutorials online,” says Gaël Séguillon, Première Vision‘s Head of Marketplace.

Pandacola: selling corporate promotional gifts using a business model transformation model

The Pandacola marketplace is set to market corporate gifts and goodies. “We are the only ones on the European market. This loosely structured market features 2,500 promotional-item retailers in France, only a dozen of which have a turnover of more than €10 million. Hence our desire to create a marketplace to structure this market starting in 2019. Very few of our vendors have embraced digital technology, so we work hard to help them and publish lots of aids", explains Arthur Manier, CEO and founder of Pandacola.

To learn more about the changes expected in 2019 and events in the pipeline, send your request to Christophe de Sahb (CDesahb@wps.webhelp.com).

 


[Fashion] Growing your business without cash flow problems!

Growing your fashion brand without having to worry about cash flow problems? This is the kind of service that Webhelp Payment Services and Lea Trade together propose to French and international fashion, footwear and accessories companies.

Which companies are concerned?

Whether set up recently or established for several years, some fashion brands face procurement problems, often associated with early payment of their suppliers.

"We are sometimes called upon to help newish brands, or well-established brands that are going through a period of stagnation, or even a slight downturn," explains Aline Abeya, Sales Manager, France & Benelux, for Webhelp Payment Services. "These companies are often faced with bank restrictions, and this can affect their supplier credit and the development of their business."

Typical case:

A company is unable to pay its suppliers, situated abroad. Its revenue is insufficient or stagnant, and its ratios do not allow it to obtain the credit lines requested from the banks or the suppliers.

Yet it is not uncommon for Webhelp Payment Services to be on terms with, or even already to manage, the end customers of said company: in which case, the latter can entrust its accounts receivable to Webhelp Payment Services. In turn, in the framework of an exclusive partnership, Webhelp Payment Services can task Lea Trade with paying the suppliers concerned.

To summarise, therefore: the company submits its invoices to Webhelp Payment Services, which collects the payments, and passes them on to Lea Trade for reimbursement. The solution can be implemented quickly and easily!

Supporting a brand's strategic developments

To face growing competition and longer payment deadlines, many modest or average-sized players are changing their strategy. They often try to redeploy over the web, in particular moving toward B2B marketplaces.

For example, Webhelp Payment Services manages all the financial transactions of the shoesfromspain.com marketplace, created by the Spanish footwear association.

And since September 2018, Webhelp Payment Services has managed the B2B marketplace of premierevision.com, the international trade show for fashion procurement.

"For Webhelp Payment Services and Lea Trade alike, the challenge consists in being able to support brands, whatever the chosen distribution model, and whatever the change they wish to undertake!", concludes Aline Abeya.

 

 


[Fashion] Take advantage of the “Made in Spain” boom

In recent years, the "Made in Spain" tag-line has positioned itself like never before in the fashion footwear area. It has become a "brand" associated with comfort, quality and design, with excellent value for money. A recognition that opens the doors to footwear firms when entering the most demanding markets.

Fashion Made in spain in the US market

One of them is the United States. A complicated market due to its size, payment methods, logistics, but above all, for the structure and mentality of the distribution. This is a challenge for many footwear companies that consider their expansion in this country as an opportunity. Proof of this is the constant increase of Spanish footwear exports to this country, which tops the table of consumers outside of the European Union.

In the first five months of 2018, the United States increased its purchases by 11%. The average price stands at 46 euros, one of the highest in the world for Spanish footwear, and it continues to grow around 20% in the same period. Despite these statistics, the penetration of these brands is not as what is desired expected.

There is a large potential for growth for Spanish companies

There is a large potential for growth for Spanish companies who operate in a country where consumer behaviour is very positive and accepting of the recognised "Made in Spain" footwear, which is on the rise.

The largest segment growth was the "Millennials" who search for luxury and premium brands. According to several studies, this group currently represents 70% of the total volume of sales. Millennials are young people between the ages of 28 and 36, with a high income, excellent education and who prefer to be self-employed and developing their own projects. They are also the largest "age group" in the history of mankind.

"Millennials" choose brands that have a history. They have a keen interest in everything that is part of and that surrounds a product, as well as its quality and design. It’s an excellent opportunity for companies that have products aimed at this consumer group which is going from strength to strength.

The particularities of this market rely on having either agents or distributors. The relationship with department stores is complicated when you don’t know how they operate. These groups, independent stores and online companies, demand that you provide an exact price list for their market, as well as logistics and a strict commitment to the shipping times; In addition, they especially value the existence of stock with fast shipping.

Webhelp Payment Services has been present in the US market for 20 years.

There are more than 50 European fashion brands that have trusted the French multinational, right from their beginnings, to manage their sales in this market.

Angelo Ippoliti, CEO of Webhelp Logbox USA confirms the growing interest in Spanish footwear in the United States. The "Made in Spain" is valued by independent and department stores alike. The clothing and footwear are convincing due to their quality, design and value for money, even to the detriment of "Made in Italy". It is a time when various positive factors come together to favour the introduction of Spanish brands. The potential for growth is very promising thanks to the activation of the consumer market."

In line with the reality of the market, Webhelp Logbox USA has created a customised service, specific to this market. "Runbox: Corporation and Retail management services", launched in 2010 by Webhelp Logbox USA.

Runbox: a Corporation and Retail management services

Runbox provides all the necessary support to those companies that wish to enter the United States market. Companies with a turnover of more than 1.5 million euros, that are committed to innovation, are growing in a fast and constant manner. Its success is based, in part, on thFe trust placed in Runbox that manages its organizational structure thanks to BPO (Business Process Outsourcing). They thus concentrate their own growth strategy and build solid long-term bases and alliances with the most competent partners in each case.

As Angelo Ippoliti explains, "it is fundamental to decide the distribution channel, prepare the list of final prices "on-site", calculate taxes, implement logistic strategies and manage credit and payments. Also, dealing with the department stores is complicated." Currently, the figure of the agent prevails over that of the distributor, as long as they have a solid support in the management of payments, logistics, stock, amongst other factors. 75% of independent stores work with cheque payments on 60-day terms. The department stores pay on 30-day terms and always by cheque, whilst online stores and other chains pay by cheque on 30-day terms.

With Runbox, the company has a subsidiary in the United States that perfectly handles and knows the strategy of price penetration, the international brand image, the dynamics in the opening of "flagship store", the implementation of electronic commerce, in addition to providing a solution for the "duties".

Companies that are committed to internationalization know that it is necessary to develop a plan on a global level, with teams that are geographically, culturally and structurally apart.


Webhelp Payment Services has had an experienced team trained in international credit management for the last 30 years. It is an approved payment entity with financial strength. It has the capacity to assist companies in the international arena, with the appropriate resources for each case and always connected to the interbank swifnet network.

 

Author : Maite Ruiz Atela 


Tips to optimise your business’ cash flow

Priscilla Jokhoo, Business Services Director at the Fédération Française du Prêt à Porter Féminin, who has organised the Paris Traffic fashion trade fair for the last three years, began by saying, "Fashion seasonality leads to very long cycles: between the time you create a garment and the time it brings you your first euro - about 18 months - you will spend your time writing cheques!"

Priscilla Jokhoo assists around a hundred brands a year on a daily basis, at each stage of their economic development. Her verdict is clear: "Most failures are not due to a bad product or bad positioning, but occur for two reasons: lack of structuring, and/or too rapid growth. Remember that this is impossible: you can only self-fund".

Anticipate your working capital requirements

Cash flow structure varies according to the stages of a brand's development. This principle shows, for example, that accounts payable are relatively more important for a young company.

"When you start your business, you will have leverage on accounts receivable, but little leverage on accounts payable. Then, when the company is over three years old and can prove its financial health, it can negotiate with its suppliers, which will reduce its liabilities. But your B2B customers will ask you for payment terms", explained Aline Abeya, France & Benelux Sales Manager at Webhelp Payment Services.

As a result, cash flow levels vary greatly from one stage to another and may decrease sharply, putting the company in difficulty. Anticipation is therefore essential!

Watch your credit ratings

"Your credit ratings are crucial over the entire life of your business. They are issued by the main credit insurers and rating agencies that analyse corporate balance sheets and are connected to national sources of banking incidents and failures. All suppliers throughout the world can access at least one of these sources that gives you a credit rating. You must also make your business social security and VAT payments without delay because they affect your credit ratings", Aline Abeya recommended.

Another recommendation: send your first balance sheet to the three main credit insurers: Euler Hermes, Atradius and Coface.

"You must communicate with them at every stage of your business life. If you have had to cope with a difficult situation, you must explain the reaons and the solutions adopted," explained Aline Abeya.

What is the advantage of a good credit rating? It gives you leverage to negotiate with your national and international suppliers. For example, you can try to find a contract-based solution over several seasons: your supplier may then be able to grant you discounts.

Leverage best practices with your customers

Several recommendations involving customers will avoid unpaid or late payments:

  • use a specialist lawyer to draw up solid General Terms and Conditions of Sale (GTCS)
  • insist on signed Purchase Orders, without exception!
  • ensure that invoices are properly drawn up in accordance with the standards and practices of the countries concerned
  • issue an invoice upon delivery
  • request payments before delivery if you are a young company
  • carry out quality control prior to delivery.

And Priscilla Jokhoo added: "In many situations, I have found that certain customers have exploited loopholes in poorly drafted GTCS! You should also pay close attention to your customers' General Conditions of Purchase (GCP), for example, with respect to returning unsold items".

Use leverage to improve cash flow

Positive leverage effects on your cash flow: in the case of a first order, you should not hesitate to require a deposit payment, usually 30%.

"Your customer can very well understand that you expect him to make a real commitment to your brand, and not just an order "to see how it goes", Aline Abeya pointed out.

Also note the possibility of granting a 0.5 to 3% cash payment discount.

Webhelp Payment Services manages the accounts receivable as soon as the order is placed. In practice, once you have made a delivery, it is potentially too late, as the payment method or time may not have been appropriate to your customer's situation.

"Webhelp Payment Services gives you prior recommendations about orders with respect to the country where your customer is located: this is very important because it reduces the risks of non-payment at the order stage. Webhelp Payment Services' assistance extends to the collection of multi-country and multi-currency funds", said Aline ABEYA.

On the strength of its experience in the textile market, Webhelp Payment Services has entered into partnerships with financial institutions that rely on its wholesale management services to help brands source and finance their sales.

> To receive the pdf of the "Cash is king" presentation at the 2018 Traffic fashion trade fair, do not hesitate to ask Aline Abeya.

 

 


Tips to conquer an Italian market

Italy is a priority market for fashion and ready-to-wear brands, hence the dedicated Italy workshop that took place during the 2018 Traffic trade show. Here we give you an overview and top tips from Anne-Laure Druguet, Director of Projects at the Fédération Française de Prêt à Porter Féminin, and Claudio Milani, CEO of Webhelp Payment Services in Italy and Greece.

"Italy is France's number 1 customer, followed by Germany, the United Kingdom, Spain and the United States," says Anne-Laure Druguet, Director of Projects at the Fédération Française de Prêt à Porter Féminin, who specialises in helping French brands export.

In fact, the nature of the Italian market appears to make it an unmissable opportunity for France's ready-to-wear brands:

  • €66 billion annually, with a positive trend
  • 10.5% of France's exports in terms of value (up 7.1% on 2016)
  • In 2016, Italian women spent 10 billion euros on clothes, with the Italian menswear sales volume approaching 7 billion euros.
  • Distribution: mainly through franchises, chain stores and the retail sector (47%), followed chiefly by multi-brand stores (24%), department stores (13%), and online sales (5%).
  • There are big differences between Italy's regions, with the North being a more buoyant market.

1 – Make sure you have the right agent in Italy

Our assessment above focuses more on quantity, but Claudio Milani, CEO of Webhelp Payment Services in Italy and Greece, was more interested in talking about quality: “There are a huge number of stores in Italy, even in small towns and villages. With the odd exception, you can't “sell on your own” in Italy; you have to go through one or more agents, at regional or national level. Contrastingly, committing to a retail network appears to be a risky business."

But should your agent be single-brand or multi-brand? Claudio Milani says, "A small or medium-sized company would be ill-advised to take on a single-brand agent."

And Anne-Laure Druguet adds, "It's important you have the right fit with your agent and ensure you have the same objectives and development potential. You must also make sure you pin down your methods, such as reporting frequency, and agree a mutually binding commitment in writing.”

The Federation offers French brands help with drawing up agent contracts.

Claudio Milani hammers home the point with a quip: "You know who our best allies are? Agents. And our worst enemies? Agents." Hence his advice: “Find the best possible fit between your brand, your products and your agent”.

2 – Choose the safest payment methods and conditions

Like any market, the Italian market has its own particular payment methods, conditions and practices.

Webhelp Payment Services takes care of customer collection management and trade receivable management and acts as an insurance intermediary in various countries, including Italy. This means that Webhelp Payment Services enables you to personalise your payment methods and conditions individually to each of your clients.

To find out more, and in particular for details of the payment methods and conditions best suited to the Italian market and the best way to protect yourself from non-payment, feel free to get in touch with Claudio Milani.

3 – Devise a strategy tailored to the Italian market

As Claudio Milani says, “It's not enough to set yourself financial objectives in penetrating the Italian market. You have to devise, challenge and then implement your own specific strategy”.

This strategy must be consistent with your brand identity and culture. "But beware of imposing your own rules: think globally but act locally," adds Claudio Milani.

4 – Find the balance between sales and finance

Claudio Milani's last piece of advice: “If you focus solely on increasing sales, you'll expose yourself to a lot of risks. And if you put too much emphasis on financial security, you're in danger of missing some great opportunities. You have to strike the right balance to be successful!"

 

For more information, go to our website.


International B2B e-commerce: mistakes to avoid

Increasing numbers of B2B businesses both large and small are setting their sights on trading internationally through an e-commerce platform. To give yourself the best chance of making a decent fist of it, Axel Mouquet, CEO of Webhelp Payment Services, proffers his advice and explains which mistakes to avoid.

At Webhelp Payment Services, we know all about trading internationally: we collect 80% of our payments (€1 billion a year) outside France on behalf of b2b vendors. And we cover 35 countries via 11 regional subsidiaries.

As a payment institution, at Webhelp Payment Services we help our clients to devise and manage their B2B payment strategy. Our shared objective is to improve the customer experience and develop a secure business.

To this end, we offer risk management, transaction management and non-payment management services, working internationally with brands such as Conrad, Aniel, IPH, Procsea, Conforama, Le Duff and Rungis International Market.

From day-to-day practice and our observation of the market, we have identified 5 avoidable mistakes:

  1. The 'everywhere-at-once, all-at-once' strategy. The temptation is to launch in several countries at the same time instead of introducing a gradual rollout (which is more advisable as we shall see later). In this faulty model, the starting point is often the home-country e-commerce website or the reference website, which is then cloned and rolled out simultaneously in the different languages and countries. Typically, this is done by employing translators to translate the existing content. But you can bet your bottom dollar (or euro) that it won't work!
  2. A succession of 'cut-and-paste' openings. In this variation on the faulty model above, the plan is to proceed country by country, simply 'cutting and pasting' from one site to the next. But here too you'll be heading for trouble, as B2B conventions vary hugely from country to country. You have to understand and follow not only the law but also business practice, decision-making cycles and order-validation circuits for example. It's therefore a no-brainer: you must redesign the site – and the customer experience – for each country or region.
  3. Staking everything on adwords. This is perhaps the costliest strategy: the company invests a fortune on buying adwords in the hope that this will capture demand. Of course, you must not neglect or forget about digital marketing, but human contact is important too! In B2B commerce, building a relationship of trust – between professionals – is crucial, especially when your business is starting out. You have to devise a sales force deployment strategy on the ground or operating in the local language. And later you will have to regularly tweak your mix of digital and on-the-ground presence.
  4. Over-centralising your business. Is your company based in Paris, Lyon or Bordeaux? Then it's there that all of your international operations will be based. We cannot say it often enough: in B2B you must ensure you have a physical presence local to your customers. And your customers will want to check that this presence is on offer, even if it is just a sales or logistics service. In B2B, digital commerce will never do away with borders completely!
  5. Having the same payment conditions everywhere. To speed things up when rolling out your B2B e-commerce platform internationally, it is tempting to standardise your payment conditions. But experience shows that even within Europe there are major differences here, and some of them may even put you at risk. There are differences between payment conditions, respecting payment deadlines, legal aspects of the market, etc., and you also have to take into account local competition, prices and products and services on offer. And in B2B, assessing customer credit risk is crucial. Webhelp offers a range of specific international commerce solutions.

In summary, our advice is not to spread your resources too thin and to tailor your offer to each locality. To become an international business you will have to identify the key success factors for each country and focus your efforts on them.

And here are 5 examples of approaches that work well, where we have helped our customers grow their B2B business internationally.

  1. Introduce a gradual, tailored rollout. The idea is to be realistic, starting with the country or region that appears to present the fewest operational difficulties and learning all the lessons you can before expanding elsewhere. On each occasion, you must take the time to understand the specific characteristics of the local demand. You should implement a carefully thought-out, localised approach incorporating co-design and co-construction.
  2. Use the marketplace model. The marketplace model has certainly proved its worth in B2C and now represents a tremendous opportunity in B2B since all the tools and methods are already available. This strategy enables you to construct your offer locally, minimising the risks, investment and any logistical problems involved. And you also have the option of signing up dependable salespeople with a good reputation who are already in place. At Webhelp, we think this model is becoming the go-to approach and that you should consider it very carefully. In other words, you'll have to have very good reasons not to adopt a marketplace-based approach!
  3. Make sure you have localised payment strategies. This is where Webhelp Payment Services comes in: devising, implementing and managing the complete payment circuit, with the option of including credit insurance, constructing a secure business model for the country in question and taking into account specific customer risks. In this respect we are able to provide tailor-made solutions on the basis of conventional or pooled distribution of profits/risks.
  4. Build locally with international partners. Your success is conditional upon knowing the ins and outs of B2B practices in the country or region concerned. Giving yourself the ability to identify and work with international partners gives you a decisive advantage. Especially if your growth objectives – organic or external – are ambitious.
  5. Develop a local sales force. As we have seen, B2B is not all about digital technology. You should consider gradually introducing sales forces on the ground.