If your business has reached a stage where research indicates that exporting is the next step for you, it is important to have a pricing strategy in place in order to competitively price your product to be successful in your chosen market.
That’s why the Department for International Trade is hosting a series of training workshops as part of the Export Academy, to upskill your business by developing an export pricing strategy to grow overseas.
The first session of the 10-part programme will take place on 14th June, with the fourth session focusing on how you can develop a pricing strategy for export. A full list of the sessions and the link to apply can be found here.
What is a pricing strategy?
A pricing strategy is defined as the plan adopted by exporters regarding the pricing of goods while marketing them to an end consumer.
Pricing should always be considered in terms of the differing market conditions in the countries of interest.
Examples of the types of pricing strategy you will learn about on the Export Academy include premium, economy, penetration, and skimming strategy.
What to consider when developing a pricing strategy
Once a target market is decided you will need to take into consideration three main points. (1) how you will sell into the market
(2) who you will need (if anyone) to help you in the specific market
(3) how much you will charge for your product.
You will also need to ascertain how to set your export prices with regards to local market considerations and your overall market strategy and business objectives. You should also consider how prices should be adjusted according to local market price levels. Does the market in question have a high or low income? What is the GDP per capita? Do they have disposable income?
What else will I learn about pricing at the Export Academy?
During the session on pricing strategy you will also learn about different ways of managing supply chains, how to identify distribution partners and commercial agents and the legal issues you should consider when trading overseas.
Get prepared for export with the Export Academy
Research from the Department for International Trade suggests that most businesses who could export feel that they don’t have a good level of knowledge about how to do so.
The Export Academy aims to address this uncertainty about how to sell internationally through education and support, giving businesses the tools and confidence to seek out new opportunities around the world.
If you think your business is ready to embark on an export journey, sign up to the Export Academy here.