One of the most common mistakes we make when exporting goods to another country is including multiple products under one brand. This mistake can result in poor product classification because different countries have different customs systems. While a product may look similar, it could fall under two different categories, requiring a different import tax bar. Also, some countries require a detailed product classification to ensure the composite tax is calculated correctly.
Not assessing the market for your product:
The first mistake that we make when exporting goods is not assessing the market for your product. The market should be a good fit for your products. If you have an existing product line or distribution system, you should consider expanding your range to include more products from your original company. If you do not have these, you should consider importing only items complimenting your current product line. However, you should also consider pre-selling the first shipment to get an idea of the market before the shipment is shipped.
Not knowing the cost associated with shipping goods:
Lastly, we need to be aware of all the costs associated with shipping goods. The costs of shipping goods to another country can be high, so you should anticipate all the expenses and budget accordingly. A Basic Guide to Exporting discusses the most common mistakes we make when exporting goods to other nations. It also lists government agencies that can help you with sales. When you plan your direct sales, make sure you think about the costs that will arise.
Choosing the wrong product to sell in another country:
Finding a good product to sell in another country is the first step. In addition to finding out what people want to buy in another country, you need to understand the various taxes and regulations that apply in that particular country. When exporting, you need to determine the specific requirements for licensing, importing, and selling products. Once you have this, you need to find out how to sell them in other countries.
Not planning for after-sale care:
It is also important to plan for after-sale care. After-sale care is critical when exporting goods to other countries. If you don’t provide this service, it will negatively affect your reputation. It also means that you need to pay high prices to ship products, which is the last thing you want to do. A basic guide to international sales can help you with your planning.