Blue Eyed Sun Case Study: Discover how exports have helped a UK SME generate

20% of its total revenue

Exporting Case Study: Blue Eyed Sun - Spring Fair 2015Jeremy Corner - Blue Eyed Sun - Stand 4L66

14:00 to 14:30 Tuesday 3rd February 2015 Spring Fair International - UKTI Theatre

• Bedroom start up launched in 2000

• Now a leading UK publisher of cards

• Exporting casually since 2003

• Initial focus on UK market

• Since 2012 have grown in 15+ countries

• Export makes up 20% of total revenues

• Work primarily with distributors

• Managed without travelling abroad

Exporting Case Study: Blue Eyed Sun - Spring Fair 2015Jeremy Corner - Blue Eyed Sun - Stand 4L66

Our Story and export journey

Important tools for our export growth

• Trade Magazines

• Trade Fairs

• Trade Associations

• Networking

• UKTI

Exporting Case Study: Blue Eyed Sun - Spring Fair 2015Jeremy Corner - Blue Eyed Sun - Stand 4L66

Our Export Sales Options

• Work with Distributors

• Direct to retailers

• Sales reps / managers

• Set up sales agent network

• International sales consultants

Exporting Case Study: Blue Eyed Sun - Spring Fair 2015Jeremy Corner - Blue Eyed Sun - Stand 4L66

How export led to meaningful profit growth

• Export paid our first home deposit

• Biggest order we’d ever had

• Took us six weeks solid to make it

• Changed our distribution plans

• Start of a long lasting relationship

Exporting Case Study: Blue Eyed Sun - Spring Fair 2015Jeremy Corner - Blue Eyed Sun - Stand 4L66

How export led to improved sales

• Extend product life cycles

• Best sellers still sell abroad

• Spreads development costs

• Better, cheaper production

• More options for clearance

Exporting Case Study: Blue Eyed Sun - Spring Fair 2015Jeremy Corner - Blue Eyed Sun - Stand 4L66

How export led to product development

Exporting Case Study: Blue Eyed Sun - Spring Fair 2015Jeremy Corner - Blue Eyed Sun - Stand 4L66

Original Vintage Design

Adapted Vintage Design

New Picnic Time Design

How export led to improved systems

Exporting Case Study: Blue Eyed Sun - Spring Fair 2015Jeremy Corner - Blue Eyed Sun - Stand 4L66

• Warehouse layout

• Stock control

• Efficient productivity

• Economies of scale

• Effective Marketing

• Use Sage for multiple currencies

How export led to the growth of our people

Exporting Case Study: Blue Eyed Sun - Spring Fair 2015Jeremy Corner - Blue Eyed Sun - Stand 4L66

• Delegation

• Goal focussed

• Raised our game

• Stronger, busier team

• Step up or step out

• Reduced dead wood

The Potentially Negative Impacts

• Cashflow strain

• Credit Risks

• Currency fluctuations

• Quality control

• IP Risks

• Freight forwarding issues

• Miscommunication problems

Click here for the .gov export site

Exporting Case Study: Blue Eyed Sun - Spring Fair 2015Jeremy Corner - Blue Eyed Sun - Stand 4L66

The Potentially Positive Impacts

• Can improve how you do things

• Larger volumes

• Access to new markets / sales

• Your products go global

• Meet new people

• Grow your business

• It’s good for the UK

Click here for the UKTI website

Exporting Case Study: Blue Eyed Sun - Spring Fair 2015Jeremy Corner - Blue Eyed Sun - Stand 4L66

You will need help

• The extra orders mean more admin

• Paperwork needs close attention

• Different logistical requirements

• Product alterations

• Different time zones & languages

• You must stay on top of export sales

• The volumes can ramp up quickly

• Don’t lose focus on UK sales

Exporting Case Study: Blue Eyed Sun - Spring Fair 2015Jeremy Corner - Blue Eyed Sun - Stand 4L66

HMRC - overview for VAT registered exporters

• You must keep good records and copies of

paperwork (incl. emails, bank receipts, etc)

• Must have proof of export for all goods

• Track all of your exports to EC countries

for the EC Sales List

• Must note and check EU VAT Numbers of

your customers / distributors in the EU

Click here for HMRC Guide on Export

Exporting Case Study: Blue Eyed Sun - Spring Fair 2015Jeremy Corner - Blue Eyed Sun - Stand 4L66

Export Lingo and Key Terms

• Pricing - get your prices working for you & distributor

• Quote prices in GBP or USD rather than £ or $

• “Ex-works” - means you deliver to freight forwarder

• “Free on Board” - means you deliver on to the ship

• “Fx” means foreign exchange. Eg. Sage International Payments

• “MOQ” means minimum order quantities (what are yours?)

• “Proforma” means payment up front - insist on it to start with

• You may need USD and Euro bank accounts (watch fx changes)

Exporting Case Study: Blue Eyed Sun - Spring Fair 2015Jeremy Corner - Blue Eyed Sun - Stand 4L66

Read more at: www.blueeyedsun.co.uk/blog

THANK YOU

Tweet: @Blue_Eyed_Sun

Blue Eyed Sun - Hall 4 - Stand 4L66

Exporting Case Study: Blue Eyed Sun - Spring Fair 2015Jeremy Corner - Blue Eyed Sun - Stand 4L66

The Ladder Club - Autumn 2015