Exporting is a key way to maximize your potential profits. If you are only selling domestically, that means you’re limiting yourself to 5% of potential buyers. You read that right. According to the Small Business Administration, approximately 95% of the world’s consumers live outside of the US!
Going global means expanding your customer base and tapping into new demand. It’s the opportunity to diversify your risk — even if one market begins to falter, you still have other growth opportunities. But there is a lot to consider when looking to export to a new market. Is there demand for your product? What does the political and economic environment look like in the country you’re targeting? How tough is the competition?
Our world is vast, and there are endless possibilities, but if you’re looking to take your business global, here’s why the United Kingdom (UK) is a great place to start:
- Ease of doing business. There is no language barrier for US to UK trade. It’s extremely easy to communicate with buyers without the need for translation. Language aside, the World Bank's Ease of Doing Business Index ranks the UK as #8 in the world.
- Strong economic opportunity. The UK 2019 GDP was an estimated US $2.7 trillion, up by an estimated 1.4% year over year. The UK represents roughly 4.4% of the US economy.
- Favorable trade relations. The United Kingdom is our 7th largest goods trading partner with US $132.3 billion in total (two way) goods trade during 2019, and our 5th largest goods export market. US exports to the UK in 2019 were US $69.1 billion, up 3.9% from 2018 and up 51% from 2009. In fact, US exports to the UK account for 4% of overall US exports in 2019.
- Job creation. According to the Department of Commerce, 665,000 US jobs were created in 2015 because of US exports of goods and services to the UK.
- Support. As the UK is a key trade partner of the US, there is a wealth of resources to help you successfully export — including financing and post-Brexit implications.
Ready to take the leap and begin exporting? Find out more about the opportunities in exporting to the UK this Wednesday, February 24 at 9am ET, during the Navigating the UK Market — Insights & Resources for US Companies webinar. Hosted by the UK Department of International Trade and our partners at the Brooklyn Chamber of Commerce, you’ll learn how to access business opportunities in the UK and receive practical support available to small and medium-sized business owners looking to export to the UK.
All Alibaba.com sellers — both new and existing — who attend the event are eligible to receive US $250 in Keyword Advertising credits. RSVP for the event or email Selena Singleton, Director of Partner Activation at Alibaba.com, at firstname.lastname@example.org.
This week's #B2BTuesday Tip:
Relying solely on the domestic market limits your growth. There are only so many local buyers. Exploring foreign markets gives you access to new demand and customers.