The product is king
Andrew Turner, managing director of Accrington based Langtec, puts it simply. “Exporting is in our DNA,” he says.
His company manufactures tubes from composite materials and exports 85 per cent of what it makes.
The business is more than 100 years old and began life buying ceramic tiles from Marseille and selling them all over what was the British Empire. Today it has a staff of 40 based in east Lancashire
Andrew says: “Our biggest area for sales is North America – the USA, Canada and Mexico. We also sell right across Europe, including Germany and the Netherlands and as far away as New Zealand.
“We have a product our customers need. It is not a luxury item, it is an essential for them and if the market is there so are we.”
In North America the company has a key relationship with an agent that stretches back decades and has been instrumental in its growth there.
When it comes to the EU he says: “To my knowledge we haven’t lost any sales there because of Brexit. We were prepared for it.
“It is a slight irritation on the part of our customers, they have to do a little bit more paperwork, but it’s not a barrier to trade.
“The product is still king. It is having the right product with the right quality and the right price. If we can deliver it as quickly as our competitors in Europe they will buy from us and that is exactly what we look to do.”
He adds: “You have to have something that people want, that is the main thing. And you have got to weigh up the cost of exporting. The objective of the exercise is to make some money out of it.”
TOP THREE SERVICE 2.
EXPORT MARKETS 1.
United States £989m
A cab ride to success
Slingco’s business journey in the USA began with a chance conversation during a ride in a yellow cab.
The Rawtenstall business, an award-winning supplier of high-quality cable grip and specialist pulling tools, had been struggling to get a foothold on the other side of the Atlantic.
Chief executive Nick Dykins explains: “It was the early 2000s and it wasn’t easy, a lot of people were interested in the product we had, but asked where we held stock and when we said the UK they walked away.”
Things changed during that cab ride from the airport to a trade show in Louisville, Kentucky, and a conversation with Brian, the man behind the wheel.
It led to the driver being placed on a retainer to take charge of the company’s US orders. His role was to remove the sold product from a small storage facility, and drop it off at a UPS site for delivery. Nick says: “It seemed like a sensible thing to do.”
From those very modest beginnings Slingco’s presence in North America has grown into an impressive operation. Based in Georgia it employs 30 people and is set to record sales of more than $35m this year. Nick’s brother Matt is in charge of the US operation.
There have been other challenges to get to this stage. Slingco had to adjust the design of products so they looked more familiar to the US customer. And its team had to get used to the different priorities of those customers. Nick says: “In the UK usually the first question is, how much is it? Then you’re asked if it is in stock and after that you’re questioned on quality.
“In the US the first question is, when can I have it? Is it in stock? Then they ask about quality and, after that, the price.”
Nick adds: “You have to tune into the different buyer values. In Germany the usual first question is about quality. Each country is different.”
Finding the perfect formula
William Blythe’s proud boast is that it is one of the oldest chemical companies in the UK.
Founded in 1845 to support Lancashire’s textile industry, today the business has evolved into specialised inorganic chemicals and advanced materials and it has an 85-strong workforce.
Sales director Kevin Hudson says exporting is vital to the company, adding 80 per cent of its business, more than £40m, comes from overseas.
Kevin says: “We are truly an international business, and our biggest market is the EU which accounts for over 40 per cent of our revenue.
“Germany is one of its key markets. He says it is a good market for UK companies because it is stable and business orientated with clear and effective communication.
He adds: “It is a good starting point for businesses. There are no problems with payments.”
Kevin says William Blythe is looking at new markets all the time “as we try to grow, both with our existing products and new ones coming in.”
The company is doing well in Asia and Australasia, and has long-standing clients in Japan and it sees North America as a key area for growth.
LANCASHIREBUSINES SV
IEW.CO.UK
He says that businesses looking to export have also to be prepared for different ways of doing business. Slingco has certainly had lots of experience in that. Nick explains that 90 per cent of its work goes overseas, with most heading to the USA. The company is strong in Canada, Mexico, the EU and the Middle East.
Looking ahead Slingco is aiming to continue to build in a range of markets, including the EU. Germany is its biggest European territory.
A double winner of a Queen’s Award for Enterprise in international trade, it serves customers in more than 60 countries, employing 100 people at its Lancashire headquarters and 70 at a manufacturing facility in India.
Germany £476m
3.
China £84m
2020 Department for Business and Trade figures
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INTERNATIONAL TRADE
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