Turning a Mid-Size Local Reseller into a Global Player
Reading Time: 4 minutes
Shipment value: New York, USA
Number Of Destinations: Global Rollout
Products Shipped: IT Hardware
From Local Market Saturation to the Dawn of a New Era
Our client, a New York City-based reseller, was stuck. The local market was saturated, and they couldn’t expand globally. They were at a crossroads: either they could give up and stay stagnant or find a way to break out of the mold and achieve international expansion.
They chose the latter. They partnered with TecEx to help them deliver products and services to customers all over the world. This partnership gave them the reach and capabilities they needed to expand their business and reach new heights.
Ultimately, the client could use its new global reach to attract new customers with global distribution requirements, tendering on deals that it had only dreamed of fulfilling in the past. This client’s global fulfillment capabilities now lead its sales process – finding this to be its biggest deal closer.
The Challenge
Importing goods into a foreign country can be a complex and expensive process. Companies need to find a local Importer of Record (IOR) who can act as the local consignee and take responsibility for any financial and legal risks associated with the shipment. The IOR must also be a local tax-registered entity with the appropriate registrations and permits to import controlled commodities.
In addition to these requirements, companies must also be aware of the changing laws across multiple jurisdictions. They need to understand the complex permit requirements and clearance procedures for “dual-use goods” (which are heavily regulated) and be able to navigate the maelstrom of documentation.
As a result of these challenges, most companies find it cost- and resource-prohibitive to manage and maintain the required infrastructure while remaining compliant.
TecEx explained the potential of global distribution to build scale, and the client was willing to “test” TecEx with smaller shipments into difficult countries.
The Solution
We shipped dual-use wireless encrypted network equipment from our client in the USA to tricky countries, including Japan, China, Hong Kong, India, Brazil, Argentina, and Mexico. This radically increased the company’s reach and allowed it to win new clients it couldn’t bid on previously.
Here are some of the specific things that TecEx did for the client:
- Cleared over 150 shipments into 25+ countries.
- Reduced time to deliver.
- Helped the client to ship on very short notice.
As a result of TecEx’s help, the client was able to:
- Expand its distribution network to new markets (including some of the trickiest import destinations).
- Win new clients.
- Keep its promises to customers.
This is a great example of how TecEx can help companies overcome global trade challenges and expand their reach into new markets.
The Outcome
Our client is now carrying out shipments for some of Silicon Valley’s biggest and most impressive players – who would never have previously considered it for their international business, much less made it a key supplier.
It has a 99% customer retention rate, a two-year growth rate of 140% (with over 10 000 customers), and a coveted Top 30 ranking as one of ‘The Channel Company’s CRN Fast Growth 150’ in 2016.
We helped this client change the game completely by giving it the global passport and scale to go worldwide.
To do this, TecEx leveraged our specialty knowledge in tech, our ability to maintain full ownership of the import process, our commitment to double- and triple-check for compliance at every point, and our hands-on service and expertise.
The TecEx Way
“Our partnership with TecEx has solved a major pain point for many clients. As more companies think of IT infrastructure globally, TecEx’s knowledge and ability in global logistics stand alone in the industry.”
For many companies, the road to international growth is blocked by a labyrinth of red tape, such as the very real challenges of importing controlled commodities, like IT hardware, into foreign territories, including Russia, Brazil, and China.
But there is hope. Companies can overcome these challenges and achieve their international growth goals with the right partner. A reputable global trade solutions provider such as TecEx can help businesses navigate the complex regulatory landscape and ensure compliance with all applicable laws and regulations.
Looking for a
similar solution?
Contact TecEx to help with shopfitting, design, and architectural projects in foreign markets. Our global presence, project management, import compliance, and logistics network allow us to offer a comprehensive end-to-end solution for clients throughout the supply chain.
Looking for a
similar solution?
Contact TecEx to help with shopfitting, design, and architectural projects in foreign markets. Our global presence, project management, import compliance, and logistics network allow us to offer a comprehensive end-to-end solution for clients throughout the supply chain.