Choosing an international sales channel suitable for chemical products requires comprehensive consideration of multiple factors. The following are some reference points:
Product characteristics
Product type and use: If it is a basic chemical raw material, such as petroleum, coal and other bulk commodities, it is suitable for direct trading with large industrial users through international large traders or long-term contracts, because the demand for such products is stable and the quantity is large. For fine chemicals such as cosmetic raw materials, pharmaceutical intermediates, etc., due to their strong professionalism and relatively specific customer groups, they can directly contact target customers through participating in professional chemical exhibitions, industry seminars, and other channels, or use professional chemical B2B platforms for promotion.
Product hazard: There are strict regulatory requirements for the transportation and storage of hazardous chemicals. When selecting sales channels, it is important to ensure that the channels have the qualifications and capabilities to handle hazardous chemicals. If transporting a small amount of hazardous chemical samples through international express delivery, it is necessary to choose a qualified express delivery company, such as FedEx, which has specialized chemical dedicated line services and compliance protection measures. For the transportation of large quantities of hazardous chemicals, professional hazardous chemical shipping or air freight companies are generally selected, and professional freight forwarding companies are entrusted to handle the relevant procedures.
target market
Market size and potential: For regions with large market size and high potential, such as the United States, Europe, China, etc., it is possible to consider establishing direct sales channels, such as setting up local sales offices or cooperating with local powerful distributors, in order to better understand market demand, provide timely after-sales service, and increase market share. For some emerging markets, although their market size is currently small, they have great growth potential. They can first promote their market through online platforms, understand the characteristics of market demand, and gradually establish offline sales channels.
Trade policies and regulations: There are significant differences in trade policies and regulations among different countries and regions. For example, the EU's REACH regulation has strict requirements for the registration, evaluation, authorization, and restriction of chemical products, and chemical products exported to the EU must comply with relevant regulations. When choosing sales channels, it is important to consider whether the channel partners are familiar with the trade policies and regulations of the target market, and whether they can assist in handling relevant certifications and procedures to avoid problems with imported goods.
Enterprise's own situation
Enterprise scale and strength: Large chemical enterprises usually have strong financial strength and sales teams, and can choose to establish direct international sales channels, such as setting up subsidiaries or branches overseas to directly control the sales process, improve brand awareness and market competitiveness. Due to limited resources, small and medium-sized chemical enterprises can leverage indirect sales channels, such as cooperating with internationally renowned traders and agents, and utilizing their market networks and customer resources to quickly open up international markets.
Sales experience and resources: If a company has rich experience and a mature sales team in international sales, it can choose to directly cooperate with overseas customers by participating in international exhibitions, visiting customers, and establishing direct business contacts. If a company lacks international sales experience and resources, it can first choose some well-known B2B e-commerce platforms, such as Alibaba International Station, ChemChina, etc., to promote and sell online, accumulate customer resources and sales experience.
Cost and benefit
Channel construction costs: The construction costs of different sales channels vary greatly. Establishing overseas sales offices or subsidiaries requires a significant investment of funds, including venue leasing, personnel recruitment, equipment procurement, and other expenses. Choosing to cooperate with traders, agents or use e-commerce platforms requires relatively small initial investment. Enterprises should weigh the construction costs of different channels based on their own financial situation and choose the sales channel that suits them.
Operating costs and benefits: During the operation process, the costs of different channels also vary. For example, selling through e-commerce platforms requires payment of platform membership fees, promotion fees, and other expenses, while cooperating with traders requires a certain commission. Enterprises should comprehensively consider operating costs and benefits, and choose sales channels that can maximize profits. At the same time, attention should be paid to the sales efficiency and payment collection speed of the channels to ensure the smooth flow of funds for the enterprise.
Logistics and after-sales service
Logistics distribution: The logistics distribution of chemical products needs to consider factors such as product characteristics, transportation distance, and transportation mode. For small batch and urgent orders, international express delivery is a better choice; For large quantities of goods, sea or air freight is more cost-effective. When choosing sales channels, it is important to consider whether the channel provider can provide convenient logistics and delivery services, or whether they have a cooperative relationship with reliable logistics suppliers to ensure that goods can be delivered to customers in a timely and safe manner.
After sales service: The use of chemical products may involve technical and safety issues, so after-sales service is very important. When choosing a sales channel, it is important to consider whether the channel provider has the ability to provide after-sales service, such as technical support, product returns and exchanges, etc. If a company sells directly to overseas customers, it needs to establish its own after-sales service team or cooperate with local service agencies; If selling through agents or distributors, it is necessary to clarify their responsibilities and obligations in terms of after-sales service.
