Enterprise Ireland’s top tips for entering the Chinese market

/0 Comments/in , , , , , , , , , /by

The ambitions of both the Chinese government and the private sector to improve competitiveness is driving demand for foreign technology and expertise, which in turn is increasing opportunities for Irish firms in the region.

If you are considering doing business in China, please be sure to explore our tips to enter the market below and also be sure to reach out to our dedicated team. 

  • Make a strategy to protect your intellectual property before you enter the Chinese market.
  • Treating China as one large market is difficult, narrow down your target cities
  • Second- and third-tier cities might be a better option for many products since there may be fewer competitors, more demand from consumers and local governments willing to facilitate market access.
  • Best practices show that investing some time in China to meet people, experience the market, and test prices and consumer behaviour is critical before making the decision to invest.
  • Having a physical presence in China can be part of a long-term strategy to enter the country.
  • Firms should carefully weigh all the available options against their business needs before deciding on a legal structure in China.
  • In China, there are certification, registration and labelling schemes that are often complex.
  • Labour costs in China are rising quickly. High turnover is also becoming a concern.
  • Finding the right importer/distributor in China is critical for success. Guanxi (people to people relationship) is important as reliable contact can help you understand the negotiating habits of the Chinese that would otherwise require months of on-the-ground presence in China to understand.
  • Companies need 6-9 months of preparatory work to enter China, which is longer than other markets;
  • In Greater China, Enterprise Ireland have three offices in Shanghai, Beijing and Hong Kong, servicing key sectors for Irish companies.

If you are considering doing business in China be sure to reach out to our team and read our Going Global Guide for more information.

 

If you would like to know what to prepare ahead of your first MA call, click the graphic below

The Future of Digital Transformation in US Dairy – webinar

/0 Comments/in /by

The COVID-19 pandemic, price volatility, and the drive towards sustainability in dairy farming means that farmers, processers, and haulers now have different needs and challenges. In a time when digital solutions are in increasing demand in the US dairy sector, innovative Irish companies have proven that they have the answers.

Building on our strong reputation in dairy, Irish companies have developed products that are trusted by a wide range of end users in the US, from individual farms and haulers to large multinationals like Danone North America and Agrimark. Digital innovation has played a central role, as the US dairy industry seeks to modernise and automate, smoothing out processing inefficiencies and safety concerns. In leveraging digital, Irish companies can win in the space, by delivering scalable solutions that offer improvements across the entire value chain.

One example is Piper Systems, which recently won FDA approval for their Dynastream product – the only system approved by the NCWM authority as a legal for-payment device across the USA. Piper’s ability to deliver accurate weights and temperatures, fully representative samples, and real time product data and traceability results in a streamlined milk collection process, making it safer, easier, and more efficient.

Click below for a discussion on the US Dairy sector and its increased need for digital solutions with insights from:

  • Robert Troy TD, Minister of State for Trade Promotion, Digital and Company Regulation
  • Director of Milk Quality for Danone North America, Jennifer Walker DVM, Ph.D.
  • Leigh Hamilton, CEO of Piper Systems

Our webinar reflects on:

  • Opportunities and priorities for Irish companies entering the US agri/dairy sector
  • Trends and macro issues affecting US dairy
  • Importance of traceability in supply chains
  • US Demand for increased technology solutions in food safety and the impact of this along the entire value chain

For key discussion points see the below timings:

 

1:05 : Introduction from Minister Troy

13:40: How has the US Dairy sector has changed in recent years?

16:55: Dr. Walker on how digitisation has transformed ‘troubleshooting’ on-farm issues

19:25: What makes the milk collection process a great fit for digitisation?

23:30: What is more important to US customers – improving milk quality or process efficiency?

27:10: Digitising the dairy value chain and the importance of traceability to build consumer trust

34:00: The rise of automation and future data applications in Dairytech

37:50: How better data will change dairy forecasting and logistics

40:45: The importance of sustainability in dairy – how to ‘make sure consumers feel good about choosing dairy’

43:50: How industry will act as a catalyst for positive change in dairy

46:30: Q&A – How should Irish companies approach US dairy companies?

49:00: Q&A – What is holding back the adoption of technology in US dairy?

How Payslip filled a gap in the multinational payroll market

/0 Comments/in , , , , , , , , , , , , /by

“Enterprise Ireland provided great support through its fintech network. They enabled us to leverage international channels and acquire clients.”


Payslip Founder & CEO Fidelma McGuirk

Overview:

  • Founded in 2015, Payslip empowers multinational companies to standardise global payroll processes and manage international data, resources and vendors on a single platform.
  • Began its seed funding process and applied for High Potential Start-Up support in February 2018.
  • Since then, Payslip has acquired 23 clients across Europe and the US, including LogMeIn, GetYourGuide and Airbus, and the company has plans to increase sales by 400% in 2020.

 

Case Study: Payslip

As CEO and Director of Operations for an international tax company, Fidelma McGuirk was in charge of company growth and management across 21 countries. At the time, her company was using a variety of payroll service vendors. Frustratingly, she found no existing technology that could automate, integrate, and streamline their global payroll operations. So, she decided to create a platform to deliver this.

Payslip provides automation and integration technology to multi-national employers to standardise their global payroll management. Payslip technology integrates with human capital management and accounting/ERP systems, automating payroll processes and standardising global payroll data and reporting. With Payslip, multinational clients can centrally manage their global payroll operations with visibility, control and governance as they expand operations across borders.

Pre-launch, McGuirk and her team conducted robust market testing. They spoke to over 470 multinational employers, payroll providers, and international payroll associations, including the Global Payroll Management Institute in the US and the Global Payroll Association in the UK. McGuirk’s instincts were correct: there was a strong need for a new global payroll model with a focus on automation and standardisation.

In February 2018, Payslip began its seed funding process and applied for HPSU support. The start-up found solid support in its Enterprise Ireland Development Advisor (DA), who helped to guide Payslip through the application process. Once HPSU status was gained, the goal was to seek a strong investor partnership that would help grow the business and open international channels to multinational companies.

“HPSU offered us established, structured support,” says McGuirk. “As an organisation, they have international market experience—they’ve been through this journey before. They were able to arrange the specific introductions needed in foreign markets.”

Over the past two years, Payslip has acquired 23 clients headquartered across Ireland, Germany, The Netherlands, Denmark, and the US. Clients like Airbus, Teamwork, AMCS Group, Argon Medical Devices, LogMeIn, Phorest and others use the Payslip platform to manage and control global payroll for employees in over 60 countries. Sales increased 500% after the first year and McGuirk says the company has plans to increase by another 400% in 2020.

 

Educating the marketplace on the need for payroll innovation

Initially, the greatest challenge was helping potential investors and clients to understand how Payslip technology could disrupt and transform the market.

“What we were doing was different than what was done before, Payslip is a technology solution for global payroll, not a service for payroll calculations,” McGuirk says. “We had to educate the market and help people understand that we don’t compete with payroll service providers—we collaborate with them.”

Payslip brought something entirely new to the table: a technology solution to automate and standardise the global payroll process in a way that delivers central governance, while accommodating local country payroll nuances . Previously, the established industry players were traditional global payroll service offerings like ADP, Ceridian, and CloudPay. These service firms focus on delivering in-country payroll calculation and compliance expertise. According to McGuirk, there is no other platform that provides a single, end-to-end global payroll management solution like Payslip.

Payslip began acquiring early-adopter clients and interest was high among high-growth, technology-based companies. McGuirk says the first client was naturally the hardest to land. After that, things took off quickly. Thanks to the growing number of multinational companies who are going digital to achieve central governance, Payslip is now the leader in the new Gartner industry category of digital payroll services.

 

More markets, more clients

Payslip closed its Series A fundraising in February 2020 and, so far, all its initial investors have followed their investment in Payslip. McGuirk says that being a HPSU company will help it achieve its goal of continued international growth pointing out that Enterprise Ireland has resources in the right foreign markets. Their international teams have a good understanding of what is happening locally, which is crucial for market penetration.

“We intend to extend our reach into more markets and acquire more clients,” McGuirk says. “Our single focus is to continue growing our client base internationally from our headquarters in Westport, Co. Mayo. Enterprise Ireland is very supportive of this objective.”

Part of Payslip’s growth plan includes the expansion of its sales and engineering teams here in Ireland to support those global aspirations. Working together with Enterprise Ireland and the HPSU team, McGuirk is confident that her company can optimise its commercial capabilities to capitalise on growth opportunities and gain market share.

Click here to learn more about becoming a HPSU or contact our Start-Up Enquiries Team to find out more.

Loci Orthopaedics

How the Innovation Partnership Programme is helping Loci Orthopaedics de-risk product development

/0 Comments/in , , , , , /by

“NUIG has the expertise and the equipment to develop this technology much faster and more efficiently that we would be able to do in-house.”

Dr. Brendan Boland, Co-founder, Loci Orthodopaedics

Overview:

  • Galway company Loci Orthopaedics is developing innovative implants to address unmet need in the orthopaedic extremities space.
  • Enterprise Ireland’s Innovation Partnership Programme enabled the company to work with experts in the National University of Ireland, Galway (NUIG) to optimise technology to improve implant fixation.
  • The company will be undertaking its first clinical trials in Europe later this year.

Case study: Loci Orthopaedics

‘Thumbs, shoulders, knees and toes, knees and toes’ is (almost) what the song says, and it more or less sums up the orthopaedic space within which NUIG spin-out company Loci Orthopaedics is operating. Co-founded in 2017 by Dr. Brendan Boland (CEO) and Gerry Clarke (CTO), the multi-award-winning company is targeting the fastest growing area in orthopaedic medicine – orthopaedic extremities.

“In 2013, I became a fellow in the BioInnovate programme, where I met Gerry. We identified the unmet clinical need of treating upper limb arthritic conditions. That led to the establishment of Loci Orthopaedics and the development of our primary product, the InDx implant, which can mimic the complex motions of the thumb base joint,” explains Boland.

The company then began work on a second product, a shoulder implant. Recognising that achieving good primary fixation is problematic for patients with poor bone stock, it licensed OsteoAnchor – technology that had been developed by Dr. Noel Harrison of the School of Engineering at NUIG, who is a leader in the field of additive manufacturing (3D printing).

“The OsteoAnchor technology allows implants to better adhere to the bone by providing a roughened surface that the person’s own bone can grow into….” 

We felt that this technology fitted our focus but we needed to optimise its effectiveness and de-risk it to give us the confidence to invest in developing new products using it. Having benefitted in the past from excellent support from Enterprise Ireland, we turned to its Innovation Partnership Programme for help,” says Boland.” 

 

The power of partnership

The Innovation Partnership Programme enables companies to access expertise within universities and research institutes and covers up to 80% of the cost of a research project. With NUIG’s recently opened Advanced Manufacturing Lab (developed by Dr. Harrison) located just metres from Loci Orthopaedics, it made sense to ask Harrison’s team to lead the Innovation Partnership Programme project.

“They have the expertise and the equipment to develop the OsteoAnchor technology much faster and more efficiently than we would be able to do in-house,” says Boland.

Dr. Eimear O’Hara is the technical lead and project manager. “It’s an ambitious six-month project,” she says. “We’re taking a concept implant and doing the design, prototyping and mechanical testing here in the lab, where we have extensive 3D printing capability. The deliverable will be a metal 3D printed shoulder implant.”

The Innovation Partnership Programme will deliver benefits to both the company and the university.

“As well as de-risking the technology, the Innovation Partnership Programme validates it to external parties because the project goes through commercial assessment,” says Boland.  “And there’s the potential for the Innovation Partnership Programme collaboration to lead to further innovation.” 

From NUIG’s perspective it’s the chance to engage with industry to get insights into real world applications of 3D printing and to demonstrate the capability of its 3D metal printer.

“This kind of collaboration also informs the content of my lectures, helping to keep Mechanical Engineering students up to date about additive manufacturing processes, materials and product design,” says Harrison.

“It’s the first time we’ve used the 3D metal printer for an industry-based project. We’re hoping that many more companies will be interested in working with us on using our suite of 3D printers, not just in the medtech space but across all manufacturing,” he adds.

 

The journey to market

With the combined value of the markets for its shoulder and thumb base implants currently sitting at around US $2 billion, the outcome of the Innovation Partnership Programme project will be an important milestone for Loci Orthopaedics, enabling it to take the next steps on its journey to market.

“Our primary market is the US and this year we’ll be making a regulatory submission relating to our InDx product in advance of commercialisation in the US in 2021. We’re aiming to do our first clinical trial of InDx in Europe in June and are anticipating commercialisation in the EU in 2022,” says Boland.

The same process will apply to the shoulder implant, following about two years behind.

“Meanwhile we’ll have an active in-house innovation and R&D programme. We’ve already secured patents, have four more filed and 16 more in development. Over the next five years we’re hoping to roll out a whole suite of products.”says Boland. 

Until the products hit the market the company will run lean, maintaining just three staff and using manufacturing and processing partners. Financing currently comes from €6 million secured from seed funding, grants and prizes.

 

The Innovation Partnership Programme experience

Loci Orthopaedics received a grant of €85,000 from the Innovation Partnership Programme and contributed €16,000 to the project.

“For a modest sum of money, we are getting a great deal of work done, a good bang for your buck, as they say. Moreover, applying for the Innovation Partnership Programme grant is relatively straightforward and Enterprise Ireland ensures that the IPP agreement clearly sets out what is expected from each party and what each will get out of it, for example, in the area of intellectual property or how new innovations resulting from the project will be handled. This project is enabling us to add to our R&D pipeline and increase our product portfolio,” says Boland.

Dr. Harrison encourages companies to think big when considering the Innovation Partnership Programme: “A company may have a technical problem that they need help on but they’re thinking about it in terms of their bandwidth. Through the Innovation Partnership Programme, they can get access to a university’s massive suite of equipment, expert personnel and state-of-the-art facilities.”

 

 

Speaker at Ambition North America

Joining the American tech revolution

/0 Comments/in , , , , , /by

When Alan Turing devised his eponymous computer he could have had no idea that it had set in motion multiple technological innovations so disruptive the effects will likely eclipse the last Industrial Revolution.

That’s according to SKOUT CYBERSECURITY CEO, Aidan Kehoe, whose foray into the US market 15 years ago led to the foundation of his global business. The technology set in train by Turing has led to seismic shifts that we have still yet to fully grasp and is fueling innovation in artificial intelligence, privacy, big data, blockchain, connected cities, cloud computing, voice, audio, augmented and virtual reality.

 

Innovation key to getting heard in US market

They are megatrends, according to Kehoe, who asked delegates at Enterprise Ireland’s Ambition North America event: “Do you want to be part of the megatrend or deal with the consequences of it?”

The question posed is important because, according to Kehoe, the US economy has embraced megatrends. Innovation is seen as a key driver in business and is part of the US business psyche. Any value proposition that speaks to innovation and solves megatrend problems and pain points will get a hearing in the US.

“To understand the American business mind, you have to realise they start from the perspective that they have no choice but to make it. That, in itself, acts a great driver for innovation,” says Kehoe.

In almost every sector, from AI, machine learning, fintech, medtech, agritech, pharma, life sciences and beyond, the US leads, and thrives on, innovation. More patents are filed in the US than any other country; in fact, it files three times as many as its nearest competitor, Japan.

It’s why, if you have an innovative solution, be prepared for the US to at the very least, give you facetime.

 

Don’t try to be all things to all people

As the world’s largest economy, currently enjoying a decade of unbroken growth –  last year nudging 4.95% – and a GDP of $20.49trn, the US remains the prize export market. But exporters attempting to ‘break’ America can run into common pitfalls, not least viewing the United States as a single business monoculture.

David Walsh, CEO of Netwatch, which has 250,000 customers in North America, told delegates that the US is “where you go to scale” but warned:

“You simply cannot be all things to all people over there. You have to be clear what you can deliver and even clearer on what you can’t. It’s effectively 50 different markets sharing the same bit of land. We concentrated on four key markets and built on that. California is not the same as Texas and neither are the same as the East coast.” says Walsh.

Enterprise Ireland’s Market Research Centre at its Dublin HQ in EastPoint (and via eight regional hubs), together with grant funding such as the Market Discovery Fund, will help you to put boots, not only on the ground but in the right place to build your network.

Once in the US, do not fall into the trap of trying to bootstrap your operation, said Rob Rae, co-founder of Littus, the business development consultancy.

“Time and time again, the biggest and worst mistake we see is firms falling into the DIY trap, trying to do it all themselves. It’s only natural, Irish firms are entrepreneurial and it’s worked in other markets in the past and in Ireland but this is a different ball game. Spend your money on expertise at this early stage because it will save you many multiples later on, if what you did on your own goes wrong.”

He told the conference: “Above all bring a value proposition to the table. Don’t go to the US hoping to be the best Irish tech company there is. Go there to be the best tech company in the US that happens to be Irish.”

Key to planning is securing visas for your team in the early stages. Business visas will help for initial networking and sales but ultimately you will

need resident work visas and the paperwork can be lengthy and detailed both in time and scope, added Rebecca Mancini, Corporate Immigration Attorney at Clark Hill.

“The climate under the current administration is ‘buy American, hire American’ so in bringing skilled staff from abroad, you need to demonstrate why a US citizen could not do that.” For Irish firms with IP and trade secrets that cannot be replicated, this should be emphasised and should help the process to get key personnel in place, added Mancini.

If you have your market fit and personnel in place, be prepared for being able to scale, said SKOUT’s Aidan Kehoe, a sentiment echoed by Monaghan-based forklift manufacturer, Combilift.

“Our sales doubled in the last three years in North America,” said the firm’s North American Sales Director, Anthony Rooney.

For Kehoe, he had no doubt that riding the current internet megatrend was fundamental to the firm’s success.

“We’re in cybersecurity. Even if we weren’t any good, we would probably be doing very well indeed. That’s what riding the megatrend means.”

 

Learn more about doing business in the USA and Canada and the Enterprise Ireland supports available.

team discussing market research plan

Access premium business intelligence reports with the Market Research Centre

/0 Comments/in , , , , , , , , , , , , , , , , , , , /by

The main ways client companies can utilise the Enterprise Ireland Market Research Centre

 

If you are interested in entering a new market or diversifying into a new sector, Enterprise Ireland’s Market Research Centre can help. Read how you can best use this Enterprise Ireland support.

Conducting market research can help to reduce business risks and assist your company to map out its journey to growing exports. To support client companies, Enterprise Ireland has invested in access to premium business intelligence databases in Market Research Centres in Dublin and eight regional hubs.

But how can you best access the Market Research Centre? Follow these five steps to make the most of your time there.

 

  1. Create your research objective

First, consider what the information you need will be used for and in what type of resource it is likely to be found. Resources provided by the Market Research Centre include:

  • Market reports
  • Country reports
  • Industry and sector reports
  • Company listings for lead generation
  • Trend forecasts
  • Journal articles

All of this information and research is provided by respected publishers and can only be accessed by clients within the Market Research Centre. The Centre’s information specialists work with a range of providers to ensure your company has access to the most up-to-date knowledge available. Once your research objectives are clear, then you are ready to take the next step.

 

  1. Explore the databases online

Get a sense of the databases you would most like to access at the Market Research Centre online before you make an appointment. You can even search for specific report titles here. By preparing in advance, and checking in with the Market Research Centre before your visit, you can ensure that relevant material is available when you need it and that your time is spent efficiently.

 

  1. Book an appointment

Contact the Market Research Centre to discuss your research request and to arrange a visit to the main centre in Dublin or to any of the eight regional office hubs. Currently there are facilities in the following Enterprise Ireland regional offices: Athlone, Cork, Dundalk, Galway, Shannon, Sligo, Tralee and Waterford.

To book your appointment, contact:

Phone: (01) 727 2324

Email: market.research@enterprise-ireland.com

Opening Hours: Monday-Friday, 9am-5pm.

 

  1. Stay up-to-date and social

The Market Research Centre blog is the best place to find the latest information about resources. This includes the most recent reports available to Enterprise Ireland clients, arranged into categories that are easy to search. From country-specific reports to individual sector research and Brexit-focused news, visiting the blog regularly will give you a sense of the breadth and depth of research and information available to consult during your visit.

You can also follow the Market Research Centre on Twitter to stay up-to-date with its latest news.

 

 

  1. Get guidance from information specialists

One big advantage of using the Market Research Centre is that you’re no longer alone. The Centre’s knowledgeable information specialists are readily available to guide you towards the most relevant reports and databases for your needs. The Market Research Centre’s information specialists can also help you to determine which reports are most relevant to your needs, or assist you with developing a plan of action on which sector or country you should start researching.

Conducting the right market research is vital for businesses to maintain their competitive edge and enjoy successful export growth. With Brexit a reminder of the importance of diversifying and discovering exciting new export opportunities, get the right support from Enterprise Ireland’s Market Research Centre.

Evercam drone install

How Agile Innovation enabled Evercam to capitalise on the AI revolution

/0 Comments/in , , , , , , , , /by

“Construction is high value so when things go wrong, it’s expensive. We’ve become that single source of truth.”

Marco Herbst, CEO, Evercams

Overview:

  • Enterprise Ireland’s RD&I funding enabled Evercam to apply AI and machine-learning algorithms to its time-lapse videos.
  • Cameras extract useful, actionable data for project managers, contractors and engineers and generate valuable reports about activity and progress.
  • Partnerships with installation companies are key to Evercam’s growth in international markets.

Construction cranes are redrawing the Dublin skyline and building rates are back at boom-time levels, transforming the city into a world-leading centre of finance and technology  — and Evercam, which supplies time-lapse and project management cameras to the construction industry, is capturing the progress as it happens.

“We’re putting cameras on construction sites for marketing purposes, for project management and for dispute avoidance,” shares Evercam CEO Marco Herbst, who co-founded the company with Vinnie Quinn in 2010.

“We wanted to use cameras for more than just security and we always felt that images and pictures could be used for a much more productive, proactive, communicative purpose to try and improve how people do their jobs,” Marco explains, adding, “We spent quite a while trying out different business models and industries until we found construction about four years ago.”

Evercam’s products are now used by a number of high-profile construction companies including BAM, SISK, Bennett and Stewart on projects for the likes of Google, Facebook, ESB and Central Bank, to name a few.

“Construction is high value so when things go wrong, it’s expensive,” Marco says. “And construction sites are complicated environments with lots of moving parts and a lot of issues around trust, what happened when and who did what. Pictures, images and video are just beautiful ways of capturing all that so that everybody is on the same page.”

 

Harnessing the power of AI

Evercam cameraTime-lapse is an incredible way to visually display progress but Marco and his team saw potential in video analytics, a technology that applies artificial intelligence and  machine-learning algorithms to video feeds — thereby allowing cameras to instantly recognise people, objects and situations.

“Customers were already using our videos to check how many trucks arrived at the construction site, how long the crane was on-site, how many people were on-site at any given moment, but we weren’t using video analytics,” Marco says. “We had the data, we had real customer problems to solve but we needed data scientists and hardware and for a company at our stage of growth, it could be risky to suddenly shift a load of our resources into an R&D project.”

That’s why Evercam decided to apply to Enterprise Ireland’s Agile Innovation Fund for support, which offers up to 50% funding to a maximum of €150,000 in grant aid for innovation projects with a total cost of up to €300,000.

“With Enterprise Ireland’s support, we were able to buy GPUs (graphics processing units), hire developers and researchers, spend time in iterative dialogue with customers and spend time designing the product,” Marco explains.

“The Agile fund is a very holistic, wholesome support and Enterprise Ireland is happy to support all of those different moving parts, not just financially but also with advice, letting us know where to spend our energy.”

Evercam now combines the latest developments in machine learning and AI to construction site videos to extract useful, actionable data for project managers, contractors and engineers and generate valuable reports about activity and progress.

“We’ve become that single source of truth,” Marco states.

 

Next steps in Evercam’s growth strategy

Evercam’s customer base today is predominantly in Ireland and the UK, the latter of which relies on channel partners such as CCTV installers.

“From the customer’s point of view, the end-user, they get the time-lapse video which they need and want from their existing CCTV supplier which is great because they don’t need to have an extra person on-site — they can buy it from somebody they’re already working with,” Marco explains, adding, “That’s been key to us growing in the UK, particularly in London, and now we’re actively setting that up everywhere else.”

And the company’s products continue to evolve. One of the most popular features is Snapmail, which captures key stages in a project and emails them to those who need it. Another is a tool that compares before and after images from any point in time.

Evercam plans to open an office in New Zealand as well as grow its presence in markets such as Singapore and the US where it’s already started selling its cameras.

“Enterprise Ireland has been amazing at making introductions in new markets, from New York to Paris to Amsterdam, steering us towards the types of people we want to hire or the kinds of companies we want to talk to,” Marco says.

Learn how the Agile Innovation Fund can support your R&D ambitions.

 

Ambition North America Sean Davis

Ambition North America: Think big, act small

/0 Comments/in , , /by

Scaling into North America is sometimes prefaced with the advice: “Go big or go home”. There is an important caveat that can get overlooked when aiming to expand there, namely: think big, act small.

For Irish firms who are trying to scale into North America, the principles might first appear to be mutually exclusive. But according to Irish business leaders at the Ambition: North America event organised by Enterprise Ireland, they are, in fact, complementary.

Entering the market is the hardest step. Servicing your first client or order, and ensuring your product fits, your price point meets market expectations, and delivering on your promises, will all allow your company to scale on a solid footing, attendees heard.

 

Huge potential for a small first step

That first small step is well worth it, given the size of the region’s markets. Despite the rise of China, the USA remains an economic giant, currently enjoying a decade of unbroken growth –  last year nudging 4.95% – and a GDP of $20.49trn. It is the world’s largest economy, with its service sector accounting for 80% of GDP and is the world’s second-largest manufacturer. Imports rose from $2.9trn in 2017 to $3.1trn last year – with Enterprise Ireland-backed companies exporting $3.7bn in 2018.

(Source: Going Global: Exporting to the United States. Download the market guide now.)

Canada remains strong too, with its CAD$2trn economy the world’s 10th largest. Enterprise Ireland-backed companies exported just under €350m of goods and services there in 2018, a 4% increase on 2017.

(Source: Going Global: Exporting to Canada. Download the market guide now.)

 

Impact of medical errors focused Pharmapod on North America

Ambition North America Leonora O'BrienLeonora O’Brien, CEO of Pharmapod, a cloud-based solution for reducing medical errors, chose Canada above other export markets after studying mortality rates in North America.

“Medical errors are the third leading cause of death in the States, so North America for us was always in the business plan we built over seven years ago,” delegates heard. Because Canada was part of an English-speaking network of countries that share pharmaceutical best practices, Canada seemed an ideal launch pad.

“We knew that Canada would be quite similar in the way they operate the healthcare system,” said O’Brien. Validation came through a social media post by a mother who lost her eight year-old son to a medication error. O’Brien met the family who had been campaigning heavily across Canada for regulation changes and as regulators stepped in, Pharmapod became a solution the market needed.

Pharmapod’s careful steps into the market are now paying off. “Canada is our largest market and the bulk of our revenue now comes from there,” O’Brien said.

 

Brexit prompted Combilift to shift focus to US

Monaghan-based fork-lift manufacturer, Combilift, has enjoyed strong growth in its 21 years but with Brexit affecting its UK market, it shifted focus to the US.

“Our goal was to target and grow within the North American region,” said Anthony Rooney, Combilift’s North America Sales Director.

“We went to trade shows that specifically targeted our end user. Our research told us that our customer had pinch points in certain sectors, so we targeted that sector. This allowed us to talk to the owners of those businesses at those shows. It was a humble beginning, at a 3 x 4 stand trying to stop people for a chat.” says Rooney.

Learnings allowed the management team to ultimately make informed key hires on the ground that would grow their business.

“It was key to get the right people that we employed directly in the right areas and get them talking to important partners.”

Carlow-based Netwatch now spans four continents and decided to go west rather east when it thought to expand exports of its security monitoring product.

Key to entering the US was making hard decisions about their business model during the last recession. CEO David Walsh said they switched from a product-based model to a SaaS service model, as well as bringing all R&D in-house.

Ambition North America Netwatch CEO“It was critically important to have a unique value proposition, and this allowed us to do that, so when we told our story in the states it had a genuine value proposition.” said Walsh.

Selling their story to US clients saw Netwatch embedding its team for two years stateside to train and recruit “successors who would make them redundant”, said Walsh.

“We kissed a lot of princes who turned out to be frogs,” he said, “but we learned an awful lot in the process. Getting the right people into the organisation who have the smarts, are articulate enough to present our value proposition and whose personalities naturally align with our business culture is paramount.”

Irish success in North America is a series of ambitious small steps.

Barry Napier, CEO Cubic Telecom

CASE: How automotive disruption offers huge opportunities for Irish tech companies

/0 Comments/in , , , , , , , , , , , , , , , /by

The automotive industry is at a crossroads. In an era where digital technology is disrupting the status quo throughout the global economy, few industries are being so profoundly impacted as automotive.

Under pressure over emissions and sustainability, manufacturers are focused on transitioning from the internal combustion engine to a future of connected, autonomous, shared and electric vehicles,(CASE). Traditional supply chains are changing dramatically, as new technology providers force manufacturers to rethink where value can be created and by whom.

To assess the level of opportunity this offers Irish business, Enterprise Ireland asked a panel of experts what lies on the road head.

 

From hardware to software

Barry Napier, CEO of Irish company Cubic Telecom – who provides global mobile connectivity solutions for automotive manufacturers including Audi, Skoda and VW – believes the future will be driven by software rather than hardware.

“The mindset has changed,” he says. “Historically when you went to an OEM (original equipment manufacturer) and you said to them, we want to do something, there was panic in their faces because they had to go and change the hardware, and then there were multiple partners they had to talk to in order to do that.

“It’s easier to change software, so now they are looking to do as much as they can via software solutions, putting mainframe concepts into vehicles and then seeing how they can run that through the cloud. The mindset is there with the OEMs to make the car lighter, faster and doing it all via software.”says Napier.

Hiren Desai, Head of Strategy and Innovation North America for Continental, agrees that tier one suppliers will need to be able to create value by manufacturing intelligence rather than just parts.

Hiren says: “The supply chain is going to undergo disruption over the next 10 to 15 years significantly when it comes to software coming in and replacing all the hardware that companies are used to producing.

“Companies like Continental are experts in industrialisation, which essentially means manufacturing. Now, what we’re really talking about is having software factories able to produce intelligence, able to write code, able to produce artificial intelligence, that’s where it is heading.”

 

Automotive industry rethinks the car

Whether it is in vehicles that transport people, goods or freight, OEMs will be looking for partners who can help them meet this demand. Traditional players will have to adapt and make room for new entrants from non-automotive backgrounds.

For Dr Engelbert Wimmer, CEO and founder of German specialist automotive management consultancy and investment company E&Co (Entrepreneurs and Consultants), this level of disruption can be seized upon by Irish companies.

“We are reconsidering every bit and piece of the traditional car,” he says. “That means changing materials and a whole new supply chain because the concept and characteristics of a vehicle that you want to operate 90,000km a year on a shared mobility or on an autonomous platform will be completely different because the durability and ownership will be changing.

“This means we will need to change the materials that vehicles are made from – from the rubber in the tyres to the steel and the chassis. We need to do a lot on recycling and greening the car by what components we will need. For companies who have interesting materials, who operate in material science and can supply components that are recyclable, this is a massive opportunity.

“You’re not just talking about tech companies, you’re looking at companies such as plastic moulders, or in the textile sector. It could be somebody from surface technology. It could be somebody in glass technology. Glass is a super interesting surface with a lot of functions, such as integrated light and displays. All these technologies are being reborn at the moment.

“You’re looking at an awful lot of companies that couldn’t previously have looked at the automotive sector. Every time you have a disruption in that size and with this technology scope, new entrants will have a super chance.” says Napier.

 

Hub for CASE development

Many Irish companies enjoying success in the automotive sector are part of the Connected and Autonomous Vehicle (CAV) cluster, which is supported by Enterprise Ireland, IDA Ireland, Science Foundation Ireland, Department of Transport, and the Lero research centre.

With Jaguar Land Rover’s Centre for Networked and Autonomous Vehicles at Shannon and French vehicle technology giant Valeo’s facility in Tuam as members, CAV Ireland is fast establishing the West of Ireland as a hub for CASE vehicle development.

CAV companies collaborate to identify products and services which can capitalise on export opportunities in the automotive supply chain. It is an approach which Engelbert believes fits well with the future of mobility.

He says: “Whether it is software or materials, it is not about one company producing all this. It is about collaboration and partnership. The tool chain has many, many links that need to be linked together.”

5 ways to make the most of your Market Discovery Fund project 

/0 Comments/in , , , , , , , , , , , , , , , , , /by

Learning that your business has been approved for a support like Enterprise Ireland’s Market Discovery Fund is great news. But it is followed by an important question. How can you make the best use of that financial support to maximise its value to your business?

 

1.    Make the most of Enterprise Ireland’s resources

Use all of the resources available to you as a company supported by Enterprise Ireland while you carry out the project and conduct your research.

Your Development Adviser 

Stay in touch with your Development Adviser throughout the project. Let them know you’re interested in attending relevant market and sector events and they will keep you top of mind.

39 overseas offices* 

Make time to visit Enterprise Ireland’s most relevant overseas offices as part of your project. With offices in 39 locations worldwide, our advisers have expert knowledge of the markets and sectors of most importance to Irish exporters.

If you alert the in-market team to your visit well in advance, they may be able to arrange meetings with valuable local contacts. After your visit, remember to stay in touch with the market advisers you know to stay up-to-date with local opportunities and developments.

(*39 correct as of 3 December 2019, date of publication)

Market Research Centre

Conducting the right market research is vital to maintaining your competitive edge and enjoying successful export growth – but it can also cost time, money and resources for which your business must budget.

The information specialists at Enterprise Ireland’s Market Research Centre offer a wealth of experience available to guide you to the most relevant reports and databases for your needs, and to provide support before and during your visit. They can help you to access current market research reports from some of the world’s leading publishers, such as Euromonitor International, Frost & Sullivan, and Mintel. The Centre is available free-of-charge to companies supported by Enterprise Ireland across the regional office network.

 

2.    Focus on your most promising markets

One important rule of thumb is to consider no more than three markets within a Market Discovery Fund project. Carrying out a market prioritisation exercise and comparing the potential of two or three markets within a region can be a smart use of this type of support.

Whichever markets you consider, remember that internet research alone will only take you so far. Travel to each market you are considering where feasible. You will learn far more on the ground than you can from behind a screen.

Also think carefully about the bandwidth (covering both people and finance) required to manage the project. Projects such as this typically take no more than six months, unless you recruit a graduate or entry-level executive to undertake a more substantial piece of research.

 

3.    Assess trade fair options

If you are planning to exhibit at a trade fair, try to visit the year or season before, so you can assess if it really is a good fit for your business. The most important factor to look out for is if the right kind of buyers and decision-makers attend.

If it is a big fair, spend some time establishing which is the right hall for your company to exhibit in. Being in the wrong hall is a waste of time and resources and can leave you and your team feeling frustrated.

If you decide to exhibit next time around, get in touch with the organisers as early as possible to find out costings or packages in addition to availability, as previous exhibitors are likely to be given priority.

 

 

4.    Know the claims process and track everything

You can find all the information and forms you need to submit your claim(s) to the Market Discovery Fund here. This includes:

  • Instructions for making your claim
  • The claim form
  • A claim form checklist
  • A timesheet template
  • A Director’s Statement template
  • A progress report form
  • More information on the claims process.

 

While at this point your application has been approved, it is vital to keep detailed records of all expenditure relating to your project. This can include:

  • Timesheets for employees, as relevant wages and salaries can be covered, subject to conditions outlined here
  • Receipts and invoices for all foreign travel and subsistence expenses directly related to the project. Remember these must be incurred by company employees supported on the project
  • The cost of purchasing reports and databases relating to a new market or sector (when relevant and not accessible through the Market Research Centre).

 

5.    Understand the value of what you learn

At first, it might seem disappointing if research indicates that a valid opportunity to bring your product or service to a particular market or markets does not exist. But it is actually a great lesson.

It is far better to be aware of this insight before committing fully to a market, as discovering a lack of potential later will cost your business much more.

Knowing which markets not to prioritise can be just as important as understanding which ones are most worth investing your time and resources. Refining your overall market strategy is a valuable outcome of a successful Market Discovery Fund project.

Remember, you must contact your assigned Enterprise Ireland Adviser to discuss your Market Discovery Fund application before you submit it. If you’re a first-time applicant, you need to register on the Enterprise Ireland Online Application System.

To discover how your company can take the step into new markets, visit: globalambition.ie/steps.      

InvoiceFair: how their innovative financing platform proved to be a game changer for Human+Kind

/0 Comments/in , , , , /by

Experienced financial services professional Helen Cahill saw that SMEs were being restricted by financing barriers. Along with two like-minded colleagues, she set up an innovative financing platform to enable Irish businesses to reach their full potential. For a company like Human+Kind, the solution was a game changer.

Human+Kind began in a kitchen in Cork in 2013, where founders Jeroen Proos and René van Willigen first brewed their signature ‘family remedy’ cream.

“It was a shared passion for animals, nature and healthy living that made us want to develop a natural, vegan and cruelty-free skincare line,” explains Proos, “but we also wanted a product that is kind to humans: kind to skin, and kind to the wallet.”

By 2015, Human+Kind had extended its line of Irish-made skincare products and reached an eclectic range of customers from across the globe. Jeroen explains, “We really want to be affordable and accessible to as many people as possible.”

In 2016, they brought Jeremy Smith on board as an executive officer. Together, the Human+Kind team began to build their customer base. “We really put a lot into good, smart networking, at trade fairs and online, getting our products out there.”

The hard work paid off. With persistence and “a bit of luck”, the company has placed Human+Kind amenities in 50,000 hotel rooms, and has an annual lip balm order from Turkish Airlines.

The real break came last year, with a purchase order worth $2.2 million from a US subscription box company called FabFunFit. “They had seen some of our products and they approached us and asked us if our production capacity was big enough to do large numbers. We have always set our sights on building as a global brand so we said yes. But we didn’t actually have the capital to meet the order!” explains Jeroen.

“The problem was,” adds Jeremy, “not only did the order exceed our credit limits with our suppliers and manufacturers, it was also pushing our manufacturers to exceed their credit limits with their material suppliers. After talking to the bank, we realised there was no solution there. I even looked into whether I could swing financing it personally.”

Having exhausted these options, the team sought advice from Enterprise Ireland. “I reached out to our advisor,” says Jeremy, “and she put me in touch with someone who recommended a couple of companies that might be able to help. After talking to InvoiceFair, I very quickly realised that they could really help us, not only for this one deal but also in the long term.”

 

The final hurdle

“The most difficult thing in business should be winning the sales order, not financing it,” says InvoiceFair’s co-founder, Helen Cahill. She has spent her career working with SMEs in all sectors: “I saw companies blocked from expanding because they didn’t have access to progressive and relevant working capital finance solutions. At the same time, in the investment world there is a continuous search for yield, particularly returns that are not correlated to the broader market.”

With co-founders Peter Brady and Ivan Fox, Cahill set out to develop a solution. “We were all seeing what SMEs were struggling with,” says Helen, “Peter had spent much of his career in manufacturing, so he has been in the trenches with a deep understanding of the challenges associated with working capital.

“We knew the problem we needed to solve, but it was really working with SMEs that inspired us to develop solutions to their specific problems,” Helen Cahill, co-founder InvoiceFair

The resulting solution, InvoiceFair, is an online platform where SMEs with a funding need connect with a pool of institutional funders. The model is based on receivables trading. SMEs leverage their future receivables, such as invoices and purchase orders, as tradeable assets. Funding is secured on the back of these assets.

“SMEs can leverage their quality receivables when they need to release cash,” explains Cahill, “and not just at invoice stage, SMEs can do this at the very beginning of a contract”. This is known as ‘purchase order finance’, where up to 70% of the contract value is released to pay suppliers upfront and fulfil contract costs. This source of finance means that companies can tender for much larger orders. In addition, the model does not limit funding due to debtor concentration, transaction size or geography, for example country of export. The latter is of particular benefit to companies with global markets.

“In order to develop the best solution, we always meet our clients face-to-face,” says Helen. “Jeremy met with Peter, Ivan and I to discuss Human+Kind, their vision for the company and the opportunity with FabFitFun.”

The core of InvoiceFair’s work involves independently researching companies and their customers. “Our due diligence is often more thorough than a bank’s, both in terms of the SME and the funder. This ensures the integrity of the marketplace for everybody,” says Helen. Jeremy provided the purchase order and background financial information on Human+Kind, while InvoiceFair researched their US customer, FabFunFit. In this way, InvoiceFair enabled Human+Kind to leverage on the blue-chip purchase order from FabFunFit to finance the sales order. Within five days, Human+Kind had secured their funding.

 

InvoiceFair provides a launch pad

“This case study is what we are about,” says Helen, “connecting Human & Kind to a pool of institutional funders enabled them to leverage their high-quality purchase order to pay suppliers upfront. More importantly, it resulted in their skincare brand being in two million homes in the US. And now they have successfully scaled the business internationally, which is so exciting for them.”

“This deal has really provided a nice launch pad for us to grow the business in the US and Ireland,” says Jeremy, “and it’s changed things. Prior to this we were doing around a million in turnover, and now we are doing that several fold. That would not have happened without a partner like InvoiceFair.”

Alpha Wireless, CEO Fergal Lawlor

Loose Wires: Laois-based Alpha Wireless takes on the global market

/0 Comments/in , , , , , , , , , /by

“It’s our ability to innovate that sets us apart,” explains Lawlor. “If the right antenna does not exist, we are committed to creating it.”

Fergal Lawlor, CEO Alpha Wireless

Overview:

Alpha Wireless is a market-leading specialist in high performing, superior quality antenna solutions covering macro to small cell antennas.

The company exports to 22 countries worldwide and has opened its first research and development office in Australia.

Enterprise Ireland supports include research and development projects, trade shows, market development programmes, and access to overseas networks.

By the time Fergal Lawlor discovered that the company he worked for was closing, he was already too invested to stop: “By then I had been a designer for two very innovative antenna companies that were disruptive in the market and were coming out with new products and challenging the incumbents that were there,” he says. “I had seen how that worked and I very much liked being part of that.”

Lawlor had spent several years designing wireless solutions with Argus Technologies in Australia, before returning to Ireland to work for an independent company, Sigma Wireless: “We were working on a number of innovative designs in the 3G space at the time,” he explains, “We had good products and we understood what the customer was doing.”

In 2005, US company PCTEL bought the Finglas-based business. “In 2007, they closed their Irish operations.”

 

Unfinished business

For Lawlor, there was too much good work being left behind in Ireland: “I didn’t feel we were finished, so to speak. I knew the antenna designs, I knew a lot of the customers we were talking to, and I knew there was a skilled workforce in Ireland.”

Lawlor approached Enterprise Ireland, who helped him to conduct a feasibility study into the potential for continuing some of this work.

“We looked at the various market segments that I had been working in previously,” he says. “Because we were a newer company, we had to come in with something that wasn’t already there…”

We came up with the conclusion that, yeah, there is a potential market there in this new emerging WiMAX for 4G. We went ahead and set up Alpha Wireless in 2007.”

 

Global ambition from the middle of Ireland

Lawlor describes the gruelling process of expanding from a small office to a global business: “From day one we aimed at becoming a global player. Enterprise Ireland helped us through multiple rounds of funding, market development programmes, research and development projects, and trade shows. They also really helped us with contacts. This market is changing all the time. By focusing on new solutions, we have been able to break into overseas markets from our headquarters in Ballybrittas, Co. Laois – smack bang in the middle of Ireland.”

Lawlor’s previous designs had been tailored primarily for tier-one operators like Vodafone, and o2. “As a new company starting up, there was no chance we were going to be able to sell back into those tier one customers,” he explains, “so we picked a different market segment – WiMAX for 4G – where there wasn’t this existing relationship with vendors going back over the years. We were able to bring our expertise working with these tier ones to this market. It allowed us to go in and become the preferred antenna company for many radio vendors in this emerging market.”

 Alpha Wireless had soon won their first contract from Israeli company, Airspan Networks.

“A meeting with Airspan in Israel brought an opportunity to participate in a trial in Romania – giving just 12 hours’ notice. Martin Barrett quickly responded by booking a flight to Romania and hand-carried the AW3023 antenna for the forthcoming trial. All testing went very well, and the trial resulted in Alpha Wireless winning a contract for 1,500 antennas.” This is testament to Alpha Wireless’ agility and responsiveness providing fast and efficient solutions for their customers.

As the company grew, he brought in some of the designers and engineers who had worked together at Sigma: “We started our business by taking the good learnings to build something new,” he says. “The way we broke in was by finding new markets and knowing what kind of customers we wanted: we wanted customers who needed solutions that weren’t available off the shelf; where we could go in and work really closely with them to create a solution.”

 

How Alpha Wireless has built its foundations

As a young company, Alpha Wireless was one of Enterprise Ireland’s 15 new companies at their exhibition stand at the Pavilion in Dublin. “Sometimes it’s hard to quantify what you get out of these fairs, but you have to keep going to them. It helps to raise awareness and to scale up. We exhibited at a show in Chicago,” adds Lawlor, “which Enterprise Ireland also funds, and that’s how we got Samsung back in 2010”

Now, the company is at a level where they have their own booth at these fairs: “Today, the Mobile World Congress Barcelona is our most important show.”

 

Support on the ground

“As you start getting access to bigger customers, you need local support,” says Lawlor, “and Enterprise Ireland helped us to understand local markets and set up offices in the US. They were able to connect us with operators and make the right introductions. Because of them, we have been able to do things that you normally have to wait much longer for.”

Only 12 years’ from its inception, Alpha Wireless has now become a market-leading specialist in high performing, superior quality antenna solutions covering macro to small cell antennas. The brand now exports to 22 countries worldwide and last year it opened its first research and development office in Australia.

“It’s our ability to innovate that sets us apart,” explains Lawlor. “If the right antenna does not exist, we are committed to creating it.”

To find out more visit alphawireless.com.