Karen_Hernandez

People management and the new work landscape

 

For the past year and a half, employees across the country and indeed the world have found themselves in the unusual position of working from home. But now that some sort of normality is returning to our lives, many industry bosses are keen for their staff to put in a physical presence at the office – however, an overwhelming majority would like to continue working remotely in some way or other.

“Since the onset of the pandemic, the nature of work has changed as, for many businesses, Covid has accelerated the move to remote working,” says Karen Hernández, Senior Executive – People & Management Pillar – with Enterprise Ireland. “Overall, this has been a positive move as many companies have found that productivity has remained the same or even increased during this period.

“A recent survey, conducted by the Whittaker Institute and NUI Galway, found that 95% of respondents would like to work remotely at least some of the time – and with this in mind companies are now seeking to set up appropriate means of supporting remote, hybrid and flexible working.”

 

Challenges ahead

But while this new landscape brings both opportunities and challenges, Hernández says companies should also consider how to address some of the medium-term HR and management challenges now facing their business.

“Possible issues include looking at ways to implement flexible working to suit both the business and the employees, utilising office space while many are working remotely and motivating managers and employees while they are engaged in work outside of the office,” says Hernández

“In addition, staff may be anxious about returning to the workplace, so it is also important to consider health and well-being supports and be aware that remote working attracts the same rights and responsibilities as office-based work in terms of pay, benefits, health and safety and work time.

“But where businesses are employing staff from other jurisdictions, they need to be clear that the employment rights, which govern the terms and conditions of employment, are those of the country where the individual is physically working.”

 

No one-size fits all model

The people management expert says while research indicates that a majority of employees want to keep working remotely, in some format, employers must understand that they run the risk of losing their best talent if they force everyone back to the office.

“Transitioning to a fully remote or hybrid work model may seem easy as we have all been doing it for 18 months,” she says. “But in reality, getting remote and hybrid working right for the long-term is actually very complex and requires significant planning and communication with employees.

“Firstly, companies really need to consider what’s best for them as a business as well as their employees. What’s right for one company may not be right for another, so a good starting point is to survey managers and staff to understand their needs. Then companies need to review and consider how easy it will be for employees to carry out responsibilities remotely – flexibility is key here as what works for one person, may not work for another.”

 

New skills needed

Maintaining engagement and motivating staff is incredibly important and Hernández says that managers need to develop new skills to engage employees in remote and hybrid work environments.

“There needs to be regular two-way communication, via surveys, focus groups and all-hands meetings,” she says. “This is essential going forward and companies need to establish a culture of trust, with value placed on deliverables rather than on input or time spent online.

“In addition, managers need to have the skills to lead and manage remotely – and this may require some additional training.  So, companies need to look out for signs of stress and over-work among employees as it is more difficult to spot in a remote environment.  Indeed, many are reporting that the merging of work and home life is making it difficult to switch off outside work hours and this is exacerbated when the work culture is focused on presenteeism, as employees feel that their time is being monitored.”

Support from Enterprise Ireland

Enterprise Ireland is aware that companies may need assistance when it comes to ensuring a smooth return to the office or developing an efficient hybrid or remote working model. So in in conjunction with Voltedge Management Ltd, it has developed Emerging through Covid-19: The Future of Work to help Irish companies to consider and reflect on these and other HR challenges they are likely to face over the coming months.

“Its purpose is to help business leaders to understand how the world of work has changed over the past year and consider the impact these changes may have on the expectations and motivations of both current and prospective employees,” says Karen Hernández.  “Our intention is to provide insight into good HR practice and to encourage businesses to think about what approaches or responses may be right for them.”

 

Click here to download your copy of the guide.

Why Export title

Export Journey: Step 1 – Why Export?

Why Export title - image of woman packing a box

In a post-Covid world access to international markets, buyers, distributors and information is now at the fingertips of Irish SMEs thanks to increased digitalisation.

When looking towards new markets, it is important to consider the potential benefits of exporting for your company such as;

1. Diversification of market and reduced vunerability

A well considered diversification plan can minimise a dependency on the domestic market and the potential exposure to domestic downturn.

2. Increased revenue and scale

Exporting opens channels to exponentially expand the home market and identify new markets to take advantage of globally. A larger market base delivers economies of scale, enabling you to maximise your resources.

3. Improved profitability

Your ongoing domestic operation should cover business-as-usual fixed costs, either directly or via other types of business financing, which should, in turn, facilitate a faster growth in your export profits.

4. Best practice and knowledge

Accessing global markets will provide additional benefits to an exporter, aside from increased revenues such as new ways of doing business, increased awareness of global best practice, cultural and international competitiveness, that could also bring benefits to your market offering in Ireland.

5. Domestic competitiveness

Considering your company’s export potential will increase its resilience against potential competition within the domestic market.

 

 

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Export Journey: Step 2 – Assess & Validate

Assess & Validate title and business people

Before beginning your export journey you must clearly identify your target market.  You may have preferences based on previous experience, understanding of the language or culture or simply some connection with the market, though a good starting point it’s not enough of a reason to export to this market.

Market Research will form the backbone of your export strategy as you begin to validate your plans.

The key elements for consideration are:

  • What makes your product unique
  • Who are your competitors in your selected research market?
  • Who are the buyers in that market?
  • How does your product compare in terms of pricing?
  • How is the product sold in that market?
  • What are the local regulations, certification for selling your product and can you currently comply?
  • A clear understanding as to why you have selected this market as the potential first market.

What supports are available?

If your business is at an early development stage the Local Enterprise Office has the supports to help you plan, start and grow

If you are are already supported by Enterprise Ireland you can contact your Development Advisor here.

The Market Research Centre provides access to world class research databases to help client companies make better, more informed business decisions. Contact the Market Research Centre here

Enterprise Ireland hosts events to assist companies’ growth plans – See our events calendar for details.

Our Market pages and Going Global guides provide expert insights and contact details for our overseas offices.

Learn how our Exporter Development team can support your growth.

 

 

 

Positioning Strategy title and businessman

Export Journey: Step 3 – Positioning Strategy

Positioning Strategy title and businessman

Your positioning strategy should set out what you will do to achieve a favourable perception in your new export market.

Typically companies will try to achieve the same brand positioning regardless of the market. A coherent positioning strategy can be hugely advantageous, so it’s important when reviewing the export potential of your products/goods or services to consider the following:

1. Customer profiles

  • What is your current USP and will this translate to your new foreign export markets ?
  • Do you understand your domestic customer profile? E.g. age profile, socio-economic grouping etc.
  • Are there other significant demographic patterns to your product or service’s usage?
  • Have you considered the need to modify your product/service to facilitate differences in language, culture and business environments?
  • How do you plan to deliver your services to foreign markets ? In person, via a local partner or using digital resources?

2. Market Pricing and Value Propostion

  • Consideration whether any necessary changes to make your product/service more appealing to foreign markets and customers?
  • If you’re exporting services, what makes them unique within global markets?
  • Have you benchmarked your services in a global context? Would they be considered to be world-class and stand up to stronger scrutiny?
  • Have you considered the cost implications of servicing overseas markets? Including FX rates and fluctuations?
  • Does your product have a shelf life and will this be impacted by time in transit?
  • Will your packaging have the same impact in a foreign market or can it be easily modified to satisfy new demands?
  • Are there any climatic or geographic factors that could affect the uptake of your product or service in other markets?

3. Route to Market

  • Do you need special export licensing or documentation to export? i.e. technical or regulatory requirements localised to the market?
  • Are there considerations for the safe transportation of your product to global markets ? i.e. specialized containers or packaging materials?
  • Would transportation costs make competitive pricing a problem?
  • How efficiently does your target market process incoming shipments?

4. Capacity to support

  • In the event that your domestic/export demand increases beyond current projections, will you still be able to look after both markets?
  • Will you be able to serve both your existing domestic customers and any new foreign clients?

 

5. Further considerations

  • Do you require a local presence or representation?
  • Will your products/service require local professional support or can this be done digitally?
  • Will after-sales service be required ? Can it be easily sourced locally or do you have to provide it? Does you have the resources to provide it?
  • Are there legal / IP implications to consider when entering global markets?

Once your positioning strategy is in development, it’s time to consider how to develop your export strategy and access your target market.

 

Take the next step in the Export Journey

 

Export Strategy title and port image

Export Journey: Step 4 – Developing your Export Strategy

The next step is your export plan. You may have ideas but you need to clearly communicate them in writing so that your whole team is clear on their responsibilities. Having a plan laid out makes it easier to spot pitfalls, gaps and even additional opportunities!

The export plan is also key in seeking supports in term of financing or grants.  Don’t overcomplicate it, keep it clear and simple.

The key elements of a successful export plan include:

1. The Vision

  • What you are going to do. How you are going to do it. What your expected outcome is.

2. Human Resources

  • Have you the staff, external support and expertise? Have you skills within your team to manage language and cultural differences?

3. Financial Resources

  • Budget, Sales targets and Pricing – Consider the additional costs involved in selling into the overseas market. Establish a target price for the end user, taking into consideration currency, payment terms, freight and carriage charges, import duties and taxes, commission to partners and competitors’ pricing.

4. Target Market

  • Why you have selected this market; who your buyers are.

5. Your Product

  • Your USP and how it translates internationally. Are there external factors which could impact production or sales?

6. Market Entry

  • Sales channels; marketing plan; regulations, language and local laws.

7. Monitoring and Developing the market

  • Are you meeting sales targets?

8. What’s next?

  • How do you plan to grow and scale?

Access the Market Entry Page

 

 

 

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Export Journey: Step 5 – Market Entry

Market Entry title and businesswoman image

Your next priority is for the execution of your company’s vision within new export markets. Key to this will be preparing the company for this change and subsequent increased demand from and servicing of new export markets.

Consideration for a successful market entry should include;

1.Identify and allocate adequate resources such as:

    • Financial resources i.e. cash required to sufficiently support overseas exports
    • Additional equipment or fixed assets needed to increase volume or backup global sales
    • People, including staff, suppliers or other valuable relationships in Ireland or overseas

2. Defining where your first sales will come from

Will your customers be a distributor which imports in larger quantities, or an overseas agenct or representative acting on your behalf or will it be a separate trading company of your own business?

3. Developing your lead generation strategy

Supports will need to be assigned to generate business leads. Will they be predominantly offline, online or a hybrid?

Offline: fairs, events, conferences, network meetings or

Online: website, social media, blogs etc.

You will need to qualify and validate the leads, managing them through a Customer Relationship Management (CMS) system such as Salesforce.

4. Marketing and communications

Implementing a successful marketing and communication plan is vital for sustained sales in export markets.

When developing a plan, it is important not to do a ‘copy and paste’ of the same marketing strategy from your domestic market as these are likely completely disparate territories. While it is logical that you should retain your company values and purpose, you will need to adapt your marketing and communications strategy to your new export market

5. Implementing a sales process

By implementing a sales process, you are creating a set of logical, repeatable steps that your sales team goes through to bring a potential buyer from an early stage of awareness to closing the sale. There are various stages that need to be considered in developing an effective sales process, such as;

a) How will your company cultivate your sales leads?

b) What preparation will you commit to in order to be ready to capture an overseas sale?

c) What will be your sales teams approach to a prospective buyer?

d) How will you adequately present or pitch your sales in an overseas market?

e) Is your team setup to deal with buyer objections or queries?

f) Have you experience in closing a sale in an overseas market?

g) What follow-up work will be done post buyer presentation?

6. Relationship building

Relationship building is a key factor in developing sustained sales in export markets. Any company considering to expand globally is undoubtedly looking for a return on their initial investment, and companies looking for better business returns are strongly encouraged to place an emphasis on relationship building.

Companies can quite often focus on the transactional, revenue generation portion before they consider relationship building. However, as is the case in much of the world, relationships based on mutual respect and trust outplay singular transactions. Relationships need to be worked on and require different approaches for different markets.

Take the next step in the Export Journey

Scale title and background image of modern city

Export Journey: Step 6 – Scale

Scale title and background image of modern cityYou are now successfully exporting to your first market. Now begin to build on this success and grow your exports.

You will now have built up a good relationship with the overseas market team and keeping up to date on buyer trends and external factors impacting these trends will enable you to stay competitive.

Factors to consider in your plans to scale exports:

1. Resources

Do you have the necessary resources both in terms of staff and finance to meet the demand of a new market?

2. Capacity

Do you have the manufacturing, packaging, logistics, linguistic capacity?

3. Environmental

Have you considered your carbon footprint; requirements of buyers?

4. Sustainable Growth

How will this impact your current financial standing? Will it strengthen or dilute your position in the market?

5. Adjacent Markets

Is there potential in the adjacent markets where buying patterns, pricing and local regulations may be similar?

 

How can Enterprise Ireland support your growth?

If you are are already supported by Enterprise Ireland you can contact your Development Advisor here.

The Market Research Centre provides access to world class research databases to help client companies make better, more informed business decisions. Contact the Market Research Centre here

Enterprise Ireland hosts events to assist companies’ growth plans – See our events calendar for details.

Our Market pages and Going Global guides provide expert insights and contact details for our overseas offices.

Learn how our Exporter Development team can support your growth.

Recruiting in Germany

Finding the right person to represent your company internationally is one of the most important decisions you will make. Your company is judged not only by the products and services you offer but by the people who are offering them. Finding the right people to do this at an excellent level is a constant challenge at home and overseas.

Enterprise Ireland has developed this recruitment guide to provide Irish businesses with expert insights on executive search and selection from one the leading executive search companies in Germany and internationally, Signium.

Our team of Düsseldorf-based market advisors are available to help you grow your businesses within Germany, Austria and Switzerland and to advise on the vital process of international recruitment.

Download our guide to recruiting in Germany and find the right people to grow your business overseas.

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Using market intelligence to inform your export plan

The saying that ‘knowledge is power’ is certainly true of successful exporting. Companies must understand their customers’ requirements, cultural considerations, market trends and what competitors in the market are doing, in order to succeed.

Insights gained from high-quality market research are essential for good business decisions for companies with the ambition to grow, export and, indeed, survive. While successful products and services are built on sound market research, a continual process of keeping up-to-date with business intelligence is required, which can be time-consuming and costly.

 

Market Research Centre

That is one reason Enterprise Ireland’s Market Research Centre is such a valuable resource. It is the largest repository of business intelligence in Ireland and contains thousands of world-class market research insights, available to Enterprise Ireland supported companies.

Reports include company, sector, market and country information, which help businesses to explore opportunities and compete in international markets. We use databases from blue-chip information providers such as GartnerFrost & Sullivan, Mintel and others, which provide authoritative, verified information that is independent and reliable. Some of these reports cost tens of thousands of euro individually, so the value of accessing the service is immense.

 

Using market intelligence to assess new markets

The Market Research Centre is staffed by eight information specialists who help clients locate the most appropriate sources of knowledge for their requirements. The specialists can track down niche market intelligence that is not available through internet research and can also facilitate access to industry analysts to provide bespoke briefings that deep-dive into subject areas.

While the UK and European markets remain vitally important for exporters, increasingly diversification into more distant markets is a strategic option. Critical to all such business decisions is access to authoritative market research.

 

Using insights to make an impact

An example of how the centre helps companies to explore opportunities in overseas markets is workforce travel company Roomex. Over the last two years, the company has targeted the UK and Germany and is now looking at the huge potential of the US market. Information specialists helped the company gain valuable insights by providing access to global company, country, market and sector data which helped the Roomex to analyse their target customer and competitor base.

Enterprise Ireland’s research hub offers access to extensive predictive research on future trends, which is invaluable for companies interested in innovation. Knowledge of what might impact a market next provides an opportunity to develop new products or solutions. There are huge opportunities arising from disruptive technologies, such as driver-less cars, but also risks to companies which are not looking ahead

Growing your business

Companies which are serious about exporting, growing and future-proofing their business should put continuous research at the heart of their strategy. If your company is considering expanding into new markets the Market Research Centre’s extensive resources and expertise should be your first port of call.

Contact the Market Research Centre today.

Pricing Excellence – Pricing Study 2021 Webinar

This Pricing Study was conducted by Enterprise Ireland in collaboration with Simon-Kucher & Partners.

The study recorded nearly 500 responses with strong representation across all sectors demonstrating that the topic remains a high priority for businesses.

This webinar presents the results of the survey along with guidance on how to develop and implement a price increase process.

 

Gain key business insights with our on-demand UK webinar series

Designing the workplace of the future – A new guide for all employers

    The world of work was shaken to its core in March 2020 when the Covid-19 pandemic hit Ireland and hundreds of thousands of Irish workers had to suddenly work from home.

    The slow and steady drive towards digitalisation accelerated sharply, and virtual meeting programmes such as Zoom and Microsoft Teams became commonplace. Now, 15 months on, and with the vaccination programme well underway, employers can begin to think about a return to the workplace – hopefully permanently. But the many lessons learned during the pandemic has had both employers and employees thinking about the future workplace – will we ever go back to the way it was? And do we want to?

    Enterprise Ireland has produced a new guide, ‘Emerging Through Covid-19 – The future of work, which aims to help business owners think about the positives and negatives from the last 15 months and to use these to build a sustainable business model for the future. With many employees welcoming the idea of remote working into the future, either full-time or for part of the week, is it time for employers to recognise the positives of remote working and tie it into their company policy on a permanent basis? And if so, how can they make it sustainable?

    “This is a follow-on from last year’s Covid-19 employer guide; last year we looked at the health and safety aspects of returning to work, while the theme of this year’s guide is around the future of work,” explains Karen Hernández, Senior Executive, Client Management Development at Enterprise Ireland. “During Covid, the workplace has changed, the nature of work has changed for a lot of people, and what employees expect from their employers has changed. Our aim is for all companies to be prepared to put in place the right structures and practices that suit their business needs and also the needs of their employees.

    “A large portion of our client base experienced the need to rush into remote working when Covid-19 hit Ireland in 2020. There have been some advantages and opportunities associated with this; some businesses found they’re as productive, if not more productive when working remotely. This guide aims to help companies take what’s worked well over the last 15 months and create some sustainable practices and processes that work for everybody.”

    The guide was developed in partnership with Fredericka Sheppard and Joyce Rigby-Jones of Voltedge, a highly regarded HR consultancy based in Dublin. “The objective with the guide is that it gives you a framework to start developing your own plan for the return to the office,” explains Fredericka. “All organisations are going to have their own dynamic, their own set of circumstances, so there is no one-size-fits-all solution to this. Our aim was to identify key pillars for organisations to use to develop structure and a suitable framework for their business.”

     

    The importance of asking questions

    A huge emphasis is placed on the need for communication with employees when making these decisions. “Employers need to engage with and actively listen to their employees, while also driving their business forward,” says Joyce. “This is intended as a broad guide, where employers can pick and choose the relevant pieces to them.”

    “It’s very important that employees feel that they’re being heard,” adds Fredericka. “However, decisions need to be made based on a number of factors, and employee input is just one of those factors. Obviously it’s really important to manage expectations and sometimes it’s just down to how you ask the questions. Give them some context from a business point of view. It’s not just about the employees’ wish-list, it’s also about creating a sustainable workplace for the future.”

     

    Managing remote workers

    Many employers are looking at keeping some sort of remote or flexible working practices in place – and offering this flexibility can be very positive when it comes to attracting talent. “Almost two-thirds of our client base are saying they find it hard to attract, engage and retain talent,” says Karen. “Companies need to consult and stay close to their employees and ask them what they want – and include aspects like flexibility as part of a value proposition to attract candidates.

    “Many companies that we are working with are looking at some sort of hybrid model, where employees combine time working in the office and time spent working remotely, at home or in co-working spaces. There are huge upsides, such as accessing skills from different parts of the country that they never would have before – offering remote, flexible or hybrid working is attractive to employees.

    However, this can be difficult to manage, and companies need to consider what works for the team as a whole as well as what’s right for individuals within those teams.”

    “There’s a big need for management support and training, especially for middle and line managers and supervisors who are dealing with a remote workforce,” explains Joyce. “It’s difficult for them, but it’s important that they get it right. Ensuring your managers are confident in what they do, and in their engagement with their teams. We are hearing that companies are looking to bring their employees into the office more, but it’s about getting that blend right between remote working and the office. One aspect that we emphasised in the guide is the need to make sure you are not discriminating against employees who are not in the office environment.”

    Identifying and managing issues such as burn-out and isolation is essential if companies are to offer some sort of remote working policy. “Companies that have regular check-ins and meetings with staff and use different methods of communication, such as video calls, emails and direct messaging are more likely to keep employees engaged when working remotely.  It’s also important for employees to have individual focus time, where they are able to detach from colleagues and concentrate on getting their work done without interruption”, says Karen.  “Long term, we don’t know enough about hybrid working for a definite ‘best practice’ but instead companies should pilot different ways of working – for instance, we have some companies who are trialling a ‘team days’ concept – having the whole team in for certain days of the week, then for the rest of the week, they’re working from home.”

     

    Piloting the new workplace

    The aim of the guide is to pose those broad questions that will help employers in every sector decide on the right workplace for the future of their business – but there is no need to rush into a decision. “The biggest challenge for employers is making the decision as to how you’re going to handle this working environment,” says Joyce. “Are you going to fully return, are you going for a hybrid, can you facilitate a full return in the workspace that you have? Employers need to make very big decisions, and very strategic, long-term decisions, so we’re suggesting that they talk to their employees about what they want and then piloting whatever they plan to do before they make any strategic decisions that will impact on the business going forward.”

    Covid-19 has had a huge effect on how we work – but now is the time to use what we have learned since March 2020 to create a more inclusive, sustainable business model, one that pushes the business forward while creating a culture that values employees and their health and wellbeing more than ever before. This can only be a positive thing.

     

    To download Enterprise Ireland’s new guide, ‘Emerging Through Covid-19 – The future of work’, click here.

    fintech

    Mexican market ripe for Irish fintech firms seeking to expand

    With an underbanked population and skyrocketing use of mobile tech, Mexico offers an open door to growth for Irish financial technology firms seeking new opportunities in the global market. This is a market with a real need for innovative financial services.

    “Mexico is in the early stages of a financial technology (or fintech) revolution, with start-ups focusing particularly on flexible, low-cost, accessible services,” says Sara Hill, SVP Southern US and Mexico at Enterprise Ireland. “It is the Latin American hub for the sector and local start-ups flourishing in the wake of local pioneers such as Kubo, Financiero and Conekta, all peer-to-peer payments firms which first emerged in 2011.”

    Partly driven by the same social distancing regulations and decrease in the use of cash seen everywhere because of the pandemic, use of mobile banking is soaring in Mexico, up 113 per cent between 2018 and 2020.

     

    Lending and payments lead the way

    Across the board, the financial services market in the country remains underserved, but local consumers and businesses are keen to see new services in this area and new financial companies don’t have to compete with legacy institutions as much as they might have to elsewhere.

    “Only 47% of the population in Mexico has a bank account,” explains Sara. “That’s why we’re seeing lending and payments as the top two areas in which fintech start-ups are operating. There continues to be huge demand and extensive room for growth in this area.”

    Start-ups are also active in Mexico in categories such as blockchain, crowdfunding, cryptocurrencies, digital banking, enterprise financial management, personal financial management, remittances and foreign exchange, scoring, identity and fraud, and wealth management.

    “In the Austin, Texas office of Enterprise Ireland, we not only support Irish businesses seeking to break into nine southern states of the US, but also those who want to enter the Mexican market,” says Sara. “We help them evaluate the opportunity there for their business and also offer in-market support such as introductions to buyers, partners and decision-makers.”

     

    Irish businesses soaring in Mexico

    Fintech businesses in Ireland considering this step will be in good company, with Irish tech firms already thriving in Mexico including Workhuman, Adaptive Mobile and Daon.

    Other Irish businesses also active in Mexico include Ornua (Kerrygold’s parent company), mobile recharge provider Ding, forklift firm Combilift, food packaging manufacturer Fispak, GM Steel Fabricators, and pharmaceutical engineering firm Prodieco. Overall in 2019, Irish exports to Mexico were worth €83m, up 36 per cent on the previous year.

     

    A growing market for fintech

    When it comes to fintech, Mexico is currently ranked 30th in the Global Fintech Ranking, with Brazil ranking 19. Mexico has over twice as many adults that use digital banking, however, compared with Brazil, Colombia and Argentina.

    The Mexican fintech is worth 68.4 billion pesos (around €2.8 billion), with about 4.7 million users out of a total population of 127.6 million. For context, the global fintech market was valued at US$127.66 billion (€105.9 billion) in 2018, with expected growth of 24.8% by the end of 2022.

     

    Understanding market challenges

    Rapidly developing markets like this one undoubtedly present challenges to potential new entrants. With a troubled history of corruption in the past, some lingering distrust of financial institutions remains, but the introduction of a stringent fintech law in 2018 has helped.

     

    “This law regulates which financial entities are legally allowed to operate and offer financial services in Mexico,” explains Sara. “So you have to make sure that your business is going to meet the criteria. The law was introduced to protect users and consumers, to prevent money laundering and to help foster an environment of trust.”

    Geography can also be a challenge for companies expanding in Mexico, with many rural areas having no banks or ATMs, meaning people are less likely to have bank accounts. While this presents a great opportunity for digital payments, internet and mobile service can be poor in some locations. As a result, fintech firms tend to be based in urban areas, with more than half of the 700 or so start-ups in the sector based in Mexico City.

    Other factors inhibiting financial inclusion in Mexico include income, education and even gender. That gender gap should close quickly, however, as men and women are equally likely to use mobile tech and social media.

     

    Building lasting relationships

    When it comes to exporting, understanding the nuance of any new market is vital. Firms must remember to localise products and messaging properly, for example, as Mexican Spanish is different to that spoken in Spain.

    On-the-ground agents or partners are also crucial when it comes to navigating the local business environment and building customer relationships.

    “People in Mexico want to do business with those they know and trust,” says Sara. “You’ll need to make multiple visits to build relationships or to have a strong partner on the ground who can represent your business.”

    For Irish fintech firms seeking to expand overseas, Mexico undoubtedly presents a real opportunity to build a user base quickly in a rapidly developing and dynamic market.

    Get advice and insight into local market conditions and practices in Enterprise Ireland’s Exporting to Mexico guide.