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Case Study: Servicing a European Client in their Global Strategy

Summary:
Client (Company A) an Iconic American speaker brand looking to sell via B2B and their own online store. With the re-release of this iconic brand to the US market they were looking to Europe. Europe is not a homogenous market. Within the European Union there are 28 countries, each with their own sales tax (Value Added Tax), and duties, which mean dealing with 28 separate regulatory bodies. Each region comes with its specific supply-chain challenges. The brand also seeker recommendations on European sales team and best structure. Normal logistical partners were not able to perform the suite of services required by the brand. Clients were referred to TBM Solution to create a European solution for European fulfilment, sales, marketing, and dealer and distributor support. 

Background:
Brand originally founded in 50”s as a Research and Development Corporation. They developed some of the biggest innovations in audio, most notably a high-selectivity radio; A full-range electrostatic loudspeaker; tape recorder, and portable phonograph with stereo speakers. In 2017, the brand was acquired, former President of Global Sales and board member for Klipsch. The brand wants to get back to its roots, and original mission, to build world-class loudspeakers and radios at affordable prices beginning with a robust line of bookshelf and floor home theatre speakers, as well as a range of headphones They had ambitious global expansion goals for their range of products and wanted to break into Europe. The client needed a partner who could roll out all products in a matter fit for a world class brand. 

The problem they would encounter selling in these regions was ultimately the complex shipping process they would need to implement as part of their business model. In addition to this, Clients were challenged by not having legal entities in any of the countries and not being registered for taxes and duties, key to fulfilment in Europe. They had no experience clearing goods in these lucrative sales regions, and this would ultimately impede on the launch of their product range in time. Company A also required timed deliveries to stores to ensure smooth product transition and launch at retail level, so a lot was riding on this project. Company A stipulated that control be managed out of one central point, this being TBM. Normal distribution channel was not an option. Former President of Global sales at Klipsch understood the flaws of European Distribution and the affect this would have on building his speaker brand. 

Solution-focused Partner:
TBM were tasked with this major project. They devised a detail solution and were able to roll it in a very short time frame. TBM bring a wealth of experience operating globally, overcoming language and cultural barriers regularly as well as political requirements for clearing goods and dealing with other government import/export regulations. They have long-standing relationships with their global network of agents. TBM were able to use their commerce structure to clear goods into their facility in Dublin. TBM were able to positively impact on the bottom line for this client. 

With TBM’s global reach, they arranged to ship the goods to Europe and allow their local agents to do clearances and delivery on behalf of Company A. EU goods were shipped to Dublin to ensure speedy transit time to the EU hubs and consumers Company A. 

Results-focused:
TBM could manage the complete logistical, sales, distribution, marketing, dealer and distribution roll out process successfully and cost effectively. They deliver one central billing source positively impacting on financial control and cash flow. Dealing with one central point of contact is paramount to the running of their international business operations.
They delivered on time to all clients Hubs and consumers globally. They continue to manage large volumes of shipments to Europe, USA and ROW. The launch of the client’s new product range internationally was a huge success. 

If you wish to internationalize your brand, speak to TBM today. TBM can analyze your current model to provide a solution that is a more efficient option for your business, as demonstrated in this case study. 

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