Quick viewing(Text Mode)

The Case for Export a Collection of Case Studies About Exporting Design

The Case for Export a Collection of Case Studies About Exporting Design

The Case for Export A collection of case studies about exporting design. The Case for Export A collection of case studies about exporting design.

Disclaimer This information guide is designed to help you better understand the issues associated with export. You should not regard this publication as an authoritative statement on relevant laws, fees or procedures. You should also note that the requirements and fees may change from time to time. Every effort has been made to ensure the information presented is accurate, however no liability is accepted for any inclusions or advice given or for omissions from the publication.

© 2009 State of Victoria. No part may be reproduced by any process except in accordance with the provisions of the Copyright Act 1968. Minister’s Director’s MESSAGE MESSAGE

The Victorian Government Our access to export markets is constantly Exporting design, whether Navigate your way through The Case for Export being improved through tariff reductions, and learn some of the skills required to export is proud to support The Free Trade Agreements and improvements services or products, is design services. What research is required? Case for Export, inspiring in technologies. The Brumby Government like taking a journey into What should be included in a fact finding has set an overall export target of $35 billion mission? Is it possible to communicate with Victorian designers to take by 2015 and has recently boosted support with the unknown. clients from Australia? Once an overseas their design services to the a number of new measures including a $24.8 Some designers find the process to be a roller commission is obtained, does it require a rest of the world. million Global Markets Action Plan as part of coaster ride, while others find the ‘journey’ change in office structure? What assistance the $245 million Building Our Industries for relatively smooth. is available to help with export, either financial At a time of global economic uncertainty, the Future initiative. incentives from government or advice from Victoria’s design sector is making a significant Some export markets present risk, others private sources? How can collaboration This publication is an important element of contribution to our economy. It contributes are lucrative and worthy of the trip offshore. across disciplines and countries contribute the Brumby Government’s $15 million Design $7 billion annually, directly employs more The Case for Export is a collection of case to export success? than 76,000 Victorians and accounts for more Victoria Strategy, dedicated to encouraging studies that provides valuable insight into than $300 million in design-related exports. the design-led growth of Victorian industry exporting design, including some of the The Victorian Government and various and boosting our reputation as a leader in opportunities available and pitfalls to avoid. business associations have produced resources This publication is a great example of the innovation and a centre for design excellence. to assist with export. These guides, such as Brumby Government taking action to develop Most companies featured here enjoyed both Easy Guide to Exporting, discuss a variety of By developing a more globally competitive Victorian designers’ export skills and assist positive and negative experiences taking their issues such as preparing an export plan, Victorian design sector, we can enrich our them to compete in export markets, services offshore — however all emphasised promoting a brand overseas and intellectual economy and the Victorian community, accelerating the design-led growth of the the importance of communication to making property protection. A comprehensive list driving social cohesion while showcasing Victorian economy. inroads. Some practices have hired employees of these resources has been included in our design excellence to the world. to communicate with clients in places such as The Case for Export to assist emerging The current economic climate presents China; others work closely with representatives and established designers to export an ideal time for design consultancies to overseas, who have language skills, as well as with confidence. strengthen their export knowledge and business acumen. expertise. This resource will ensure our I would like to thank and acknowledge the Victorian designers have the necessary Export Working Group for their valuable skills to take full advantage of new business contribution and also the designers who Gavin Jennings MLC opportunities as the global economy recovers. Minister for Innovation generously shared their experiences and learnings that are sure to assist designers seeking to export.

Michele Azzopardi Director, Design Victoria

4 Design Victoria The Case For Export 5 Learning from the experiences of others The is invaluable for people considering entering First the export market. One design practice featured herein was Designers have also discovered the importance delighted to find someone who would of knowing their limitations when dealing with represent their interests in China — the overseas clients. One design group included in Steps representative could search for suitable this guide, explains that their ability to design commissions and communicate effectively a project does not extend to actually building in the same language as the client. However, the project. Although this division of tasks is when the representative failed to forward perfectly achievable, they have found it crucial payment from a client to the design practice, that it be made explicit to overseas clients the earlier hurdles of communication paled from the outset. in comparison to the amount of money the practice lost. Choosing a reputable partner may In some cases, Victorian designers have seem an easy task, but as the architects in this preferred to establish their own office instance discovered, it is not always the case. abroad to oversee a specific project. When such projects are complete, the “You need to be extremely diligent when you office is often disbanded and reassembled are exporting your services overseas. You need in another country to begin work on a to know exactly who you are dealing with,” new project. says Stan Roche, Senior Export Advisor with Austrade. This information is particularly While establishing an office overseas is pertinent at a time when economies around sometimes the best option there are issues the word are adjusting to a new economic that need to be considered such as cash flow, order. “Credit is the blood of any corporation. staff and resources, that place a demand on Without it, there’s no movement,” says Roche. the office back home. Many designers intending to deal with overseas Working overseas also calls for a different companies would be advised to first approach type of sales pitch. One designer, for example, government departments. “There are checks speaks about the need to ‘play taller’, that is to that we can make with information brokers,” appear as a larger, more experienced practice. says Roche, who also keeps his ear to the According to Roche, pricing is also crucial when ground regarding rumours. “It’s too late to delivering a pitch. “You need to seriously think act after money has been lost,” he adds. about what a company can afford to pay for your services,” he says. “You need to have realistic expectations from the outset.” Fees that are too low can be as problematic as overstretching the mark. “If you quote too low, it may cause serious damage to your business.”

6 Design Victoria The Case For Export 7 THE FIRST STEPS Ten Top Export Tips

Knowing who the decision Haywood emphasises the importance of 1. Consider whether this is the right time 7. For a successful market visit ensure your conducting research before meeting a new for you to export. itinerary is well planned. This will help makers are is as important client. “Do everything you can to understand you see the right agents and customers. 2. Be absolutely sure that your company is the client’s business, so that the first meeting as delivering the right pitch. capable of exporting. 8. Be proactive in addressing potential becomes a concise and targeted demonstration problems by developing a risk management Roche uses the example of a group of young of your capability to meet their needs. 3. Develop a sound export strategy to ensure plan and talking to advisers and insurance executives sitting around a boardroom table. Ask a lot of questions so you can modify you grow within your capability and avoid and finance groups. “In one corner sits an elderly man who keeps your presentation as required and rehearse stretching your resources. out of the discussions. It’s only later that you responses to typical objections. Discussions 9. Check out the range of financial products 4. Consider which markets you should focus find out that he makes all the decisions, and surrounding prices should also be avoided to help you get started in export such as on and undertake targeted research about sometimes, it might be at midnight, well after until you believe you have satisfied the client the Export Market Development Grant. these markets. the young executives have gone to bed,” he adds. that you understand their needs, and they 10. Contact Austrade for more advice. fully understand the value of your offering.” 5. Research the different cultural and According to Professor Roger Simpson, Visit www.austrade.gov.au or call 13 28 78. religious customs of the markets that Director, Design Centre, Swinburne University Like most ventures that take time to mature, you are considering. of Technology, one of the most common pitfalls success overseas is not instant. “Don’t expect of export is designers not presenting to clients immediate results. It is guaranteed to take 6. A good website is a calling card. Include a compelling set of reasons to use their services. longer to secure a new project in a foreign product descriptions, indicative prices and “Marketing by fledging design offices must country when operating there for the first time unique selling points for your product or demonstrate insight into the local business and than designers expect in the local marketplace,” service and make contact details prominent. consumer marketplace, and most importantly, says Simpson. He also suggests a senior person the prospective company’s operations and at partner or director level frequent the region. products,” he says. “Not just for an hour or two but for up to a week Sending the right message is crucial. Gary at a time (each month) to build up networks and Haywood, Manager Design Ready, Design instil client confidence in their commitment Victoria, says simply opening a portfolio and to the particular marketplace,” he says. talking about oneself is not a pitch. “Avoid The Case for Export is not designed to provide giving a broad presentation of your skills and all the answers for designers thinking about expecting clients to draw their own conclusions exporting their services or products. Instead, on relevance. The client wants to know what a it offers important learnings from designers designer can do for their business. The portfolio with years of export experience and as such is must be relevant to their business and address an important resource for anyone considering their core needs.” an export path.

8 Design Victoria The Case For Export 9 “ This is the second recession we’ve been through. It’s a matter of being flexible and always thinking ahead.” Liane Rossler

CASE STUDY Dinosaur Designs

Dinosaur Designs is firmly entrenched in the One of the company’s first forays into the Before Dinosaur Designs began exporting Dinosaur Designs feels more comfortable Australian psyche. In the mid-1980s, the three overseas markets took the form of an exhibition. in earnest, the company developed a strong filling smaller orders and growing with clients. directors, Liane Rossler, Stephen Ormandy Held at the Victoria and Albert Museum in concept. Wholesale clients were given a ‘story’ and Louise Olsen, had just graduated from London in 1989, the exhibition then toured of products, which cemented individual pieces “We’re hesitant to take on that one City Art Institute, Sydney, now called CoFA. Japan, South Korea and Australia. Coupled together as part of a larger range. As Dinosaur enormous order which might be beyond They thought it would take years to establish with media coverage from magazines such as Designs had envisaged, overseas buyers tended our capacity, or the client’s capacity, to themselves on the art scene, so they made British Vogue, the exhibition proved a pivotal to order a story of products in colour blocks and handle. In many ways, the second order clothing and jewellery and sold their designs point in Dinosaur Design’s trajectory. ranges, rather than individual pieces. from a client is just as important as the at the Paddington market. Today, Dinosaur first,” she says. The first few overseas orders were treated in a A fundamental piece of groundwork was Designs has four stores: one in New York, similar manner to wholesale clients in Australia. determining which stores were appropriate two in Sydney and one in Melbourne. When Dinosaur Designs opened a store in “We didn’t change our direction specifically for Dinosaur Designs. “We were, and still are, The company also wholesales to the UK, New York in 2002, Austrade provided some to suit international clients. We’ve always selective about the stores we sell to. It wasn’t Japan, Norway, Russia, and the US as well financial assistance. When they exhibited at remained true to our philosophy of how we just about where the stores were located but as throughout Australia. the Spiral Gallery in Tokyo with Object Gallery, sell our product, and we have a holistic also what other brands the stores stocked, assistance was also provided by Austrade. Their organic-shaped resin homewares and approach to the concept of our brand,” says and how the range was presented,” says Rossler. jewellery have a bold and distinctive signature. Rossler. One of the small changes Dinosaur As important, was building relationships Rossler reflects on 2008 as the company’s best “Every piece is handmade. Each piece is Designs did make to suit overseas buyers was with overseas clients. The Japanese company year. The future is exciting and challenging, different. The colours are never identical — around product colour descriptions. For the Idee has been a loyal customer, as has Paul however Dinosaur Designs is used to operating it’s like mixing paint,” says Rossler. Japanese market, for example, colours labelled Smith in London. in tough times. “This is the second recession ‘Ivory’, ‘Chocolate’ and ‘Coral’ were renamed we’ve been through. It’s a matter of being Dinosaur Designs has grown consistently. Dinosaur Designs’ wholesale department as Crème, Brown Swirl and Orange. “There flexible and always thinking ahead,” says The company produces new ranges each year based at the company’s head office in was an expectation that ivory was exactly Rossler. Although people will be purchasing less in addition to their classic range which includes Strawberry Hills, Sydney, deals directly with that—ivory,” explains Rossler. over the next few years, Rossler feels they will popular designs from the last 25 years. customers. “Our volumes are limited as each be making more thoughtful choices, with an piece is handmade — we cannot be everywhere emphasis on quality, rather than quantity. at once. This set up works for us as some independent agents focus on selling as much as possible, irrespective of whether it goes to www.dinosaurdesigns.com.au the most suitable store,” says Rossler.

10 Design Victoria The Case For Export 11 CASE STUDY Fabio Ongarato Design

Established in 1992 by Architect, Ronnen “We created their magazine publications “ You need to be aware Goren, and Fabio Ongarato, a visual and acted as brand consultants. We were communications graduate, Fabio Ongarato also introduced to Faces, a youth cosmetic Design has become a formidable force. department store,” says Goren. of what’s not said, what’s From graphic design to advertising, the Before heading to Asia, the company multi-disciplinary team of 10 staff works across enquired about government assistance. going on in the background. fashion and retail, architecture and interiors, visual and performing arts and corporate. “They funded half of our travelling and There are subtle games, In addition to servicing numerous accounts marketing expenses. They also gave us in Australia, Fabio Ongarato Design has a advice on how to stage our inroads into and some you only get to strong client base in Hong Kong and Asia. the Asian market,” says Goren. “Our style is modern contemporary, Fabio Ongarato Design chose Asia rather than underpinned by strong art direction. master with experience.” the UK or the US for export with an eight hour There’s also a direct relationship between trip more manageable and considerably more Ronnen Goren the images and graphic overlay,” says Goren. palatable. And being two hours ahead of Asia One of the company’s most recognisable also gave the Victorian company a head start. projects is their collaboration with “By the time clients came to work there was an photographer Bill Henson on a campaign email response waiting for them. We also have for fashion house, Scanlan & Theodore. the advantage of working late, sometimes until “We approach fashion like art,” says Goren, 10pm if required,” he adds. who has used illustrations in brochures and printed materials for corporate clients. Goren, like many other designers working in “Many annual reports simply show men Asia, understands that sale pitches need to be holding clipboards wearing a helmet,” he says. delivered differently. “They really shun bold and brash behaviour. It’s considered gauche One of Fabio Ongarato Design’s largest and they shut down immediately. You need to projects overseas was the W Hotel in Hong be polite and respectful,” he says. As important Kong. The company collaborated with interior in the Asian culture, is the sub-text. “You need designers and brought an art consultant on to be aware of what’s not said, what’s going on board. “We designed all the murals and the in the background. There are subtle games, graphics, as well as the carpets and light and some you only get to master with fittings,” says Goren. experience,” says Goren. Fabio Ongarato Design was introduced into the Asian market by fellow Australian designer, www.fodesign.com.au Leonard Hamersfeld, who was establishing his company Room Interior Products in Hong Kong. At the time, Hamersfeld introduced Goren and Ongarato to the head of visual communications at Lane Crawford, one of the largest department stores in Asia.

12 Design Victoria The Case For Export 13 CASE STUDY Square Circle Tips for Doing Business in China Triangle

Square Circle Triangle are shapes found in One of Square Circle Triangle’s champions for – Consider what your company’s objectives are – Use a legal firm with a presence in China nature. These shapes are also fundamental to export was business advisor Bob Beaumont, in China and carefully research your target to review all contracts. Failure to gain full the Bauhaus School, the modernist school of described by Smith as a ‘business angel’. market before developing a formal business information about a potential partner’s design founded in Germany in the early part “Bob identifies businesses with high potential plan. Discuss your strategy with a local credit and professional background could of the 20th Century. Square Circle Triangle is that engage in smart technology,” says Smith. representative who understands lead to serious problems down the road. also the name of a web design and development the market and economic conditions. Also, seek advice on intellectual property Wilson also led the company through a six company in Fitzroy, Melbourne. protection if you are concerned that your month Global Access Program (GAP) with the – Understand the basic regulations that govern product is in danger of being copied. Founded 13 years ago and owned and University of California in Los Angeles where your industry or investment in China. operated by directors Brad Smith and Paul MBA students evaluated Blocks Global’s market Companies are often constrained in what – Halve your expectations and double your Wilson, the company has steered along the readiness and opportunity. “The students were they can do by the regulatory environment. time and budget. Chinese business people digital road rather than staying with pure upfront about Blocks Global from the start. prefer to establish a strong relationship – It is recommended that you have a website graphic design services. The feedback at the time was that it required before closing a deal. including product descriptions, indicative further development,” says Smith. One of the company’s main growth areas is prices, and unique selling points for your – Building good business relationships and Blocks Global. Blocks Global is a web-based Blocks Global later became a separate arm product or service. trust is very important, so expect to spend marketing application that empowers of Square Circle Triangle and with this new a lot of time at meetings and banquets – It may be helpful to talk to other Australians marketing teams by removing the reliance on business direction, suitable staff were required. with potential business partners. who have business experience in China. IT departments and agencies. “It allows clients Consider contacting Australia China – Business cards (ming pian) are essential, and to manage and distribute all their own digital “A team is everything,” says Smith, referring Business Council members in Australia, it’s a good idea to have your card translated and marketing material,” says Smith. to both his staff in the Melbourne office China Australia Chamber of Commerce into Chinese on one side. Present your card to and the people they work and collaborate One of Square Circle Triangle’s larger clients members in China, and Austrade’s network of business associates with both hands, with the with abroad. is the integrated real estate group, Mirvac, export advisers in both Australia and China. Chinese text face up. It’s a sign of respect to with the company developing Mirvac’s websites spend a few moments examining the business Smith also attributes Blocks Global’s – It may be beneficial to employ an agent or for their global operation. Another large client cards you receive rather than putting them development, growth and success to COMET distributor with marketing skills who has is [yellow tail], one of Australia’s great wine away immediately. (Commercialising Emerging Technologies), excellent knowledge of local market success stories. “They are one of the largest a program administered by AusIndustry, which conditions, good contacts and who preferably – Be prepared for tough negotiations. exporters of wine to the US market with around he has been involved in for the past few years. speaks English. A good agent can greatly Be firm, polite and creative, and be prepared 13 million cases of wine each year,” says Smith. “We’ve also found the government’s short reduce set–up costs and the time it takes to say no. Be sure that your interpretations Square Circle Triangle also works with two courses on export to be insightful,” says Smith. to enter the market. of any business deal are consistent with other web agencies overseas, developing the clients and that everyone understands global brand strategies. Square Circle Triangle has been self funded their duties and obligations. from its inception. “It has been a challenge. We’ve just developed slowly, but surely, and I’d Source: Austrade have to say we’ve never been busier,” says Smith.

www.sct.com.au

14 Design Victoria The Case For Export 15 CASE STUDY CASE STUDY RED DESIGN GROUP 21-19

Established six years ago, Red Design Group The company’s experience in China has been 21-19 is the closest score possible in a table 21-19 have been fortunate to have a network was founded by four partners who had a learning experience in language and cultural tennis match. It’s also the name of an innovative of friends in the industry. “There are many previously worked together in a large design differences. To overcome language barriers, graphic design firm in Melbourne. Established Australians living abroad who have helped practice. When that practice folded, they the group hired translators and ensured CAD by graphic designers Domenico Bartolo and us form bridges. Networking is probably one inherited some of the company’s key accounts, drawings for the project were bi-lingual. Ryan Guppy four years ago, the duo first joined of our most valuable assets,” says Bartolo. including Myer, Terry White Chemists and forces in London. Unlike some businesses, 21-19 didn’t need to ALH Group (owned by Fosters at the time). Tavenor estimates his export business to “We had both been living in the Netherlands outlay significant amounts of money to start be approximately 15% of the company’s Red Design Group focuses on retail design, for several years. I was pitching for a new MTV exporting. “The only thing we relied on was turnover, with projects now coming from which includes restaurants, cafes and bars, as channel called VH2 in London. Five days before the internet,” says Bartolo. Indonesia and China. well as designing town centres. Four disciplines the pitch I felt I needed Guppy’s experience, Irrespective of where a pitch takes place, branch from retail design: architecture, interior particularly in print,” says Bartolo. Together Initially, Red Design Group was unaware there is no speculative travel undertaken. design, industrial design and graphic design. they secured the commission from a field of of government funding for exporting design “All our work is assured before we leave eight others. For VH2, Bartolo and Guppy Red Design Group started exporting in 2006. services. “We didn’t make any enquires. Australia. The only time we sell overseas identified the company’s needs from the ground The company’s first client was Sundan, an We spent $20,000-$30,000 for three people to other companies is when we happen to up; from handling campaigns to moving images electrical and computer store in Shenzhen, to make trips to China. We’re now aware that be there on prearranged business.” and the station’s identity. China (similar in scale to Harvey Norman). there is government assistance for these sorts Travelling overseas for work may appear “They ‘googled’ us. It was as simple as that,” of things,” says Tavenor, who has an application Since establishing 21-19, they have worked with glamorous but Bartolo understands that by, says Roy Tavenor, Managing Director for Red filed with the Victorian Government. While the several large companies, including Qantas and and large, it’s hard work. “You might spend Design Group. He sees the company’s website company is now working with several overseas Nokia. “The amount of overseas work we do three weeks overseas and all you get to see as an important calling card. clients, they would have appreciated knowing changes every year. At the moment, it’s probably are studios and the bland apartment you’re about government assistance from the start. 35% overseas and 65% local work,” says Bartolo. Tavenor and two designers made four trips renting.” Where others may find it difficult “Introductions at this end may have helped to China for the Sundan project. Establishing setting up studios and facilities overseas, to pave the way,” adds Tavenor. “The exchange rate certainly makes export the brief formed the initial task, followed by being represented by PostPanic allows work attractive. In London, for example, it’s like presenting schemes. Unlike Australia, where a to proceed relatively smoothly for 21-19. www.reddesigngroup.com.au having twice the budget,” he adds. design brief is limited to design, Red Design “You need that support staff. We wouldn’t Group found expectations in China to be more go overseas without it,” says Bartolo. 21-19 has a staff of five in its Melbourne office far reaching. “There’s an expectation that you’ll and is represented in Europe by a production also construct the building, down to the fixtures www.21-19.com company called PostPanic. “We have a strong and fittings,” says Tavenor. relationship with PostPanic that was established when we were working in the Netherlands. We get first right of refusal on projects,” says Bartolo.

16 Design Victoria The Case For Export 17 CASE STUDY Operating internationally also requires an CASE STUDY CATO PURNELL awareness of local laws. Disputes will be INSITE decided by the legal system in the country where the business transaction takes place. “You need to be familiar with different legal systems,” says Cato.

Known as Cato Purnell in Australia and Cato One way the company ensures cultural Daniel Seyd, Director of Insite, trained in Seyd attributes his success overseas to Partners internationally, ‘Cato’ is synonymous differences are understood is by having a interior design in the UK. Graduating during providing a high level of service. “It’s not with graphic design. Approaching 39 years in local employee in each office. “He or she is a recession (1991), he focused on a part of the just about coming up with ideas. It’s also business, Ken Cato, Chairman and Executive an important interface. They have an innate globe where development looked set to take about how the ideas are delivered and the Creative Director, also established agIdeas 19 understanding of behaviour that isn’t always off — South-East Asia. “Everywhere else was time frame in which they are delivered.” years ago. With offices around Australia, as transparent,” says Cato. To illustrate the point struggling. Places like Hong Kong were just well as internationally in Asia and Europe, he cites an example where he was keen to use starting to move,” says Seyd. He also sees the importance of building trust. Cato has remained true to his ideals. ‘Japanese colours’ in a project he was working Seyd established an interior design business in “On overseas projects we often present on in Japan. “The colours I selected I picked “People are surprised by the diversity of our Hong Kong, specialising in retail and residential drawings, concepts and images electronically up on in my surroundings. It was only later work. It’s about the clients being the focal work. K-Swiss, a footwear and sports apparel and there isn’t face-to-face contact on a that I was told these colours were not really point, not us. It shouldn’t be just about creating chain, became an important client. “All our regular basis.” ‘Japanese colours’ but an Australian’s a strong signature for yourself,” says Cato. work is client, site and brand specific. I would interpretation of Japanese colours.” Generally speaking, Seyd has found his say it’s our attention to detail that we’re known Cato Partners is currently working on several export experience to be positive. He admits More successful was Cato Partners’ use of for,” says Seyd. He later moved to Australia and projects overseas. One of these projects involves that on occasion being kept out of the loop Arabic symbols for the World Central Airport established Insite. Since then, he and his team the development of an identity for the largest can be problematic, with decisions made in Dubai. “We borrowed visual cues from have worked on a broad range of projects. airport in the world in Dubai. The company is overseas sometimes not passed on to the studio. the Arabic culture and modernised them. also working on a project for Aramco in Saudi Insite is currently working on the fit-out of a “A project may have temporarily stopped and The language we used created a fresh Arabia and an identity for a television station high-end apartment in Shenzhen, China, and it’s only some time later that you’re made interpretation, but there was a sense of in Pakistan. designing a number of stores for K-Swiss in aware of it,” says Seyd. familiarity,” says Cato. “The scheme was Japan, Korea, Taiwan and China. “The Asian One of Cato’s earliest forays into the overseas approved in less than 15 minutes.” Seyd believes in offering value in a competitive culture is extremely brand conscious, far market was in the 1970s, with the wine division market, particularly overseas. “You need to be With 50% of the organisation’s business more so than the Australian market,” says Seyd. of Phillip Morris. “A significant amount of able to convince clients that you can deliver, now outside of Australia, Cato emphasises As noticeable are the differences in the size of work from overseas came from word of mouth. not just the same, but better results from afar.” two points as critical to success: stores. “In Australia a typical store might be Today, the internet has made the world a lot 100 square metres. Typically on projects in “Your fee structure is also important,” he adds. smaller,” Cato says. – Communication and being able to get Asia it will be 60-70 square metres, and the The current economic situation has only your ideas across to a large audience In the 1970s when Cato started to export, brief requires the same amount of product delayed one project. “We have been working communication was either by phone or mail. – Developing close business relationships in less space.” with a client in the US. We finished the design “It was a slow process. Now, with the internet, with the companies you work with overseas concept for their stores but the next phase, Seyd recognises that there are cultural ideas and responses are generated quickly,” — there has to be a continual dialogue implementation, has been put on hold for differences but he doesn’t approach his overseas he says. “There’s also a lot more travel now.” two months.” Like most businesses that have felt the work any differently from commissions in While Cato hasn’t strayed from his ideals, recent economic downturn, Cato Purnell isn’t Australia. “It’s always about interpreting the www.insitedesign.com.au he is acutely aware of cultural differences. immune. “When there was a downturn in the brief,” he says. At times there are tight deadlines “A word can mean the same thing in two 70s, 80s and 90s, I can honestly say we weren’t on projects, requiring additional staff. countries, but be interpreted quite differently. particularly affected. This is really the first “Sometimes the lead time can be a few weeks. You need to make sure that you listen carefully time I’ve noticed a downturn. The world is It can be quite an intense period. Here a and share the same interpretation. And you global — what happens in America, Europe deadline might be six months, while a similar need to ensure that meaning is clear before and Asia affects us all,” says Cato. “People project overseas is expected to be completed you act,” he says. still have budgets to work with and plans are in four months. Often, you need to hit the still going ahead. There’s just more caution.”. ground running.”

www.catopartners.com.au

18 Design Victoria The Case For Export 19 CASE STUDY “Australia isn’t the easiest place to start Jackson Architecture up an office for an overseas project. Architecture doesn’t travel as easily as other design disciplines, particularly as it can take between two to four years to complete a project. Most clients expect weekly meetings,” Jackson says.

Daryl Jackson is well known in architectural While working overseas requires some circles. His firm, Jackson Architecture, adjustment, Jackson says he hasn’t changed established in the mid-1960s, is responsible his approach to dealing with clients. for many well known commercial buildings “They appreciate our sense of openness. and sporting venues. The Melbourne Cricket It’s inherent in the Australian character.” Ground (designed by Jackson Architecture Many overseas projects are determined in collaboration with MCG 5 Architects) and by competition, particularly in France, the Etihad Stadium (formerly Telstra Dome) are UK and the US, and some overseas projects two of the most frequented sporting grounds have not eventuated beyond the design phase. in Australia. Now, with a staff of over 100 “You do receive a fee for being part of the and four offices along the east coast, Jackson competition but it never covers the amount reflects on his practice. of time or money invested in the project. “We’ve always been interested in the It’s underpinned with resources you build abstraction and expression of architecture. up in Australia,” says Jackson. It’s always been important to reveal the In the mid-1990s a delegation of Australian structure of a building, exposing the way architects was taken to Shanghai by the something is made,” says Jackson. Victorian Government. “It was a great entry Jackson Architecture has made its mark on into the Chinese market,” says Jackson, who the Australian landscape but has also worked returned with a commission for a housing extensively overseas. Jackson worked in development in Wuxi. London in the mid-1960s and although he made While many designers head overseas on several connections at that time, it wasn’t until fact-finding missions, Jackson prefers to the 1980s, after the Royal Institute of British conduct research from his home base in Architects invited him to speak to its members, Melbourne. With many officials visiting “You need to be that things took off. “Clients came along to see Australia, Jackson Architecture has not needed the presentation. Work tended to evolve from to approach developers overseas. For example, there,” says Jackson. extremely diligent a large contingency of government officials In the early 1980s, Jackson Architecture from China came in search of Australian when you are exporting designed the Australian Embassy in Riyadh, architects after seeing various architectural Saudi Arabia, which was commissioned by publications. “They might have seen one of our your services overseas. the Australian Department of Foreign Affairs. universities or hospitals in a magazine. They A few years later the company designed a knew what they were looking for,” says Jackson. swimming pool complex in Richmond Hill, The recent financial crisis has slowed projects You need to know exactly London, and a gymnasium, located under a overseas. “Some are still going ahead, others are railway station, in Central London. on hold. Borrowing has become more difficult,” who you are dealing with.” When an overseas project eventuates, the says Jackson. And for those starting to explore Stan Roche company often establishes a temporary office the overseas market, Jackson suggests seeking Senior Export Advisor, Austrade in the commissioning city. a significant portion of the fees upfront. “That allows you to start the process with a certain amount of confidence.”

www.daryljackson.com.au

20 Design Victoria The Case For Export 21 CASE STUDY GEYER Design EMDG Quick Tips

Interior designer Peter Geyer founded Geyer When the timing was right, Geyer Design The Export Market – Keep good records. Set up your claim Design in 1977. With offices around Australia, did open an office in Singapore. One of the schedules early and input information on and in New Zealand and Singapore, the Geyer many valuable lessons the company has Development Grants expenses as you incur them. Keep all original name is well recognised throughout the Asia learnt working internationally is that (EMDG) scheme is a key receipts, invoices and other supporting Pacific. Approximately 80% of Geyer’s business exporting requires much more than Australian Government documentation as you will need to show is corporate workplaces, with the remaining ‘dropping in’ to a country. these to Austrade at the assessment audit. 20% in retail design and consultancy. “We’ve financial assistance Claim schedules are available to download always taken a holistic approach. “You need to show a level of commitment program for aspiring from www.austrade.gov.au/exportgrants/ There’s a strategic plan from the outset,” says when you’re working overseas by and current exporters. howtoapply. Geyer, who is now a consultant for Geyer Design developing meaningful relationships – Read all the instructions in the EMDG and other companies, in Australia and abroad. and partnerships and understanding the The EMDG scheme encourages small and application package before filling out nuances of the region, country or city. medium sized Australian businesses to develop Geyer Design’s overseas projects constitute the forms. It’s also a large financial commitment,” export markets and reimburses up to 50% of approximately 10-15% of the company’s says Geyer, pointing out that there are expenses incurred on eligible export promotion – Use the help available. EMDG staff are turnover. The company prides itself on arriving ongoing staff and rent costs in addition activities, above a $10,000 threshold. available to assist you. Call Austrade at a core strategic plan for clients, determining to the considerable costs of initially on 13 28 78. where they want to grow, locally or Applications open on 1 July each year and establishing the business. internationally. “We look at a business in almost close 30 November. – Visit EMDG online for more information a forensic manner, not just understanding their including details of consultants who, for Geyer Design has learnt a lot along the way. – Complete the EMDG eligibility checklist business objectives, but also their culture and a fee, can assist you with the preparation There are differences in corporate laws, before filling out an EMDG Application where and how they want to competitively of your application. occupational, health and safety requirements Form and Schedules. position themselves. It’s not just about the www.austrade.gov.au/exportgrants. and local compliances issues. “It can affect placement of workstations,” says Geyer, who your cash flow and speed to integrate into a always workshops ideas in several groups. Source: Austrade market. It can take three years to break even. “It’s about making a business more effective.” There are grants available to assist with export; One of the earliest champions of Geyer Design’s in particular in sales and marketing, and to inroads to overseas markets was Auckland law assist with local market knowledge,” says Geyer. firm, Bell Gully. Bell Gully wanted more from Although much information has been their fit-out — they wanted a work environment gleaned on overseas trips, Geyer also cites that would change the way they worked and the importance of conducting regular internet did business. The company went on to research and reading government reports. undertake projects for four other law offices “There is some terrific material available. in New Zealand. The Victorian Government also has business In the mid-1990s, Geyer Design was approached offices in places such as Dubai. There is such to set up an office in Singapore with a few other a depth of information out there, you just design companies. “Initially, we were need to access it.” enthusiastic but I think we were quite ‘green’. We didn’t feel as though enough concrete www.geyer.com.au research had been done. You always need to get third party business advice before making major decisions,” says Geyer.

22 Design Victoria The Case For Export 23 CASE STUDY Outerspace

Outerspace has designed a wide range of Johnson and his colleagues have travelled Established in 1990, products for a variety of companies including several times to Asia, visiting prospective a pair of sunglasses for Optalert. Designed for clients and electronic and product shows. train and truck drivers, the sunglasses feature Outerspace is one of the a built-in laser that maps the movement of “In Asia, business is done quite differently. the eye and gauges fatigue. “We feel that For example, there is a tendency for clients largest industrial design even medical products should have an to want to modify a design once it is well element of flair,” says Director, Mark Johnson. under way,” says Johnson. “In Australia, the The company has also designed bike seats that proposal is usually simply followed by a practices in Australia. reduce strain on the legs, and the Willow cooler, purchase order.” with a handle and wheels. “The cooler was Headed up by Mark Johnson designed not only to be ergonomical, but also Outerspace has also noticed a different competitive in terms of cost,” adds Johnson. approach to pitching. “In Australia, potential clients can see how skills employed on similar and Fred Blochlinger, Outerspace only recently started to look abroad. projects can be applied to their project. Previously, the company worked with firms Whereas in Asia, there is a need to clearly such as Compumedics, who would manufacture Outerspace offers its design demonstrate an exact skills match on new and sell Outerspace’s designs in the Asian, projects,” says Johnson. European and American markets. “They were services to companies in essentially exporting our design services. The company did not initially seek government We would hand over the manufacturing rights support for their move into overseas markets. Australia and offshore. with the product at the commercial stage,” However, now aware of the different says Johnson. development and export grants available, such as the Export Market Development Grant, To focus more seriously on overseas markets Outerspace is doing its paperwork. “50% of themselves, Outerspace employed a Business expenses for flights, accommodation and Development Manager, Ling Harte, a Chinese advertising over $10,000 can be claimed,” says Australian, to open up communication Johnson. Outerspace also found the Victorian channels. With her appointment, the team’s Government’s Mentre program, a business roles changed. Blochlinger became the mentoring and coaching support program for Marketing Director and Johnson the small and medium enterprises, to be useful. Operations Director. “Before this, everyone was sharing responsibilities,” says Johnson. For Outerspace, one of the main barriers to exporting has been time. “When you’re running an organisation the focus is usually on local requirements. Having Ling on board has allowed us to have both shopfronts open at the same time,” he says.

www.outerspacedesign.com

24 Design Victoria The Case For Export 25 CASE STUDY emerystudio EnsurE that you are paid

Established by Garry Emery in the mid-1970s, 2. Credit insurance, where an international “It was important to understand the It sounds obvious, emerystudio is a trailblazer in design. While insurance company insures your receivable differences between Eastern and Western early projects centred on graphic design, but many businesses for payment on due date, is another option. thinking, which informed our particular branding and wayfinding, emerystudio’s service If payment is not made due to bankruptcy or way of working, to understand how to work get so caught up in a offer today is far more comprehensive. Their refusal to honour a contract, you will be paid effectively within a highly structured and contribution to projects is often multi- deal, that they forget out (generally to 90%) and the insurance hierarchical cultural and commercial dimensional and sometimes difficult to define. to put due care into company will chase the client. An ‘out’ is environment that operates by seeing the if the client claims non-performance. For instance, emerystudio has worked as part world in shades of grey, rather than as the payment method In this instance you would need to prove of an urban design and architectural team in polarised viewpoints,” says Emery. and timing. performance under the contract for the planning of a new city in the Middle East. payment to be made. They are currently working as part of the core “In Asia it is prudent to spend more time Any delay in payment means you have to design team, alongside an architect, landscape listening than speaking, to suggest that there eat into your working capital, so include in 3. Funds in escrow. Both parties can agree for architect and an artist, on the concept design for are always alternative ways of solving problems. the contract payment by a set date, and consider funds to be held in a separate account with an Harbour Esplanade at Melbourne’s Docklands Rather than being direct and saying that including an interest cost for late payment. independent third party. Once the third party, and have been appointed as brand custodians something is categorically wrong, it’s preferable What happens if the client becomes bankrupt usually lawyers or attorneys, are satisfied the and creative directors for the development of to approach such issues differently, perhaps by or refuses to honour the contract? It can be a contract is fulfilled, funds are released from a grand international hotel. saying ‘have you thought of approaching the lengthy, expensive and, in many cases, futile the account for payment. task this way’,” says Emery. For more than 15 years emerystudio has worked process to pursue them through the legal 4. For large contracts in overseas destinations on major international projects in China, the emerystudio enjoys undertaking projects system in a foreign jurisdiction. you might consider inserting a clause that UK, and in the Middle East, notably on the that are complex and multi-dimensional. You can put some safeguards around payments: any disputes be handled by an independent three tallest buildings in the world; Petronas Their approach integrates communications, arbitrator. This may be a better option than Towers, Taipai 101 and Burj Dubai. navigation, placemaking and branding in two, 1. Request a documentary letter of credit going through the courts in some countries. three and four-dimensional environments in (if exporting a tangible) or a standby letter The International Chamber of Commerce In the 1980s, along with a small group from various mediums. of credit for a service contract. In both (ICC) provides this service and it can be design practices of different disciplines, instances the client’s bank stands behind referenced in the contract terms. emerystudio was encouraged by the Victorian “Our business is to manage perceptions; the transaction, and as long as all conditions Government to enter the Singapore market. our process is strategic. We aim to deliver noted in the credit are adhered to, their bank It is always a good idea to talk to your bankers Establishing personal relationships with potent outcomes,” says Emery. “We endeavour will pay you. about the payment method, as they are often well-connected Singaporeans and the Singapore to bring a cultural dimension to every the ones who will be advancing you funds to Economic Development Board proved to be commercial project. To touch the heart These two methods require the client to use support the contract and thus have a vested the most effective way of gaining cultural and mind of the audience.” credit lines or cash to backstop the facility. interest in making sure you are paid! and commercial understanding. However, the client may not wish to tie up www.emerystudio.com credit lines or cash. Source: Australian Institute of Export

26 Design Victoria The Case For Export 27 CASE STUDY CASE STUDY Sprocket Catalyst Knog

Baby boomers will recall the cartoon series, With Fraser on board the company in Australia Hugo Davidson, CEO of the companies Catalyst Catalyst moved into the export market The Jetsons. George Jetson, the father, worked was reorganised. “Our team here had to become and Knog, speaks modestly of his success. gradually over time. “It was quite an ad-hoc for Spacely Sprockets which captured the future more autonomous with Cheryl and I often However, with 37 international awards and approach,” says Davidson. from the 1960s. Gerry Mussett and his business travelling. We had to assign staff different roles supplying 47 countries, the tone of his voice partner, Cheryl Fraser, predict future trends rather than duplicating tasks,” says Mussett. should be considerably louder. With fellow In contrast, Knog was established with the from the present. Their company, Sprocket, A new IT system was established to ensure Director, Malcolm McKechnie, and Chief export market in mind. Knog’s first foray into named after the company in the cartoon ease of communication and workflow from Marketing Officer, Mike Lelliott, the world the overseas market was at a trade fair in Taipei. series, is light years ahead of The Jetsons. all corners of the globe. “We regularly hold awaits their next instalment. At the end of the fair, the Richmond-based webinars where we demonstrate new products Established 21 years ago by Mussett, Sprocket Catalyst, a design consultancy and management company had secured 16 clients. “We had visited both interstate and overseas,” he says. has evolved from a pure industrial design company, was established 19 years ago. Today, it approximately 10 countries in advance of the practice into a design and manufacturing One of the cultural differences Sprocket has has a team of product development specialists: trade fair to learn how they sold and marketed consultancy, developing interactive products noted is in the sales pitch. researchers, brand developers, strategic similar products,” says Davidson. such as digital directory systems. Melbournians planners, industrial designers, engineers, While Knog had great success at the trade show, would be familiar with Sprocket’s iHub touch “In the US, you need to be more obvious and project and production managers. they had little experience in dealing with such screens located throughout the CBD, which about what you’re selling. Everything must Knog was established five years ago. The significant orders. “There was no established provide instant access to the city’s be clear and well detailed. The aesthetics of company designs and manufactures cycling process to follow. There was no supply chain, entertainment, dining and shopping a product are secondary to how it products aimed at urban cyclists worldwide. method of ordering or ways to deal with obvious information. Sprocket’s V Series kiosk, created functions,” Mussett says. “Three to four years ago urban cyclists were things like freight forwarders,” says Davidson, six years ago, received an Australian Design a pretty drab lot. They were either people who who had to develop a team back home who Award and helped establish the company. While Sprocket’s export experiences have couldn’t afford cars, or school kids,” says understood the mechanics of export. been mainly positive, they have felt the effect Sprocket set up a joint venture in China Davidson, who sees his target market today as of a sliding Australian dollar in relation to the It was also important to learn about different (Xa Corporation) approximately eight years in their mid-twenties, with 10 years either side. greenback. During one project, the Australian cultures and their way of doing business. At the ago. “We’re designing similar products for In addition to bike helmets, Knog designs dollar slipped 42% in comparison and although trade fair in Taipei, the Knog range of bags was the Chinese and world markets. Sometimes, luggage and tools for bikes such as Porno price fluctuations were mentioned in the shown only in black. “We found out the hard we bring products produced in China back to Patches, self-adhesive patches used to seal contract, the clause was not adhered to once way that Americans don’t connect with black. the Australian market. It depends on volume,” tyre punctures, and Frogs, which are miniature the product was in the manufacturing phase. It’s a very European colour,” says Davidson. says Mussett. lights that attach to a bike’s wheels. Two million “The contract should have been more specific “You can’t assume that one design or colour is Frogs were sold in the last two and a half years ­­ Mussett cites Multimedia Victoria (MV), from the start,” says Mussett. going to be taken up by different countries at — 60% of Knog’s clients are overseas, in a Victorian Government body, as one of the the same speed.” Like other companies that have experienced South-East Asia and the US. company’s champions. “We took advantage the economic downturn, Sprocket is not Knog has strived to perfect its branding, of the export assistance program. They have Catalyst designs and produces a range of immune. However, while some of their regular leveraging off Lelliott’s extensive experience grants for travel to attend trade shows,” says household and office products, including clients such as banks and retailers are feeling working in Europe with a similar company. Mussett, who was also appreciative of a grant phones, radios, printers, kettles and irons. the effect, Sprocket is finding an upturn in “To sell a product in any country you need to to network overseas. “One year MV took a Initially, the company designed products other businesses they service, such as clubs be focused on the brand. There also needs to group of Australian architects and planners and sent them to clients overseas to produce. and entertainment venues. “In these times, be a story behind the product,” says Davidson. to China. They made introductions and liaised “We wanted to expand the design process and you need to be flexible and see where the with officials.” reap the rewards,” says Davidson, who now market is going,” says Mussett. www.knog.com.au manufactures many of the company’s designs Fraser, Design Director and now a partner in www.catalyst.net.au in China. Sprocket, joined the company after exporting www.sprocket.com.au took off. “She has been instrumental in forging our presence overseas,” says Mussett.

28 Design Victoria The Case For Export 29 CASE STUDY BURO Architecture + Interiors

Established in 2001, BURO Architecture + BURO didn’t restructure its team when work BURO didn’t restructure Interiors focuses on bespoke housing and from overseas started to filter in. Instead, offices and high-end hospitality, restaurants several staff were dedicated to off-shore and cafes. The practice occasionally works in projects. The company has, however, its team when work association with other firms. “Our work is developed a slightly different pitch. crafted and well considered. We’re interested from overseas started to in how people respond to space,” says Architect “We call it ‘playing taller’. You need to Stephen Javens, one of three directors of BURO. present yourself as larger than you are,” says Javens, who has a staff of 10 people. filter in. Instead, several Between 2005 and 2008, BURO undertook a considerable amount of work with Chinese Javens also found services offered by the developers. The company worked through a staff were dedicated Victorian Government’s Department of business representative based in Hong Kong. Innovation, Industry and Regional “He would find the work for us and in return, Development (DIIRD) to be valuable. to off-shore projects. we would give him a percentage of the fee,” “They work closely with China and can assist says Javens. The representative was also with locating potential clients,” says Javens. engaged as a translator for BURO who had DIIRD, he says, have fact-finding tours for those business networks throughout China. wishing to export their services, and Austrade While BURO’s fees for smaller projects also offers assistance with export. were paid, fees for larger commissions Although BURO lost financially in their early remain outstanding. “We spent a considerable venture into the Chinese market, they found amount of time and money designing two the research they undertook in relation to high-rise towers in China. After four months, the project extremely valuable. “They were we realised our representative had shot particularly interested in us developing through. The client had passed on the fees environmentally sustainable principles. That to the rep, but he didn’t pass them on to us,” research is now being used for other projects says Javens. “It cost us a fortune.” overseas,” says Javens. He also recommends The experience in China didn’t deter BURO working closely with local professionals in from exploring other export markets. They the country where the commission originated. turned their attention to Singapore and Hong “Engaging local practitioners for Kong. After a year of staying in a Philippe Starck documentation and contract administration designed hotel in Hong Kong, the General has really allowed us to stay focused on design.” Manager of the hotel, Barry Polson, asked BURO to design a hotel in China in association www.buroarchitects.com.au with Hecker Phelan & Guthrie. They were also commissioned to undertake a series of potential hotels in Thailand, Bhutan and even in the Yarra Valley, Victoria.

30 Design Victoria The Case For Export 31 CASE STUDY QUBE KONSTRUKT Managing Exchange Rate Risk

For a small company, Qube Konstrukt has For one fact-finding mission overseas, Qube The ideal option for The main tools available to use are: delivered some large commissions for multi- Konstrukt produced a book of their work titled 1. Foreign Exchange Contracts: These national companies. The multi-disciplinary Consort. Presented to agencies in New York, Australian businesses selling contracts lock in an exchange rate for a set team has designed magazine layouts, visual the book was conceived as their calling card. overseas is to be paid in amount of foreign currency at a set future identities and 3D animation and motion for “We received a lot of positive feedback from it,” Australian dollars (AUD), date. There can still be a small exposure if clients including Sprite and MTV Streetmuse, says Wurfel. “We had previously worked in the the amount you receive, or the date of a range of street wear for MTV. Posters and US so some of the new jobs that came after the however this will not always receipt, changes. The main risk is that the small projects also appear in the company’s trip with the book could be attributed to that.” be possible. One party or contract is cancelled and the exchange portfolio. “We wouldn’t say there’s a definitive the other will always be contract needs to be unwound. This can style. Each person in our studio brings James Fotheringham, Studio Manager, result in a loss or win fall, depending on something new to a project,” says Janine sees the company’s success as the result responsible for managing how the rates move. Wurfel, Co-Director. of their high-energy pitches to clients. the exchange rate risk. “They can see that we’re serious designers 2. Foreign Currency Option: These optional There have been key people who have and used to delivering,” he says. If you agree, or are bound to receive payment in contracts allow you to ‘insure’ yourself helped spread the Qube Konstrukt name another currency, there is an exchange rate risk. against a large adverse movement in a internationally, with approximately 30-40% Fotheringham also believes that the exchange The risk is that the exchange rate moves currency (for a fee) and allow you to use of the company’s turnover now being generated rate has assisted with new business overseas. adversely between the date of the contract and the current exchange rate at payment date through export. The commission for the “A drop in the Australian dollar makes our the date of receiving the money. Of course the if it moves in your favour. It’s like insurance MTV project in the US was assisted by an services even more affordable.” rate can also move in your favour. In a volatile for a negative exchange rate movement. introduction from someone who had market, however, a large adverse movement worked with Qube Konstrukt in Australia. Fotheringham, like his colleagues, has had can wipe out your profit and potentially leave 3. Foreign Currency Accounts: If you have “It’s important to build relationships with mainly positive experiences with exporting. you with a loss once you convert the foreign large flows in a foreign currency, you people,” says Karan Singh, a designer with He does highlight the need to check contracts currency to AUD. could consider opening an account in the company. “We’re a relatively small studio. with a fine-toothed comb. “There can be clauses that currency. You then decide when the But we’re not afraid to take on the type of you don’t expect. About 5% of our contracts Can you afford to take this risk? currency is converted to AUD. It can also work larger companies handle.” deviate from terms we agreed to. Sometimes it’s Most organisations are not in the business be very useful if you have both receipts just a misunderstanding,” says Fotheringham. and payments in that currency. Qube Konstrukt cites few obstacles in working of playing the Foreign Exchange market, overseas. “It’s not the same as dealing with Although eligible for assistance from the so they use tools available through their 4. Contract Conditions: Another consideration people face-to-face, but there’s always email Victorian Government when they produced banks to manage the risk. may be to insert a clause in your contract and the phone,” says Singh, who also uses their book, Qube Konstrukt did not pursue it. whereby if the exchange rate moves, by Skype to lessen the distance. “Sometimes, “We’re a hands-on team. Getting the work more than say 10%, the payment amount we’ll use web cameras, as was the case for a done took precedence over filling out forms. can be varied to allow for the change. motion project in Taiwan.” We’re more structured now to take on those This would be a good option when payments administrative tasks. I think larger companies are being received over a long period of time. probably do that sort of thing better than To get the right foreign exchange protection smaller ones like us,” says Wurfel. for your business and your contract requirements it is always best to seek advice www.qubekonstrukt.com from your bank.

Source: Australian Institute of Export

32 Design Victoria The Case For Export 33 CASE STUDY VICTORIANS DESIGNING FOR ALESSI

Designing for Alessi may be one of the most Kovac’s relationship with Alessi started in 2001 “ I had hesitations because enviable commissions with thousands of when 22 architects from around the world were designers from all over the world competing commissioned to design a tea and coffee tower. for the opportunity. Australia would seem to Kovac designed a tea and coffee pot, a cream of my lack of experience. be punching above its weight with several jug and sugar bowl, conceived as a single designers from down under having designed curvaceous landscape. “It was the first time I But I made a decision objects for Alessi. Talent, rather than age or worked in the scale of industrial design rather experience, is the necessary criteria. “I think than architecture. It requires working with I was the youngest designer to have worked completely different materials and techniques,” to make the most of with Alessi,” says Lisa Vincitorio, who was he adds. only 21 years-old at the time she first Kovac is currently working on numerous the opportunity. collaborated with the company. products for Alessi, from objects and lighting to Now 26, Vincitorio is still collaborating with furniture. With a studio at RMIT, he and his I had nothing to lose.” Alessi. Zucch (Italian abbreviation for sugar) students are working on a family of products. Lisa Vincitorio is a sugar castor design made from two layers “Alessi is the finest design company in the of glass. It follows on the heels of Vincitorio’s world. They build relationships and they’re successful fruit bowl design, Fruit Loop. Fruit always keen to push the boundaries of design,” Loop was displayed at the Milan Furniture says Kovac. Fair in 2004, only one year after Vincitorio Susan Cohn, one of Australia’s leading graduated from Industrial Design at RMIT contemporary jewellery designers, has University. “I had hesitations because of my established a reputation both locally lack of experience. But I made a decision to and internationally. make the most of the opportunity. I had nothing to lose, and I didn’t know if I would In 1990, Alessi conducted an international be exhibiting at this prestigious fair in the competition. “I was recommended by Cristina future,” says Vincitorio. Morozzi (internationally acclaimed design critic and writer) and by one of Alessi’s scouts Seeing her work displayed on Alessi shelves who saw an exhibition of my work,” says Cohn. around the world is a dream for Vincitorio. From 140 designers invited to participate, “It’s thrilling. The idea that you can dream 20 were short-listed. And from the 20, nine something and then find a manufacturer objects, including Cohn’s Cohncave bowl, that you can work with to make it a reality is were produced. indescribable,” she adds. “The Cohncave bowl launched me onto the Tom Kovac, Professor of Architecture at RMIT international scene. It provided me with University, has also developed a relationship invaluable experience in some of the challenges with Alessi over many years. of working from an Australian base,” says Cohn. “They appreciate Australians fresh Cohn says design is part of everyday life. approach to design. We don’t come to the “For creativity to flourish it is vital to be table with centuries of baggage,” says Kovac. supported by people (and to support others) who maintain the same level of commitment.”

34 Design Victoria The Case For Export 35 Recommended resources

Getting ready for export First steps in market research Risk management Financial assistance

OPENING DOORS TO EXPORT is the AUSTRADE provides country and industry AUSTRADE provides information about The major banks will each have a section Victorian Government’s export program. data as well as links to other sources. risk management for businesses exporting, about international trade within their Visit www.export.business.vic.gov.au or call Visit www.austrade.gov.au or call 13 28 78. visit www.austrade.gov.au/Risk-management/ business banking units. the VICTORIAN BUSINESS LINE on 13 22 15. default.aspx for more information. IBIS WORLD produces reports on a range AUSTRADE’S EMDG SCHEME is a good starting AUSTRADE is a must for anyone considering of industries, visit www.ibisworld.com STANDARDS AUSTRALIA has developed point. Visit www.austrade.gov.au/EMDG export. Visit www.austrade.gov.au/How-to- for more information. world-class techniques for risk management, or call 03 9648 3142 for more information. export/default.aspx or call 13 28 78. including expert advice on procedures Examples of what to expect in meetings in The Australian Government’s BUSINESS PORTAL and processes to implement. AUSTRADE also provides information about the Arab world are outlined by the COUNCIL provides an entry point to government agencies Visit www.standards.org.au or call developing your online presence and exporting FOR AUSTRALIAN ARAB RELATIONS. offering financial support for business 1800 035 822. online. Visit www.exportingonline.gov.au for Check out www.dfat.gov.au/caar for business development and export marketing. Visit more information. guides for the UAE, Saudi Arabia and Qatar. www.business.gov.au/Business+Entry+ Point for more information. The AUSTRALIAN INSTITUTE OF EXPORT (AIEx) The ASIAN DEVELOPMENT BANK provides Visiting the market is a great starting point for courses and good background data on its member countries, The VICTORIAN GOVERNMENT offers financial publications. Visit www.aiex.com.au or visit www.adb.org for more information. A must read is the AUSTRALIAN DEPARTMENT assistance to Victorian companies exporting. call 03 9328 4814. OF FOREIGN AFFAIRS AND TRADE website, Visit www.export.business.vic.gov.au or call The CIA website contains country data for recommendations and travel advisories the Victorian Business Line on 13 22 15. The AUSTRALIAN INDUSTRY GROUP as does the WORLD BANK site. about the countries that you intend to visit. provides valuable exporter services. Visit www.cia.gov/library/publications/ Go online and visit www.smarttraveller.gov.au AUSINDUSTRY has a range of grant Visit www.aigroup.com.au/trade and follow ‘The World Factbook’ links. for more information. programs to assist Australian businesses. or call 03 9867 0111. Or, visit www.worldbank.org/data for Visit www.ausindustry.gov.au or call 13 28 46 more information. Talk to AUSTRADE about your entitlements for more information. IP Australia has a wealth of information under the EXPORT MARKET DEVELOPMENT about protecting your intellectual property, GRANT (EMDG) scheme and what receipts The EXPORT FINANCE AND INSURANCE visit www.ipaustralia.gov.au CORPORATION can provide advice about Export strategy you will need to keep. or call 1300 65 1010. Visit www.austrade.gov.au/EMDG or call finance and insurance for export businesses. Visit www.efic.gov.au or call 1800 887 588. The INTERNATIONAL TRADE CENTRE The VICTORIAN GOVERNMENT website provides 03 9648 3142. information about developing an export is operated by the UN and WTO. Familiarise yourself with what the strategy and provides a sample of a strategy. Visit www.intracen.org for data about Australian Government’s EXPORT FINANCE Visit www.export.business.vic.gov.au/export_ international trade. AND INSURANCE CORPORATION can offer at home/ and follow the ‘Preparing Your Export www.efic.gov.au or call 1800 887 588. Strategy’ links for more information. The VICTORIAN GOVERNMENT facilitates trade fairs and missions in key international markets. Visit www.export.business.vic.gov.au or call the Victorian Business Line on 13 22 15 for more information.

36 Design Victoria The Case For Export 37 CREDITS

Working Group Design Michele Azzopardi, Gary Haywood, Southsouthwest Kara Macleod Printing Design Victoria Bambra Press Ian Taylor, Roger James, Peter Mace, Paper Lisa McAuley Stephen Swiss White 140 and 330 gsm Australian Institute of Export Stan Roche, Charly Vanni, Green Yang For further information about Design Victoria, Austrade visit designvic.com or contact: Andy Sargent Australian Graphic Design Association Design Victoria RMIT University, Building 97 Ian Scott Design Institute of Australia Level 2, 106-108 Victoria Street Carlton Victoria 3052 Roger Simpson GPO Box 2476V Swinburne University of Technology Melbourne Victoria 3001 Case Studies written by T +61 3 9925 4195 Stephen Crafti F +61 3 9925 4166 E [email protected]

38