Leighs Paints

Journey to Germany

When UK firm Leighs Paints decided to look at Germany as a new export destination, UK Trade & Investment stepped in offering the help and advice required to develop a successful market strategy.

Leighs Paints

Established in 1860, Leighs Paints remains a family-owned business and today is a leading UK manufacturer of industrial paint and fire-protection coatings, servicing customers in specialised markets that include civil construction and oil and gas.

Paul Clayton, Marketing Director for Leighs Paints, said: "We have been in business for nearly 150 years. In 2006, we became very busy in the UK with civil construction customers. In fact, we have supplied paint for nearly every high-rise building that has gone up in Central London in the last five years.

"With the construction boom in the UK around 2007/08, business looked promising. We knew it couldn't carry on indefinitely, as supply would eventually equal demand for the new buildings. But then the financial crisis hit, and rather than winding down slowly, this stream of our revenue came to an abrupt halt. We realised that, if we were going to sustain any growth in the future, we would need to look outside the UK."

Structured approach

Leighs Paints had sold its products overseas in the past, but the company recognised that it needed a more structured approach if export was to become a significant part of its revenue.

Looking for guidance on how to tackle its new business plan, the company settled upon UK Trade & Investment. A meeting with an International Trade Adviser was arranged, and the company joined the UK Trade & Investment's Passport to Export scheme.

"Until 2007, our approach to overseas business had largely been reactive, rather than proactive," says Paul. "We didn't have a clear strategy for exports. Passport to Export gave us the opportunity to sit and think about what we wanted from our business outside the UK. Some of the things we learned were blindingly obvious, but we had just never done it. So, we started to get serious. We determined a method by which to prioritise export markets, developed a ‘to do' list, and equally important, a ‘not to do' list."

Market research

Germany came out top of Leighs Paints eight target markets. It has a long tradition of steel frame buildings, which, unlike concrete, need fire protection. Germany is also very well regulated, and businesses take these rules very seriously.

Having decided to pursue the German market, the company commissioned an Overseas Market Introduction Service (OMIS) report, and then flew out to the Consulate in Düsseldorf to discuss the report's findings.

"The OMIS report was a fantastic starting point for us," says Paul. "The UK Trade & Investment team in Düsseldorf followed the scope of work that we had set out for them, and all the information we received was relevant. They then made appointments for us to meet key people that the report had identified - steel fabricators, construction companies and building designers. Speaking with these people allowed us to confirm specifically what the market was looking for and define which parts of our service are currently not available in Germany, so helping us highlight our unique selling point."

 Team effort

Armed with this crucial information, Leighs Paints began the process of setting up a presence in Germany.  UK Trade & Investment suggested ways in which the company should adapt its website, marketing literature and even invoices to improve the experience of German customers. The company took all the advice on board and invested in technical translation services.

Today, the company has a local representative office based in Cologne, which will generate sales and be a key part of the firm's business development strategy. 

"Everyone in the company has bought into this new venture," says Paul.

"When we organised German lessons for our staff, 45 employees signed up, and 30 of those have continued for a second year. We've been really impressed with the depth of knowledge of the UK Trade & Investment team, and their ability to undertake market research in a very specific, niche market and come up with right answers. Now, three years in, we all consider a consultation with UK Trade & Investment to be a fundamental part of our business."

For further information on Leighs Paints, visit: www.leighspaints.co.uk

For information about business opportunities in Germany, please go to www.uktradeinvest.gov.uk