MANILA, Philippines - Exporters are urged to be more creative in order to keep foreign orders coming despite the global recession.
“Hope alone is not going to get it done,” said Del Bibat, project leader of the Foreign Buyers Association of the Philippines (FOBAP) during the recent Manila F.A.M.E International Merchandise Briefing for exporters.
“Vendors must make sure that they are introducing really new products to catch the buyers’ interest. [Exporters] must [also] offer a pricing structure that gives buyers alternatives so that they [in turn] can offer their customers alternatives,” Bibat added.
Bibat said exporters must know their consumers more. A good way to study consumer behavior is by using the 2009 Independence Day Consumer Intentions and Actions Survey participated by 8,635 respondents conducted by the National Retail Federation in the US.
He said the study is a good indicator of what the US consumer is thinking. This allows local exporters to focus on certain product categories.
For instance, 62.6 percent of the respondents say they will be holding cookouts/barbecue to celebrate Independence Day. This means that these consumers will be needing kitchenware, cookware and perhaps some furniture.
When asked how fluctuating gas price have influenced their spending, 39 percent responded that they have reduced dining out which may again lead to opportunities for kitchen needs as well as home furnishings manufacturers.
Bibat gave Filipino exporters reason to remain hopeful stating that new orders for manufactured goods is up in April and May 2009 while inventories of manufactured durable goods is up in May after eight months of decline.
“One of the key engines that will eventually drive the industry to recovery is new merchandise,” Bibat said. He noted that trade shows remain the best venue for launching new products, pointing the importance of participating in these whether as a vendor or buyer.
He further advised exporters to know their buyers and understand their needs and requirements. They need to offer their buyers newness, competitive pricing, and alternatives.
Manila F.A.M.E. International is a bi-annual trade show for the home and lifestyle sectors led by the Center for International Trade Expositions and Missions (CITEM), an attached agency of the Department of Trade and Industry.
The show has set the standards for international exhibitions in the Philippines being the only trade fair accredited by Union des Foires Internationales (UFI) a Paris-based association of trade fair organizers.