A Sweet Journey

Our Heritage – Who We Were Born 30+ years ago Retail theatre concept Hand producing in front of

customers at each shop USPs of product quality, freshness

& amazing staff Began to develop new ranges for

wholesale market 6 years ago Even 3 years ago had not

considered that exporting could form a key part of our growth strategy

A Strategic Decision to Grow

Demand from other Retailers Trends in the speciality food market Gap in the UK market for a gourmet fudge

We decided to create a new arm to the business with a clear objective:

Aim: to establish Fudge Kitchen as the primary gourmet fudge brand within the Speciality Food and Gift Food Markets

• Although established on the High Street it took time to convince

UK buyers that fudge could sit alongside premium chocolate

• 6 years later, we have carved a unique niche in the UK premium

confectionery market; known for our innovative approach and

high product quality (11 GTA Awards)

• Have listings with over 250 UK stockists across many markets –

from independent retailers, food service (e.g. Claridges,

Radisson, Hilton & Wembley stadium), garden centres and

foodhalls, dept stores (Fenwicks, Adnams), Selfridges, Harrods,

corporate events & gifts & more

• In the last five years, our year on year growth has increased by

an average of 40% & capacity 10 fold

First Step : Conquering the UK

In the last 6 years we have created over 70 new lines split across 6 Complimentary Groups:

Gourmet Butter Fudge

Home Kits

Liquid Fudge Sauces

Drinking Fudge

Whipping Cream Fudge

Who Are We Now?

Caramels & Brittles

We sought help wherever we could:

Knowledge Transfer Partnership: product shelf-life extension

MAS: grants, mentoring, courses

Design Leadership Programme: branding

Local IoD/Food Groups: market & business info

Growth Accelerator: mentoring and training finance

UKTI: export advice & training

2Seas: introductions to export through visits

Enterprise Europe Network: export advice & assistance

Pressing the HELP Buttons

• Considered the possibility of export early on

• Had assistance through the EEN to a market visit to SIAL Paris

and then the 2 Seas program to Tavola some 4 years ago

• From these early visits we began to understand:

– The growth in speciality food and desire for hand made, premium

products extends outside of the UK

– British confectionery is well thought of in some regions

– Not all nations mirror the UK’s love for sugar – some have sugar taxes

– Outside of the other English-speaking countries ‘fudge’ essentially

doesn’t exist

– Flavour preferences vary enormously

First Steps into the Wider World

Accessing New Markets

• There are many routes to potential new markets – where to start?

• Membership of Trade Associations, Organisations & Agencies

– A great place to start gathering info

– EG: 2 Seas (or the new equivalent!)/ EEN/ FDEA/DIT (UKTI) with Passport to Export

– Published Data and Advice

• Organised Trade visits to trade shows or Meet the Buyer Events

– The next step

– Enables direct and relevant market info gathering

– First hand experience with overseas buyers

– Product sampling for direct feedback

– networking with other exporters is invaluable

Our Routes to New Markets

• After initial researches we decided that exhibiting at specialised Trade Shows would be our principle route to market

• We have generally secured some grant support through UKTI (DIT)

• We now undertake 2 principle overseas shows each year in addition to supporting distributors at 2 other events

• It takes time to be accepted by foreign buyers – this is not a quick fix, but with tenacious follow up it is now proving to be fruitful in our 3rd year

What Have We Learned?

• You have to be prepared to adapt your offering - be Flexible. 1 size does not fit all

• For us this has meant learning that: – Portion sizes – the Dutch & Germans prefer 100g

pieces, the French & Belgians much smaller

– The Spanish & Italians don’t like fudge but love brittles and caramels and things covered in chocolate

– The Far East love our packaging, but our products are too sweet for them!

– Flavours – Scandinavia loves liquorice, the Middle East prefer cardamom, rose & cumin

Doing the Deal – Our Experience

• Export is no different to any other business – if it doesn’t feel right, don’t do it. Build relationships.

• Start easy – direct supply to customer - in sterling – you can play with currency when you have confidence

• Learn the acronyms but in truth understand what each deal involves, mostly when title transfers from you to the customer

• Get appropriate insurance

• If in doubt operate Proforma.

• Use distributors rather than agents and don’t offer exclusive without time frames and targets

• In pricing, understand that export will require tight margins to allow for all potential over - labelling, transport and middlemen costs

• Do not under price

In Summary

• Exporting can be a great way to grow

• It now represents 10%+ of our growing business and is set to double in the coming year

• It takes time, tenacity & a flexible approach

• There is lots of help – connect and use it &

• Do some homework & create a simple strategy