The United States of Easy
Developing a food business in the US has never been easier when operating from overseas. With online customer driven technological advances and online marketing, starting up and building a US food business has become more straightforward over the 25 years I have been living and working in the US.
As the US is such a huge market and a physically large country, even back in 1999 when I first set up the Quorn foods US business, I noticed cultural differences with UK and European markets. Even back then, in the US people depended on fewer face to face meetings, relying on telephone conference calls to get things done. Remote located sales teams were commonplace allowing closer proximity to retail customers.
Today this is even more so the case.
It’s possible to start up your business by registering your US limited liability company located from overseas, no US citizens are required.
Video conferencing with a retail buyer has become the norm since the pandemic, straightforward to join from overseas. Although you will need to have some local representation with a sales agent or broker to pick up day to day matters. Also, you’ll need to ensure samples are smoothly distributed state side, with tracking to manage timeliness.
Supply chains importing and distributing products are very well established with online data and tracking that enables easy overseas management.
US banking can be set up with online visibility, and in the past decade, finally most US customers are sending money transfers rather than an old-style paper check!
Customers now provide online portals for suppliers, allowing visibility to sales, promotions, payment and deduction management.
Trade and consumer marketing activities are almost completely online with websites, social media and digital couponing overtaking traditional physical media.
So how do you start the process doing business in America?
First, I would recommend you set up a video call with Green Seed North America to discuss the viability of your brand and the US specific trends in your category. Ask the locals if there is a gap for your product.
Then I would arrange a market trip, to a bigger city like New York or Chicago and visit some supermarkets to look at your product within the context of the category. Do you have a point of difference and how does the pricing look?
Then I would suggest buying market data to understand the national picture and determine the size of the prize, to help you develop a market entry plan.
Also consider attending one of the bigger US trade shows like Expo West or Fancy Food, to get a closer look at the competition.
The US market today is structured in a way that it can be overseen and managed remotely from your home market. You will need some local advice on planning and you will have to set up US based third party relationships covering key business processes.
In short, a US retail food business can be managed with just one trip a year, and plenty of video calls and emails.
David Wilson
Founder and Partner, Green Seed North America
To get in touch with our North America team