Successfully developing sales channels in Africa from scratch - Expanding fully automated PCR testing equipment to the African region

 

STANDAGE Co., Ltd. (Minato-ku, Tokyo; CEO: Akinori Adachi; hereinafter referred to as Standage), which develops and provides digital trade platforms, has begun providing its trade package service "DigiTrad" to Precision System Science Co., Ltd. (Matsudo City, Chiba Prefecture; CEO: Shuji Tajima; hereinafter referred to as PSS) in April 2022. We are pleased to announce that about one year after the start of the contract, we have successfully developed sales channels and built sales in Africa, laying the foundation for PSS's business expansion in Africa.

 

■ Background of the introduction

Since around 2020, the world has been hit by the hardship of the COVID-19 pandemic, causing chaos in many regions. Africa in particular has a developing medical field, and various infectious disease issues have been a serious concern even before the COVID-19 pandemic.

Against this backdrop, PSS had long been keen to expand its in-house products, the automated nucleic acid (gene) extraction device "magLEAD" and the fully automated PCR testing device "geneLEAD," into Africa; however, it had been unable to access partner companies or agents familiar with local conditions in Africa, which was a major challenge.

Since its founding in 2017, Standage has been focusing on Africa, with bases in four countries: Nigeria, South Africa, Kenya, and Egypt. It employs local staff and is engaged in various initiatives related to trade with Africa.

Digitrad, the complete trade package that has been available since spring 2022, is a service aimed at domestic companies that have difficulty building their trade on their own, allowing them to outsource everything from sales channel development to payment and logistics to Standage.

In supporting the exports of domestic companies, we have also demonstrated our strengths in building trade and developing sales channels with Africa, leveraging the strong relationships we have built with Africa since our founding.

The contract was reached because Standage, which has bases and relationships in the region and strengths in building trade with Africa, would be able to support PSS, which wants to expand its medical equipment into Africa, and thereby contribute to the development of medical care and welfare in the region.

 

■ Main services provided

Since the products are purchased domestically, manufacturers can export them with the same procedures and labor hours as for shipping domestically. Standage will then handle all sales channel development, contract-related work, and preparation of export-related documents.

At the same time, Standage will understand the manufacturer's products and conduct a survey of the local market and demand. Based on the results, Standage will carry out promotional activities such as exhibiting at exhibitions where local buyers gather, and will handle everything from inquiries to price negotiations, contracts, payments, and transportation arrangements including samples.

As a result of promoting two types of PSS PCR testing equipment at a local exhibition, an inquiry was received from an Egyptian distributor, and the supply of the equipment was realized.

 

■Comment from Hideki Tanaka, Director of Precision System Science

We develop, manufacture and supply fully automated PCR testing equipment used primarily in in vitro diagnostics and research fields that involve genes, as well as associated dedicated consumables (gene extraction reagents, etc.) worldwide.

In the past, our main business was OEM supply, but due to the COVID-19 pandemic, awareness of our own brand has rapidly increased, and now selling our own brand products has become our core business.

During the COVID-19 pandemic, we were able to widely provide fully automated PCR testing equipment to medical facilities in Japan, but we wanted to meet the growing needs both domestically and overseas for testing for infectious diseases other than COVID-19, genetic mutations such as cancer, and animal testing, so expanding our overseas sales agents became a new and urgent business issue. At that time, we were introduced to Standage through our bank and applied for their trade agency service "Digitrad."

Standage's Vice President, Mr. Omori, is a former researcher in the bio-related field and has a deep knowledge of the genetic testing field. After gaining a deep understanding of the concept of PSS's products, he immediately began introducing the products at exhibitions in Egypt and Kenya and searching for sales agents.

Furthermore, we received support from a dedicated Egyptian-born person in Egypt, Africa, and as a result, we were able to achieve our long-cherished dream of making our first contract in Africa, gaining a sales agent, and selling our products. It truly made us realize how easy it is to handle the entire process of international trade.

Using this sales record as a model case, we plan to further strengthen our business partnership with Standage in the future. We will make even more effective use of Digitrad to develop new sales outlets in Africa and other regions, and also have Standage help us with product promotion activities in the new genetic diagnostics field under the PSS brand.

 

■ DigiTrad is introduced by a total of 100 companies in Japan

"DigiTrad" is a comprehensive trade package service developed exclusively by Standage that provides a one-stop service covering everything from sales channel development to negotiations, contracts, settlements, and administrative procedures related to logistics and customs clearance.

Due to the rapid depreciation of the yen in the second half of 2010 and the government's efforts to expand exports, Japan's overall export volume has been on a gradual upward trend. However, when looking at the export volume of small and medium-sized enterprises in urban and rural areas, the gap is still widening.

Digitrad was created as a package service to handle all aspects of trade, from market development to contracts, negotiations, payments, and logistics, to enable Japanese manufacturers, who face these challenges, to expand overseas more freely and easily.

Rather than being limited to systemizing some operations or providing consulting, this is a service that can "handle" the entire flow of trade. As of August 2011, the number of companies that have adopted this service has reached a total of 100.

◇"DigiTrad" service official website:https://standage.co.jp/digitrad