Mud Daddy, a Newcastle company that manufactures portable devices for cleaning everything from muddy pets to outdoor equipment without the use of electricity, is set to expand its presence in the US market after landing a $90,000 (£67,932) export deal with American retail giant QVC.
The deal is the business’ first retail order in the US, and will see it supply 4,000 units of its ‘Mud Daddy’ washing brush to QVC, with the potential for more orders to come.
To support its US activity, the Mud Daddy team has begun working with a fulfilment centre in Pennsylvania that will help it quickly dispatch its products to new North American retail and distribution partners, as well as online customers based in the US and Canada.
The business is now targeting further growth in the US and Canadian markets through direct-to-consumer sales, as well as looking to secure additional retail partners.
Supported by blossoming overseas trade and growing sales in the UK, Mud Daddy is expecting to see its turnover grow by 500% to £1.2million by the end of 2019. Exports currently account for 40% of Mud Daddy’s annual revenue, with the business expecting to see this rise to 60% of its total sales by the end of 2019.
In addition to its US success, the business is also set to further its presence in the European market after receiving support from North-East based International Trade Advisers (ITAs) at the Department for International Trade (DIT).
Last year, DIT provided funding for Mud Daddy to attend the Interzoo trade show in Nuremburg, Germany, where it secured contracts with retailers and met with new overseas contacts.
As a result of these connections, the business is now in talks with a potential German distribution partner, with a view to begin supplying its customers this summer.
Mud Daddy currently sells to partners in the more than 12 markets around the world through its own website and Amazon.
Rez Gachcar, Director at Mud Daddy, said: “The US market is set to be massive for us, particularly as our product is multi-use and so appeals to a wide range of customer segments – everything from the pet market to sports and beyond.
“We started the business in 2017, and our export activity began almost from day one. Our initial strategy was focused on driving UK sales, but we soon found that we were receiving messages on social media from consumers in Europe and the US who were interested in buying our products. People like our product because it’s innovative. It’s portable, doesn’t require electricity and is almost silent – a real benefit when washing dirty pets.”
“I contacted the local DIT team here in the North East for advice on how to successfully introduce our products to new markets with international retailers and distributors, and they helped us meet the cost of travelling to the Interzoo show. That experience was invaluable in terms of networking, and we’re now set to secure a new export deal thanks to the connections we made there.
“Exports have become integral to our success, and I’d absolutely recommend DIT’s support to anyone interested in selling overseas. If we can do it, there’s no reason many others can’t too.”
David Coppock, Head of Region (North East) at the Department for International Trade, said: “Mud Daddy is one of the many innovative businesses already tapping into strong overseas demand for the North East’s products, and its success shows that exporting isn’t just for big corporations – businesses of all sizes across the region are well placed to benefit.
“We’re here to support businesses interested in making the most of opportunities abroad by helping to identify possible partners and advising on everything from language to tax. We know that exporting can help boost resilience and increase profitability, which is why I’m encouraging businesses to get in touch with our team today and see how we can help.”