1. Growing your business in Brazil & Chile
Carlos A Hernandez
VP Sales, Latin America

2. Sandvine Confidential
Sandvine Overview
Global leader in network policy control solutions for fixed and mobile converging operators
Solutions selected by more than 200 service providers worldwide
Headquartered in Waterloo, Canada with 350+ employees worldwide
Founded in listed Toronto TSX & London AIM
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3. Growing our Global Customer Base
Over 220 customers, in more than 86 countries, representing over 100m fixed and 200m mobile subscribers
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4. Benefits of exporting (Deloitte 2014)*
Exposure to new growth opportunities, global best practices, and diverse competition challenges exporters to excel.
Exporters grow faster, are more productive, and achieve better market performance than their domestic counterparts.
More surprising, is that exporting can actually reduce a company’s risk of failure: Geographic diversification balances risk, calms volatility and improves a company’s ability to withstand the ups and downs of business cycles.
Although exporting can open up new risks and challenges, companies that do so stay in business longer. *

5. Why Latin America (What is LATAM?)
600M people
5.16 Trillion USD GDP
High-growth rate
Competitive markets
Diverse cultures
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6. Sandvine Confidential
Brazil and Chile
Similarities:
Cultures of innovation
Competitive economies
Solid and stable markets
Differences:
Cultures and languages
Brazil is much larger but more complex
Chile is smaller but has high transparency, efficiency and simplicity to do business
…Both are very attractive markets and fantastic places to do business each with their own opportunities and challenges…
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7. Common Challenges Where to start? The culture
The language (Portuguese, Spanish)
Work through a partner (agent, reseller), hire local, go yourself?
Commitment
Consolidated industries: Decision process & location
The key is to understand and embrace the culture. It is not like doing business in Canada, US

8. Where to start? Traditional drivers (Why?)
Market size
Product needs (market or regulatory drivers)
Practical drivers (Why, How?)
Ownership (thus where decisions are made)
Target market’s competitive environment (your customers & yours)
Deal Mechanics: Don’t wait to the very last minute!
Who buys & takes risk (your partner, the customer, you)?
Trade conditions (barriers, agreements, taxes, payment restrictions, political)

9. First steps
Get familiar on how to do business there, be open to learn - make sure to talk about it!
You have help and tools, make sure to use them
Attend tradeshows relevant to the selected markets
Call / Visit customers and measure interest
Meet the right level of executives to get the right picture
Segment and time your markets:
Small vs large (sales cycle varies significantly)
Look for the innovators, the threatened by the dominant players
Find a friendly independent:
Willing to take the risk and to be “referentiable” for a good deal
Will allow you to learn from some mistakes
Will help you learn and understand local needs

10. There is help available
Government resources are your best way to
get familiar with the market,
find potential channels, partners, and customers
Understand if the market makes sense for your company
Missions and Trade Shows:
visit the country,
meet relevant companies and executives
Diaspora
How many Brazilians and Chileans are in KW?
…Make sure you have a plan & rationale…

11. Purchasing process in LATAM
Business Need
Internal request
Solution
Budget &
Approvals
Tender process
Ability to influence
Higher
Lower
Ability to reach multiple stakeholders
Progress in time
Slide 17 (of 68)

12. Purchasing Drivers in LATAM
They are doing the right thing for the company
Find best value
Minimize risk (company they trust or a sales person they know)
What is the right process? Isolated from external influences?
The “cheap” vs “best” dilemma
And achieving their goals
They want to get their bonus
Planning – Select technology that enables business growth
Purchasing – Get the lowest possible price
They want career progression
They don’t want to look bad or lose their jobs
The basis of growing your business is aligning your customers needs, with your company’s, and those of the people involved in the decision process…
Slide 17 (of 68)

13. A checklist Do you have a plan? Are you committed?
Do you understand the culture?
Working days
Protocol
Decision making process
Role of distributors
Importation process, customs, certifications, taxes
Do you know your customer (the actual people)?
Do you understand why and how they buy?
Timing (elections, regulations, budgeting, holidays… Olympic games, Soccer World Cup)

14. Thank you Questions?