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Her Inspiration

The Celebrity Speaking Circuit
Debbie Tawse
The passing of the Celebrity Speakers’ founder, Debbie has left a big gap in business circles. We were privileged to speak with her in the last few weeks of her life.

Her Insight

The Pointed Heal of Fashion
Cushla Buswell
The first woman and youngest person to hold the presidency of the NZ Footwear Industry Association, Cushla has been around the traps for more than a decade.

Her Inform

Exporters’ Branding Issues
We have some important branding issues you need to understand if you are looking to export.

Her Inspiration

The Celebrity Speaking Circuit
Debbie Tawse

The untimely passing of Celebrity Speakers’ founder, Debbie Tawse has left a big gap in national business circles. Jo Bailey was privileged to speak with Debbie about her fascinating career in the last few weeks of her life.

Although obviously struggling with the effects of the morphine she was taking to ease the pain of her advanced tumours, Debbie was incredibly stoic and the consummate professional when we spoke in mid-November, just over a month before she finally succumbed to her illness.

Mildie Meyer-Els, marketing and communications executive at Celebrity Speakers, says Debbie’s strength through her illness was an inspiration to her team. “Debbie was always so positive and continually setting new goals for herself. She refused to give in and fought so hard right to the end.”

Debbie founded Celebrity Speakers, the company of which she was so proud, in 1989 after months of agonising over whether or not she had the courage to do it. It wasn’t until her father offered to increase his farm mortgage and lend her the $10,000 she needed to get started that she finally made the decision to go ahead. It is a decision Debbie was never to regret.

During her 17 years at the helm of Celebrity Speakers (NZ) Ltd, Debbie built an international reputation for the company, which engages New Zealand’s top media celebrities, business consultants, sporting personalities and entertainers to speak at a wide range of corporate, community and national association functions. In addition, Debbie was Sir Edmund Hillary’s exclusive agent for almost 15 years.

“I look back on my years in business and it has been amazing – not bad for a farm girl from Hastings,” she said. “The highlights have definitely been the trips I have had, especially the two wonderful visits to Nepal with Sir Edmund Hillary - one of those celebrating the 50th anniversary of his ascent of Mt Everest.”

Before deciding to establish her own business, Debbie had an interesting and varied career. As a young girl she was determined to be “the world’s most brilliant scientist”, but after attending Canterbury’s Lincoln College, found she was rather more suited to commerce than science. In 1976 she joined the Ministry of Agriculture and Fisheries in Christchurch and from 1979 to 1982 travelled on her OE. On returning to New Zealand, she was employed as National Export Manager for Mogal International, Seminar co-ordinator for Auckland Regional Chamber of Commerce, and as a sales consultant for Force Ten and Cropper Carcros.

In 1987 she started working for New Zealand Business Speakers Bureau in Auckland. “I learned a lot and loved my job there, but after a couple of years I could see it was time for me to move on. When I resigned my boss made me leave on the spot, which was very upsetting at the time. I remember crying for weeks.”

Debbie says it took about three months for her to pluck up enough courage to consider running her own business. “In the end I picked up the phone, went through the phone book and started making calls to potential clients and potential speakers to tell them what I was thinking of doing. A typing bureau helped me design a letterhead and form my company, then I gave myself 12 months to see what I could achieve. The first few months were pretty stressful. There was not much happening, but I persevered and after about six months thought I might be on to something.”

Flick through the Celebrity Speakers’ website today, and it has a who’s who of New Zealand high achievers on its books - everyone from Raybon Kan, Michael Barrymore and Christine Rankin to The Topp Twins, Mike King and Suzanne Paul.

Debbie believed the secret to the company’s success lies in the careful consultation given to clients looking to engage a speaker or entertainer for their function or event. “People often ask who is popular or hot at present, but we explain it doesn’t work like that. Choosing the right speaker really depends on the brief the client gives us. And that, I believe, is where we’ve had our success – in assessing the client’s needs and, only then, giving them our recommendation as to who will meet that brief.”

From pure entertainment to strategic planning, business advice and even stress management, Celebrity Speakers has the right talent, said Debbie. The company also engages a lot of its speakers as MC – a vital role for any event or conference.

Some of the speakers currently generating a lot of interest include double amputee and conqueror of Mt Everest, Mark Inglis; John Anderson from Contiki (“people are interested in hearing about other people’s business success stories”); and Graham Lowe, whom Debbie described as “very good at developing people”.

Debbie said the company is approached “all the time” by people keen to join the celebrity speaking circuit. “We do have quite a strict process and criteria when choosing our talent. We assess what their abilities are and whether we think clients will be interested in hiring them.” Many of Celebrity Speakers’ clients are New Zealand companies looking for international speakers. On the other hand, several Kiwi speakers and entertainers have been engaged by international clients - in countries as diverse as Mauritius, Spain, Zimbabwe and the United States.

Around six months ago, due to her illness, Debbie decided to take more time out from the business and sold Celebrity Speakers (NZ) to Saxton Management Group – a company she worked closely alongside throughout her time in business. “Over the years the companies had built considerable synergies so it seemed an obvious move.” Until her passing Debbie was still involved as Managing Director and Chairman of the Board, while Louise Ryburn is now the company’s General Manager.

Despite her success, Debbie had no illusions about how hard it can be to run your own business. “No business is easy; to succeed takes lots of hard work. But when I think of the great times I have had in business and the fantastic places I have visited, it is quite amazing to think it has all grown from that $10,000 loan so many years ago.”

The passing of this brave lady is a great loss to Celebrity Speakers, its clients, the wider business community and Debbie’s family and friends. But through Celebrity Speakers, the very successful company she founded in 1989, Debbie’s legacy will live on for many years to come.

By Jo Bailey

Her Insight

The Pointed Heel of Footwear
Cushla Buswell

Back in 2000, two sisters from Waikanae went against the rising tide of imports by launching Minx - a home-grown fashion footwear label. Taking bold and innovative products to market, they amassed 150 Australasian stockists, exported to eight countries and became poster girls for New Zealand’s declining footwear industry. But somewhere along the line things took a U-turn. Mapihi Opai caught up with Cushla Buswell to discuss the business deal that nearly sent Minx bust and the comeback currently being staged.

The first woman and youngest person to hold the presidency of the New Zealand Footwear Industry Association, Buswell (34) has been around the traps for more than a decade. As “naive twenty-somethings”, she and her sister, Angela, acquired their step-father’s ailing footwear manufacturing firm and turned the business around.

“In developing Minx, we wanted shoes that were funky, feminine and beautiful,” says Buswell. The formula worked well and was served with a series of headline-grabbing world firsts, including the native Moki fish-skin upper and a new fibre developed to make wool fabric suitable for winter footwear.

A few years into the venture, however, sales and stockists began falling off. Independent retailers in provincial regions, once the mainstay of the business, were hard hit by the arrival of chain stores. Also, the high cost of manufacturing locally was beginning to price Minx out of the market. “Imports were coming in at better quality and value for money,” explains Buswell. “Innovation helped launch our brand, but the consumer needs to be getting a good deal at the end of the day.”

New Zealand’s domestic footwear infrastructure consisted of just two suppliers, and Minx was getting stung by the high minimums and logistical challenge inherent in sourcing raw materials out of Italy and China. “We were chasing our tails trying to get materials in on time - and then there’s the cost of doing business in New Zealand. Everyone talks about the high cost of compliance and it’s true - we couldn’t recoup everything on the finished product. In the end, it just didn’t tally up.”

By December 2005, the Waikanae plant closed and production was relocated offshore in a joint venture with a Fijian footwear manufacturer. On the surface, they looked to make huge gains in labour costs, but the sub-standard product that poured out of the factory saw them haemorrhaging money instead. Being a ‘scuff’ producer in essence, the firm was ill-equipped to make the leap to fashion. With a rejection rate of 70 percent, high-quality raw materials were effectively being rendered worthless and Minx fell three to four months behind on delivery - a near death set of circumstances.

Six months on, having exhausted all efforts to rectify the working relationship, they wanted out, but found themselves facing the prospect of financing a case that would take three months to prepare and a year a reach the High Court. “Even though we had an air-tight legal agreement, it wasn’t worth the paper it was written on. It was simply going to take too long to enforce.”

Instead, they attempted to repossess their belongings. Irrespective of warnings that ‘things might get rough’, the diminutive pair flew to Fiji and camped out at the factory. “We had the police around and our lawyers on the phone. When you’re in a desperate situation like that, you’re forced to try every single avenue. But it’s not a pleasant way to conduct business.”

Having waged war for a day, they emerged with the goods. However, with their negative cash position none too improved by the small victory, Buswell set about winding down the business. “In our industry, we’ve seen so many people go under and take suppliers with them. We didn’t want to be the kind of business that left a big mess behind it. I got on the phone and told everyone: ‘We will pay you back come hell or high water, but I don’t know when that’s going be’.”

It turned out to be sooner rather than later. Media picked up on the impending closure and the ensuing coverage attracted huge public support. The closing down sale generated the equivalent of three months’ earnings and all debts were settled within two weeks of Buswell’s doomsday calls. “It was so humbling. Our customers just got in and supported us. We had all of these women saying: ‘We love your product. We love the brand. We don’t want to see you go’. And these amazing entrepreneurs came out of the woodwork and told us: ‘Girls, you can’t let one bad business deal put you under after you’ve worked so hard’.”

The ‘Closed’ sign came down and they put together a business plan. Following talks with a number of potential investors, Vita Pacific Limited provided the perfect fit. With 20 years of dedicated footwear experience and contacts, the firm was well-positioned to bolster Minx with administrative and logistical support, while otherwise allowing it to remain an independent entity. The details of the agreement remain confidential, but Buswell will say: “It’s a very fair deal and a great opportunity to start over again. The growth potential is infinite and so is their support.”

Now free to focus on the future of the brand, Buswell admits that it’s something that she’ll be doing single-handedly for the time being. “After three years of financial pressure, we finally had to decide whether the business could sustain both of us in the short-term.” Consequently Angela, who is based on the Kapiti Coast, will pursue freelance design and continue to manage the Waikanae outlet store, while Buswell forges ahead with the design, sales and marketing of Minx in Auckland.

In a shrinking market where the cut-price Number 1 Shoe Warehouse and the like command a 70 percent share, vertical expansion isn’t an immediate option. Aside from the financial outlay being a deterrent, Buswell believes that the dynamics of retail will transform dramatically over the next couple of years. “If you’re not already established, it’s going to be really hard going. Rents keep going up and the whole equation is becoming highly imbalanced. There’s just not that kind of money to be had in footwear.”

The future for Minx, says Buswell, has to be about good margins for retailers. “From here on I need to focus on what I can do as a wholesaler to help stockists sell more product - educate them about what makes Minx different - because we do have a great story.” The brand will retain a definite New Zealand flair and flavour, but new styles are scheduled to hit stores in February 2007 at very attractive ‘ex-China’ price points. “That really is the reality of the business: getting more product into stores and offering retailers a better deal.”

By Mapihi Opai

Her Inform

Exporters’ Branding Issues

There are some important branding issues you need to understand if you are looking to export. Claire Byrne explains.

Consider this scenario: Anne had developed an amazing new hair care product. She had complete confidence in her product, yet because there were so many hair care products for people to choose from, she needed to differentiate her product from the crowd with some clever branding. So she invested significant time, energy and financial resources to help create the distinctive new brand ‘Chauve’ to help her achieve a competitive advantage.

Having chosen her brand, Anne was diligent in the development phase and knew that the best way to protect her brand was by registering ‘Chauve’ as a trade mark in relation to hair care products. Some dollars later, but feeling confident with her careful preparation, Anne set out equipped with her registered trade mark ready to dominate the New Zealand hair care market.

Within a few years ‘Chauve’ was a top seller. Armed with her trade mark registration that gave exclusive rights to use ‘Chauve’ in relation to hair care products, Anne even successfully fought off competitors trying to copy her trade mark and leverage off the brand’s success. Anne then decided that it might be time to think about exporting her brand. She already had her trade mark protection, so she was set to go, right?

Well, unfortunately, it’s not quite that simple. All that hard work and money that Anne invested to get ‘Chauve’ ready and protected in the New Zealand market will not protect her in overseas markets.

A difficulty for exporters is that registration of a trade mark in New Zealand will not secure trade mark protection for a brand in any country other than New Zealand. In order to get that, an exporter must register their trade mark in every country they intend to trade in. So whilst diligent searching of the New Zealand trade mark register and market may have been undertaken, if potential overseas markets have not been carefully searched, there is the risk that an exporter can be beaten to the punch by someone else registering the same brand as a trade mark in the intended country of export. If this happens an exporter will effectively be stopped from selling its product in that country under the brand they have worked so hard to establish.

Internationally, steps have been taken to reduce the number of separate applications required for different countries. The Madrid Protocol is an international filing system where one application can include all countries (or those countries selected by the applicant) that are a party to the Protocol. Many of our major trading partners such as Australia, the United States and China have acceded to the Protocol, but New Zealand is yet to join them. We may do so in the future, so watch this space.

Currently New Zealand exporters still need to make separate trade mark applications in each country in which they seek that protection. Likewise, exporters to New Zealand cannot rely on the Protocol for trade mark applications in New Zealand.

However, New Zealand is a signatory to an international agreement known as the Paris Convention. The benefit of this is that New Zealanders can gain a filing date for their trade mark in another country for up to six months earlier than their actual date of filing there (if that country is a signatory to the Convention). This is provided that an application was first made in New Zealand within six months of the foreign application.

In practical terms, this means that once a New Zealand trade mark application has been submitted, the applicant will have a six month window to research and decide on what export countries they may want to trade in and require trade mark protection in. Upon application in those Convention countries the applicant will receive the same priority filing date as its earlier New Zealand application.

Another crucial consideration for exporters is the culture and language in potential export markets. Even if trade mark registration for a brand is able to be secured in the export country, if the brand has an undesirable meaning in that country it might not work quite so successfully there. A well-known example of a marketing embarrassment is the ‘Mitsubishi Pajero’ vehicle, which changed its name to ‘Mitsubishi Montero’ in Spanish speaking countries. This is presumably because people did not want to drive around in a car whose name had a vulgar translation in Spanish of ‘to pleasure oneself’!

Marketing gaffs are not uncommon and highlight the importance of turning your mind to potential export markets right at the inception of the branding process. Whilst it can certainly be an expensive and time-consuming process, appropriate research into potential export opportunities early on can identify both technical protection and cultural issues and is likely to be less expensive than having to come up with a new brand in every country of export.

In fact, Anne has now come to realise that if she had thought about the possibility of exporting ‘Chauve’ at an earlier stage in her branding process, she might not now be trying to sell a hair care product in France with a brand that means ‘bald’!

By Claire Byrne

Claire Byrne is a Partner at Wellington Law Firm, Gibson Sheat. For further information, contact her on 04 916 7483 or claire.byrne@gibsonsheat.com.