Growing Global: AuCom Electronics

AuCom is a specialist designer and manufacturer of soft starters, which reduce mechanical stress by slowly starting and stopping electric motors.

The company has exported since it was established in the late 1970’s and now ships direct to 42 countries with its product being actively promoted by third parties in more than 23 other markets. 

Finding distributors was a major challenge in the early days says Mr Archer.

“It was relatively new technology so we were missionaries. NZTE  helped us in some markets, finding us a distributor in Chile for example, but it was a one-off like many other methods we used. There was no silver bullet.”

In the last decade the relationship between AuCom and NZTE has strengthened with the two now engaged on many levels.

“They know our business better and we are better at taking up the opportunities that are available. Our client manager visits us regularly, makes good suggestions and has connected us to the right people at the right time.”

India and China are two markets where NZTE has helped AuCom get established.

In the early 2000s, an Indian staff member introduced AuCom to his past employer, engineering giant Larsen and Toubro, with the two companies eventually signing a distribution agreement.

“At the same time we were talking to Larsen and Toubro, NZTE was also engaging with them and bringing senior executives to New Zealand to meet technology companies. That support helped us build our relationship with Larson and Toubro,” says Mr Archer.

NZTE staff in India are now helping AuCom expand its presence in the market by introducing it to other potential partners for specialist project business.

“You go in with more credibility if you have a government agency on your side.”

In China, NZTE funding helped AuCom research where, when and how to establish an office in Shanghai and the company was among the first to use NZTE’s business facility, New Zealand Central, when it opened in 2008.

“You can’t just buy your way in to China. You have to be seen to be there for the long term and really committed to the market. Being able to host our customers at a world class facility like New Zealand Central shows we are supported by our government, builds our image, and boosts the level of confidence our Chinese partners have in us.”