Building systematic export and scaling a business: insights from Rostyslav Vovk at the Forbes Exporters Summit

From intuition to a systematic approach

“We started with intuition and simple decisions. We entered markets where it was easier to sell, without fully understanding their depth. This cost us time, money, and wrong strategic moves. But those mistakes became the foundation of the systematic approach we are building today,” said Rostyslav Vovk.

Kormotech began its export journey in 2007–2008, focusing on neighboring markets. Later, the company started building its presence in Europe through the Baltic countries, marking the first step toward a more structured expansion.

2014: when export became a necessity

The year 2014 became a turning point. The company exited the Russian market — its largest export destination at the time – and simultaneously faced a decline in the domestic market.

At that moment, export to Europe stopped being one of several options and became the key direction for future growth.

Focus on being “everywhere”

At one stage, Kormotech operated in more than 50 markets. However, this approach proved inefficient.

The company redefined its strategy and focused on Central and Eastern Europe, around 15 markets with the highest potential. This shift allowed Kormotech not just to be present but to build a strong position and compete for market share.

Mistakes that shape strategy

One of the key lessons was the need for deeper preparation when entering new markets.

The company underestimated the importance of analytics, the competitive landscape, and the barriers to entry. This led to a strategic shift toward a more focused and systematic approach to expansion.

Different markets – different rules

Kormotech does not see Europe as a single market, but as a combination of very different ones. At the same time, according to the company, Europe is 5–7 years behind the US in product development and pet food trends.

That is why Kormotech actively operates in the US market – to better understand future trends and adapt its products in advance.

Entering the US market showed that even a product successful in Europe may not meet the expectations of a more advanced market. Beyond the product itself, choosing the right channel and value proposition is critical. Without this, even a high-quality product may not perform.

Poland also became an important learning market for Kormotech. When the company entered with the previous version of Optimeal, it received honest feedback: the product did not meet super premium standards. This became a turning point. The company realized that the Polish market is more developed and has higher expectations than anticipated. As a result, Kormotech fully relaunched the product line and raised its quality standards.

At the same time, in Lithuania, the company tested a different model — building its own local team instead of relying on traditional distribution. After launching the factory in 2020, it became clear that distributors were not delivering the required growth pace. As a result, Kormotech adopted a less typical approach for the market — its own sales teams working directly with retail outlets.

This approach delivered strong results. Today, Kormotech is among the market leaders in Lithuania: its brands rank in the top 3, and its products have wide coverage across retail, e-commerce, and veterinary channels. For the company, this confirmed that at a certain stage, an in-house team can be more effective than external distribution.
 

Lessons from the US: product and channel matter

Entering the US market showed that even a product successful in Europe may not meet expectations in a more advanced market.

Beyond the product itself, choosing the right channel and value proposition is critical. Without this, even a strong product may fail.
 

Private label as a market entry tool

Between 2014 and 2018, private label became a key entry strategy for new markets.

This approach allowed Kormotech to establish partnerships with retailers and distributors and, later, to leverage that presence to develop its own brands.
 

Export as a driver of product evolution

Poland became an important learning market for the company, where it received honest feedback about its product. This triggered a full relaunch and higher quality standards.

At the same time, in Lithuania, Kormotech tested a different model – building its own local team rather than relying solely on distributors – and achieved leading market positions.
 

What it means to be an international company

Kormotech’s understanding of internationalization has evolved over time.

“At different stages, we defined ‘international’ differently. First, it meant having a production facility abroad. Then – selling in 40–50 countries.

But over time, we realized it’s not about geography. For us, international means that the majority of sales come from outside the home market. Today, it’s about 30% of our revenue, and our goal is to exceed 50%,” said Rostyslav Vovk.

Kormotech’s experience shows that focus, consistency, and the ability to learn from mistakes are what help build long-term competitiveness and scale confidently across global markets.