Costa Rica - Selling Factors and TechniquesCosta Rica - Selling Factors
Purchases by Costa Ricans are generally based on price, quality, technical specifications, convenience, and the availability of local product support or after-sales service. The Costa Rican Government does not play a role in determining product prices, except for gasoline and diesel at the pump, and public services such as bus fares, electricity rates, and taxi fares. Costa Rica’s GDP is $60.8 billion (2018) and the population is approximately 5 million. To achieve large volume sales, Costa Rica should be considered as a base from which to sell to the larger region of Central America. Costa Rica serves as a regional sales headquarters for Central American and Caribbean markets for several U.S. firms.
Sales catalogs, brochures, and labeled product ingredients, must be translated into Spanish. Payment terms for purchases above $4,000 are generally carried out through binding letters of credit. Open account payment terms are reserved generally for well-known and well-established customers. Insurance on accounts receivable is available through the Export-Import Bank of the United States. Cash payment for small purchases is standard practice.
Business in Costa Rica depends heavily on the establishment of personal relationships. The Costa Rican business community places great importance on personal contacts with foreign suppliers. New U.S. exporters should be prepared to travel to Costa Rica periodically, and to follow up with their customers and representatives regularly with phone calls and emails. A patient sales approach is preferred to a "hard sell."
Prepared by our U.S. Embassies abroad. With its network of 108 offices across the United States and in more than 75 countries, the U.S. Commercial Service of the U.S. Department of Commerce utilizes its global presence and international marketing expertise to help U.S. companies sell their products and services worldwide. Locate the U.S. Commercial Service trade specialist in the U.S. nearest you by visiting http://export.gov/usoffices.
Sales catalogs, brochures, and labeled product ingredients, must be translated into Spanish. Payment terms for purchases above $4,000 are generally carried out through binding letters of credit. Open account payment terms are reserved generally for well-known and well-established customers. Insurance on accounts receivable is available through the Export-Import Bank of the United States. Cash payment for small purchases is standard practice.
Business in Costa Rica depends heavily on the establishment of personal relationships. The Costa Rican business community places great importance on personal contacts with foreign suppliers. New U.S. exporters should be prepared to travel to Costa Rica periodically, and to follow up with their customers and representatives regularly with phone calls and emails. A patient sales approach is preferred to a "hard sell."
Prepared by our U.S. Embassies abroad. With its network of 108 offices across the United States and in more than 75 countries, the U.S. Commercial Service of the U.S. Department of Commerce utilizes its global presence and international marketing expertise to help U.S. companies sell their products and services worldwide. Locate the U.S. Commercial Service trade specialist in the U.S. nearest you by visiting http://export.gov/usoffices.