Includes typical use of agents and distributors and how to find a good partner, e.g., whether use of an agent or distributor is legally required.
Last Published: 8/6/2019

Selling a product in Ireland is based on several factors.  Facilitated by the compact size of the market and dependent on the expected sales volume, sales can be improved with the use of tailored marketing techniques.  Sales may be achieved through any of the following distribution methods:

  • The establishment of a local sales office to serve Ireland and provide a distribution point for Europe;
  • Through an agent or distributor whose activity may cover specified areas, the entire country, or include European markets;
  • Through established wholesalers or dealers in Ireland; and
  • Directly to department stores, chain stores, retailer cooperatives, consumer cooperatives, or other organizations.
International firms usually have one exclusive representative for the country, although it is common for the representative to appoint sub-agents to cover certain sectors of the market if sales and profit margins warrant it.  In addition, a representative located in Ireland may be in an ideal position to market a product throughout the European marketplace.
  • Consumer goods are best sold through a distributor carrying stock for immediate delivery and sale, whereas capital goods and industrial equipment are more effectively marketed through a commissioned agent.  In the case of certain raw materials with low mark-ups, or for capital goods and supplies for which there are limited numbers of potential users or buyers, direct sales techniques are effective.
  • Regular communications and visits to a newly appointed representative in Ireland are useful to establish successful relationships, to get a better understanding of market specifics, trends, and developments, and to assist in the resolution of any early problems. 
  • An effective and responsive after-sales-servicing system should be incorporated into distribution plans.
  • Frequently, U.S. firms will rely on the Irish distributor to handle the details of labeling and packaging for Irish and European preferences and the registration of the product. 
  • The familiarity and fluency of many Irish business firms with European languages also underline Ireland’s capacity as a springboard for sales to continental Europe, including Central and Eastern Europe.
Use of an agent or distributor is not legally required however; three kinds of distribution agreements are covered by Irish legislation:  exclusive, quasi-exclusive, and informal.  In an exclusive distributorship, the distributor has the sole right to sell specified goods within a defined area.  Quasi-exclusive distributorships allow the distributor to sell almost all the specified products within a defined area.  Informal distributor arrangements impose heavier obligations on the distributor. 
If contractual obligations are not met in a distribution agreement of indefinite term, it cannot be terminated until reasonable notice and/or fair compensation is provided.  In general, grantors should consider protecting themselves by entering into agreements for definite periods rather than an indefinite period.  In addition, specific performance target clauses should be incorporated into the distribution agreement.
  • Under EU legislation (Commercial Agents Regulations 1994), a commercial agent is a self-employed intermediary who has continuing authority to negotiate the sale or the purchase of goods on behalf of another person, or to negotiate and conclude such transactions on behalf of the principal.  Each party is entitled to a written document setting out the terms of their contract.
  • EU legislation regarding unilateral termination of distribution agreements (EEC 86/653) applies and is designed to provide the local distributor with some degree of protection and monetary compensation when an agreement is terminated for reasons other than cause.  The legislation will apply regardless of any clause in the agreement itself, and the parties may not deviate from the legislation as long as the distribution agreement is in force.  

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.