Flying the Fern

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FLYING THE FERN Carry the FernMark to help boost your international reputation.


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Ko Mātou Ēnei


THE FERNMARK

Ko Ma-tou Enei – it's who we are. In today's global marketplace, country of origin is increasingly playing an important role in driving purchasing decisions. The question is, how can businesses leverage New Zealand's positive brand reputation to grow their export potential? Through the FernMark.

New Zealand has a reputation to be proud of: outstanding natural beauty, strong governance, a culture of being agile and ingenious, all of which contributes to us having a thriving export sector. In fact, 2017 saw annual exports valued at $53.7 billion, up 11 percent from 20161. For a small nation, we’re impressive compared to our larger international peers.

The FernMark is a visual representation of everything that’s good about New Zealand: trust, authenticity, good business relations, transparency, peacefulness, global creativity, sustainability and, of course, our famous Kiwi ingenuity. The FernMark captures the essence of who we are in a simple, globally-recognisable national symbol unique to New Zealand. For any exporter, building trust and authenticity with consumers and distributors is becoming

1. https://www.stats.govt.nz/news/exports-and-imports-hit-new-highs-in-2017

more and more vital. As a government-backed initiative, the FernMark comes with integrity. It’s not just another label; it's the difference between your authentic New Zealand product or service and the rest of the world’s. It’s a picture that really does tell a thousand words. Telling a consistent and inspiring story about New Zealand that's grounded in our values and resonates with the world benefits us all. See the real value for yourself – apply for a FernMark Licence. – The FernMark: Ko Ma-tou Enei – it’s who we are. Rebecca Smith, director, New Zealand Story Group


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AN AUTHENTIC MARK OF TRUST The FernMark is New Zealand’s national symbol. Make it yours. New Zealand relies on its good reputation to thrive in key export markets. And for exporters, being able to authenticate their product or service and leverage their country of origin can offer a competitive advantage in key export markets. The FernMark Licence Programme is New Zealand’s official ‘country of origin’ accreditation initiative. The trade marked silver fern embodies our country’s values of kaitiaki (or guardianship), integrity and ingenuity, and has become a familiar and valuable international symbol. The Programme offers New Zealand businesses the opportunity to carry the trade mark FernMark on their product or service together with a unique licence number and the website, newzealand.com. This allows consumers to verify that a product or service is legitimately

from New Zealand, which in turn helps us better promote and protect New Zealand-branded products and services across the globe. The New Zealand Story Group, the government agency established to help enhance New Zealand’s country reputation, is the custodian of the FernMark and manages the FernMark Licence Programme. As a registered trade mark, the FernMark is used by key New Zealand Government departments around the world, which further enhances recognition and credibility for FernMark products and services, simply by association. The silver fern: a long, proud history But why use the silver fern? The fern is one of New Zealand’s most celebrated and enduring national symbols and its significance and beauty are embedded in Ma-ori culture.

The origins of its use can be traced back to when Ma-ori hunters and warriors once used the silver fern as a trail marker. When bent over, the fronds’ silvery underside reflect the moonlight to shine a path through the darkened, bush landscape. Over the years, the silver fern has had a long, proud history of representing our country all over the world; it has been worn as a badge of honour by our athletes, soldiers and leaders. The distinctive New Zealand FernMark was developed by New Zealand Trade and Enterprise and Tourism New Zealand in the early 1990s, to create a singular visual identity for New Zealand, whether guiding and protecting our traders offshore, or guiding and protecting visitors onshore. Today it continues to guide and represent our national pride and prowess – New Zealanders at our very best.


WHAT FERNMARK LICENSEES SAY: Our customers see the FernMark as a symbol of superior manufacturing, high standards and innovation. It captures what's inherent in the New Zealand brand. Andy Millard, CEO, Link Engine Management We don't have the marketing budget to push an international profile, so the FernMark Licence logo is an inexpensive and effective way of having our government's tick of approval which particularly resonates with Chinese consumers. Joel Bourke, general manager, Future Cuisine


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How the FernMark Licence Programme works A business must satisfy a series of requirements before it can use the FernMark. Central to this is a measure of the business' connection to New Zealand. This ensures there is a sense of care and responsibility and the company has the interests of our country and our reputation at its heart. Does your business qualify? Prospective licensees must meet the following eligibility criteria: • Be GST registered in New Zealand • Be compliant with all New Zealand laws and relevant regulations • Be of good character and repute • Have a high level of New Zealand ownership, governance and full-time employees • Have been exporting for a minimum of 12 months • Demonstrate its product or service is made, grown or designed in New Zealand.

Once audited by New Zealand Story Group, the successful business is issued with a FernMark Licence logo, together with a unique licence number and webpage listing all the licensed products or services. Building trust with global consumers Carrying the FernMark is all about building consumers confidence and trust. Each licensee’s webpage outlines what the FernMark represents and allows consumers to verify the authenticity of a licensed product or service by entering the brand or licence number via newzealand.com. Displaying the FernMark is like having a Government tick of approval. It helps promote trust and authenticity, provides a level of consumer assurance and, at the same time, helps promote the New Zealand brand.

THE FERNMARK REPRESENTS NEW ZEALAND ON THE WORLD STAGE AT ITS BEST AND BRINGS CONSUMERS ON A VIRTUAL JOURNEY TO OUR SHORES THROUGH OUR NEW ZEALAND STORY.


NEW ZEALAND

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THE FERN TAKES FLIGHT Our national carrier takes the FernMark global.

To mark the launch of the first of its new Dreamliner aircraft in 2013, FernMark ambassador Air New Zealand unveiled a new livery that featured the iconic and official New Zealand FernMark. At the time of the reveal, the airline's chief executive officer Christopher Luxon acknowledged how Air New Zealand’s role as a national carrier went beyond simply being an airline. “We believe our success is inextricably linked with New Zealand’s success; a successful New Zealand needs a strong Air New Zealand and likewise, a successful Air New Zealand needs a strong and prosperous New Zealand,” said Luxon. “That’s why one of our key goals is to help supercharge New Zealand’s success, economically, environmentally and socially. We play an important part in New Zealand’s tourism industry, bringing so many visitors to our shores and it's no coincidence that our black and white aircraft liveries are so distinctive. They continue to inspire a sense of pride in New Zealanders." The design team understood that the fresh designs would become a long-term pride piece for the brand, and that a timeless yet iconic look was essential. It used the silver fern as the underpinning source of inspiration. Already an internationally recognised symbol with strong brand equity, it signified opening the world to New Zealand, and was a clear preference amongst focus groups as the best visual representation of the nation. Several years on, the aircraft emblazoned with the koru and FernMark still turn heads at airports around the world, and are synonymous with the values New Zealand holds as a nation.


AMBASSADOR PROFILE: AIR NEW ZEALAND

“

WE BELIEVE A SUCCESSFUL NEW ZEALAND NEEDS A STRONG AIR NEW ZEALAND AND, LIKEWISE, A SUCCESSFUL AIR NEW ZEALAND NEEDS A STRONG AND PROSPEROUS NEW ZEALAND. Christopher Luxon, chief executive officer, Air New Zealand


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AMBASSADOR PROFILE ROCKET LAB

FERNMARK FACT FILE MAY 25, 2017 Rocket Lab Electron ‘It’s a

Test’ flight successfully makes it to space JANUARY 21, 2018 Rocket Lab Electron

‘Still Testing’ successfully reaches orbit and deploys payloads IT’S BUSINESS TIME With test launches

complete, Rocket Lab now expects to launch more than 50 times a year. There were just 29 launches last year in the US and 90 internationally.


FERNMARK IN SPACE Rocket Lab flies the FernMark on its rocket. New Zealand’s FernMark reached stratospheric heights in January 2018, when the iconic national symbol quite literally hurtled into orbit, on the tip of the revolutionary ‘Electron’ rocket. Invited to be a FernMark ambassador alongside Air New Zealand, Rocket Lab and its Kiwi smarts have opened a galaxy of opportunities for private rocket launches that blast satellites into orbit, at a fraction of the usual price. Emblazoned proudly on the rockets is the FernMark symbol, representing a story of

New Zealand innovation and underpinning the values that global customers know and respect us for. Founded by Peter Beck in 2006, Rocket Lab has shaken up the aerospace world, placing New Zealand firmly on the industry map for the first time – hence the dedicated FernMark to showcase its proud Kiwi roots. The successful launch from Mahia in May 2017 was a world first, sending into space the Electron, a unique carbonfibre rocket, powered by a 3D-printed engine. It’s second launch in January 2018 successfully deployed two payloads into orbit. The story of this FernMark ambassador is also one of collaboration. Thanks to regulatory changes and government and private financial backing, Rocket Lab is one more Kiwi company changing the world. Its launches offer the potential for internet to be available anywhere in the world, improved weather prediction and early natural disaster warning, Earth-imaging and maps, real-time monitoring of coastal erosion and deforestation, resource management and more. “New Zealanders have a reputation for being trustworthy, welcoming and good to do business with,” says Rocket Lab’s CEO, Peter Beck. “New Zealand’s brand reputation is totally aligned with ours at Rocket Lab, so carrying the FernMark is a good way to show the world our ingenuity, trust and environmental commitment.”

CARRYING THE FERNMARK IS A GOOD WAY TO SHOW THE WORLD OUR INGENUITY, TRUST AND ENVIRONMENTAL COMMITMENT. Peter Beck, CEO, Rocket Lab


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5 REASONS why the FernMark makes strong commercial sense. Flying the FernMark shows you have the backing of a nation. As an exporter, it’s good to know you’ve got the support of 4.8 million Kiwis. But the FernMark is much more than a feel-good symbol. It makes strong, commercial sense. Here are five reasons why exporters should apply for a FernMark Licence.


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COUNTRY OF ORIGIN AFFECTS CONSUMERS' DECISION MAKING

Today’s consumers have instant access to huge amounts of information about the country in which a product originates, and this has an enormous impact on their purchasing decisions. A 2016 Nielson Global Brand-Origin Survey2 found 75% of respondents considered country of origin as important, or more important, than nine other purchasing drivers including selection or choice, price, function and quality. “In a crowded retail environment, brand origin can be an important differentiator between brands,” says Patrick Dodd, group president, Nielsen Growth Markets. To ensure exporters gain the most from their country of origin, it’s necessary to create a robust legal and marketing asset. The FernMark is our 'Born of New Zealand' label that promotes the country of origin of our exports and gives New Zealand businesses a simple, strong and consistent visual identity. Carrying the FernMark can be invaluable for New Zealand businesses to differentiate themselves in the global marketplace.

THE EVOLUTION OF COUNTRY OF ORIGIN 3 1900-1970

1970-2000

2000-FUTURE

Origin a ‘given’

Origin as ‘option’

Origin as an ‘asset’

Made in (by, from)

Known for

Thought of (and trusted)

Products

Brands

Intellectual property

Resources as competitive advantage

Differentiation as competitive advantage

Authenticity and ethics as competitive differentiator

Increasingly, consumers are choosing brands based on their Country of Origin – opting for those countries which are perceived to have strong laws governing areas such as food safety and labour practices.

WHAT FERNMARK LICENSEES SAY: New Zealand is known for its high standards of sustainable fishing and cold, clean oceans. By using the FernMark on our product, it authenticates that our Greenshell Mussels are genuinely from New Zealand. Justine Powell, general manager marketing & consumer, Sanford

2. http://www.nielsen.com/eu/en/press-room/2016/nielsen-75-percent-of-global-consumers-list-brand-origin-as-key-purchase-driver.html 3. https://www.futurebrand.com/uploads/CBI2014-5.pdf


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NEW ZEALAND RANKS HIGH AS A COUNTRY BRAND

According to globally respected researchers, FutureBrand, a ‘country brand’4 is defined as a place in which consumers have a stronger-than-average perception of six factors: quality of life, value system, business potential, heritage and culture, tourism and ‘made in’ expertise.

nations that populate the top 10 (such as the USA), but New Zealand is a highly respected rather than a highprofile country. For a country with a small population and a relatively small economy, a tiny diaspora, and a mere handful of world-famous citizens, having the fourteenth most powerful national image on the planet is impressive.”

Of the 75 countries surveyed by FutureBrand, only 22 qualify as ‘country brands’. New Zealand is one of these. And it’s in good company alongside Japan, Switzerland, Germany, Singapore, United Kingdom, France and South Korea.

New Zealand is the best country to do business in New Zealand ranked highly in the areas of science and technology, health and wellbeing, world order and planet and climate, as well as demonstrating positive levels of open trading. This survey is backed up by other recent findings, such as that carried out by the World Bank6, which concluded New Zealand is the best country to do business in.

FutureBrand’s research showed that while people are generally more likely to visit, recommend and do business with a ‘country brand’, they are twice as likely to buy products that originate from a ‘country brand’. An excellent showing by New Zealand in the 2017 Anholt-GfK Nation Brands Index (NBI)5 shows our country is climbing high. New Zealand scored an overall ranking of 14 out of 50 nations. What’s especially pleasing is that the New Zealand country brand shows strength in the areas of natural beauty, strong governance, sound investment and a thriving export sector. Your reputation precedes you Why does this matter? Well, as the saying goes, ‘your reputation precedes you’. These success factors help influence the perception that Kiwi-made products are ethical and clean before they even land on the shelves. They help to shape the perception that you are an honest and trustworthy business person before they meet you. The FernMark, as such, is a mark of trust that leverages this reputation and shows that you and your product or service come from an ethical, respected country. It gives you a legitimate head start over your competitors. Simon Anholt, the author of the NBI, notes: “New Zealand’s image may lack the raw power of some of the major 4. https://www.futurebrand.com/uploads/CBI2014-5.pdf 5. https://nzstory.govt.nz/blog/new-zealands-reputation-in-excellent-shape/ 6. http://www.doingbusiness.org/en/rankings

This ranking, coupled with the FernMark’s association with those international government departments that also carry the FernMark, gives additional assurance to consumers who are influenced by reputation and ‘country brand’. This image is further enhanced by the fact that consumers can trace products to their country of origin through the unique licence numbers and QR codes.


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FERNMARK OFFERS TRADE MARK PROTECTION

The FernMark is a registered trade mark in New Zealand and in 13 key export countries. In addition, the New Zealand Government holds worldwide copyright in the FernMark. To maintain the integrity associated with the FernMark, the New Zealand Story Group is committed to the protection, enhancement and enforcement of the rights of those carrying the FernMark, both domestically and internationally. Protecting our brand with Yellow Brand Protection FernMark licensees also benefit from the online monitoring service offered by Yellow Brand Protection. The Yellow service scrutinises more than 800 online global marketplaces, such as Taobao and JD, social media platforms and other e-commerce websites – looking for product listings that may be using an unauthorised use or infringement of the FernMark. Yellow can affect the removal of offending product listings from the web, via the in-market relationships Yellow has established with local trading platforms. This can help Licensees by ensuring that all products or services that use the FernMark are legitimately from or of New Zealand, thereby protecting our national symbol. Government enforcement has your back In the last 12 months the service has detected potential infringements in 19,039 product listings and 2,695 websites. And to date, more than 200 product listings have been removed, enhancing licensees’ market potential and protecting New Zealand’s reputation7. If a licensee becomes aware of any misuse or infringement of the FernMark, the FernMark Licence Programme’s legal team will take steps to enforce this on behalf of the New Zealand Government to prevent the offending product from trading.

7. Figures reported by Yellow Brand Protection, September 2018

The trade mark-watching service used by the New Zealand Story Group through outside IP lawyers adds another layer of protection to the integrity of the FernMark. This watching service ensures that we are alerted to anyone attempting to register the FernMark (or a fern that is too similar) as part of a new trade mark application anywhere in the world. These legal and product-monitoring services are costly for an average Kiwi business, and there are benefits for FernMark Licensees in our vigilant protection of the FernMark. Because of this, the FernMark not only makes commercial sense for exporters, but financial sense too.


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BUILD CREDIBILITY THROUGH GOVERNMENT ASSOCIATION

The silver fern is a simple, distinctive icon that has become synonymous with New Zealand. Therefore, the FernMark is widely used across New Zealand Government departments, including New Zealand Trade and Enterprise and Ministry of Foreign Affairs and Trade offices around the world. It is a clear mark of the New Zealand brand and denotes our country of origin. Carrying the same symbol as internationally-respected Government departments adds an invaluable level of brand association and market credibility for FernMark Licensees. This can enhance an exporter’s business by building

and strengthening relationships with both international consumers and distributors. In addition to including a licensee’s unique licence number, the FernMark Licence logo also includes the New Zealand Government URL, newzealand.com. Twenty million consumers visit this address every year looking for information on trade, education, immigration and tourism. Leveraging this landing page and the connection to other New Zealand Government departments further supports the recognition and credibility of FernMark licensed products and services.

WHAT LICENSEES SAY: Having the FernMark Licence is a great marketing tool to validate that our products are approved as being from New Zealand. Distributors, retailers and consumers are always looking for proof of authentication and having a soft copy of the Licence certificate helps us to do this across all social media platforms, increasing trust and credibility. John Miller, brand strategist, Food View


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CREATE TRUST AND AUTHENTICITY

Successful brands have a compelling story which is unique, relatable and contains attributes that ring true for the consumer. But they also have to be true. Authenticity is key. The FernMark legitimises licensees' products, allowing consumers to verify the authenticity of the licensed product or service through their unique licence number and dedicated webpage. Here, consumers can learn more about each licensee and watch a short video about what makes New Zealand unique. This page can be shared on social channels, such as WeChat, with the potential to reach its 800 million users, further extending an exporter’s reach. Verifying your products in key export markets with a QR code Research shows there is high uptake and demand for QR code verification in key export markets, particularly in South East Asia. Licensees are given the option of including a QR code which consumers can scan to verify the licensed product or service. A secure dashboard enables licensees to track the scanning of their products across the world. John Miller, brand strategist for Food View, says his company sees great potential through China’s most prominent social media app WeChat. “It (FernMark logo with licence number and QR code) works more broadly in social media and the QR code will be able to direct consumers straight to our licensee product page.” Finding new ways to communicate the meaning of FernMark is an ongoing task. But while information channels grow and change, the central proposition remains the same – FernMark represents the essence of all that is good about New Zealand and in doing so helps open doors for exporters that proudly display the FernMark Licence logo.

THE FERNMARK NOT ONLY PROVIDES THE REPUTATIONAL BACKING BY ASSOCIATION WITH NEW ZEALAND’S COUNTRY BRAND, BUT THE ESSENTIAL LAYERS OF LEGAL PROTECTION FROM THE NEW ZEALAND GOVERNMENT IN KEY EXPORT MARKETS THAT PROTECTS IP AND SUPPORTS KIWI EXPORT BUSINESSES’ GLOBAL POTENTIAL.


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MOTHER NATURE DOWN UNDER BioBalance’s Kiwi twist on modern-day natural health. BioBalance was born out of Golden Bay in the South Island nearly ten years ago, but its recent FernMark branding has contributed to extraordinary visibility in the Chinese market. Supporting significant organic growth, the FernMark affiliation has helped propel the natural, Kiwi-made health range into the hands of discerning customers who associate New Zealand products with superior levels of quality. BioBalance general manager Ruth Boyes says Chinese consumers are questioning what’s inside a packet; over the last 20 to 30 years, they’ve learnt that what was served up to them wasn’t necessarily what was portrayed. So, in a move to reinforce their strong reputation to the digitally-connected Chinese consumer, BioBalance registered their New Zealand-made range for the FernMark Licence Programme. “We’re only a small, young company, so we wanted something that reassures customers we’re a genuine New Zealand brand selling authentic products,” says Boyes.

THE FERNMARK ASSOCIATION MEANS THAT WHEN OUR PRODUCT LANDS IN SOMEONE’S TINY KITCHEN ON THE 27TH FLOOR OF A BEIJING APARTMENT, THEY RECOGNISE IMMEDIATELY THAT IT’S FROM NEW ZEALAND, AND THAT IT’S GENUINE. Ruth Boyes, general manager, BioBalance


LICENSEE CASE STUDY BIOBALANCE

FERNMARK FACT FILE PRODUCT TYPE

Health supplements EXPORT MARKETS

Australia, China, Hong Kong, Japan LICENSEE SINCE

June 2016


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TAKING TEA TO THE WORLD The Waikato plantation brewing an export storm. As New Zealand’s only commercial tea plantation, Zealong Tea Estate ensures our place in the world is recognised in the global tea-drinking arena; its premium organic tea range is proudly backed by the FernMark. The Waikato’s Zealong brand has Kiwi-ised an ancient art form, with discerning tea drinkers caught up in the winning combination of natural farming techniques and innovative production. To prove its credentials, Zealong has relentlessly pursued official certification in organics, environmental management and food safety. The proud bearing of the FernMark helps to ensure such validity has an authentic New Zealand flavour. The brand meets the highest standards of organic certification and the final touch is the world-class packaging and retail design which reinforces Zealong’s position as a premium New Zealand brand. “There are so many brands. But there’s only one New Zealand,” says general manager Gigi Crawford. “We must protect what it means. That’s why we support the FernMark.”

Its ‘New Zealandness’ is clearly helping. “When buyers hear we’re from New Zealand, they show immediate interest,” says Sen Kong, marketing manager. “For them it means purity, quality and trust. This is important, particularly in Europe where food safety and environmental standards are now so high.”

THERE ARE SO MANY BRANDS, BUT THERE’S ONLY ONE NEW ZEALAND. WE MUST PROTECT WHAT IT MEANS. Gigi Crawford, general manager, Zealong Tea Estate


LICENSEE CASE STUDY ZEALONG

FERNMARK FACT FILE PRODUCT TYPE

100% certified organic tea EXPORT MARKETS

Europe, UK, Japan, China LICENSEE SINCE

October 2015


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HOW TO EARN THE FERNMARK There are five steps to become a FernMark Licensee:

1

Are you a New Zealand business?

2 YES

First, you’ll need to confirm your business is: • GST registered in New Zealand. • Compliant with all New Zealand laws and relevant regulations. • Considered to be of good character or repute. • Has been exporting products offshore for 12 months or more.

And how much does it cost? A FernMark Licence is valid for one year and licence fees are separated into three tiers based on the annual revenue of your business. The tiers relate to the likely complexity of your business and the number of countries you may be exporting to. There is a flat licence fee per application and can cover multiple product submissions within each application.

Are you genuinely committed to New Zealand?

3 YES

Does your product tell a New Zealand story?

It’s also important to have a strong mix of New Zealand ownership, governance and full-time employees.

Finally, the product(s) or service(s) you plan to license will need to tell a distinctive New Zealand story.

• How much of your business is owned by New Zealanders? • What percentage of your shareholding is held in New Zealand? • What percentage of full-time employees are based in New Zealand?

• • • •

Is it grown in New Zealand? Or made in New Zealand? Or designed in New Zealand? Is the service managed from New Zealand? • Does all IP sit within New Zealand?

TIER 1 NZD 750 per year

TIER 2 NZD 1,500 per year

TIER 3 NZD 3,000 per year

TIER 4 NZD 5,000 per year

Annual Revenue Less than NZD 2 million

Annual Revenue NZD 2 million – NZD 10 million

Annual Revenue NZD 10 million – NZD 20 million

Annual Revenue More than NZD 20 million

YES


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Submit an online application at fernmark. nzstory.govt.nz/applyonline • Your online application will need to be supported by a list of products or services you wish to license. • Your application will be audited and take up to 28 days to process. • Successful applications are issued with a Licence Agreement, digital assets and a certificate confirming your use of the FernMark.

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Complete your online profile. • All licensees have their own online profile page that lists their FernMark licensed products. • This page can be shared by consumers and distributors alike via social links: WeChat, Twitter, LinkedIn and Facebook, and through newzealand.com. • Licensees have access to a marketing toolkit to help with promotion.

Licensed products displaying the FernMark


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More than one billion New Zealand products and services proudly carry the FernMark across the globe as our international symbol of trust. Read this booklet to discover how the FernMark could strengthen your export potential by leveraging your connection to New Zealand.

nzstory.govt.nz/fernmark