How to Identify Markets for Expansion

So, you’re done with the latest localization project. You’ve pretty much expanded into a new territory and have managed to capture the local market. Well, good for you. But, now you’re looking for a new territory to expand into, but aren’t sure where to look.

Well, we’ve got a few tips to help you out. In fact, you can implement our tips even if you’re looking to expand into the international market for the first time.

‍Target Multiple Markets with One Site

‍One excellent way to boost ROI is by creating a single site that can target multiple markets. For instance, we know Spanish is one of the most widely spoken languages and that’s because it isn’t just spoken in Spain. For instance, the US and South America are home to sizeable Spanish speaking demographics. In the US, 75% of Hispanics converse in Spanish and they also spend 20% more for an order than the average American citizen. So, the point we are trying to make is that you can go very far by just using a single-language to target multiple markets.

There are several underserved markets in other Spanish-speaking regions as well and many of the people in those regions are willing to transact with American sites, as long as everything is in Spanish. For instance, American retail sites that localize their content in Spanish report that 60% of their traffic comes from Latin America.

‍Support Customers

‍In order to make your expansion fruitful, you need to offer support to your new customers. Expanding into a new territory with a localized site is only the first step. To gain traction in the market, you need to face the challenge of being able to provide customer support.

Start by setting up something as simple as an FAQ page. This can go a long way in helping you combat a fair share of inquiries. However, an FAQ page isn’t going to solve all your problems. So, consider localizing other support systems as well, such as e-mail, contact forms, and even your customer support personnel.

Assess your current resources and determine whether you’ll need to outsource some of these tasks.

‍Fulfill Needs, But Be Careful

‍Cross-border commerce has come a long way since the internet came into being. It is now accepted by default that businesses ready to deliver their products across the globe will enjoy an average boost of 17% in their revenue.

But, some markets are better than others when it comes to shipping and delivery. There are import laws and even the possibility of corruption that need to be considered. For instance, many international buyers in countries such as India have reported their purchased goods being stolen or being forced to pay excess custom fees by officials.

So, consider all these things before you move into a new territory. Will you able to handle such issues? If not, it’s better to look for another market.

‍Appropriate Technical Infrastructure

‍Make sure you have the right technical infrastructure to support your localization plans. There seems to be a misconception that websites must be hosted in the same region that the business is targeting. This isn’t true. Always look for the best hosting solutions. Accessibility via the internet has no geographical barriers.

For instance, Europe is known for combating latency issues with smart server load distribution. So, a hosting service in Europe would be a great choice.

Even so, there are CDNs (Content Delivery Networks) and geo-load servers that boost the performance of domestic sites and fall in line with local regulation. So, in such cases, it would be wise to invest in a local hosting service. China is an example of such a location.

So, look for a localization partner who can provide IT resources.