What is a Multidomestic Strategy? What Every Global Business Should Know

A multidomestic strategy tailors products, marketing, and user experience to local cultures, driving deeper customer engagement and faster market penetration. Learn how global brands like Uber and McDonald's have thrived by localizing, and discover tips for implementing this strategy to fuel your own international growth.

What is a Multidomestic Strategy? What Every Global Business Should Know
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If your brand feels like it’s hit a plateau in your home market, global expansion might be your next big move. A multidomestic strategy can help you break into new markets by tailoring your products to fit the local culture, language, and preferences of new audiences.

Instead of a one-size-fits-all approach, a multidomestic strategy lets you customize everything from content and design to UX and product offerings, making your site feel more relevant and engaging to local users.

In this article, we’ll dive into multidomestic strategy, how it can boost your company’s reach, and tips for effectively adapting your digital presence to different markets.

What is a multidomestic strategy?

Tastes and preferences vary widely around the globe, and a multidomestic strategy thrives on this diversity. A multidomestic approach adapts to local market needs rather than offering a one-size-fits-all solution.

Take Netflix, for instance—they don’t push American-made content on everyone. Instead, they tailor their app and programming for 190 countries.

In the Indian market alone, Netflix offers a dedicated Hindi interface and is launching 8 new Netflix-produced Indian films and 14 series.

The Indian version of netflix.com

Multidomestic vs other global expansion strategies

When expanding internationally, businesses often weigh two main strategies alongside a multidomestic approach: global and transnational. Let’s break down each to help you determine which suits your business best.

Exploring the difference between transnational and multidomestic strategy

Multidomestic strategy

A multidomestic strategy means customizing products, marketing, and operations to fit the unique needs of each new local market. Decisions are decentralized, giving local teams a lot of control.

The goal? Maximize responsiveness to local preferences. For instance, you’ve probably heard of Uber, the successful rideshare company. The company now offers Uber Boat along the Thames River in London—a service you won’t find just anywhere.

Transnational strategy

A transnational approach balances global coordination with local flexibility. The aim is to capitalize on global efficiencies while adapting to local markets.

Take SAP, for example—they ace this strategy with a broad suite of products tailored to local regulations and market needs. While SAP’s core software focuses on business solutions like tax, accounting, and HR in the U.S., it expanded its Indian offerings to include supply chain management, CRM tools, and more.

Global strategy

Companies using a global strategy see the world as one big market, with minimal variation in their products across different countries.

This works well for brands with strong name recognition, like Tabasco. Mailchimp is another prime example—whether you’re logging in from the U.S. or Japan, the platform, UX, and pricing stay the same for everyone.

Benefits of multidomestic strategy

The biggest advantage of a multidomestic strategy is its ability to react quickly to changes in local markets. This flexibility improves customer engagement and helps companies take advantage of local opportunities while reducing risks from market ups and downs.

Beyond that, a multidomestic approach offers these key benefits:

  • Local Market Advantages
    Tailoring products and marketing to fit local tastes gives companies a competitive edge. By showing a deep understanding of the market, brands can outperform global competitors who stick to a one-size-fits-all approach.
  • Innovation and Flexibility
    Working in diverse markets drives innovation because companies are always adjusting and improving their products and strategies. This ongoing adaptation can lead to big gains in product development, marketing, and overall efficiency.

Higher Customer SatisfactionWhen companies tailor their offerings to local preferences, like adding regional food options to their product, they ensure a stronger market fit.

6 multidomestic strategy examples

Here are 6 successful companies that have implemented a multidomestic strategy.

Uber

An Uber Cruise in Europe

Uber’s not just for car rides and takeout orders anymore. As a part of its multi domestic strategy, the company adapts its services to fit each region, offering hyper-local options like motorcycle rides in India’s busy cities or boats to explore European rivers and coasts.

McDonald's

As the Senior VP for McDonald’s France explained, “For the first 15 years, from 1980, what we did above all was offer people a slice of America.” But by 1995, Mcdonald's shifted gears, adding local touches like French cheeses—chèvre, cantal, and blue—and a whole-grain mustard sauce to the McDonald’s France menu. This recipe revamp marked McDonald’s embrace of a multidomestic strategy, helping them win over French customers in the land of Michelin stars.

The French interface of McDonalds.com

Spotify

Spotify adapts its playlists, user interface, and even pricing models depending on the market. They offer locally relevant playlists, regional music recommendations, and pricing strategies that cater to different economic conditions.

The Ukrainian version of spotify.com

Canva

Another example is Canva, the popular design tool. To better serve its global audience, Canva localized its app in dozens of languages, making design accessible to users worldwide.

In China, they’ve gone a step further by launching a separate platform, canva.cn, tailored to meet local laws and regulations. This multi domestic move allows Canva to offer a more personalized experience while navigating the unique landscape of the Chinese market.

Screenshot of canva.cn

Atlassian (Jira, Confluence)

Atlassian takes a multidomestic plan with tools like Jira and Confluence by localizing their platforms with language support, region-specific templates, and features that align with local business styles. They also adjust their marketing strategies to resonate with different regional audiences, making their brand feel relevant everywhere.

The Latin-American version of Jira

Nestlé

Nestlé tailors its products to local tastes and preferences, adjusting to what resonates in each market. In India, for example, they offer Masala-flavored Maggi noodles to match local dietary habits. Nestlé’s decentralized approach gives each country’s team the autonomy to tweak products, marketing, and operations to fit local needs. This flexibility helps Nestlé achieve deep market penetration and build strong brand loyalty across diverse regions.

A digital display ad for Nestle’s Maggi noodles

Tips for developing a multidomestic strategy

If you’re thinking of going multi domestic, here’s what you need to know.

Do your research

Every new market is unique. Your first step is to set up some parameters, define your target audience, and collect as much information as possible before proceeding to localize your content.

Start small

You don’t have to expand into dozens of countries at once. Take it from Netflix—they started localizing in Canada, an adjacent market with a lot of similarities to US culture and language. From there, they developed into a wider variety of markets.

Develop country-specific knowledge

Understanding local cultures ensures that you can be sensitive to and respond to their differences. This will enhance credibility and forge smooth relationships in new markets.

Embrace localization

Language localization goes beyond translation by integrating local dialects, idioms, and cultural expressions to forge a deeper emotional connection with your audience. This enhances trust and engagement.

Customize your UI

Visual elements like imagery and UI design are equally important—they need to reflect local aesthetics and preferences. For example, when localizing for a Middle Eastern market, using right-to-left text alignment and culturally relevant images makes the interface feel more relatable and user-friendly.

Invest in website translation

In a multi domestic approach, website translation helps your brand connect with local customers, build trust, and drive conversions by speaking their language. This keeps your business relevant and competitive in every market you enter.

Go multidomestic with Localize

A multidomestic strategy is a flexible approach that needs careful planning, execution, and ongoing adjustment. By mastering its details, businesses can thrive in international markets, driving growth, innovation, and long-term wins.

Expand into new markets and unlock new revenue opportunities with Localize. Our no-code localization platform can translate any website or app into over 115 languages, ensuring your brand resonates with customers in new markets.

"With the assistance of Localize, our business has exceeded expectations by swiftly extending its reach into numerous languages." 

~ James Tate, Senior VP of Engineering at JOOR

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Author
Nick Osborn
Nick Osborn
Sales Manager

Nick Osborn is a results-driven sales leader at Localize with extensive experience in helping companies grow and expand globally within the enterprise SaaS environment. His strategic expertise in developing sales strategies and building high-performing teams has consistently driven revenue growth and successful market expansion.

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