Been a few years into your business with everything going good in your domestic market?
The next step you must be thinking of could be something like expanding your scope of products/services. Or it could be acquiring some small competitors in your industry and enhancing your brand outreach further.
Or it could be something even bigger - Stepping into the international market, going global!
While all these steps have their own challenges, going global can be a bit more challenging.
There is a lot more than meets the eye that goes into going global.
In this post, we are going to walk you through the steps to successfully take your business global.
Conduct Research - Test the Waters
Every country has its own trade norms and policies different from the others’. So, never presume that your new target market will have everything the same way your domestic market has.
Dig deeper to analyze the target market, trade rules, tax policies, etc., and proceed accordingly.
For instance, according to the World Bank’s Ease of Doing Business Index 2020, France and Singapore are on top. On the other hand, towards the bottom are countries like Eritrea, Somalia, Lichtenstein, etc.
It means the overall trade environment in France and Singapore is the most conducive. And that in the bottom-lying countries like Somalia is the least conducive.
So, consider this factor of ease of doing business before you target a new international market.
Analyze the Target Market
Every country has different consumer habits and product preferences. Therefore, always consider the market size and opportunity. Analyze the local competitors there and the products they sell.
Also, understand that you may have to keep your product prices higher than local competitors’. So, think of how you can capture your target leads and sales at a higher price. Find out if there is any gap in the market that you can fill with your product(s).
You can make changes in your products to cater to the target consumers’ preferences. You can also hire a local person who knows the market in and out and can help you hit the right chord with customers.
Take due care of the cultural sensitivities of your target market while doing business. Make sure that you don’t hurt the cultural sentiments of the local customers through products or communication.
Consider the example of Parker Pen. When Parker Pen launched a marketing ad in Mexico, they meant to convey - It won’t leak in your pocket and embarrass you.
However, the company mistakenly chose to use the word “embarazara” (to impregnate) to replace the word “embarrass”. The literal meaning of the ad became - It won’t leak in your pocket and impregnate you.
Later, they had to reassure Mexicans that the ad had nothing to do with impregnation. And no pen would “impregnate” them!
This is a good example to show how a lack of knowledge of the language and cultural intricacies can land you in hot water.
Develop a Business Plan - Operational and Financial
Develop a business plan that can help you penetrate your target market well.
Consider your target market’s economic, governmental, and environmental conditions. Accordingly, localize your business plan.
Set your short-term, mid-term, and long-term goals to measure your progress over time.
Employ a senior interim executive with deep domain expertise instead of employing executives from your parent company. It will help you hit the market and drive organizational readiness faster. In the meantime, you can focus on training your executives for the new target market. You can also hire the right senior management team later once the interim team lays the groundwork for you.
Consider the initial investment you’ll need to make and also the recurring expenses to keep the business running. Plan your budget in accordance with that.
Don’t Forget Logistics
Logistics is a factor you can’t overlook at all - especially when going global.
DHL, FedEx, RoyalMail, Australia Post, etc. are some popular international shipping service providers you can consider.
Vet all your options and pick the delivery partner that suits your needs the best.
For instance, Australia Post is a renowned shipping service provider in Australia. If your business is Australia-based and you want to take it global, you can consider Australia Post. It offers reliable and nominal delivery services for individuals, businesses, and enterprises.
Consider an Australia Post Shipping Extension to integrate to your e-store to avail Australia Post shipping services.
Our Magento 2 Australia Post Shipping Extension is a cutting-edge extension that can help you integrate and avail Australia Post shipping services. Using it, you can calculate live shipping rates both for standard and contract-based services. You can also enable or disable multiple shipping services and configure a default weight for shipping rate calculation.
Localize Your Marketing Campaign
The more you localize your marketing campaign, the higher your chances of success are. Localization begins with the product first. Localize it to make it ideal to market to your target market. Next comes the localization of your e-store.
If you have a site, you should localize that for your target market. Understand that localization of your e-retail site doesn’t mean only translation. Consider localizing your site to rank in search engines other than Google also.
For example, Yandex is a popular search engine in Russia. If you want to target Russia, your branding should match that. Your site language and keywords should be fit to rank in Yandex for the Russian market. Similarly, Baidu is the right search engine to penetrate the Chinese market.
To get help building a fail-safe SEO strategy with the right keywords, consider hiring a local SEO service provider. They can be your best guide to help plan your online and offline marketing strategy and bring you good results in a short span.
Expanding your business beyond boundaries can pose challenges. However, with the right strategy and approach, you can overcome them and drive success.
If you are also an e-store owner looking for a shipping extension, our Magento 2 Australia Post Shipping Extension can be the right fit for you.
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