Report written by Miguel Sepulveda.
International growth sooner or later becomes an objective for many companies, regardless of the sector they operate in or the product they offer. International growth cannot properly be supported nor sustained without adopting a solid localization strategy, however.
Global growth is a complex, intricate and multidimensional undertaking requiring a vast array of skills and expertise often overlooked when plans to expand to new territories are just starting to take shape. As companies inch closer to carrying out their global expansion plans, it’s quite possible (and indeed highly recommended) that roadmaps include a phase for testing out the markets to see whether there's even a need or desire for the product or service.
But there’s one vitally important component to any expansion strategy that is quite often forgotten:
Pricing.
If localizing pricing isn’t part of a company’s globalization strategy, the company may be missing out on a huge opportunity to scale their business. Indeed it is not enough to simply convert pricing to local currency equivalents.
Unfortunately, we see this happening all the time with companies that offer web-based and mobile app digital products: prices are converted to the local markets automatically, ignoring, for example, that purchasing power and the cost of living in countries such as the United States and India are oceans apart.
This has been a preview. The full report can be accessed online by Nimdzi Partners.
This report has been researched and written by Nimdzi's Globalization Specialist, Miguel Sepulveda. If you wish to learn more, reach out to Miguel at [email protected].
