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Unleash The Power Of Localization: The How-To Understanding local customs and behaviors is essential for adapting products, services, and marketing strategies to resonate with the target market.

By Omar El-Gammal

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In an increasingly interconnected world, companies are constantly seeking opportunities beyond their domestic markets. However, to truly succeed in foreign markets, businesses must unleash the power of localization. By adapting products and services to meet the specific needs and preferences of local customers, businesses can seize untapped market potential, increase customer acquisition, and foster customer loyalty.

Forrester's research shows that 79% of companies that invest in localization experience an increase in revenue, with an average revenue uplift of 9.2%. Data from McKinsey reveals that companies that tailor their offerings to local markets see revenue growth rates up to 15% higher than those that don't.

Moreover, a study by PwC highlights that 75% of consumers are more likely to buy products in their native language, while 59% prioritize the ability to obtain information in their own language over price. By providing localized content and personalized customer experiences, companies can enhance customer satisfaction, build trust, and create long-lasting relationships with their target audience.

Technology has revolutionized the localization landscape, enabling businesses to scale their efforts and achieve greater efficiency. Businesses using machine translation and automated language processing achieve cost savings of 25-30% and accelerate time-to-market by 40-50%. With the help of artificial intelligence (AI), multimedia content including images, videos, and audio files can be localized to make website content more relevant and appealing to local visitors.

Localization goes beyond language translation. Cultural nuances and market relevance play crucial roles in successful localization efforts. Understanding local customs and behaviors is essential for adapting products, services, and marketing strategies to resonate with the target market. By aligning with cultural sensibilities and market dynamics, companies can build strong brand connections, increase brand loyalty, and differentiate themselves from competitors.

Here are a few best practices to consider for effective localization:

1. CONDUCT COMPREHENSIVE RESEARCH Before entering a new market, conducting comprehensive research is essential. Understanding the local culture, consumer behavior, and regulatory landscape allows companies to tailor their offerings to meet specific market needs. This research-driven approach ensures that localization efforts are grounded in data and insights, setting the stage for success.

2. COLLABORATE WITH LOCAL PARTNERS Local partners have a unique understanding of cultural insights, marketplace dynamics, and local business practices making them invaluable to any new market entry plan. Working with an established local partner enables businesses to develop more effective localization strategies.

Related: Surging Ahead: Fintech Startups In The Middle East

3. INVEST IN LOCAL TALENT A strong local team provides valuable insights into cultural nuances, helping companies navigate potential pitfalls, and make informed localization decisions. Building local capabilities demonstrates a commitment to the local market, particularly in emerging markets where national development agendas prioritize employment of local citizens.

4. LOCALIZE LANGUAGE AND COMMUNICATION Translating product descriptions, marketing materials, and customer support into the local language is essential for effective communication. Ensuring linguistic accuracy minimizes the risk of misinterpretations or miscommunications that could harm the brand reputation.

Related: How Fintech Is Changing The World (And How Blockchain Is A Part Of This)

5. ADAPT MARKETING CAMPAIGNS Adapting the branding, messaging, and visuals of marketing campaigns to resonate with local cultural sensibilities is crucial. Using culturally appropriate idioms, symbols, images, and references to establish authentic connections with the local audience is crucial to building trust, fostering positive customer perceptions.

6. OPTIMIZE USER EXPERIENCE Adapting the user experience (UX) to local preferences enhances customer satisfaction. This includes customizing user interfaces, payment options, and product features to align with local habits, preferences, and technological and regulatory infrastructures.

7. LEVERAGE TECHNOLOGY Take advantage of technology-driven localization tools, such as machine translation, natural language processing, and cloud-based platforms. These tools enhance efficiency, accuracy, and consistency, enabling businesses to localize content at scale, and streamline the entire localization process. AI-powered platforms offer the potential for higher accuracy and contextually appropriate translations, further optimizing localization efforts.

Localization is a great way to gain competitive advantage in a new market. With the advancements in technology, businesses can leverage automation, AI-powered solutions, and cloud-based platforms to enhance their localization efforts. By adopting best practices, collaborating with local partners, and hiring local talent, companies can unlock the global potential of their products and services to achieve sustainable growth.

Related: Driving Change: Paymob Co-Founder And CEO Islam Shawky Is Ushering In A New Era For Digital Payments In The MENA Region

Omar El-Gammal

Executive Vice President of Global Business Development, Paymob

Omar El-Gammal is the Executive Vice President of Global Business Development at Paymob.

Omar joined the company in 2019, and he leads Paymob’s international expansion, new market development, and strategic partnerships. Under his leadership, Paymob has partnered with some of the world's biggest brands including Uber, Shopify, IKEA, and PayPal. In 2022, Omar led the company’s expansion to the Pakistan and United Arab Emirates markets. In 2023. Omar oversaw Paymob's KSA and Oman market entry.

Prior to Paymob, Omar held several business development roles including positions with Al Kamel Holding and India-based mobile manufacturer, Lava. Omar started his career as an engineer working with Orange Business Services and Vodafone Egypt.

Omar holds a B.Sc. in Communications Engineering and an M.B.A. in Strategic Management from the Maastricht School of Management. Omar has been a member of World Economic Forum - Global Shapers, and he is currently a member of Forbes Business Development Council.

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