A marketing localization strategy is essential for every business that wants to go beyond its national borders. In order to thrive in the international market, a company needs to consider various aspects of foreign cultures: buying preferences, customs, and taboos.
Below we will discuss everything you need to know about marketing localization strategy and give some successful localization strategy examples.
🔝 Top-3 Localization Strategy Examples
- Ernest & Young: Invest in Saudi Arabia
- Under Armour Business Strategy's External Analysis in 2013
- Mercedes-Benz Company in the United Arab Emirates
🤓 What Is Localization Strategy?
A localization strategy is an approach a company uses to address its customers’ cultural differences and behaviors in different parts of the world. Many things must be considered when making a localization strategy, including customer behaviors, purchasing habits, and cultural differences. Implementation of the localization strategy requires a profound analysis of the target market. In this article, we’ll cover each step of this process.
Marketing Localization Strategy – Definition
Since we live in the era of globalization, putting its local audience first is a must for any business. At its core, marketing localization strategy is a process of adapting a company’s products and services for a specific local context.
Marketing localization measures include:
- translating marketing content into the native language of the local market;
- changing the visuals and design of various products to match the purchasing preferences;
- marketing the company’s products and services via the most popular communication channels in that market;
- ensuring that global business marketing campaigns follow local regulations.
3 Stages of Localization Strategy
Here are the three essential steps of developing localization strategies:
- Analyzing the market
This stage aims to collect all the information a business needs to make the right decisions about localization. It includes target audience analysis, competitors’ analysis, and overall market research. Moreover, a company needs to consider its localization resources, including its budget, timeline, and a good team. - Creating an action plan
During this stage, a business should use the information collected to choose the best possible course of action. This stage involves deciding which markets to target, what type of localization to use, and what localization technology to employ. Moreover, a business needs to assign roles and responsibilities, establish a budget, and set timelines at this stage. - Putting the strategy into action
The execution stage puts the localization strategy into action. After all the preparation, a business needs linguistics to translate and edit all the assets. Once the content is translated, it’s crucial to ensure that it’s culturally appropriate and can engage the target audience. Often tests are carried out by the representatives of a target market.
✨ Localization Strategies Benefits
A powerful localization strategy can benefit both international businesses and local companies:
- Localization allows tailoring a company’s product or service to the specific preferences of the target market.
- Localization helps businesses save time and money by avoiding common mistakes when entering a new market.
- Localization provides a framework for tracking a company’s progress in a new market.
- Localization boosts a business’s competitive advantage and helps to obtain market leadership.
📝 Localization Strategy Examples
We’ve gathered some successful strategy examples to illustrate better what localization is. Check them out!
- Coca-Cola localization strategy
In 2011 Coca-Cola launched a “Share a Coke” campaign, which presented new tastes, cans, and bottles of famous beverages around the globe. Later Coca-Cola came up with a viral marketing tactic on social media and started posting user-generated content. When someone saw a drink with their name, they were encouraged to share a picture, raising brand awareness. - KFC localization strategy
One more case of a successful localization strategy dates back to 2021, when KFC introduced traditional Chinese meals on their menus. The American fast-food restaurant added Wuhan’s famous “Reganmian” (hot noodles) to its breakfast menu, attracting locals around the town to try it. Customers noticed that the flavor was similar to the authentic meal sold on streets throughout the city. - Uber localization strategy
Since Uber was founded in 2009 in San Francisco, the company has been expanding rapidly worldwide. Much of the company’s success is due to its localization efforts. For example, in Thailand, Uber offers motorbike taxis, and in Egypt—boats. Moreover, Uber made it possible to request a ride through a phone number for people who aren’t comfortable using smartphones. - Netflix localization strategy
Netflix’s localization strategy is based on a unique algorithm that analyzes users’ preferences. Since the streaming platform is presented in 190 countries, it creates content to appeal to each demographic. Additionally, Netflix offers a wide subtitle selection to cater to everyone who wants to enjoy the service’s content.