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Why Localization Is Essential for Global Business

What is Localization? Why is Localization Important?

Discover why your company should consider localization before entering new markets.

We live in a global village, and buyers are no longer limited by geography. Customers around the world expect to have access to a variety of products and information, not only on-demand but preferably in their native language. If you’re providing these goods, services, or solutions, your company needs to be equipped with the necessary tools to traverse these global landscapes and be prepared to provide global users with unique and tailored local experiences.

How can all this be done? One way is localization. If you’re wondering what exactly is localization, you have come to the right place. Read on to learn more and discover why your company should consider localization before entering new markets.

What is localization?

Is localization a fancy word for “translation”? Not at all. Localization is the process of adapting content, products, and services to specific local markets. Localization does not simply mean translating texts. While translation is the practice of changing a text from one language to another while preserving the meaning, localization encompasses much more. Localization may also include adaptations to images or colors, formatting, UI, or design, and even payment methods, to name a few.

Why is localization important?

To stay relevant in the global sphere you have to be able to communicate with your audiences effectively. If you are preparing to take your company global, localization will play a critical role in its success. Here are five benefits you’ll reap by augmenting your business strategy with localization.

Localization will help you enter new markets easily

There are many barriers you may face when launching your enterprise in the global marketplace. Legal issues, logistical hurdles, and also cultural and communication challenges can slow you down. While localization can’t remove all of these speed bumps, it can certainly help you overcome cultural obstacles and help you avoid potential cultural faux pas that could be detrimental to your brand image. With a good localization strategy, your company can gain traction in a new market much quicker and, if done correctly, you’ll avoid embarrassing translation blunders.

Localization will give you a competitive edge

  • Local competitors: Going up against companies that are native to the local market can be tough. Local businesses may be able to gain the trust of an audience much more easily than an outside player. Localizing your product will help level the playing field.
  • Global competitors: If your competitors aren’t localizing their product, you will have a clear advantage and be able to get a firm foothold in the new market.

Localization will increase customer satisfaction

Localizing your content will show your commitment to your customers. If you are addressing your customer’s needs in a way they understand and are comfortable with, they are more likely to buy your product or service. From user manuals, payment methods, and even customer support, localizing all parts of the customer journey will help your customers make a buying decision much more easily.

Localization will increase brand loyalty

If you provide your buyers with a satisfying user experience you will start to gain their trust, which is essential for brand loyalty. Communicating with your users in their native language and tailoring your product will help you gain their trust. Satisfied customers will be loyal to your brand and are likely to stick around to become true advocates of your product.

Localization will Increase your revenue

A bigger audience means a huge potential for more revenue, and if you localize your product effectively, you’re bound to see an increase. By optimizing your localization process with a TMS (translation management system) you’ll be sure to get the most out of your translation and localization resources and capitalize on technologies such as machine translation. This will ensure a sizable return on investment that will impress all the stakeholders in your company.

What’s next?

If you have your sights set on global expansion, implementing localization into your business strategy will help you overcome cultural barriers and facilitate entry into new markets. But the job isn’t done. Knowing the importance of localization is just the first step.

You now need to think about implementation and finding the right technology to maximize your efforts - which may take some convincing for the stakeholders in your company. But fear not, we have just the article to help make your case for a localization strategy.

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