What Is Localization? Why Is It Important For Firms?
Nowadays, localization is a concept that creates different meanings in everyone’s mind. There is a proverb that explains the localization very well.
“You can’t sell refrigerators to Eskimos!”
As emphasized in the proverb, localization is a term that includes all kinds of activities aimed at recognizing the target group, their needs, red points, and culture.
Where do Localization and Companies Meet?
In our ever-expanding world, new markets are becoming accessible to companies. But how can companies find themselves and their services in these markets? The answer is hidden in localization work!
Localization: Favorite of the Marketing World
Everyone was very surprised when McDonald’s announced that he would open his first shop in India years ago. How does a company with beef as its main product, can exist in a country where cows are considered sacred? Of course with localization work!
The world giant, known for its Big Mac, revised its menu and released a brand new menu based on local demands and culture. Today, McDonald’s foods are one of the largest fast-food chains in India.
How they managed is very clear. They shaped their product according to local demand. They did not limit themselves to a single language and developed local marketing strategies.
Now let’s take a more detailed look at the importance of localization and what it brings to firms.
Localization Serves the Best Customer Experience
Speaking the same language as your customers, thinking, acting and making decisions like one of them, is one of the golden rules of marketing. By doing this, you have enough information about how real customer experience is progressing.
Let’s do a little examination with the help of the numbers.
-According to researches, the average daily number of internet users in the world exceeds 4 billion. Only 25% of these users speak English.
-More than half of Google searches are performed in languages other than English (Internet World Stats, 2017).
-72% of those who shop online on the internet prefer to shop from sites in their language. Moreover, 56% of consumers indicate that providing services in their language is more important than the price of a product or service.
These numbers give us a rather striking fact. We see how important localization is, and that in the world of sales, English is not as effective. Individuals feel more secure when they receive service in their language, and in this case, it leads them to shop with more peace of mind.
Localization Allows You To Open Up To Different Markets
Through localization efforts, you can present your products and services to the markets you think you will never have access to. By crossing linguistic and cultural barriers, you can achieve success just as McDonald’s.
When opening to a new market, what the product, price, promotion work is matters, but it is impossible to succeed in a new market without localization studies.
Localization Increases your Sales Rates
You can communicate with your customers in their language and create mutual trust. Research shows for the vast majority of consumers, getting information in their language and culture is more important than the price. With proper localization work, you can develop new marketing strategies and improve your sales rates with these techniques.
Remember, marketing is an action with continuity. Therefore, you should follow up changes in that culture well, and properly evaluate sales opportunities for your product.
Localization Strengthens Brand Image
Localization is not just about translating into that language. It also means inspecting and adapting the content according to local culture and consumption habits. If done correctly, you can reach the customer easily. Otherwise, it can seriously damage your brand image. Keep in mind that a clever word game in one culture can turn into a disturbing and even insulting one in another language. An unconscious mistake can leave an unforgettable stain in your brand image.
For this reason, you should always work with people from that culture or people who proved their expertise in the language in their localization work.
Allows You to Reach More People
It is inevitable for you to reach more people because you will overcome the language barrier through localization works. When you reach more people, you will become more aware of your brand and you can spread your name with buzz marketing and create a solid infrastructure for the future steps of your brand.
Localization Boosts Your Competitiveness
The numbers show that people prefer to shop in their language much more. Thanks to localization efforts, you can get ahead of many of your competitors who do not work in this area. You can make yourself more recognizable than other companies that serve in the same sector and allow your target audience to build a trust relationship with you.
In The Long Term, You Can Achieve Pretty Big Profits
As we mentioned before, localization efforts help to prevent many misunderstandings and steps that may damage the brand image. By increasing customer satisfaction, localization efforts help to reach rising numbers in sales. They will provide big earnings to company owners in the long term at the same time.
We are aware that companies face many different costs while exploring a new market. Localization, which is seen as a part of marketing in this process, is not always among priority expenditure items. Our advice is to give the necessary attention to localization efforts so that your other investments are not wasted.
As you can see, localization work is far more important than you think and it is thought. You can also get informed about the benefits of this project by examining the studies in this field worldwide.