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The E7. The BRIC countries. Emerging markets in Asia.
Innovative companies rightly look into these exciting economies for potential customers. But as the globe grows smaller and international trade becomes easier, it’s time for a refresher course in marketing mistakes. After all, these up-and-coming markets are unknown quantities to most business people, making them a minefield of potential marketing errors.
The most blatant faux pas have been transformed from case study into modern legend. An automaker tries to launch its car in a Spanish-speaking market. Unfortunately, the auto’s name, “Nova,” is translated to mean “does not go.” Another company spent significant funds translating its packaging into Polish, only to find that Polish shoppers weary of the products produced by communism preferred goods that appeared Western. I have collected thousands of similar examples over the years. Some are true, some urban myth and some uncertain. I’ll be pleased to share a few with anyone who contacts me, and of course, I’m happy to hear your stories too!
Avoiding these costly – and humiliating – international market mistakes requires much more than good translation. First, start with a basic understanding of the target country to ensure it’s a viable marketplace for the particular good or service:
- - What are the economic conditions?
- - Is the population growing or shrinking?
- - What is the political situation, and is it likely to change dramatically?
- - Is foreign trade welcomed?
- - What are the costs of doing business, including energy, materials and labour?
Next comes a better understanding of the product’s potential consumers:
- - What religious or historical issues should be considered?
- - How do citizens spend their money? Compare necessities to disposable income.
- - Are there legal issues that must be addressed, such as product standards, labelling requirements and the like?
Finally, a review of the product itself should be undertaken:
- - What are the tastes and preferences of the new market?
- - What are the differences in language and advertising strategies?
- - How can the population best be reached with advertising?
- - Can an existing marketing and advertising campaign be adapted to the market effectively?
It comes down to investigation, research, and planning. Or employing companies who have been there and done it before – such as Conversis (I am allowed one blatant sales pitch per edition!)
An organisation that really wants to stretch itself also could consider launching a product in multiple “like” countries at the same time. This could create significant efficiencies, without an overwhelming amount of variation or confusion.
Read more:
International Marketing Mistakes, International Trade, 13 May 2008
© www.internationaltrade.co.uk
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