Five reasons to take your business global

 

 

 

It’s not until entrepreneurs begin to make the move from selling domestically to selling internationally that they realised what they’ve been missing. Today, new technology means it has never been easier or more cost-effective for a small business to expand into global markets.  

Here are the five main advantages, companies can gain by making the move to expand internationally: 

 

 

Increase your customer base 

 

It might seem obvious but making the move from a domestic market to an international one is a sure-fire way to ensure that your business is exposed to millions of new customers. Hopefully, your product or service will be in demand and provide a much-needed solution in these new territories 

 

 

It’s time to expand 

 

Apart from finding new customers, there’s another very good reason to expand into foreign markets. And that’s if you feel that you’ve already saturated your main market. If you’ve run out of targets in your domestic market, then the natural thing to do is look for new ones in markets overseas. That way, your business – and your profits – can continue to grow 

As an added benefit, expansion into new foreign markets means diversification which can reduce risk, especially if something unexpected happens to business in your domestic market – you’ll still have your overseas business to fall back on. 

 

 

Gain a competitive edge 

 

Most businesses have competitors in the domestic market. If that’s the case for your business, then you could actually do better in overseas markets where there might be less competition. More importantly, move into a foreign market before your rivals do and you’ll secure a foothold, making it much more difficult for them to gain market share further down the road 

What’s more, when you start selling overseas, you may reveal learnings and insights that you can apply in your home market for greater success. Regardless, the increased revenues for operating globally could boost your bottom line to the extent that you’ll be able to afford to invest in marketing and advertising back home – in order to steal further market share from your rivals.  

 

 

Economies of scale 

 

When you make the transition to creating product for one market to many, it won’t be long until you discover that you need a lot more product. This means you can buy in bulk and benefit from economies of scale. As the per unit manufacturing cost falls, profit margins rise. You may even be able to benefit from sourcing cheaper materials and labour in some overseas markets, cutting operational costs further. You can then pass these savings onto the customer to undercut competitors, or create a cash pile for further investment in the business.  

 

 

Seasonal ebb and flow 

 

If your business does better at certain times of year due to seasonal ebb and flow, then you might be able to pick up extra business overseas when business is slow at home. This is worth researching, as you can then divert your marketing budget in order to focus on those regions where it’s possible to gain the most advantage.  

In addition to this, you may discover ways of tailoring your offering in order to create increased demand and new revenue streams in certain overseas territories at different times of the year. 

 

 

Get the tools for success in overseas markets 

 

Of course, to really benefit from doing business globally, you need the capacity to take payments from overseas – and in different currencies. As a global payments provider, KoalaPays allows you to do business in more than 20 currencies at once in countries all over the world. We also have designed our services with business customers in mind, offering the tools you need to expand into overseas markets and full flexibility of your account. If you’d like us to help you succeed with your international expansion, please get in touch with our team today! 

Five tools to help your business expand into overseas markets

 

 

Taking a local business onto the international stage may seem daunting but if you have the right business model and the will, the technology is there to help you make it happen. New technology means that more local businesses are making the move into overseas markets and, as a result, their enterprises are growing exponentially. Here are a few of the tools and apps out there that can help even the smallest business succeed globally. 

 

 

Google it 

 Before expanding into any market, it’s important to do your research. It might seem obvious, but here, Google is your friend, or to be more specific, Google Analytics, Google Trends and Google Market Finder 

Google Analytics is incredibly useful when it comes to tracking where your visitors are coming from. If you see a high proportion of visitors from a specific region, then this could give you more than a few clues for your next sales destination. Likewise, Google Trends is handy for discovering locations where there might be demand for your product or service.  

With Google Market Finder, you can translate keywords and phrases for your business across a number of languages. This can offer valuable insights when putting together a financial plan for overseas expansion. 

 

 

Connect to new markets 

 As a business owner, you’re already aware of the importance of having local expertise in your local marketplace. This is just as important when you’re looking at overseas markets. Social networking platforms such as LinkedIn give you the opportunity to reach out in the markets that interest you and get introduced to people who may be able to help you in your efforts. Who knows? You might even find your next star employee to help you break into that new market. 

 

 

Update your systems  

 Operating in foreign markets can be very different than your existing domestic market. It’s important to understand the legal considerations of exporting, importing or working with an overseas partner. Market Access Map is a tool that can give you insights into international trade by increasing the transparency of market access conditions worldwide.  

Along the way, you’ll probably discover that the same accounting and tax regimes probably won’t apply, so it’s important that you update your existing financial software to be compatible for your new markets. 

 

 

Choose the right platforms 

 When you’re selling into overseas markets, there isn’t just language differences to deal with, there are cultural differences to deal with too. Like at home, customer service will be vital to the success of your overseas operations, so choose a CRM platform that updates across global boundaries. 

The same will apply to your website or e-commerce platform you use. One that meets the needs of the local market may not be fit for purpose when it comes to overseas markets, so it’s important to do your research and find one that’s best for your business model and can adapt to cater to new foreign marketplaces.  

If you can’t afford to translate your website into a number of different languages, then it might be best to keep it in an international language such as English, adapting the copy to make it as short and as simple as possible. As you see which markets you do best in, you can consider creating a standalone website later on, designed especially for that market.  

 

 

Use KoalaPays 

 You’ll also discover that customers in various countries prefer to pay in different ways, so it’s important to give your customers as many payment options as possible in order to maximise your sales.  

KoalaPays account can help with this as it’s compatible with a full range of payment methods. Furthermore, since you can accept payments and hold individual currencies in separate sub-accounts, you aren’t subject to charges for every payment you receive from a business partner. And, when you do want to convert to another currency, you won’t be charged excessive fees or have to deal with poor exchange rates.  

That’s just one of the ways KoalaPays demonstrates that we’re on your side when it comes to helping you do business overseas. 

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