Gone are the days of a local mall or department store serving one community. Today, e-commerce sales are growing at an astonishing rate 20% per year, increasing even more during the pandemic, when stay-at-home orders were all the rage. Add to that the leveling power of social media, where influencers promote brands and products on TikTok, Instagram and Snapchat, and you have the perfect economic conditions for a powerful international e-commerce strategy.
The best thing about these social media marketing campaigns is that viral products can cross borders. These social media marketing campaigns can lead to a larger consumer base. Still, this creates opportunities for sales teams to recognize the diversity within a global audience.
To win loyal customers, a sales strategy must respond to the needs and background of the audience. Globalization has made e-commerce a dominant force in today’s economy, and effective sales teams need to understand the culture of where they sell. As such, the following three key points can help your company develop a global sales plan that leverages audience culture and diversity for greater cross-border e-commerce success.
1. Identify who your target audience is.
A marketing campaign without a clear idea of who you are selling to will not get you very far. Don’t try to focus your business on “the world”; instead, the demographic focus should be kept clear and specific. For example, a company that specializes in high-quality vegan leather handbags is likely to specify its main market as “ethically conscious women, ages 24 to 45.” That may not go far enough and a good sales team should narrow down their target audience even further.
The following are strategies to help you further identify your target audience.
• Analyze demographic market data.
Fortunately, thanks to the explosion of AI, website analytics, and social media data, there is a wealth of information available to help you further reach your desired audience. Use these resources and tools to fully understand who your target audience is and what they search for online.
For smaller companies without an in-house research team, market intelligence analysis may need to be outsourced to an independent agency or service; however, collecting data is worth it. These resources can provide powerful insights into a demographic’s purchasing power or what keywords your target audience is using when searching for a product.
• Contact the competition.
Don’t be afraid to do some market friendly and see who your competition is. By understanding your competition’s audiences and marketing strategies, you can focus on differentiating your brand from competitors while remaining appealing to discerning consumers.
Suppose your competition is successful with a certain product or within a certain region; your competitor’s success provides an excellent opportunity to see how you can increase sales in those areas. While there will always be some overlap in customers, it is essential to keep yourself distinct in the consumer mind.
• Surveys.
It is essential to use customer feedback at all stages of the sales process. You can conduct targeted surveys to gather information about the entire purchasing process and use the feedback to ensure your e-commerce processes meet customer needs. Don’t rely solely on market research and instead use analytics to guide your customer research.
Remember that surveys can be given to market feedback groups outside your usual demographics when identifying a potential audience. Discovering a market niche can lead to a completely new sales region.
• Segment your audience.
There is usually more than one target audience in your demographic. For example, consider a protein powder and supplement company. Most marketing teams suggest that the main target audience for this brand is young men aged 16-45. However, other target groups for the product are also women aged 21-45 and older target groups.
Still, selling protein powder to men and women in similar ads won’t work nearly as well as a more targeted campaign delivered to each segment separately. While it may seem like the more expensive route (building out multiple ad campaigns), tailoring ads to each audience will yield better sales.
2. Understand that cultures have different attributes.
The business world is full of cautionary tales of poorly researched marketing campaigns. For business leaders and PR managers, understanding the history and culture of your key audience is essential. Similarly, e-commerce companies must ensure they are compliant in every aspect of their sales, from shipping logistics to purchasing platforms.
According to Daniel Viniegra, chief commercial and partnerships officer at Go global e-commerce, it is essential to build reliable and reputable business relationships across borders. “If you want to sell cross-border successfully, you need to fit into the current culture. To do this, it is important to ensure you offer localized e-commerce experiences by considering currency conversions, payment methods for each market, and even languages you use for business.”
This commitment to understanding your audience’s culture should be recognized, Viniegra says. “Keeping all of this in mind will help you avoid cultural mistakes that could hurt your business.” Double check that the tone and material are appropriate when building a product or service website for your target area. Likewise, before creating an ad campaign, research that may conflict with local expectations and culture.
Make sure buying products is easy by using local payment methods, predicting the correct tax and customs duties, and doing your best to ensure fast shipping. Finally, make sure you don’t miss out on a sale because customers might not understand the translated text on a website or because there isn’t an option for their local language.
3. Outsource native cultural views.
Effective ecommerce businesses can appeal to a wide variety of consumers. Understanding what drives purchasing decisions is essential for any ecommerce business. However, not everything can be learned from market data alone; sometimes boots on the floor are the best way to get the information you need.
Request a native outlook when building a new audience, dropping a new product, or developing a sales strategy for an unfamiliar location. One of the best ways to do this is to hire a local market research team or advertising agency. These local businesses have useful insights into what drives sales in the area or for that specific audience. For example, terms and language use may differ per dialect. Don’t miss out on a sale because your products don’t contain local slang or keywords.
A community-based advertising agency can tailor your social media ads and provide unique selling ideas that can engage your audience. To be successful in cross-border sales, it is crucial to build respectful relationships within the culture by actively listening to and acting on suggestions.
While selling cross-border can sometimes feel overwhelming, there are resources available to businesses that can make the process easier. By aligning with your target audience’s culture and actively learning more about the region, e-commerce companies can achieve international success and build long-lasting, positive relationships.
Janice has been with businesskinda for 5 years, writing copy for client websites, blog posts, EDMs and other mediums to engage readers and encourage action. By collaborating with clients, our SEO manager and the wider businesskinda team, Janice seeks to understand an audience before creating memorable, persuasive copy.