Do you have a business in America and are satisfied with its regional growth? If yes, what are your next steps? Have you considered exploring and entering the European & UK markets now and expanding your services further?
Europe and the United Kingdom have an attractive market with lots of growth potential. However, you will also require the best and most accredited translation service providers to get it right. This is why, as a US company, you should consider some of these essential factors before entering most European regions.
Why Enter European & UK markets?
Whether you run a North or South American company, your decision to enter Europe will benefit you in more ways than you can imagine.
The EU is a large market with more than 500 million consumers. This means you can conveniently expand your customer base and take over new markets in a short span of time.
Europe also has a stable economy. Despite global challenges, the economy continues to show resilience with low energy prices and a solid labour market. The growth outlook or percentage of Europe’s economy is pretty promising, with 1% in 2023 and 1.7% in 2024.
Another great benefit of entering the Europe business landscape is that it is a hub of different consumers, cultures, and preferences. Even if your company doesn’t make a mark in one part of the continent, it might stand out in the other.
Moreover, according to statistics, many countries in Europe have high and impressive purchasing power. The French have an average purchasing power of €21 942 per capita, while the Netherlands has €23,873. Italy is just a few euros behind, with €18,905 per capita.
10 Aspects to Achieve Success in Europe’s Market
Despite the above positive points, you should consider these ten things to make it big in the European market. These factors can help you overcome all hurdles that might come in the way of your company’s international success.
1. Research European Consumer Habits and Values
When you plan to launch your company in Europe, consider the people you will be catering to. Americans are different from Europeans. The latter is very tech-savvy and traditional at the same time.
For instance, Germans prefer buying products from websites in their language. They may also expect to see local currency options on the paying platforms.
The same applies to French and Swedish people. It would help if you understood what the target consumers prefer and respect, helping you make it big in their region.
2. Identify the Possible Opportunities
You can only make a place for your company once you have an opportunity waiting for you to grab it. Therefore, any American company that wishes to expand should evaluate the market and its goals before launching in Europe. With a robust online presence, you may find it convenient to enter the region, but you will have to develop a strong brand presence to persuade people to buy from you.
3. Focus on the Right Countries
Suppose you run an American fashion-based brand. In that case, to succeed, you should consider moving to Paris, for instance, the world’s fashion capital. You can also launch your product in Milan and witness the great response.
Similarly, if you are a tech-based country, consider starting your expansion journey in England, Germany, or Sweden. These countries have innovative and vital technological sectors, making them attractive for IT-based ventures.
4. Regulatory and Legal Environment
An American company must consider the legal and regulatory requirements in the country they wish to expand into. Some places are more friendly than the rest. If your company wants to make it big, follow all regulations and laws to keep safe from any legal charges.
5. Work with Professional Translation Service Agencies
Europe and the United Kingdom are extremely diverse, with people from multiple cultures and backgrounds. They speak many languages, some of which are unknown to most Americans. Language and cultural aspects are some of the most significant barriers a company can face when entering these markets.
Companies planning to expand in Europe should enter regions by utilising professional translation service providers (LSP) to communicate with locals and create consumer-friendly websites in the market’s native language.
According to ATC (Association of Translation Companies), which is the leading translation organisation in the United Kingdom, the best and highest-rated translation agencies in the UK are Translation Services 24, Geno and LionBridge.
While many translation services in the US can be an option, your best bet is to rely on translation service providers in cities such as London for the best of both worlds due to its geographical and central location.
6. Availability of Local Partners
Setting up a store in Europe is pretty straightforward, especially when you have a local partner. A local business advisor can help you overcome any regulatory issues, language barriers, and system constraints without your company putting in extra effort. The experienced partner can also help you understand the employment law, pay system, and onboarding processes.
Ensure you find a partner with your business goals to eliminate any contradictions.
7. Look for Ways to Reduce the Cost
You may have to invest an amount to launch your company in Europe. However, you can overcome this cost by selling your products and services at a profit and reducing other expenditures. The good thing is that Europe has expensive and inexpensive labour available, meaning you can get a team for your venture according to a budget.
Moreover, the free movement of goods in the EEA and EU is a possible opportunity to experience zero customs duties and few restrictions. Look for avenues to reduce costs and enjoy high profitability with expansion.
8. Evaluate the Social Media Channels
If you use Instagram to sell your products in America, it doesn’t mean that the same channel would work for your company in Europe. Every country has its preference for purchasing goods through a particular channel.
Ensure you investigate the marketing tactics acceptable in the region where you wish to expand. Also, evaluate the benefits of direct selling to analyse its acceptance among locals.
9. Embrace Successful E-commerce Platforms
If your company still needs to be connected with giant e-commerce platforms like Amazon, now is the time to use it for this expansion. Consumers feel it is convenient to communicate with marketplaces and platforms that they are familiar with, making it easy for them to sell your services.
Not only this, but your company can also benefit from the e-commerce platform’s logistics and distribution channels, saving you from high costs and regulations.
10. Measure Your Expansion’s Financial Viability
The European & UK markets may attract you with their culture, diversity, purchase power, and growth. However, what may work for others, might not benefit you.
Ensure you understand all the challenges you might face in the region. Measure those challenges with your company’s capabilities to ensure you can cope with the economy and its people.
It would help if you also considered the growth revenue of the expansion before finally entering the new market.
Expansion is tricky, especially if you have to cross oceans to launch your service or product in a new market. However, if you successfully consider the above pointers, you may find it effortless to establish your company in Europe.
Make sure to seek help from professional translation services providers to understand the needs and expectations of consumers and meet their requirements.