Expanding an enterprise into new global markets can unlock significant growth opportunities by tapping into diverse consumer bases and lucrative geographies. Access to a broader customer pool allows for increased revenue streams and economies of scale, enhancing the overall competitiveness of the business. Furthermore, global expansion can foster innovation through exposure to different business practices, technologies, and cultural perspectives, driving long-term sustainability and adaptability.
Although there are multiple challenges to global expansion, the potential rewards are worth the investment. All the same, for global enterprise leaders, it can sometimes feel like there are an overwhelming number of expansion initiatives clamoring for their attention. So, where are their efforts likely to deliver the biggest impact on business growth?
An independent survey of 2,000 business leaders, conducted by Censuswide on behalf of Phrase, revealed key areas where global enterprises have an opportunity to move the needle significantly in 2024 when it comes to their global expansion efforts. Let’s evaluate the top three key business factors poised to unlock new growth.
AI as an Accelerator
Globally, 73 percent of business leaders say they are excited by the potential of AI and large language models (LLMs) for business expansion. They realize that the savvy application of AI can both control costs while expanding core business initiatives. It’s not about replacing people; it’s about scaling the impact of those people and ensuring their time and energy is being put toward the tasks that truly demand a human touch.
Increasingly, the strategic integration of AI and LLMs into localization efforts is becoming imperative. The volume of content necessitating translation and localization for global expansion has escalated, surpassing the capacity of manual, human-driven systems. Concurrently, heightened consumer expectations for personalized experiences have intensified the need for communicating in the customer’s language, while delivering content customized to the unique needs of specific segments and individuals. Enterprises that can tap the right tools to scale their localization efforts, without losing sight of the individuals they’re looking to reach via their global expansion efforts, have the opportunity to gain a competitive edge this year.
Personalization as a Connector
Just as AI and LLMs can bring the needed scale to localization for global expansion, they’re also going to be the key to delivering the needed personalization. At present, only 39 percent of businesses globally are using AI to deliver a personalized customer approach, and more than half (52 percent) of businesses globally are not currently communicating in real time in the language of their customers. The companies that make it a priority to address these shortfalls will gain an outsized advantage over competitors.
A commitment to personalization enables deeper customer connections and more successful acquisition efforts. Until recently, however, achieving personalization at scale—particularly when entering new international markets—simply wasn’t possible. In 2024, that will change, and it’s all due to new technologies driving content automation including translation and localization at scale. The systems capable of meeting global enterprises’ personalization needs are the ones that simultaneously automate quality checks to ensure human localization resources are dedicated to the most critical assets while smart systems handle the rest.
Localization as a Growth Strategy
The value of localization and the consequences of its absence are not lost on global business leaders. In fact, more than half (55 percent) say their company has lost business due to the lack of a proper translation and localization strategy. This acknowledgement underscores a greater truth (and opportunity) when it comes to expanding an enterprise into new markets: Positioning localization as a core business imperative will drive greater success in market expansion efforts and other growth initiatives.
In 2024, the businesses that elevate their localization efforts from the tactical level to the strategic level will unlock new growth opportunities. Implementing robust and scalable AI-powered translation and localization technology can drive immediate efficiencies when it comes to adapting content to the needs of new markets. Perhaps more importantly, though, it also helps to future-proof an enterprise by ensuring it’s more nimble. This allows it to capitalize quickly on emerging market opportunities that competitors without similar systems will be unable to seize.
Embracing cutting-edge technology solutions fueled by AI and LLMs is paramount for fostering robust international growth in 2024. These advances not only streamline operational processes but also empower businesses to adapt and respond to the dynamic demands of global markets with greater agility.
In 2024, the complexity of entering new global markets isn’t going away—but the technological barriers to doing so are.
