International Business Strategies

International Branding: Help Your Brand Transcend Borders

Discover international branding and adjust your brand for a global market to create authenticity and increase revenue opportunities.

Dominic Dithurbide's avatar
Dominic Dithurbide

October 17, 2022

10 MIN READ

What is International Branding?

International branding is the process of increasing business growth by establishing and building a brand identity within global markets. Businesses create their brand through advertising, media, website content, word-of-mouth, and interactions with products or services.

Global brand building involves defining your company's personality and shaping how you want customers and the public to perceive your organization. This process aims to create a clear image of your company and to influence how others view it. It is crucial to determine how customers and the general public perceive your organization.

Branding takes time and effort, involving naming products, creating logos, and maintaining consistent messaging across the business. Is all that effort worth expanding to international markets?  

According to research, the answer is "yes". Around 45% of medium-sized companies generate more than 50% of their revenue from international markets. Additionally, having a strong brand can increase their revenue by up to 23%. 

3 Key Benefits of International Branding

Establishes New Revenue Streams

Implementing global marketing efforts is a simple way to create a new source of income compared to local alternatives. When you explore new markets, you are looking for chances to offer different products or services. When you start selling in a new place, you have to change how you do business to fit that country’s ways.

Different countries may have different market needs, so the products and services required may vary. Because of this, the methods of expansion associated with each market will also be different. Creating and using a global branding plan can help you make more money than just selling in your own country.

Solidifies Competitive Advantage

International branding helps build and solidify your competitive advantage. Having competitive advantages allows a new company to enter the market and shake up the current top products. New places to grow your business represent new opportunities. You may access technologies, labor pools, or industrial ecosystems that perfectly align with your organizational goals.

Global expansion, particularly into emerging markets, can give you a head start on your competition. If your competitors are not there, you can establish your brand as the top choice. This builds a global brand, giving your business a good reputation and an advantage in the local market. Over time, the company's image and notoriety can continue to grow.

Enhances Brand Awareness and Authenticity

When you prioritize international branding, your brand becomes more authentic. Good global brand management helps more people see and understand your brand and what you offer. In fact, 88% of consumers identify authenticity as crucial when deciding what brands they like and support. 

For example, a brand that expands globally might emphasize its original values and unique story, ensuring that these elements are consistent across all markets. Consistency creates an authentic perception. Consumers in various regions value the brand's commitment to its origins and core values. By maintaining its original ethos while adapting to diverse cultures, a global brand can strengthen its authenticity, making it more appealing to a global audience. 

How to Build a Global Branding Strategy

Step 1: Solidify Your Goals & Locations

Identify your business goals, including global branding strategy, to start every aspect of your business journey towards success. Before making any big moves, it’s important to have a plan that outlines company goals and key performance indicators. The most commonly used KPIs include revenue growth, profit margins, and customer satisfaction measurements.

Here are some critical questions to answer thoroughly as you map out a global branding strategy:

  1. Are you experiencing sustainable success in your domestic market?
  2. Is your brand image, vision, and identity well-defined domestically?
  3. Where are you planning to expand? Why? What data do you have to back up your expansion plan?

Step 2: Determine the Entry Strategy

First, choose the market you want to enter and your goals. Then, create a strong plan for expanding your business globally. There are four main international strategies that businesses typically follow. The branding strategy you choose depends on your business model, goals, budget, and limitations.

International Strategy

An international strategy, also called an export strategy, focuses on exporting products and services to foreign markets while maintaining a single production headquarters. Multinational companies make products in their home country and send them to customers worldwide, without focusing on local needs.  

Subsidiaries act as local channels that sell the products to the end-consumer. Large wine producers from countries such as France and Italy are great examples of international companies. When wine brands sell outside of their home country, the branding, products, and pricing stay the same. 

Global Strategy

International businesses sell the same product everywhere and try to save money by being efficient. A global strategy entails being highly centralized, and subsidiaries are often dependent on headquarters. Their main role is to implement the parent company’s decisions and to act as pipelines of products and strategies.

Global strategies have lower local responsiveness, but they prioritize global integration. Pharmaceutical companies, such as Pfizer, operate worldwide. They may make slight adjustments to their products to comply with various country regulations. However, all of these products still belong to the same brand.

Multidomestic Strategy

A business utilizes a multidomestic strategy when it uses entirely different sales, marketing, and product strategies based on the specific countries in which it is operating. Rather than one global brand, there are many smaller, country-specific brands tailored to local tastes and local customers. Companies with multidomestic strategies prioritize local responsiveness, adapting their product offerings and brand to local preferences. This requires a higher amount of brand localization as well as more authenticity and appeal to the local market.

Transnational Strategy

Businesses that utilize transnational strategy operate with a central office in one country, coordinating local subsidiaries within international markets. This strategy combines the best of centralized decision-making while still allowing for scale in varied markets.  

Companies such as McDonald's, Nike, and Coca-Cola use the transnational model. Famous global brands sell similar products worldwide. They also create special products for local customers. This is done to meet their preferences and cultural needs.

Step 3: Localize and Launch

Once you know your goals, the markets you plan to enter and your entry strategy, localize your content and brand to meet the demands of that strategy and begin building your international brand. First, develop your brand voice, identity, promise, values, targeting, and positioning in your local market to ensure success.  

Brand localization is the process of adapting a brand to appeal to a foreign market, including a comprehensive plan to address the target market's language and cultural nuances. It adapts your brand to meet demand, including services/products, platforms, and marketing messages.  

Brand localization serves as an essential piece of the international branding puzzle but can't stand alone. To fully bridge global markets, and take full advantage of the benefits international branding provides, your company needs to follow each of these steps. 

Examples of Successful Global Brand Strategies

Multidomestic Strategy: Unilever

Unilever is a British multinational consumer goods company that produces food, cleaning agents, beauty products, and personal care items, and sells them in 190 countries. The company needs to be close to local markets for its 400+ consumer goods brands. Local managers handle operations and manufacturing in each country, and the company is divided by product type.  

Some of Unilever's most recognizable brands include Axe, Dove, Ben & Jerry's, Knorr, and Hellman's. Their international branding strategy yielded a network of local brands that focus on the products that sell best in that particular sphere, such as Marmite in Australia versus mayonnaise in the United States. 

International Strategy: Harley-Davidson

Harley-Davidson takes a different approach to international branding. They have been producing motorcycles in the U.S. since 1903, and started exporting bikes soon after the founding of the company. Harley-Davidson competes in various country markets using an export strategy.

When Harley-Davidson sells motorcycles abroad, they don't need to lower prices or adapt the bike to local motorcycle standards. The "Made in the USA" guarantee has been Harley-Davidson's unique feature and a means of differentiation from its competitors. In 2021, almost 1,500 suppliers exported around 194,260 motorcycles to Canada, Europe, Asia, and Latin America. Most of Harley-Davidson's bikes go to India, Vietnam and Lithuania.

Need Help Expanding Your Brand Internationally?

As customers, both new and existing, shape your brand and reputation in the global marketplace, it grows. Sometimes, to reach these international customers, the most effective method is website localisation. 

You can test a new market by connecting with global markets in their preferred languages. This will help you determine if there is enough demand. Website translation and localization can take you a long way in the international branding process. 

A good translation and localization company helps you keep your message consistent in all international markets. They also allow you to adapt your brand elements, like web pages and promotions, into different languages. With superior translation and localization technology and an efficient international branding strategy, you can rapidly and successfully expand to new markets.

Last updated on October 17, 2022
Dominic Dithurbide's avatar

About Dominic Dithurbide

Dominic Dithurbide is a creative, goal-driven marketing leader that's dedicated his career to the translation industry. Dominic brings proficiency in global marketing, demand generation, and go-to-market strategies to MotionPoint's marketing team.

Dominic Dithurbide's avatar
Dominic Dithurbide

Marketing Manager

10 MIN READ

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