Enhancing Brand Equity In New Markets: Insight from Puma, Glovo and On

According to marketing legend, in the late 1970s Coca-Cola was all set to conquer the Chinese market. As the first foreign FMCG brand entering the country, there was a huge amount to play for, and Coke spent years navigating regulations and building careful relationships to secure their success.

However, when the product launched, local brand advertising featured Chinese characters that approximated the sound of “Coca-Cola” when spoken. Unfortunately, the literal translation of those characters was… “Bite the Wax Tadpole” (later, the characters were changed to mean something closer to “Happiness in the mouth”, and the brand went on to enjoy huge success).

This may well be apocryphal, but the point of this long-lost marketing muck-up is that entering a new market is a huge challenge that often throws up unexpected curveballs. Any good marketer will tell you that a brand lives or dies according to its ability to resonate with its audience, no matter what language they speak or what their cultural background is.

Recently our Chief Customer Officer, Andrea Tabacchi spoke to three experts from brands who have successfully used localization to foster increasing trust, relatability, and loyalty in local markets; Petra Mesic, Teamhead Translation & Localization Global E-commerce at sportswear giants Puma, Stefania Russo, Head of UX Content at delivery app Glovo, and Matteo Nonne, Localization Program Manager at Swiss athletic shoes and sportswear firm On.

In this blog, we’ll draw on the unique insights they shared to explore the strategic importance of localization in driving brand success and market penetration.

(If you’d like to hear the whole conversation, you can watch it on our webinars page now.)

Maintaining Brand Consistency with Local Adaptations:

Having internal copywriters who truly understand our brand’s tone and values is invaluable. They ensure that our localized content remains authentic and consistent across different markets.” – Petra Mesic, Teamhead Translation & Localization Global E-commerce at Puma

Whether you are using internal teams or external partners, Petra emphasized the value of copywriters who understand the brand’s tone and values, so that the brand remains consistent across different markets, especially after it has been translated. 

By pairing an in-depth knowledge of the brand’s identity and voice with a knowledge of local culture, these teams can create resonant content, while staying true to the brand’s essence. By incorporating feedback from these teams, you can also consistently improve your translation quality, reducing workload and increasing impact. 

Localized Content as a Competitive Advantage

Our strategic use of localization has allowed us to differentiate ourselves from competitors and gain a deeper understanding of local markets.” – Stefania Russo, Head of UX Content at Glovo

Stefania and Matteo both spoke about the strategic use of localization for market penetration and importantly, for competitive differentiation. Properly localized content opens up opportunity for personalization at scale, driving a significantly more relevant customer experience. 

Around 74% of online customers say they are frustrated by content that isn’t personalized, and McKinsey research shows that ecommerce concerns that focus on personalization can drive 5% – 15% more revenue, so it’s easy to see how this approach can push tangible ROI.

Tailoring content to specific user groups in multiple markets positions brands as leaders, driving increased customer loyalty.

It’s also important to consider the finer details of a localization program. Small details can make all the difference and show the customer how committed you are to making their experience the best it can be. 

Attention to detail in localization, such as adapting pricing to local currency formats and using culturally appropriate imagery, is crucial for creating an authentic user experience.” – Stefania Russo, Head of UX Content at Glovo

Building Trust and Loyalty

We’ve seen a significant increase in brand search and ranking after enhancing our localization efforts. It’s a testament to the power of localized content in building trust and loyalty among local customers.” – Matteo Nonne, Localization Program Manager at On.

Historically, many businesses have struggled to measure the impact of localization, perhaps because it affects so many metrics across the business.

In our webinar, Matteo mentioned that On had seen a measurable increase in brand search and ranking after improving localization efforts.

Beyond just building trust and loyalty with local customers, this shows the off-site impact of quality localization. In the past, those types of improvements would only come from a media campaign or significant SEO work.

Optimizing content for local search terms and preferences can drive organic traffic and enhance the brand’s online visibility and presence.” – Matteo Nonne, Localization Program Manager at On.

Our guests were keen to address measurement throughout, and encouraged teams to create dashboards and reports that helped educate the broader business on the value of localization across the brand.

Implementing robust analytics and measurement frameworks allows brands to track the performance of localized campaigns and optimize their localization strategies based on actionable insights and data-driven decisions.” – Stefania Russo, Head of UX Content at Glovo

Finally, it’s important to remember that culturally relevant content leads to higher customer satisfaction and repeat business, as it demonstrates a brand’s commitment to understanding and connecting with its audience on a deeper level. However, this can’t be expected automatically. The brands that do best invest in ongoing improvements and training for their teams:

Cultural sensitivity training for localization teams and thorough cultural audits can help mitigate risks and ensure that localized content resonates positively with local audiences.” – Petra Mesic, Teamhead Translation & Localization Global E-commerce at Puma

Localization goes beyond translation—it’s about fostering meaningful connections and forging lasting relationships with customers, ultimately driving brand success and growth.

Conclusion

Localization is a strategic imperative for brands looking to enhance their equity and presence in local markets, but hasn’t always been top of the agenda for marketing and sales departments. By maintaining brand consistency, using localized content as a competitive advantage, and building trust and loyalty among local customers, brands can unlock new opportunities for growth and expansion. 

Want to know more? Make sure you watch the full webinar now.