Both standardization and localization are global approaches that can benefit a company. These two approaches should be considered when designing a global marketing strategy. Both these approaches can bring value to your brand. But both marketing strategies might not be suited for certain kinds of business.
Using a standardization process or a localization process depends on factors, whether you are looking for maximum market share or you are looking for high-quality brand consistency. Standardization vs Localization, want to know which is best?
Read on further to know which is best for your business; standardization vs localization.
What is Standardization?
Standardization is a process that ensures brand consistency and high-quality content in the target market. It is a marketing strategy that seeks to create a global approach to its product or service. It helps to create uniformity across its marketing materials. It creates consistency in brand image, enhancing wider brand recognition.
The standardization process works well with both big businesses and SMEs. Once the brand gets recognized through standardization, trust for a product or service is obtained. The uniform approach of standardization allows control and improved management over a product or service, which is evident in some recognized brands across the world, such as McDonald’s, and Coca-Cola.
Pros and Cons of Standardization
It is an excellent process to ensure that the customers get the same product or service every time. But every marketing strategy has some pros and cons associated with them. Here are some of the pros and cons of the standardization strategy.
Pros of standardization
Production Efficiency
When the technology and manufacturing methods are designed according to a specific product or service, production efficiency gets improved significantly. Producing products according to the predetermined standard, and establishing production rules reduces time and enhances manufacturing efficiency.
Cost Reduction
When the product or service is efficiently produced according to prescribed standards, it automatically reduces costs. Once the manufacturing and production facility is designed to produce a standardized product i.e., only one kind of product, the cost is reduced as there is no need to buy the raw materials in bulk.
Quality Assurance
Standardization of products or services ensures that all pieces of that product are of the same standard quality With this feature, you can also detect issues with products or services. Quality also gives a sense of satisfaction to the customer as they can be well assured that it is a high-quality product.
Cons of Standardization
Failure to Adapt
Nowadays, it is a trend to follow everything according to the changing trends. Customers like innovation in their products or services. Providing the same product or service over the years might become boring for some consumers and they may shift to another company. The drawback of standardization is that it stops you from catering to the needs of the customers.
Cultural differences
Standardization may not be the best choice every time. It may not be helpful; for people coming from different backgrounds. For example- some products not labeled as halal will be unsuitable for selling globally in Muslim countries. To reach a target audience it is better to customize a product or service according to the customer’s needs.
Equipment differences
There may be equipment differences when a product is manufactured in multiple production facilities. Sometimes the equipment might not have standardized specifications for the product. Thus every time you need to adjust the equipment according to need.
What is Localization?
Localization is a far more comprehensive process than standardization. It is a process of adapting the entire content to meet the norms and expectations of a target audience and target market. This adaptation process goes beyond just translating the content of products or services. Did you know that 88% of companies surveyed by Lokalise state that they are either already localizing their products or planning to do so in the next 18 months.
The localization process adapts the aspects of local preferences, images, date, and time format, according to the target audience. The localization process makes the product or service accessible to the target market. Localization is a team effort where many professionals are required to get things done.
It is an essential part of every new international market entry because localization ensures that the global brand speaks the same language as the target audience.
Pros and Cons of Localization
The localization process is a global marketing approach that a business takes to address its target audience’s purchasing habits, and cultural differences. But the localization process also comes with its own set of pros and cons. Here are some of the pros and cons of localization.
Pros of Localization
Increased Value A recent report of a Hubspot study revealed that companies who provide personalized content to their target audience benefit from up to 19% uplift in sales. Localization increases the value of the brand internationally and gains the trust of the customers.
Expands Customer Base
Localization is crucial to make the brand a global brand as it increases the customer base. This is done by satisfying the customer’s needs by making the product or service in a style and language that is appropriate for your target audience.
Good Communication
Communication is the key to any business. And with a localized product or service, there is a higher chance of communicating effectively with the target audience.
Cons of Localization
Regional Imbalance
When a product or service is localized in a specific region, that region develops greatly while other regions remain undeveloped. This is a huge obstacle in the localization process.
Recession in economy
If there is a decline in the demand for localized products or services in the localized region, it may cause unemployment in the region.
In the ongoing debate between standardization and localization, website localization services emerge as a crucial player in achieving a delicate balance. While standardization aims for uniformity and consistency across various markets, localization recognizes the significance of adapting content to suit specific cultural and linguistic preferences.
Website localization services navigate this tension by tailoring digital content to resonate with target audiences, ensuring that websites effectively communicate with users in their native languages and align with local customs and sensibilities.
Standardization vs Localization
Standardization vs Localization, what to choose? It is not necessary to choose a single marketing approach, a balanced approach that blends the advantages of each marketing strategy and gives the company the best of both worlds.
The most essential thing to keep in mind while blending these two marketing strategies is how they can complement each other to help your brand become a global brand and reach new customers.
For this, you need the right partner for professional localization and translation services. Reach us at info@naargmedia.com to know more about our services.
