Tailoring products for small market success

While your business might work beautifully in your home market, duplicating it in a foreign land may not. 

The chief reason for this is cultural. Foreign consumers can differ wildly from domestic ones regarding expectations, preferences, and culture. 

For this reason, tailored products for small markets are essential. You need to adjust products so they make sense for your target audience. 

But how can you do that? Let’s get into it. 

Understanding local needs

The first step is to identify local preferences. You want to understand what makes people in the local market tick. 

This approach should go beyond downloading age and gender demographics off the internet. Your research should provide an in-depth understanding of your audience’s habits, psychological requirements, and culture. By the end, you want to feel confident you know the people you want to sell to. 

You can conduct this research by: 

• Sending online surveys or getting people to fill out questionnaires in person
• Get to know local people and invite them to focus groups to discuss your products
• Buying research from firms already operating in the country
• Testing products and services and asking for immediate feedback

Sometimes, partnering with local agencies and companies can help you gather feedback. However, social media polls are usually the cheapest option. You can customize these endlessly and ask audiences your most pressing questions. 

Product customization strategies

With this information at your disposal, you can now adapt your product’s features and design to your audience. 

Most businesses keep the core product the same but modify the features. For example, McDonald’s sells burgers worldwide but changes individual elements to suit local palates and customs. For instance, it doesn’t use pork in some countries or swaps out the fries for rice in others. 

You should also consider the size of the product. For example, furniture makers selling to the UK need to make items smaller to fit inside bijou homes and apartments.

Durability matters, too. Developing countries may expect items to wear out after a year, while consumers in developed countries may expect greater longevity. 

Where possible, localize your branding and packaging. This goes beyond simple translation and ensures the wording will connect with local audiences and avoids offensive or out-of-touch language. Ensure you also change the visuals to reflect cultural biases and make your products feel more recognizable. 

Examples of successful customization

So, which brands created successful customizations and avoided small market pitfalls?

Apple did a great job localizing its ads in 2006 with its “Get a Mac” campaign. In Japan, the company changed the dialogue slightly in its “Mac or PC” exchange to make more sense to the local audience. 

Ben & Jerry’s (the ice cream brand) did something similar. The brand deliberately maintained its simple image while creating new flavours suitable for foreign markets. It discovered it could stay true to its roots while appeasing local palates. 

Conclusion

Tailoring products to small markets is critical if you want your business to flourish. Your offering has to make sense to local audiences. Otherwise, it risks having little impact.