Globalization and What It Means for Incentives
It is an increasingly global market when it comes to everything from basic life needs to luxury items. With so much diversity, how does a company choose what promotional strategies to use? Here we will discuss the effects of globalization and what it means for customer incentives.
Challenges with Globalization
The competition is fierce for all businesses in a global market, particularly when the market is saturated with products and services that are similar. To combat this over-saturation in the market, companies must begin looking for new and interesting opportunities to attract and keep customers. One of the best ways to do this is to include customer incentive programs as a foundation of a business plans.
Marketing and Sales in a Global Market
With globalization, your ideas may be grand but your resources and abilities can often be limited and focused on more local areas. For example, if you have a strong customer service team but you still need to build marketing and sales, where promotional strategies originate, it is important to shift resources around and invest in the departments that can have the more proactive global reach.
Marketing and sales in a global market means shifting focus away from the internal status quo and taking more risks. Competition is fierce in a globalized economy with markets colliding and overshadowing each other all the time. So while it may seem daunting to completely re-arrange certain business goals, it is critical to do so. Regardless of how your brand feels about it, if you want to thrive and not just survive in the global marketplace, these are the steps companies must take.
So, once you shift resources and focus to your global marketing and sales teams, you may experience obstacles that can avert your efforts from really taking off and succeeding. Some issues may stem from the technical side of business, since more market space means more data. Others could be cultural, since marketing in the United Kingdom or the US is going to be different than marketing in India or China.
Therefore, when deciding on what promotional strategies are right for your company, it is vital to also consider segmented variables by region, culture, and audience. Nothing is one size fits all when it comes to globalization and that includes something that would seem as simple as incentivizing customers.
Promotional Strategies and Incentives in a Global Market
So what are some expert tips for promotions and incentives in a global market? Well, one successful strategy is to consider the most popular programs that are rewarded in the target market. For example. Asia is a big fan of coupons and discount codes, so if you are working in an Asian market for your company that is one top way to incentivize customers. By contrast, US markets love bonus gift cards with transactions and is something a US focused marketing and sales campaign needs to consider.
Another idea is to partner with regional vendors to provide customized incentives that cater to culturally diverse groups and add a local flavor to your promotional offerings. It will also resolve issues around offering rewards that could be deemed culturally unsuitable.
These are just a few simple but powerful ideas that have been proven successful in ever expansive business world. While it is understandable that most company want to focus on the potential massive growth new markets offer, they must realize how important it is for any global program, especially customer-centric ones like customer incentive programs, to reflect the diversity of its audience and remain flexible.
The Future of Globalization
With all trends, both business-wise and not, things can change rapidly. Innovation and brand expansion can transform industries seemingly overnight. As of now, customer incentives are a powerful way to level the playing field for your company and keep customers invested when there are so many competing options.
Competition is fierce but if companies continue to improve and use efficient and effective promotional strategies to grow their market share, their future will be bright.