With the acceleration of the digitalization of organizations and the ease for companies to make international pitches, any good business plan should now include an international marketing strategy.
Here we present our tips for growing your startup beyond national borders.
Don't aim at "the world"
Do your internationalisation plans target all European countries? Instead, it is advisable to focus your efforts on one or two key countries, in order to optimize your investment of time and money. Since each market presents a different reality, it is recommended to develop an internationalization strategy specific to each of the targeted countries or regions. For example, we would prefer to focus on an expansion of the West Coast region in our neighbours to the south, rather than in all 50 states, which are far too large and distinct to be the subject of a single short-term development strategy. The better you can define the target territory, the more you will be able to set up an effective strategy and maximize your return on investment.
What are the values, concerns and priorities of your market?
Before attacking a new market, the watchword is as follows: observe. Do your research and gather as much information as possible about the new territory to be conquered, but also about the concerns, values and priorities of local and national governments. Consider, for example, the election cycles of incumbent governments, and keep an eye out for grants and entrepreneurship programs available locally.
Did you know? The Government of Québec has some thirty offices in as many countries abroad. Do not hesitate to contact them for advice and international contacts.
The importance of cultural differences
Before doing business with another company, a potential client, or a potential partner, remember that you are dealing with individuals first. It is essential to take an interest in the culture of the new territory in which you will be evolving, in order to understand the values, sensitivities and sources of friction specific to the individuals evolving in this market. When in doubt, don't hesitate to ask your questions in order to fully grasp the subtleties of the culture in question.
Tip: Learn a few words in the local language or dialect. Even with a sloppy pronunciation, this little effort promises to charm your interlocutors and may bring success to your business!
The theory of the Eiffel Tower
This theory, developed by the Dutch company WeGrow, proposes to find THE person, brand or company with which to partner to enter a given market. Starting at the top of the Eiffel Tower with a single key contact, you can lay the foundation for your success in this new market.
The power of your current network
We often hear about the fact that you have to rely on your current network to develop your business, and this is as true locally as it is internationally! Share your goals with your customers and partners, but also find out about their plans to expand into other markets. Perhaps you could support them and continue your business relationship in these new territories, to start your international growth on the right foot.
Discover the MT Lab's Export Program, designed in collaboration with the Welcome City Lab
This initiative allows 4 Quebec startups to participate in various training workshops and individual coaching, in addition to taking part in an export mission to France.
Deadline to register: March 5, 2022
This initiative allows 6 French startups to participate in various training workshops and individual coaching, in addition to taking part in an export mission to Montreal.
Deadline to register: March 12, 2022
Funding available to support the internationalization of your startup
Several government agencies, institutions, and departments offer grants and funding to develop new markets abroad. Here is an overview:
Support and financial assistance of up to 50% of eligible costs ($10,000 to $50,000 per project).
More info
Support and financial assistance of up to 50% of eligible expenses (maximum $250,000 over a twelve-month period).
More info
See the complete map of programs to support the internationalization of startups (via startups Montreal)
BONUS!
Advice from our residency expert Julien Tougeron
- Have a clear strategy: Establish your company's strengths and weaknesses, and research the ecosystem of the new target market (access points, potential competitors, key players, events, etc.) to establish a winning strategy.
- Adapt your offer to the market: Avoid copying and pasting! A product or service that has worked well in a given territory will not have the same success in the neighboring country. Adapt your strategy according to the target territory, local culture, consumer uses and habits, etc.
- Choose the right mode of representation: Start slowly! Aim to simplify your sales channels and start your expansion with a light structure (liaison office, sales agent, etc.). This will allow you to test the market and adjust your efforts, at a lower cost.
- Optimize your financial resources: Internationalization is a major investment. Assess your financial resources and the necessary budget as well as possible before embarking on the adventure.
- Identify employees who can contribute to internationalization: Identify employees with an international mindset and interest, and focus on current and future employees who have export knowledge.
