Why American Companies Miss Out in International Markets
I spoke at last week’s Product Marketing Summit in Austin. As I prepared my presentation, I catalogued a wide range of international PMM frameworks and tips that I wished I had time to share with my fellow product marketers. But finally the elephant in the room was just too hard to ignore:
Uncomfortable truth be told, I have rarely seen an American company that utilizes global competencies to unlock growth potential.
This transcends company size, industry, with senior leaders being some of the most tone deaf to both market opportunities and cultural differences. But that shouldn’t be a surprise. We don’t hire for global business skills. We make most business decisions based on home market bias. Unlike our European and Asian counterparts, we often prioritize short-term outcomes over long-term strategic growth. And most importantly, we internalize any success in international markets while blaming partners or regions when there’s failure.
While I was able to package 25 minutes of global insights for my Summit presentation, here are some of the top challenges to watch for:
DEVELOPING GLOBAL PRODUCTS OR BRANDING IN THE U.S. WITHOUT CONSIDERING YOUR OTHER MARKETS
Slapping the “global” label onto a product or branding that never considered any customer needs outside of the U.S. sets up for underperformance at best and full failure overseas at worst. Product marketers can help by asking the right questions to both Product and Marketing leaders to ensure that Voice of Customer fully includes ALL markets that are expected to drive revenue.
BLAMING OVERSEAS MARKETS FOR NOT UNDERSTANDING YOUR VALUE PROPOSITION
Just as is true in the U.S., when customers don’t see value then it’s time to find out why. Challenge home market and cultural assumptions that underpin your value proposition. What’s different in other markets? Are the customer needs the same? Is your buyer interpreting your messaging the same way? A common misconception is that the U.S. has the most sophisticated market or is far out ahead technologically. While that might be true, you’d be surprised by how often it is not the case.
HIRE AND PROMOTE FOR GLOBAL ROLES BASED ON VERIFIED GLOBAL SKILLS
In multiple companies of varying sizes I have seen “Global” added to titles without a clear picture of what global results are expected from that individual. Recently I spoke to a CMO of a growth-stage global company who excitedly told me about his new Product Marketing Director hire. The hire came from a reputable company, but one that was only focused on the U.S. market. One method I use is to ask interviewees to share: 1) their methodology for internationalizing from their functional area, 2) an example of an international market challenge they faced and how they overcame it. I’ve found that these questions quickly separate the truly successful global professionals from those who just use it as a title enhancer.
My professional mission has always been to empower others and to help companies become more globally competitive. I’ve made plenty of mistakes over the years in international business expansion and I hope some of these hard-earned learnings help drive growth for your business!
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