How to determine my potential online market
Posted: Tue Dec 03, 2024 6:35 am
If your company has decided to take the leap abroad, congratulations. This means that the market you are targeting is well covered, that your local website has achieved the objectives you had set for yourself in terms of different KPIs such as web traffic, number of monthly leads, number of online transactions... in short, that you have a business that you have proven works locally and you want to expand your online business beyond your borders.
Table of Contents
What is your potential online market?
Market potential analysis
Potential social and economic growth
Foreign companies
Online competition
Own analysis
What is your potential online market?
When faced with the decision to internationalise partners email lists your online business, you should not choose the potential online market you want to target at random: you must first conduct market studies in which you thoroughly analyse all the points that will lead you to make a decision.
What is the best potential online market to sell your products or services ? The answer must be based on proven data to minimize the factors that we cannot control to ensure success in our international expansion. Does our business model need a B2B online marketing strategy ?
Market potential analysis
Market potential analysis
Potential social and economic growth
If the growth potential in the destination country is zero, there is no need to even consider expanding your online business there. To determine the growth potential we must rely on macro data such as GDP growth in that country in recent years, the per capita income of its inhabitants , consumption habits and trends in that country , demographic data that will help us know if we can segment the market as it suits us, find out about internet use and online shopping habits , etc.
Your service or product may sell very well in Spain, the market you are targeting may show increasing trends in GDP and per capita income over the last few years, but they may not even know about the service you are going to offer them or it may not have worked in the past, or there may already be strong online competition against which you will not be able to compete, at least in the short term, and all of this can ruin your international online expansion.
Analyzing the target of each country you want to target is key to determining whether your buyer persona fits into the entire expansion process and that is the best market you could target. In addition, to maximize your profits, it is crucial to monetize online marketing campaigns adapted to the specific conditions of each market.
In order to conduct a thorough analysis of the potential market, it is crucial to gain a deeper understanding of the legal and regulatory environment of the country in question. Local legislation can have a significant impact on the way you do business and, in particular, on e-commerce. For example, laws on data protection, consumer rights, and sector-specific regulations can determine the viability of your market strategy. In addition, it is important to assess existing trade agreements between the country of origin and the country of destination, as these can make it easier or more difficult to enter and operate in the market.
In this sense, conducting a SWOT (Strengths, Weaknesses, Opportunities, Threats) analysis specific to your target market can provide a clear view of the challenges and opportunities your business faces in an international context. This analysis will allow you to identify the internal strengths you can leverage, the weaknesses you need to improve, the market opportunities you can capture, and the external threats you need to mitigate.
Another key factor to consider is the country's technological and logistics infrastructure . Efficient transportation networks, postal services, and fast delivery options are critical to effective supply chain management and customer satisfaction. Likewise, the level of mobile technology penetration and internet access are crucial in determining the most effective digital marketing strategy and online sales channels.
Finally, market research would not be complete without a detailed study of consumer behavior and local preferences . Understanding how cultural and social values influence purchasing decisions will allow you to tailor your product or service offering to better resonate with local audiences. This may include adaptations to the product itself, its packaging, marketing communication, and promotional strategies.
Foreign companies
The presence of other companies from your country in the destination country can be a clue as to whether this is a potential market or not. There are online resources to find out statistical and macro data on different countries. For example, in Spain we have the website of the Ministry of Economy and Competitiveness , which can provide data on the country you want to target and help you in your final decision.
Furthermore, if there are already other foreign companies operating in this market, it is an indication that the legal, commercial, international relations between countries, country risk, etc. barriers to entry are acceptable and the obstacles can be overcome to a greater or lesser extent.
Taking advantage of the previous experience of other companies in your country in your target market can offer valuable lessons and adaptive strategies for your own expansion. A detailed analysis of success and failure cases will allow you to identify patterns and key factors that influenced their results. This type of competitive analysis not only helps you better understand the market, but also prepares you to face similar challenges with a more informed plan of action. For example, online advertising is critical to reaching and engaging your target audience in foreign markets, amplifying the impact of your strategy.
Table of Contents
What is your potential online market?
Market potential analysis
Potential social and economic growth
Foreign companies
Online competition
Own analysis
What is your potential online market?
When faced with the decision to internationalise partners email lists your online business, you should not choose the potential online market you want to target at random: you must first conduct market studies in which you thoroughly analyse all the points that will lead you to make a decision.
What is the best potential online market to sell your products or services ? The answer must be based on proven data to minimize the factors that we cannot control to ensure success in our international expansion. Does our business model need a B2B online marketing strategy ?
Market potential analysis
Market potential analysis
Potential social and economic growth
If the growth potential in the destination country is zero, there is no need to even consider expanding your online business there. To determine the growth potential we must rely on macro data such as GDP growth in that country in recent years, the per capita income of its inhabitants , consumption habits and trends in that country , demographic data that will help us know if we can segment the market as it suits us, find out about internet use and online shopping habits , etc.
Your service or product may sell very well in Spain, the market you are targeting may show increasing trends in GDP and per capita income over the last few years, but they may not even know about the service you are going to offer them or it may not have worked in the past, or there may already be strong online competition against which you will not be able to compete, at least in the short term, and all of this can ruin your international online expansion.
Analyzing the target of each country you want to target is key to determining whether your buyer persona fits into the entire expansion process and that is the best market you could target. In addition, to maximize your profits, it is crucial to monetize online marketing campaigns adapted to the specific conditions of each market.
In order to conduct a thorough analysis of the potential market, it is crucial to gain a deeper understanding of the legal and regulatory environment of the country in question. Local legislation can have a significant impact on the way you do business and, in particular, on e-commerce. For example, laws on data protection, consumer rights, and sector-specific regulations can determine the viability of your market strategy. In addition, it is important to assess existing trade agreements between the country of origin and the country of destination, as these can make it easier or more difficult to enter and operate in the market.
In this sense, conducting a SWOT (Strengths, Weaknesses, Opportunities, Threats) analysis specific to your target market can provide a clear view of the challenges and opportunities your business faces in an international context. This analysis will allow you to identify the internal strengths you can leverage, the weaknesses you need to improve, the market opportunities you can capture, and the external threats you need to mitigate.
Another key factor to consider is the country's technological and logistics infrastructure . Efficient transportation networks, postal services, and fast delivery options are critical to effective supply chain management and customer satisfaction. Likewise, the level of mobile technology penetration and internet access are crucial in determining the most effective digital marketing strategy and online sales channels.
Finally, market research would not be complete without a detailed study of consumer behavior and local preferences . Understanding how cultural and social values influence purchasing decisions will allow you to tailor your product or service offering to better resonate with local audiences. This may include adaptations to the product itself, its packaging, marketing communication, and promotional strategies.
Foreign companies
The presence of other companies from your country in the destination country can be a clue as to whether this is a potential market or not. There are online resources to find out statistical and macro data on different countries. For example, in Spain we have the website of the Ministry of Economy and Competitiveness , which can provide data on the country you want to target and help you in your final decision.
Furthermore, if there are already other foreign companies operating in this market, it is an indication that the legal, commercial, international relations between countries, country risk, etc. barriers to entry are acceptable and the obstacles can be overcome to a greater or lesser extent.
Taking advantage of the previous experience of other companies in your country in your target market can offer valuable lessons and adaptive strategies for your own expansion. A detailed analysis of success and failure cases will allow you to identify patterns and key factors that influenced their results. This type of competitive analysis not only helps you better understand the market, but also prepares you to face similar challenges with a more informed plan of action. For example, online advertising is critical to reaching and engaging your target audience in foreign markets, amplifying the impact of your strategy.