It looks like we’ll be navigating through uncertainty for a while, but these crazy upending times don’t have to negate entering a new market. However, you’ll likely need to re-think a number of things.
At Kettering, we’ve been working with clients to help pivot their market entry strategy for the current climate. Here are four insights we’ve had:
Risk Assessment
There is always a level of risk involved in market entry, and even more so right now. Look over your existing clients in the market to determine who is likely to contract or expand in the current climate. This may be different from your initial research, but it’s worth doing over before you take the plunge.
Re-think geography
While all countries and cities have been impacted by covid19, some have been hit harder than others. It’s important to re-assess which new markets you want to expand into depending on the impact the pandemic has had and where you’ll either be able to travel in the near future, or work well with within your timezone. You may also want to reconsider the way you enter the market, with isolationist policies having potential impacts on foreign business being able to enter the market.
Re-think industry
Your product may have been targeted towards a particular industry but perhaps industries you had not normally engaged with have now become a better choice in the current market. For example US higher education institutions are looking at a whole range of experiential learning digital platforms. They’ve known they’ve always needed the solutions however the pandemic has accelerated this demand. A lot of corporate training services are looking at how they can fill this void in the Higher Education space.
Develop and strengthen digital strategy
Your business probably has a digital strategy, but when is the last time you revised it? Many businesses set and forget their business strategy, failing to revise it as the business grows to compliment their market entry strategy. With the massive changes in consumer behavior, it’s time to revisit whether your digital strategy is still working for your business.
A good example of a brick and mortar business that has moved into a digital operating model is the Australian Cafe company, Bluestone Lane. In a conversation with its Founder and CEO, Nick Stone, we heard about the way they’ve taken on the challenges presented by the pandemic. Nick says:
In this speculative time, your inclination may be to hold off on the globalization of your company. However, we are encouraging our clients to have intentionality around re-thinking their market entry strategy. This is particularly important if it makes business sense to diversify the markets they operate in and especially so if their ‘home’ market is significantly impacted by covid19. Whichever way the election goes, by creating a fit for purpose model now you’ll be in a strong position to expand your business internationally.