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Master market expansion: GTM strategy guide

The benefits of a marketing operations-driven GTM

A digital marketing-driven GTM strategy provides numerous benefits, including increased speed to market, more efficient resource allocation, and better alignment between marketing, sales, and product teams. By integrating data-driven insights and marketing automation tools, marketing operations can streamline processes, optimize campaigns, and drive revenue growth.

While adopting a one-size-fits-all GTM strategy may be tempting, it can lead to suboptimal results or even outright failure. Each market entry or expansion effort requires a tailored approach that takes into account regional differences, target audience preferences, and competitive dynamics.

Developing a GTM strategy: Key elements to consider

Imagine your company is a Nordic B2C fashion retail business looking to expand into the German market. How should you structure your marketing roadmap, timelines, and GTM phases to successfully entering this new territory?

Before jumping into the GTM planning and roadmap, here are some key elements to consider first:

#1 Market prioritization

For Nordic companies considering expansion into new regions, it is crucial to prioritize markets based on factors such as market size, growth potential, and ease of entry. Expanding to new markets may involve a phased approach, focusing on one region first before expanding to others. For instance, a Nordic fashion retail company might opt to enter the German market first due to its geographic proximity and strong economic ties before later expanding to the UK, USA, or APAC.

#2 Setting up and managing a cross-border marketing team

Establish a local marketing team in Germany or partner with an agency such as Junko with local resources to manage on-the-ground activities and provide insights into local market nuances. 

• Establish clear communication channels and regular check-ins between the Nordic HQ marketing team and the local agency or team. This can include weekly or bi-weekly video calls, shared project management tools, and real-time messaging platforms.
• Set goals and KPIs that both teams can work towards, ensuring that everyone is aligned on the objectives and understands their role in achieving them.
• Empower the local agency or team to make decisions based on their knowledge of the market, while keeping the Nordic HQ marketing team informed and involved in the decision-making process.
• Provide cross-cultural learning and collaboration opportunities, such as organising workshops or team-building activities that bring together the Nordic HQ marketing team and the local agency or team.
• Encourage the local agency or team to share insights, best practices, and market trends with the Nordic HQ marketing team to facilitate continuous improvement and adaptation of the GTM strategy.

GTM Strategy: 6-month plan to enter the German B2C market

When planning a GTM strategy for the German market, research carefully which marketing channels are most effective in reaching your key target audiences. It is essential to strategically phase the deployment of these channels, ensuring that each channel builds on the success of the previous one creating a cohesive, integrated campaign. 

To successfully launch marketing campaigns targeting German B2C audiences, the GTM strategy planning should start at least six months in advance. This allows enough time for market research, product adaptation, and marketing material localization. 

Strategy and execution: GTM timeline and phases

Here is a breakdown of the phases and steps involved:

Phase 1 (Months 1-2): Market research and analysis  

• Conduct a comprehensive analysis of the competitive landscape, focusing on similar players like your company in the German fashion retail and e-commerce industry. Identify the strengths, weaknesses, and unique selling propositions (USPs) of these players, considering their offerings for different customer segments.
• Research consumer preferences and behaviours specific to the German B2C market, including preferred purchasing channels, payment methods, and fashion trends.
• Investigate local regulations and industry standards that might impact German fashion retail and e-commerce sectors, including consumer protection laws, import/export regulations, and environmental standards.
• Conduct interviews, surveys, or focus groups with potential German B2C customers, representing various target audiences, to gather qualitative insights and validate your assumptions.
• Based on the research, develop detailed customer personas that represent typical German B2C buyers in the fashion retail and e-commerce sectors for each target audience and map their customer journey.

Phase 2 (Months 2-3): Product adaptation and offering  

• Assess the product offering across various categories and identify potential gaps or opportunities in the German market, taking into account the preferences of different customer segments.
• Adapt the product offering to meet the needs and preferences of the German B2C market, considering factors such as sustainable materials, local fashion trends, and pricing strategies that cater to different customer segments.
• Develop unique value propositions for the German B2C audiences, highlighting the specific benefits and differentiators of the Nordic retail and e-commerce company in the fashion industry for each target audience.

Phase 3 (Months 3-4): Channel selection and marketing plan development  

• Identify the most effective online and offline marketing channels for reaching the B2C audiences in the German fashion industry, considering the preferences of different target audiences. 
• Evaluate potential partnerships with German influencers, bloggers, media, or complementary businesses that cater to specific customer segments.
• Develop a marketing plan that outlines channel-specific tactics, budget allocation, and key performance indicators (KPIs), including objectives such as customer acquisition, ROMI, brand awareness, and website traffic growth for each target audience.
• Create a content calendar to ensure consistent messaging and brand positioning across all marketing channels, incorporating seasonal trends and industry events relevant to each customer segment.

Phase 4 (Months 3-6): Marketing material localization and campaign preparation 

• Localize marketing materials, including website content, landing pages, SEO & keyword strategy, social media posts, digital marketing materials, videos, offline materials, and promotional materials for the German market ensuring language accuracy and cultural relevance.
• Develop localized user-generated content, testimonials, or influencer collaborations that demonstrate the company's success in serving B2C customers in the fashion retail and e-commerce sectors.
• Train customer support teams to ensure they understand the nuances of the German market and can effectively engage with customers, addressing any language barriers or cultural differences.
• Set up marketing automation workflows to segment and target customers based on their preferences, browsing behaviour, and purchase history.

Phase 5 (Months 5-6): GTM execution and monitoring  

• Launch the marketing campaigns by deploying channel-specific tactics as outlined in the marketing plan.
• Continuously monitor KPIs and campaign performance, adjusting tactics as necessary to optimize results. For example, if Instagram proves to be a high-performing channel for reaching women, consider increasing the budget for sponsored content or Instagram ads.
• Gather feedback from customers, partners, and influencers to refine the product offering and marketing approach, ensuring that the company remains responsive to evolving market trends and customer needs.
• Analyze post-launch data to identify areas of success and improvement, using these insights to inform future GTM strategies for additional market expansions.

By applying the tips from this example GTM case to your real-life market entry and expansion efforts, you can tailor your approach to the distinct attributes of your target market. Remember to continuously refine and optimize your GTM strategies based on data, insights, and feedback from your customers and local teams. 

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Top challenges in GTMs to new markets

1 Maintain global brand consistency but get the local culture right

When you enter a new market, it means dealing with a new set of cultural and linguistic differences. Understanding local preferences and cultural nuances is critical for creating effective marketing campaigns that resonate with the local audience. 

For instance, the international strategy for the marketing success of McDonald’s is based on a strong adaptation strategy. This means that while McDonald’s maintains a strong global brand consistency it also adapts its menu, business plans and advertising to suit each culture. As an example, the company’s advertising in the USA is typically skewed toward children whereas the Japanese ads are focused on adults as well as children.

Local research is the key element to global marketing: start with good market research to identify the right messaging and communication channels that appeal to the local audience. Maintain global brand consistency, and localize needed elements, messaging, landing pages and campaigns to create impact in new markets. 

2 Create a localized digital sales and marketing strategy

Global digital sales is not one-size-fits-all, and it's not enough to translate marketing materials from one language to another. Successful localization needs a comprehensive understanding of the local market landscape.

Nike successfully entered the Chinese market by creating localized marketing campaigns that focused on China's rich history and culture. They collaborated with local celebrities, such as basketball player Yao Ming, and sponsored local sports events to build brand awareness.

When you localize marketing strategy:

• Create a marketing strategy that addresses local market needs, preferences, and channels. What are the most effective tactics to reach your prospects in the new market?
• Gain a good understanding of the local market trends, local search trends, competitor activities, and consumer behaviour before creating a localized campaign. 
• Have clear goals and targeted messaging: if for instance, you are looking to increase brand awareness in new markets, make sure that your unique value propositions offer something compelling to your prospects in that market. Adapt your messaging to match each market, don’t just copy-paste and translate.
• Invest in localized marketing resources such as in-country marketing teams or collaborate with agencies with localized resources.

3 Manage digital sales costs

New market entry can be expensive, and marketing costs can quickly add up. Optimize marketing budgets to ensure that the most effective resources, channels and tactics are being used to reach the local audience.

For instance, Amazon entered the Indian market by focusing on online sales and investing heavily in logistics to manage marketing costs. They also enlisted rural mom-and-pop store owners as partners in the delivery platform so that village residents can go to these stores and use the owner’s internet connection to browse and select goods from Amazon.

4 ways of managing GTM marketing costs:

• Prioritize channels that have the most significant impact on target audiences in your new target market.
• Start small and then expand: focus on a few key markets and key channels rather than trying to do everything at once. If for instance, you are entering a new continent, start campaigning first in 1-2 key countries with a couple of well-thought-out and planned test campaigns. Gather insights, optimise and expand campaigning little by little in new locations.
• Leverage cost-effective digital marketing strategies such as SEO and content marketing. Conduct keyword analysis and competitor benchmarking to find out where your organic search opportunities lie. Leverage Chat GPT-3 or GPT-4 in cost-effective content creation or topical research.
• Align marketing, resources, tools and processes with your marketing objectives: make sure you have the right tools, tech, and processes in place to ensure marketing success and streamlined processes.

4 Address regulatory compliance and legal issues

Different countries have varying regulatory compliance requirements, such as data privacy laws, advertising standards, and consumer protection regulations. Ignoring or failing to comply with these laws can have serious consequences, including fines and damage to brand reputation.

For instance, Uber faced regulatory challenges when it entered the Indian market. The company had to comply with various regulations, including obtaining licenses and adhering to price caps, to operate in the market legally.

Stay on top of regularity requirements by:

• Conducting thorough due diligence on local laws and regulations. 
• Engaging local legal counsel to review marketing materials and ensure that your marketing campaigns comply with local regulations.

By understanding local cultures, creating tailored marketing strategies, managing marketing costs, and complying with local regulations, companies can successfully enter new markets and reach new customers.

Are you expanding marketing to new markets?

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Uncover the secrets to budget-friendly market entry

#1 Tailor your strategy to align with the unique preferences of your target audiences

KFC faced challenges in market entry to China due to cultural differences in taste preferences. To address this issue, they adapted their menu by introducing items like the "Dragon Twister," which featured a spicy chicken wrap with local flavours. They also redesigned their restaurant interiors to better fit local tastes, using traditional Chinese elements and brighter colours. This approach helped KFC resonate with Chinese consumers and become a popular fast-food choice.

By tailoring your marketing content to the local audience, you ensure that your messaging resonates with them, increasing the chances of engagement and conversion.

How can you turn cultural differences into opportunities:

• Research and understand the cultural preferences, taboos, and consumer behaviour in your target market.
• Customize your marketing strategy to resonate with the local audience.
• Collaborate with local marketing and sales teams to gain valuable insights.
• Overcome linguistic barriers by offering personalized buying experiences and translating marketing materials.
• Understand also cultural differences related to advertising design and colours. For instance, the colour white is associated with purity and innocence in Europe but in some Asian countries, it represents death. 

#2 Unlock the advantages of embracing a localized approach

Netflix has invested heavily in localized content and marketing efforts when expanding to new international markets. In a decade, Netflix has gone from operating exclusively in the US to over 190 countries. As of the 2020-21 period, 55% of its original content is in a language other than English. They have produced original content in various languages, such as "Money Heist" in Spain and "Squid Game" in South Korea. By partnering with local production houses and talent, they have been able to create content that resonates with local audiences, increasing their subscriber base and brand recognition in these markets.

Localizing your digital sales and marketing efforts helps you build a strong connection with your target audience by addressing their unique preferences, cultural sensitivities, and language requirements. This leads to a better overall customer experience and higher brand affinity.

Here’s how to connect with your audiences through localization:

• Implement localized content, campaigns, ads, landing pages, localized websites, and social media accounts to convey your marketing messaging to audiences in different countries eliminating any language barriers or misunderstandings.
• Collaborate with local influencers and partners to enhance your brand's reach.
• Attend local events and trade shows to establish a presence in the market.
• Prioritize the translation of high-value content and focus on the most relevant languages for your target audience.
• Evaluate each site, campaign and target audience to decide if localization is indeed required or not. Concentrate on a few languages that are primarily used by your target audience in the new market. 
• Collect input from your local Customer Service and Sales on how your customers and prospects understand your advertising, products and website content, and how you should optimize them for better performance. 
• Analyze the website or landing page traffic. For instance, if your online store unexpectedly gets hundreds of new customers who prefer using German as the default language, you might need to consider localizing the site or some landing pages in German. 

#3 Decode competitor strategies for a winning digital sales edge

When Spotify entered the Indian market in early 2019, it faced fierce competition from well-established local and global streaming services like Gaana, JioSaavn, and Apple Music. Spotify recognized the importance of regional language music and offered a diverse range of content in various Indian languages such as Hindi, Tamil, Telugu, Punjabi, and more. Despite its late entry into a hyper-competitive market, Spotify has been able to dominate the Indian music streaming market due to its strong focus on localization. 

By learning from your competition, you can develop a more informed and effective digital marketing strategy for your market entry, enabling you to establish a strong presence in the new market and gain a competitive edge.

How you can learn from your competitors:

• Start by identifying the key players in the new market who target a similar audience or offer similar products or services.
• Evaluate their websites, social media profiles, and content to understand how they position themselves in the market, their unique selling points, and how they engage with their audience.
• Analyze your competitors' keyword targeting, backlink profiles, and website structure to identify their SEO strengths and weaknesses. This can help you uncover opportunities for improving your own SEO and gaining an edge in search engine rankings.
• Examine their advertising efforts: Investigate the ad platforms your competitors use, the types of ads they run, and their targeting methods. This can help you identify the most effective channels and ad formats for reaching your target audience.
• Evaluate their content marketing. Review your competitors' blog posts, videos, podcasts, and other content types to understand the topics they cover, the tone they use, and the quality of their content. This can inspire ideas for your own content marketing efforts and help you differentiate your brand.
• Monitor their social media engagement: Observe how your competitors interact with their audience on social media platforms. Take note of the content that generates the most engagement, the posting frequency, and the overall sentiment of their audience.
• Identify their strengths and weaknesses: Based on your analysis, pinpoint your competitors' strengths and weaknesses. Determine the areas where you can outperform them and the gaps you need to address to become more competitive.
• Learn from their successes and failures: Pay attention to the strategies and tactics that have worked well for your competitors and those that haven't. This can help you avoid making the same mistakes and capitalize on proven strategies.

#4 Embrace the rhythm of each market: acknowledging seasonal variations

Coca-Cola adjusts their marketing campaigns in various countries to align with local holidays, events, and seasonal preferences. For instance, they launched the "Share a Coke" campaign in Australia during the summer months, featuring popular local names on Coke bottles. This personalized and timely approach resonated with consumers and increased brand engagement during peak consumption periods.

Here’s how you can get the timing right:

• Be aware of seasonal variations in consumer behaviour and events across different markets.
• Customize your campaigns according to each market's unique calendar of holidays, events, and cultural occasions. For instance, Mother’s Day is celebrated in March in the UK versus in May in many European countries and the USA, so you cannot run the same Mother’s Day campaign at the same time in all of these markets.
• Monitor and analyze seasonal trends to inform your marketing strategy.

#5 Optimize your budget: efficiently trial your initiatives in new markets

Localized digital marketing allows you to focus your advertising budget on specific regions, demographics, or customer segments, ensuring that you spend your resources where they are most likely to generate returns. Running cost-effective localized Google search advertising campaigns can be an excellent way to test your marketing efforts in new markets.

This approach allows you to test the market's response to your product or service while simultaneously building a strong foundation with local SEO, content and localized landing pages. You can quickly gain insights into the effectiveness of your marketing efforts in new markets, identify areas for improvement, and make data-driven decisions to refine your overall digital marketing strategy.

Here's how you can do it:

• Keyword Research: Begin by conducting thorough keyword research for your target market, focusing on local search terms and phrases that are relevant to your product or service. Use tools like Google Keyword Planner or SEMrush to identify high-traffic, low-competition keywords in the local language. Adapt your SEO and SEM strategy based on the target country, not just the language.
• Localized Ad Copy: Create ad copy that resonates with the local audience by using their language and addressing their unique needs and preferences. This may involve translating your existing ad copy or creating new copy tailored to the local market.
• Geo-targeting: Use Google Ads' geo-targeting feature to display your ads only to users in your target market. This ensures that you're spending your advertising budget on the most relevant audience.
• Landing Page Localization: Direct users who click on your ads to localized landing pages that match their language and cultural preferences. Ensure that your landing pages provide a seamless user experience, with clear calls to action and consistent messaging across the ad copy and the landing page content.
• Ad Scheduling: Take into account the time zone differences and peak online activity hours in your target market. Schedule your ads to run during these times to maximize your ad impressions and engagement.
• Monitor and Optimize: Regularly track the performance of your ads and make data-driven decisions to optimize your campaigns. Adjust your bids, ad copy, and targeting settings based on the results to improve your return on ad spend (ROAS).

Demonstrating your understanding of the local culture and language helps establish your brand as a reliable and trustworthy player in the new market, increasing the chances of successful market entry. By embracing localized digital marketing strategies, you can create overall cost savings while maximizing the impact of your market entry initiatives.

Are you expanding marketing to new markets?

Let us at Junko help you get there

by Admin