Emerging Markets

Emerging markets are nations with rapid growth in business activity and industrialization. Currently, there are more than 20 emerging markets in the world, with the economies of China and India considered to be by far the two largest. Emerging markets are not necessarily centered in Asia, but also include South America and parts of Eastern Europe and Africa.

Interest in emering markets amongst global technology providers has increased over the last couple of years with many of the developed markets having a slower than anticipated pace of growth. Emerging markets are being looked at as the next engines of growth. Markets outlined above have huge consumption potential and their propensity to spend is increasing rapidly.

Given the universal interest in emering markets, the question one needs to ask is what it takes to succeed in these markets. These markets are distinctly different from developed markets at multiple levels. The challenges in these markets can be captured under four broad buckets.

• Product / Service Localization
• Reaching the Customer- Challenge of Scale
• Unique Price Performance Expectations
• Extremely Successful Local Competitors

Given the above challenges, true success in the emerging markets will be for firms that learn the ropes the fastest. Both India and China are home to R&D Centers of a number of technology organizations. Initially these R&D Centers were being leveraged as low cost development centers. Increasingly with the growth in focus on emerging markets, we are witnessing a lot more local market innovations from these centers.

Outside of product localization, firms need to look at localizing their go-to-market strategies for these markets. Global giants need to play an active role in helping these growth markets becoming technology enabled economies. They need to drive initiatives to drive technology adoption in these markets and need to localize everything from their product pricing, messaging and support infrastructure to meet the unique needs of these markets.

Zinnov’s Market Expansion services are designed to help technology firms succeed in emerging markets through a unique combination of customer insights, eco-system linkages and a deep undertanding of key tenets of success for emerging markets.

To know more about our emerging markets services contact us at info@zinnov.com