Should your business conduct international research? If you plan to do business beyond your borders, then the answer is yes.
Consumers have more choices than ever before, and entering a new market without a data-based strategy is a recipe for disaster.
Remember that different cultures respond very differently to marketing, and your domestic strategy may fall flat or even offend consumers in foreign countries. Even small mistakes—such as a poorly translated survey or overlooked cultural differences—can lead to misleading insights, poor decision-making and wasted investment.
Conducting research on a global scale is complex and requires careful planning. This guide outlines the essential steps for conducting effective international market research and provides tips (and warnings) from market research veterans.
The Benefits of International Market Research
International market research provides numerous benefits. It enables you to build a successful global strategy, capture more of the market upon entry and maximize ROI.
A few additional benefits include:
- Understanding Local Regulations: Each country has unique laws governing business operations, taxes, advertising and product safety. A thorough market analysis helps businesses comply with these regulations, preventing legal complications that could harm reputation and profitability.
- Identifying Cultural Differences: What works in one market may not be effective in another. Research helps companies understand cultural preferences, consumer habits and societal expectations. For instance, colors and symbols that are appealing in one country may have negative connotations in another.
- Assessing Market Demand and Competition: Research can reveal potential gaps in the market, consumer needs and key competitors. Understanding what competitors are doing right—or wrong—can inform a more effective market entry strategy.
- Finding the Right Marketing Channels: Not all markets engage with brands in the same way. While digital advertising might dominate in some countries, traditional media like TV and print may be more effective elsewhere.
The overall benefit of conducting market research is that it reduces risk.
Regardless of your industry or whether you’re a B2B or B2C enterprise, conducting international market research is essential before entering any foreign market.
Understanding Primary and Secondary Research
Market research is conducted using two main methods: primary research and secondary research. Each method provides valuable insights, and businesses often use a combination of both:
- Primary Research: Direct data collection from the target market. This includes surveys, interviews, focus groups and product testing. It provides first-hand insights into customer preferences and behaviors.
- Secondary Research: Analyzing existing data, such as industry reports, government publications and competitor analysis. While this method is more cost-effective, it may be dated and/or lack specificity for a company’s needs.
One common strategy is to begin with secondary research and use the insights gained as a foundation for primary research.
For example, a company entering the German market may start with secondary research to review consumer trends, and then conduct primary research with local focus groups to test product reception.
The Process: How to Conduct International Market Research
Every business engages in international market research differently. Your strategy will depend on your budget and your product offering.
The following steps are a framework for global market research:
1. Define Your Objectives
This is the planning stage of market research. When it comes to reducing risk and improving accuracy, planning is more important than execution. It deserves more time and scrutiny.
Well-defined objectives shape the entire research process.
Before gathering data, outline clear goals. Are you assessing demand for a new product? Analyzing competitor strategies? Understanding pricing expectations?
Other factors to consider at this stage include:
- Key performance indicators (KPIs)
- Scope and feasibility
- Budget and timeline
- Potential market barriers
2. Conduct a Country Analysis
Each country has its own economic, legal and cultural differences. A country analysis evaluates these factors to identify potential opportunities and roadblocks to entry.
This is often referred to as a PESTLE analysis, which stands for the following external market factors:
- Political
- Economic
- Sociological
- Technological
- Legal
- Environmental
A PESTLE analysis is a type of secondary research. While it may seem complex, it’s not difficult to access country data. There are several resources and databases where this info is available.
But the real work is not accessing the data—it’s interpreting it to identify opportunities for your business.
For example, a tech company expanding to India may need to assess internet penetration and digital payment preferences to ensure product compatibility.
3. Identify Target Demographics
Ideally, identifying target markets should begin in the “defining objectives” phase (step 1). But you shouldn’t spend too much time on target research before completing a country analysis.
Once a PESTLE analysis is complete, begin identifying key consumer segments based on age, income, lifestyle and buying behavior. Use this information to develop outlines for tailored marketing and product adjustments.
For example, an apparel brand targeting Gen Z in Japan may focus on mobile shopping and influencer marketing, while in Europe, sustainability and ethical sourcing may be more significant.
Remember, these decisions are not set in stone. They will be tested and adjusted during primary research.
4. Conduct Competitor Analysis
Understanding existing market players helps you position your business effectively. Begin with basic benchmarking (this can also occur in step 1). Define how you compare your business to existing competitors in new markets.
Will you focus on pricing, branding, customer satisfaction or market share? Establishing a benchmarking strategy helps ensure meaningful comparisons.
Next, go more in-depth by:
● Identifying leading brands in the market
● Analyzing pricing strategies
● Evaluating customer reviews and satisfaction levels
● Studying marketing tactics
Now, re-evaluate your benchmarking against your new data and look for weaknesses to exploit in your competition. Use this information to refine your unique selling points.
5. Select Primary Research Methods
Now, it’s time to develop your primary research strategy.
Your approach will depend on the data you’ve collected on your target markets and country. For example, surveys may not be effective in a region with low literacy.
Common methods include:
● Surveys
● Interviews
● Focus groups
● Online analytics
● Product testing
● A/B testing
Marketers must be very careful at this stage, as minor errors in preparing primary research can lead to major data inaccuracies.
It’s important to choose the right channels and methods for data collection. A business entering China, for example, may rely on WeChat surveys, while a company targeting Brazil might prioritize in-person focus groups due to lower online survey engagement rates.
Consider pilot-testing your research materials before full-scale deployment. Running small-scale trials can help identify ineffective methods and other issues.
6. Localize Your Communication
Localizing and translating your primary research methods helps participants and researchers understand each other.
The first step is to translate all marketing research documents extremely thoroughly. Small misunderstandings can skew data drastically.
However, simply translating research materials is not enough—localization ensures that research methods and product messaging align with cultural expectations.
This includes:
- Adapting language nuances (idioms, humor, etc.)
- Adjusting symbols, colors and measurements
- Aligning communication styles with local norms
- Linguistic validation
For example, humor that works in the UK might not translate well in Japan, requiring a more formal tone in marketing materials.
At this stage, it’s best to work with a professional language services company that specializes in global market research, such as Wolfestone Group. Working with an agency pairs your business with local language experts who have experience creating effective market research tools.
Wolfestone Group's network of professionals spans 220+ language pairs. We have local experts in nearly every nation and major city ready to help you achieve your research aims.
7. Use Modern Technology for Data Collection
Modern digital tools make international market research more efficient and less costly. Businesses no longer rely on purely human labor.
Time-consuming tasks such as data analysis can be accomplished in seconds by AI tools, and machine translation (MT) can do a lot of the heavy lifting when preparing research materials.
Businesses can also utilize:
- AI-driven sentiment analysis to gauge customer opinions
- Social media listening tools to track consumer discussions
- Automated translation tools for multilingual research
Just remember that human oversight is always necessary when leveraging technology for global research, no matter how “intelligent” or self-reliant it may seem.
8. Ensure Regulatory Compliance
Once your research methodology takes shape, you must ensure it complies with regulatory laws in your target regions. Different countries have strict regulations on data collection, privacy and business practices.
Ensure you comply with:
- GDPR (Europe) for data protection
- Consumer protection laws for product claims
- Advertising regulations for ethical marketing practices
Failure to comply can lead to legal trouble and reputational damage.
9. Interpret and Adapt
Global data collection, if done correctly, will almost certainly yield new and unexpected insights that may require you to change your objectives and overall strategy.
You must be ready to interpret data and adapt to new information at every step (while this is the 9th step on this list, interpretation and adaptation should happen whenever new data comes in).
For example, if research shows that eco-consciousness is a priority, a brand may emphasize sustainable packaging and ethical sourcing in its messaging.
After analysis, companies should:
- Identify trends and patterns
- Adjust product features based on feedback
- Refine pricing and marketing strategies
- Develop a launch plan based on consumer readiness
Tips for Maximizing Accuracy in Data Collection
The accuracy of your international market research can make the difference between rapid market penetration and devastating losses.
The following tips are from market research experts who have faced the challenges of collecting reliable data across different regions.
1. Ensure Accurate Communication with Research Participants
Your participants (e.g. consumers) and researchers must all have the same understanding of your research materials.
A misalignment here will result in poor or misinterpreted data. Investing in clear communication is key to achieving a high degree of understanding between and across parties.
- Use professional translation and localization services to ensure the accuracy of all documents
- Hire qualified interpreters for interviews and focus groups
- Offer multilingual survey options to reach a diverse audience
- Consider literacy and digital accessibility
- Consider response bias (some cultures may opt to respond positively to avoid offending researchers)
2. Adapt Research Methods to Local Preferences
Research methods that are effective in one country may not work in another. For example, in Saudi Arabia, an online community approach worked better than direct surveys due to privacy concerns.
Consider the following:
- Cultural attitudes towards research: Some regions require relationship-building before consumers openly share opinions.
- Trust in foreign entities: Partnering with local research firms or community leaders may improve credibility and participation rates (more on this below).
- Survey format preferences: In some markets, mobile surveys are preferred, while in others, in-person interviews yield better results.
- Length and complexity of surveys: Effective surveys contain a maximum of 30 questions and take less than 30 minutes to complete. Longer and more complex surveys severely impact data quality.
- Connectivity and device usage: Not all markets have the same level of internet access or smartphone adoption.
3. Partner with Local Experts
Local marketing teams and research specialists offer valuable insights into cultural nuances, economic conditions and market behaviors. Plus, they make it much easier to interact with locals and earn their trust during primary research.
A company working with local teams in Vietnam, for example, may gain fresh insights into local political changes that might affect the market.
Ideally, research participants should not be exposed to your brand or its nationality during data collection to avoid bias. Local teams help orchestrate research efforts on your behalf and preserve the integrity of your data.
International Market Research: Get it Right the First Time with Wolfestone Group
The stakes are high when conducting international market research. The process is lengthy and costly, and you don’t get a do-over. The quality of your research will determine your company’s future in target markets.
Your business can get it right the first time by engaging in thorough planning, using effective research methods, and choosing the right partners.
A major aspect of conducting research is effective communication in new markets. The importance of professional translation, localization and interpretation cannot be overstated.
At Wolfestone Group, we provide expert language solutions for businesses expanding abroad. We cater exclusively to businesses, and our linguists have extensive experience developing and adapting research methodologies for global consumers.
Our comprehensive language services include:
- Translation
- Localization
- Interpreting
- Transcription
- Transcreation
- Linguistic Validation
- Voiceovers
- Subtitles
- Audio Description
- And More.
We also provide compliance support in your target regions and research tool development to help your business navigate the complexities of international market research.
Wolfestone Group is not just a language services provider. We help businesses achieve their goals for international growth.
Discover how Wolfestone Group can maximize the accuracy of your data collection. Contact us today for a free consultation.
