In today’s globalized digital world, localization has become a strategic necessity, not merely a production requirement. It is likely to become an even stronger strategic imperative in the future as our global consumers demand experiences in their own language and culture. This guide explores the future of localization—the trends, challenges, and best practices that every localization company must embrace to remain competitive.
Localization: The Key to Exceptional Customer Experiences
Creating meaningful customer experiences (CX) in the digital era is crucial in any industry. The localization industry is just beginning to realize that there is an untapped area where localization can play a vital role in improving CX by going beyond translation and connecting with audiences on a more cultural level.
The Localization Blind Spot
Forrester’s Future Of Localization Survey Q4 2021 reveals a staggering blind spot: employees who don’t speak the headquarters’ language rated localization as hugely more important for customer centricity (+13 percentage points on average), market access (+12 percentage points) and competitive advantage (+21 percentage points) than those who do. Localization must become an essential driver of customer-centric experiences.
Evolving Customer Expectations
Given the ease of online translation tools, customers expect an integrated, localized experience across all touchpoints. The Forrester survey found that 75 percent of B2B buyers rated having sales materials in their language as essential, and 67 percent desired a localized website. Customers can defect to a competitor if not met, undermining brand loyalty and market share.
The Pitfalls of Traditional Localization Approaches
Treating localization as a tactical afterthought or a series of time-consuming, decentralized, old-world processes can impede an organization’s ability to compete effectively in the global marketplace. The result:
- Eye-watering costs.
- Slow turnaround times.
- Lack of scalability.
- Inability to react to rapidly changing market conditions.
The Misalignment Conundrum
In Forrester’s survey, only 38 percent of respondents said their headquarters and regional offices were aligned on localization strategy, ownership, and execution. Silos – and their inherent problems of isolation and disjointedness – grow out of these fractures. They are antithetical to the kind of coordination that can deliver consistency, scale, and, thus, quality in localized experiences across markets.
The Technology Imperative
More than 700 localization tools are aimed at translation workflow management, software and audiovisual localization, machine translation, speech recognition, interpretation, quality management, integrations, and platforms. Those who don’t invest in future-fit localization technologies risk being left behind by more nimble competitors.
The Future-Ready Localization Strategy
Among the key qualities that distinguish the most successful localization leaders for the long haul are their embedding of localization into the planning and production processes and their understanding of how localization can synergize with better business efficiency, scalability, and efficacy.
Outcome-Driven Quality Assessment
Rather than basing quality on subjective judgments, future-ready localization metrics measure quality by outcomes directly tied to the bottom line, such as increased registrations, lower support costs, or higher conversions. This approach helps to ensure that localization efforts contribute to the overall business objectives.
Breaking Down Silos
Viewing localization as an enterprise-level function – rather than an activity siloed in finance, marketing, regional management, or some other area – is ultimately a key to delivering seamless, consistent experiences everywhere. Cross-functional collaboration and aligning localization efforts to overall business strategies can allow organizations to reach the full potential of their localization investments.
The Future of Localization Technology
Today, advances in localization technology are allowing more companies to scale, accelerate time to market, and simplify processes – from machine translation to speech recognition to quality management and integration – and these technologies will shape the future of localization.
Machine Translation: A Game-Changer
Machine translation (MT) is quickly changing the face of the localization industry. MT can increase translators’ productivity by 3-5 times compared with the industry status quo. With the judicious use of MT (alongside the best human talent), localization companies can increase efficiency and scalability while maintaining high-quality standards.
Integrated Localization Platforms
As localization increasingly moves towards automation, there is a growing need for integrated platforms to manage workflows, collaborations, and content, from content and translation management to quality assurance and deployment, providing a seamless end-to-end solution.
The Future of Localization Services
Localization companies will need to tailor their service offerings to suit their customers’ changing requirements. This can include adopting agile methodologies, providing specialized services, and much more. The localization services of tomorrow will need to be tailored to the customers of tomorrow.
Agile Localization
Agile localization processes are even more critical in the new dynamic environment because of the high velocity of change and the unpredictable nature of market demands or client needs. Iterative processes, continuous improvement, cross-functional collaboration, and a lean, quality-oriented mindset will allow localization companies to develop a quick response mechanism and meet business requirements.
Specialized Services
Work from the global to the local, or vice versa? Either way, as market players delve more deeply into emerging markets and seek to address the needs of a broader range of companies – from those in the life sciences to lawyers, from e-commerce giants to hotels and restaurants – localization companies can thrive by offering specialized solutions in specific sectors or areas.
Localization and Digital Transformation
Today, localization is at the heart of any digital transformation agenda. By deploying language and culture as a critical element of their digital transformation toolkit, organizations can create new avenues for growth and forge stronger relationships with global audiences.
Multilingual Content Transformation
Organizations are shepherding content through increasingly intricate, multifaceted digital transformation and omnichannel strategies, creating multiple content streams to reach global audiences. In this context, localization companies offering multilingual content transformation services become critical assets to clients, ensuring brand consistency, performance, and digital experiences that flow seamlessly across borders.
Globalization and Localization Alignment
A ‘globalization mindset’ is needed for successful digital transformation. By linking localization efforts to broader globalization strategies, the digital experience will be accepted and embraced by people worldwide, building trust, loyalty, and future business.
Localization and Market Expansion
Whether responding to the demands of a new market or transmitting a television show from one country to another, localization companies provide a crucial bridge. Localization firms help adapt products and services and shape experiences to the tastes of local markets, simplifying the complexities of cultural norms, regulatory requirements, and customer behavior.
Transcreation and Cultural Adaptation
Beyond translation, transcreation and cultural adaptation services ensure that messages, branding, and experiences will resonate with local audiences. Using the expertise of localization companies that offer these services, clients can address the challenges of localization and develop a genuine brand voice and messaging that ‘speaks’ across markets.
Regulatory Compliance
Localization companies that focus on regulatory compliance can be engaging and able to help their clients manage the vagaries and complexity of regulatory regimes in foreign markets so that their products and services are tailored to their needs, risks are mitigated, and they are allowed to conduct their business.
The Future of Localization Talent
With the growth and evolution of the localization industry, there will be an increasing demand for talent with specialist competencies and skills. Creating the right environment for talent acquisition, development, and retention will be crucial for securing a competitive edge and being ready to face the challenges of tomorrow.
Upskilling and Continuous Learning
Given the importance of remaining up to date with technology, localization professionals must work in an environment that promotes a ‘learning culture,’ which is a natural step for localization companies: they could sponsor training programs, certifications, and knowledge-sharing initiatives to get their teams up to speed with the latest tools and techniques and prepare them for a future-ready workforce.
Diversity and Inclusion
This means that localization is inherently an exercise in diversity and inclusion. Whether it’s navigating culture, language, or creed, the best localization companies are those that focus on diversity and inclusion in hiring and talent management. Tapping into the power of diversity and inclusion in this way translates into a more authentic and more impactful localized experience.
Localization and Sustainability
At a time when organizations across industries are elevating sustainability to a strategic priority and actively trying to create a more environmentally conscious consumer in global markets, localization could play a crucial role in global environmental governance. For localization companies that can provide specialized sustainability services, such a move can make them more valuable to their clients and create a tangible positive social impact.
Localization for Sustainable Communication
Communications that are locally tailored also play a crucial role in encouraging the behavior changes needed to enable a low-carbon future, both for consumers and across the supply chain. Localization companies can support businesses in many ways, such as by localizing sustainability communications, product information, and educational materials as they promote their brands, products, and services.
Sustainable Localization Practices
Besides being a solution for sustainability adaptation projects, localization companies can become more sustainable by using environmentally friendly processes and energy-efficient technology and engaging employees and other stakeholders in green practices.
The Future of Localization: A Call to Action
As the global marketplace grows in complexity, localization will prove more integral to our interactions with the world. Localization companies that can stay ahead of the trends, technologies, and best practices explored in this guide will be poised for a bright future. By preparing now for the demands of tomorrow, investing in innovation, and delivering exceptional localized experiences, localization companies can open up new opportunities, drive growth, and build lasting relationships with audiences worldwide.
