The U.S. economy is one of the strongest in the world and continues to grow, with GDP at an all-time high and unemployment continuing to decline. The confidence business leaders have in the economy's growth is also at an all-time high, with a record 81% of executives reporting they are optimistic about their company’s opportunities for growth this year.
As a result, many companies are making strategic moves to take advantage of this booming economy; however, international expansion isn’t as simple as opening a new branch or selling your products domestically. When expanding internationally, no market offers more opportunities than the United States. With that said, planning for success will be challenging but also rewarding and exciting. Here are some tips to help you get started:
Growing a business in the U.S.
Grow your business in the U.S. and you’ll find yourself tapping into the world’s largest and most lucrative market. Approximately 70% of all revenue earned by online retailers is from sales to customers in the U.S. By expanding to the U.S., you’ll have access to a huge pool of customers who are currently spending billions every year on your industry’s products and services.
In fact, the U.S. has the highest per-capita income in the world, with an average annual household income of about $80,000, compared to $50,000 for China and $25,000 for India. When you expand to the U.S., you’ll also be tapping into an economy that is growing steadily. The U.S. has the world’s largest economy, and it’s expected to continue growing.
Know your audience
Before you begin marketing your product in the U.S., it’s important to understand the demographics of your target audience. In general, U.S. consumers are more sophisticated than their peers in other countries. They are also more demanding, less price-sensitive, and more likely to be aware of and purchase from new and emerging brands.
The U.S. also has a higher percentage of immigrants than other major economies, which contributes to a wider range of cultural backgrounds among consumers. Your audience’s culture may also have an impact on your marketing strategy. For example, an American consumer is likely to respond favorably to advertising that is direct, informative, and factual, whereas a Chinese consumer may be more receptive to advertising that is emotive, aspirational, and focuses on individual achievement.
Leverage digital marketing
If you’re new to the U.S. market, you may want to start with digital marketing, such as social media, email marketing, and search engine optimization (SEO). Because the U.S. has a high percentage of internet users, online marketing is a great way to reach a wide audience and offer information about your product or service.
You want customers to be able to associate your brand with your logo, marketing strategy, product packaging, or tagline. In most cases, online marketing is relatively inexpensive when compared to other types of marketing, such as television and radio advertising. Another advantage of online marketing is that it allows you to stay agile, quickly adapt to new trends, and respond to the needs of your audience.
Online marketing also provides excellent branding opportunities, as most digital channels allow you to create custom ads and visuals for your products or services. Your target market will relate to your firm more deeply if they can understand its guiding principles.
Establish a domestic presence
Before you begin marketing your company’s products or services, you may want to consider establishing a domestic presence. A domestic presence may help to facilitate your entry into the U.S. market and make it easier to sell your products or services. For example, you may want to open a domestic office or hire a domestic sales force to represent your brand in the U.S.
In this scenario, you’d use your presence to sell directly to clients and channel partners in the U.S. By establishing a domestic presence, you can also reduce your company’s risk and liability and take advantage of the U.S. legal system should any disputes arise. When considering how to grow your business in the U.S., you’ll want to consider your options and decide which best suits your company’s needs. Some options include obtaining a license or certification, forming a joint venture with a U.S. company, forming a partnership with a U.S. consultant, or buying an existing business.
The hiring process is essential to the successful expansion of your company. It's crucial to take your time and hire the best candidates. Then everything will run well. If you make the wrong hiring decisions, all of your hard work will be for naught. Consider hiring professionals based on their technical abilities and experience to prevent the latter outcome. As kids go through this period of growth, you should assess whether they'll be a good fit.
Prepare for cultural differences
While a growing number of businesses are choosing to expand to the U.S., many are unprepared for the challenges that lie ahead. Among the most significant challenges you’ll face as a foreign company is the cultural differences between your home country and the U.S. For example, consumers in the U.S. tend to be more demanding, less price-sensitive, and more skeptical of new products, compared to consumers in many other countries.
Additionally, the U.S. has stricter health and safety regulations, and consumers are more likely to sue businesses for perceived product defects or injuries. As a result, you’ll need to carefully consider your company’s risks and liabilities. Among other things, you may want to hire a cultural advisor, audit your suppliers, and obtain a product recall insurance policy.
You may also want to hire a public relations firm to help you navigate the U.S. media, which is more aggressive and skeptical than the media in many other countries.
Track your progress
The best way to track your progress is by setting goals for your business. There are different types of goals you can set depending on the stage of your business. For example, if you’re just starting out, you might want to focus on setting marketing goals.
If you’re trying to expand your business, you’ll want to focus on revenue goals. No matter what type of goal you choose, you can track your progress with accounting software. The best accounting software will allow you to sync with your other business apps, such as your CRM, email marketing software, and mobile apps.
If you sell a product or service, you probably understand how important it is to grow your business. However, many entrepreneurs and business owners struggle to grow their company — not because they don’t know what to do, but because they don’t know how to do it. Growing your business in the U.S. is a challenging but rewarding goal to achieve.
To begin, you’ll need to do your research and learn about your target audience. Then, you can start leveraging digital marketing to build your brand and create awareness for your product or service. Once you’ve established a domestic presence, you can begin the process of closing sales and growing your company. Follow SYP.net for more business-related articles and blogs.