Numbers don’t lie, and the statistics on localization services and business growth speak for themselves. The multilingual economy is more connected than ever, and speaking your customer’s language is no longer a matter of politeness but one of profitability. The proof is in the pudding, and the data confirms that localization services generate quantifiable returns far beyond basic translation.
Studies reveal a compelling narrative. Brands that embrace localization are 1.5 times more likely to grow their revenues than those that don’t. This is not a marginal gain; rather, it is a result of significant business transformation enabled by cultural adaptation.
Consumer behavior illustrates the point. A whopping 76% of global online shoppers prefer to purchase products with information in their native language. Even more revealing, 40% of online buyers will not buy in another language, even if they are proficient, and instead head to competitors who have invested time and resources in localization.
The results are evident across the board. Businesses that leverage localization services experience:
- 5x to 2x higher conversion rates in localized campaigns.
- 30%+ improvement in customer engagement on multilingual websites.
- Up to 400% higher ROI on localized marketing campaigns compared to non-localized ones.
The evidence piles up. The most extensive longitudinal study to date showed that 87% of global business leaders agree that investments in translation and localization have played a direct role in successful business expansion. In addition, 84% of brands reported increased revenues after localization of their content.
Successful localization services enable market breakthroughs that were previously limiting business potential. Companies pave the way to purchase by localizing their products, marketing collateral, and user experiences to meet cultural expectations and language nuances.
The data shows up in top-line performance indicators as well. Mobile apps localized to specific markets increase downloads by 128% and in-app purchases revenue by 26%. E-commerce sites that invest in localization see a 70% average increase in both traffic and conversion rates.
Customer loyalty and relationships add further weight to the business case. Localization reduces churn rates and forges deeper customer relationships through relevant and familiar experiences. The trust created over time is the bedrock for long-term growth.
Product managers seeking differentiators should view professional localization services as more than an operational decision, but rather as a strategic investment that will yield dividends in each new market. The numbers are indisputable: localization works.
Case Studies That Show the ROI of Speaking Customers’ Language
Localization ROI: Real case studies from the market illustrate that there are significant benefits. Here are some examples that show how well this investment pays off in practice. Companies of all sizes are proving the business value of speaking the language of their customers:
Airbnb is a great case study in the power of localization. After the platform applied end-to-end localization in 62 languages in “cold” markets, it reported a 2.4x increase in bookings. Airbnb’s cost per acquisition was reduced by 0.25x while its customer lifetime value increased 1.62x.
Retail giant ASOS recently reported that it increased its conversion rate by 13% and grew sales in the Russian market by 70% in six months. The business adjusted the e-commerce user experience for Russia by localizing payment methods, size charts, and marketing materials to make them more culturally relevant and appealing to Russian users.
Slack, a SaaS provider for business teams, reported similar results to ASOS after expanding into Japan with the help of professional localization services. The company experienced a 249% growth in Japanese users over a 12-month period and a 63% increase in paid product conversions after localizing its software, marketing content, and support documentation.
Netflix reported 13.6 million new subscribers in its international markets in one quarter after investing in localization. By subtitling and dubbing the content catalog in regional languages and tailoring marketing to resonate culturally, they reported year-over-year international revenue growth of 85%, outperforming domestic markets.
In B2B and smaller businesses, localization investments also yield positive results. One mid-market SaaS company offering project management software partnered with a localization company and achieved a 37% increase in trial signups and a 29% increase in free-to-paid conversions in five European languages and markets.
Across different industries and business sizes, success with localization has one common denominator: investing in quality localization services produces measurable return on investment. In fact, one survey of 275 medium-sized enterprises found that 94% achieved a positive ROI from localization within a year.
These are just some examples of the real business value that localization services offer to product managers who invest in them. The data shows that when you speak to your customers in their language and in a culturally resonant way, your bottom line will thank you.
From Awareness to Advocacy: How Localized Marketing Converts
Localized marketing delivers superior outcomes compared to generic approaches at every stage in the path to purchase. The conversion rates across all the touchpoints demonstrate how prospects move from the first point of contact to advocates for the brand.
Professional localization shifts the traditional marketing funnel into a high-converting sales machine. Studies have shown that localized landing pages result in a 2.5x improvement in conversion rate and a 43.2% reduction in cost-per-lead. The significant impact is because people relate more to information that’s directed to them.
Audiences who speak a language other than English become much more reachable at the awareness stage when brands use localized information. It’s important to note that a mere 25.9% of all online interactions take place in the English language. This clearly shows that localization services enable brands to expand their reach to the remaining 74.1% of the target audience who prefer languages other than English.
The level of trust naturally starts increasing in the minds of prospects when they come across messages at the consideration phase that are in their local language. Amazingly, 72.4% of buyers have expressed a preference for purchasing products in their native language. Localized marketing emails also perform 9.4% better in terms of open rate and 10% better in terms of click-through rate. The above metrics clearly indicate that prospects remain highly engaged at all touchpoints throughout the decision-making process.
Prospects no longer find language barriers at the conversion stage, as they are now made easier to purchase. According to research, 60% of online shoppers rarely or never buy from websites that offer only English. This makes localization a requirement for conversion.
The value of localized engagement remains much higher than the initial sale. Brands are able to create a far stronger emotional connection that turns their customers into brand evangelists when they serve customers at every touchpoint in the native language. The results achieved by IMVU clearly illustrate this point. In just two months, their commitment to deep-level localization resulted in a 43% and 45% increase in registration on Android and iOS platforms, respectively.
The above linear path from awareness all the way to advocacy is the key steps:
- Awareness: Localization helps in expanding the brand reach to non-English speaking audiences.
- Interest: Content in the native language results in high engagement metrics.
- Consideration: Messaging that is culturally adapted helps in building trust.
- Conversion: Localized checkout process enables reducing the friction.
- Loyalty: Serving localized information at all touchpoints helps in creating advocates.
Product managers focused on growing their customer base should consider reaching out to professional localization service providers. The results are clearly seen in the form of measurable improvements at every step in the customer buying cycle. Brands that focus on building this strong, localized connection don’t just acquire new customers. Still, they are able to create a loyal following that becomes their brand advocates, promoting the products and services to friends and family members worldwide.
Global Brands Winning Big with a Local-First Mindset
“Whether through language, SEO, or social engagement, businesses that localize effectively build stronger connections.” – The Zoe Team (editorial statement), Marketing strategy consultancy
The localization process has evolved significantly from the straightforward translation practices of the past. For truly global brands, a local-first mindset changes the way they do business entirely. This means deep dives into foreign cultures, but as these examples show, it’s worth it.
Starbucks learned how to walk the walk (and read the tea leaves) in Japan. The coffee giant hired local designers who incorporated Japanese architectural elements, such as Shinto-style low-slung roofs, water features, and stone sculptures. Starbucks’ growth in the global market is a direct result of this localization success. The company now has more stores outside the US than in its home market.
McDonald’s regional menus provide another example of taking a “local-first” strategy to heart. Their McAloo Tikki burgers in India utilize spiced potato patties to accommodate religious dietary concerns. Japanese consumers can choose Teriyaki and Shrimp Filet-O burgers as cultural centerpieces. IKEA’s localization process offers an even more comprehensive approach. The company installed separate shopping aisles for men and women in Saudi Arabia to accommodate local cultural preferences.
Netflix’s internationalization strategy is more than just subtitling, dubbing, and translation. The streaming service’s regional recommendations, and even page elements like thumbnails and menu design, are all carefully localized. Their investments in dubbing and subtitling, now available in 33 and 36 languages respectively, have been well worth it. International titles now account for nearly half of the Netflix library.
Product managers hoping to localize their global brand can take note of these top examples. Some key learnings and localization tips include:
- Set global standards but also allow for local team autonomy.
- Use cultural insiders with an understanding of nuance, not just translators.
- Test campaigns in small local markets before full rollouts.
- Localize visuals, design, and functionality, not just the text.
Translation is no longer enough to localize a product. IKEA’s entrance into the Indian market is a prime example of this localization evolution. The furniture giant localized their entire marketing approach and product offering to match Indian multigenerational family living situations.
Spotify also recognized that localization needs to account for visual and cultural nuances, too. Their localized playlists now feature localized thumbnails with local landmarks and models. These visual elements help to represent the culture and create meaningful connections in the process. Statistics, such as 76% of online shoppers preferring to buy products marketed in their own language, make this type of localization an easy sell.
Conclusion: The Evidence Is Clear, Localization Isn’t Optional, It’s Essential
Numbers speak for themselves – companies with localization services have higher performance across all KPIs. Analytics data proves that companies using localization outperform competitors that don’t localize to address local markets. Intelligent product managers understand that this is not just an operational decision but a strategic advantage with tangible financial returns.
Localization is more than just translation, as it impacts every stage of the customer journey. Collaborating with professional localization services empowers companies to unlock higher conversion rates. They experience deeper customer engagement and significant revenue growth across global markets. This success is no surprise, given that people prefer to be communicated with in their native language and cultural context.
Case studies of “Airbnb”, “Netflix”, and “Slack” undoubtedly illustrate the significant ROI delivered by localization. Product managers with a local-first mindset are the ones who drive their organizations towards sustainable international growth, not restricted to English-speaking countries only.
Professional localization services are an excellent investment that reaps extraordinary ROIs. Market data validates what visionary product leaders already know: Communicating with customers in their language and cultural context leads to improved market performance and robust financial outcomes. Product managers who aspire to build businesses with a global reach consider localization as a table stake, no longer an afterthought.
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