Exporters: Where to Focus? Which Ex
port Target Markets?
At IBT Online, when helping our clients Online Globally, especially new to export, and smaller businesses, we are often asked “Where to focus?”, and “Which export target markets”? A strategic question.
Nobody is better placed to respond than the enquirer themselves, with a little help! Nataly Kelly has written an excellent, well-researched, and resourced from her successful relevant professional experience, book entitled "Take your Company Global". See Harvard Business Review, LinkedIn and Amazon links below. I enjoyed the easy writing style, methodological and analytical approach, case studies, and key takeaways. If you are asking yourself those same questions, try Nataly’s MARACA model. It is a strategic framework that we hope will help guide you in determining the most promising target markets for your business. As Nataly writes, “Multimarket is the New Multinational”. So when you have decided on your target markets, our Online Global programs will deliver your “Multimarket” online presence to grow your exports, sales, brand and business internationally.
Understanding the MARACA Model
Market Availability (MA): The size of the market relative to other markets — the number of potential customers and the estimated revenue potential.
Real-Time Analytics (RA): How your company is currently performing in a given market, relative to your top markets. (If you already have some traction, increasing your investments there may make sense.)
Customer Addressability (CA): How difficult it will be to address the specific needs of this market. Understanding the fit between your current offerings and a potential new market will give you a sense of how much investment it would take to achieve product-market fit in different locations.
Putting MARACA Into Action. Now that we've explored the MARACA model, it's time to put it into action. Consider the following steps:
- Assessment: Conduct a thorough assessment of your product or service in alignment with each MARACA factor.
- Scoring: Score potential markets based on each MARACA element. Assign weights based on your business priorities.
- Ranking: Rank the markets based on their total scores. This will highlight the most promising opportunities.
- Validation: Validate your findings through market research, customer feedback, and pilot programs in the selected markets.
In conclusion, navigating the global market requires a strategic approach, and the MARACA model provides a valuable roadmap for exporters. By carefully evaluating market size, accessibility, regulatory environment, cultural fit, competition, and online acceptance, you can make informed decisions and focus your efforts where they are most likely to yield success. Embark on your global expansion journey with confidence, armed with the insights of your own MARACA model. As Nataly emphasizes, success in international markets is not just about going global—it's about going global intelligently, and leveraging todays online technologies to do so. So when your decision is made IBT Online and our Online Global Programs will help you succeed and grow your exports in all your chosen target markets.
Links and further resources:
https://hbr.org/2020/11/looking-for-new-global-markets-bigger-isnt-always-better
https://hbr.org/webinar/2021/12/how-to-develop-a-targeted-market-expansion-strategy
https://www.linkedin.com/in/natalykelly/
https://www.amazon.com/Take-Your-Company-Global-International/dp/1523004436