With some of the largest economies in the world struggling to grow, companies are looking to emerging markets to boost sales. Global corporations are testing their limits as they reach into new untouched markets. While there are many challenges that come with selling in a new market, there is also great potential. Many global companies are discovering this fact as they see emerging markets growing their sales.
Possibly the most global company in the world Coca-Cola, is looking to emerging markets to grow its sales. Coca-Cola has seen a 20% increase in volume sold to India, 9% to China, and 4% to Brazil, some of the largest emerging markets in the world. When going into new markets Coca-Cola adapts their product offerings to appeal to taste preferences while also adjusting their marketing to appeal to the unique culture and has done so with great success.
Givaudan is another major company looking to emerging markets for growth. Givaudan creates flavors and fragrances for companies all over the world. Moving into emerging markets just made sense for this company. They have new customers in the Asia Pacific, Latin America, and North American regions and have seen a lift in sales from existing customers in Asia, Africa, and Latin America. There is no question that emerging markets will continue to be a source of growth for this flavor company.
Food and beverage companies are not the only ones who have experienced the benefits of branching out to emerging markets. Two major fashion retailers from Spain, Puig and Mango, have both looked to new markets to make up for struggling domestic sales. The BRIC countries have been a large part of this success. In addition, online sales worldwide have also helped to grow sales.
Emerging markets are clearly a great opportunity for companies of any size. They often have untouched potential and are very receptive to new products and businesses. Our Market Potential Index lists 26 of the world’s emerging markets with the highest potential. Each offers a unique set of opportunities and challenges; find the right one for your business and go for it!