Five Localization Problems New Market Players Can Expect

The Top 5 Localization Problems Global Companies Face (and How to Solve Them)

Did you know that global companies earn about $25 for every $1 spent on localization efforts (Global App Testing, 2020)? If a business invests $10 million, they can expect a return of up to $250 million. But with high reward comes high risk, especially if localization is handled poorly.

Research shows that 72.1% of non-English-speaking consumers favor brands whose websites are in their language, and 56.2% value accurate, accessible information over price (2020). Companies lacking an effective localization strategy risk losing out on this huge market opportunity.

Let’s break down the top five localization problems, learn from famous errors, and explore how to avoid these costly mistakes.

1. Localization Is More Than Just Language

A common mistake is thinking localization just means translating words from one language to another. In reality, direct translation without considering culture often leads to embarrassing blunders.

• Pepsi’s first slogan in China implied it could resurrect the dead instead of energizing the young.
• Honda tried to introduce the "Fitta" model in Scandinavia, not realizing the word is an explicit slang term there.
• Coca-Cola’s first Mandarin version meant “bite the wax tadpole.”

These issues happen because language carries cultural meanings that go beyond grammar and vocabulary. Translators need deep knowledge of local customs, humor, taboos, myths, and even common color symbolism.

How to Fix Language and Culture Conflicts

• Hire linguists familiar with the local culture, not just native speakers.
• Test brand names and slogans for double meanings and local sensitivities.
• Research how colors, animals, and symbols are viewed in each culture. For instance, red brings luck in China but means caution or love in the West.
• Understand individual vs. collective values to shape marketing appeals.

By making language more than literal—and considering context, symbols, and perceptions—companies prevent costly cultural mistakes.

2. Cultural Norms May Clash with Brand Values

Localization can force a brand to choose between sticking to its core values or blending in with a local market.

• IKEA removed all images of women from its catalog for Saudi Arabia to comply with local norms, triggering backlash in other countries.
• Starbucks modified its mermaid logo in Islamic countries to avoid controversy.
• Brands promoting casual or informal relationships may struggle in cultures that value formality or collectivism (Verywell Mind, 2021).

How to Address Culture Clashes

• Do thorough market analysis before entry.
• Consult cultural experts familiar with regional values and taboos.
• Consider adjusting, but not abandoning, core brand values to find common ground.

Understanding and respecting cultural norms, while communicating a brand’s identity clearly, leads to smoother localization.

3. Localization Takes Time and Money

Many companies underestimate how much time, money, and planning localization requires.

• Brands may spend months researching local preferences, laws, and consumer behavior.
• Poor localization or rushed content can reduce sales effectiveness by up to 40% (Marketing Insider Group, 2021).
• On average, organizations allocate 1–4% of their marketing budgets to localization (MarketingProfs, 2016).

Big brands working in dozens of countries often spend millions just on translation and adaptation.

Tips to Efficiently Manage Localization Resources

• Develop simple, reusable content modules that are easy to adapt.
• Keep sentences clear and concise for easier, more accurate translation.
• Balance speed with thorough research to avoid potential pitfalls.

Careful planning, budgeting, and incremental rollouts can help keep localization projects on track.

4. Design and Translation Must Work Together

Too often, design and translation teams work separately, which leads to practical problems.

• Translation can change text length, breaking website layouts or buttons (e.g., “Buy Now” becomes “Acheter Maintenant”).
• Some languages read right-to-left or use vertical text, requiring different page designs.

Not considering these factors can result in broken user experiences or unreadable content.

Solutions for Integrating Design and Translation

• Align translation and design teams from the start of any localization project.
• Create flexible, internationalized templates that support multiple languages and text directions.
• Test designs with translated content before launch.

Professional transcription services and localization providers offer workflows that centralize these efforts, ensuring consistency and cultural fit throughout the process.

5. Infrastructure Must Support Localization

No localization can succeed without the right technology and process infrastructure.

• Your content management system (CMS) must support different languages, character sets, and date/currency formats.
• Online support tools, payment systems, and marketing automation need local customization.
• Workflow processes must connect translation, design, and local marketing teams.

Preparing your systems through internationalization before localization greatly streamlines market entry and reduces errors.

Conclusion: Support for a Smooth Localization Journey

Localization goes far beyond translation—it involves cultural sensitivity, resource investment, and technological readiness. By recognizing and addressing these five major localization problems, companies set themselves up for global growth instead of making costly mistakes.

Ready to bring your brand to worldwide audiences? GoTranscript is your partner in tackling language, culture, and technical localization challenges. We offer:

• Professional transcription for global content
• Automated transcription for speed and accuracy
• AI transcription subscriptions for ongoing needs
• Closed captioning and subtitling services
• Human and machine text translation and audio translation for over 50 languages
• Complete proofreading services and project support
• Simple pricing with transparent rates

Explore how GoTranscript can help you avoid localization pitfalls and thrive in any market. Learn more or order transcription and captioning services today.