Taking your tech company global can be an exciting prospect, however navigating the complexities of diverse markets and cultural nuances requires careful preparation and strategic thinking.
When I initially considered writing about this topic, I experienced a mix of emotions that prompted me to reflect on my journey into sales.
Having worked with many companies, co-funding and running my own business I had the opportunity to experience the challenges that companies and founders face at different stages.
Selling is a key factor in any business, and when you are planning to expand, it comes with added challenges. So today I want to share five key concepts that helped me during my journey.
Let's start from the basics.
From "Ugh, Sales..." to "Building Relationships": Reframing Your Mindset
Have you asked yourself what your personal view of sales is? Is this something you feel comfortable doing?
Some years ago, I ran workshops exploring this topic with groups of tech founders at different stages and I came across something interesting. For many the word "sales" can often conjure up negative connotations. Many people think about the stereotypical salesperson, pushy, loud, and overconfident who tries to convince or trick you into buying something. Therefore, many of us want to distance ourselves from that perspective.
We end up saying: 'I'm not good at selling', 'I don't like selling' or we hire someone that will do it for us.
This aversion to sales often poses a significant challenge for tech founders, especially in their early stages. The reluctance to embrace sales as a core component of their strategy can lead to missed opportunities and hinder growth. However, it's crucial to recognize that at this early stage, as a founder, you must wear multiple hats, including that of a salesperson!
As the company grows you will find yourself continuously having to sell. It is not only about selling your product or services but also selling yourself (as an investable person) in a pitch to get that next investment, your vision to bring co-founders and employees, partners, boards, suppliers, etc.
By reframing our understanding of sales and seeing it as a natural extension of sharing our vision and value, we can overcome these negative perceptions and fully engage in all aspects of building our companies.
In the workshops, we did the following exercise to help participants reflect on their perspective of selling. We asked them these questions:
'What are the great characteristics of a good salesperson?'
'What are the things that they do well?'
Some of the answers we received were: 'They are confident!', 'They know their products and services!', 'They are great listeners!,' 'They can identify their customer's needs and they know how their product or service can help the person in front of them!'
Most people already have many of those skills, However, they have not thought about them as sales skills!
I guarantee that once you do this assessment, you will realise you already have many of these skills. Then you only need to focus on those you want to develop.
A good question to ask yourself is: 'What is my perspective on selling and how is this impacting my business?'
The Golden Formula: Ask -> Share -> Listen -> Connect -> Trust -> Sell
We often do not realize that we are selling ourselves in every interaction.
You cannot sell without connecting and you cannot connect without sharing.
Think about what happens when you meet new people…
We start a conversation and SHARE information to find common interests. With this, we are trying to establish the possibility of connecting. A key element is to LISTEN carefully to what is being shared by the other person as this will inform us whether we can establish a CONNECTION. Once this happens, we can start building TRUST by nurturing the relationship. Great salespersons not only share but ask great questions to understand the needs. Asking great questions helps to create a good environment for trust.
ONLY then when trust is built, can we create an environment to SALE.
Here's a powerful formula to guide your business interactions:
ASK and SHARE + LISTEN + CONNECT + TRUST = SELL
Ask: Use open and closed questions to initiate and lead the conversation.
Share: Communicate your company's mission, values, and what it stands for. Tell the story behind your business. Mention previous successes and challenges you had to overcome.
Listen: Actively listen to understand the challenges, needs, and cultural context of your potential customers. This requires genuine curiosity and a willingness to adapt your approach. Don´t be afraid to take notes.
Connect: Build genuine connections based on shared values and mutual understanding. Remember, people most likely buy from people they like and trust.
Establish Trust: Earn trust through transparency, reliability, and ethical practices. Deliver your promises, be honest in your communication, and respect local customs.
Sell: Only after building a foundation of trust you can present your solution and create a compelling offer.
No matter how good your products or services are, if you can't establish a personal connection with your potential customers, they won't be interested in what you offer.
Finding Your "Why": The Power of a Strong Brand Identity
Your Company DNA is made of your company's Why. This is more than just a tagline; the core purpose and set of values that define your brand and resonate with your target audience. This "DNA" goes beyond just products and services. It shapes your brand identity, attracts like-minded customers, and guides your company culture.
One of the most important things as a founder is to define these.
As you build your business, you are developing your business culture. In the early stages, it's built organically with the interaction of the founder(s) with the rest of the team. As companies grow so does the culture.
Some questions you might want to ask yourself:
'Is the culture, we currently have built, for growth?'
'Will it support the company's expansion, or will it implode and kill it?'
Having clarity on your company's DNA will smooth the path. The people you hire, the investors and partners you will choose, and when expanding, it will serve as a guiding light for your company's growth and impact.
Partnering for Success: Expanding Your Reach Through Collaboration
Going global doesn't have to be a solo mission. One of the most powerful ways of selling is through establishing partnerships. Collaborating with complementary businesses in your target markets, and offering value-added services and products to their clients is a way to expand your reach and access new customer segments.
Look for partners who share your values and possess expertise in the local market. By combining your innovative tech with their established network and cultural understanding, you can create a winning formula for international success.
When in Rome, Do as the Romans Do: Navigating Cultural Nuances
Having a mixed background and the opportunity to live in various countries working with companies in different territories has helped me develop a global perspective and cultural understanding. Not only in how people behave in daily life but also in business.
Understanding and adapting to different business cultures and communication styles is crucial for building trust and closing deals internationally.
You need to be mindful of local customs, etiquette, and decision-making processes. Research communication styles, understand non-verbal cues, and be prepared to adjust your approach for each market.
For example, in some cultures, building relationships takes time and may involve social interactions outside of formal meetings. In others, direct communication and clear deadlines are expected. By demonstrating cultural sensitivity and adapting your approach, you can build rapport and establish trust with potential customers from diverse backgrounds.
Here are a few examples:
In LATAM business is very personal. It often takes place around food, deals that are made during breakfast, lunches, and dinners rather than the office setting and it's all about relationships: introductions, recommendations, and who knows who.
Also, they tend to trust more brands from the US and Europe. So that could be an advantage for brands expanding in those markets.
Specifically, I can talk about Mexico where we still have the mañana culture, “al ratito” meaning “after a while” (which can be minutes, hours, or days).
Also, it is hard for them to say no so they tend to say yes but not when. This can become very frustrating and difficult to understand and deal with if this is not something you have encountered before.
Having someone's phone number doesn't mean they will take your call. Especially with the widespread scamming and extortion. If you want someone to pick up, they need to know you will be calling. Usually, a connection will have to make them aware and expect your call.
In the US people expect to be sold by Americans. So if that is the territory you are interested You should establish an HQ and US Sales team.
With the US being so big you need to understand where exactly you are thinking to target first. The territories will vary depending on your products and services. Also, each state has different taxes, More information on US Market expansion and events.
In the Czech Republic, they have a formal way to address a new person. This is also used in some Latin American countries, usually to address someone you respect (or a younger person to address an older). In business where you need to find a way to develop rapport quickly it can be a barrier.
Before you invest time and money do your research, connect, and expand your network, and talk to people who already have done all this before launching there. For more details and information on global expansion
I will finish with a personal anecdote.
When I first moved to England, I wrote to my European friend living in Mexico about how I felt about my office colleagues in the UK where it can be challenging to become close friends (in Mexico we tend to use the word “friend” quite freely). In Mexico, we talk about “Mi casa tu casa” (My house your house). The people are very friendly and make you feel at ease very quickly, you have a feeling that you have an instant friend.
However, her reply was: `In Mexico, they are your friends from the day they meet you but as soon as you turn, they might stab you in the back. In Europe, it will take longer for someone to become your friend but when it happens, it's for life.’
Of course, this is a big generalization based on my own experiences, to illustrate the different perceptions and the fact that coming from another culture, there are certain things we might assume would be the same, and those little things make the difference between being successful and not.
Bonus Tip!
I used to be very naive and trusting, adhering to the principle, "I trust until you prove me wrong," only to realize that this mindset didn't serve me well. On the other hand, distrusting everyone doesn't get you far either.
So, the last key I want to share with you is the best advice on this subject that can be encapsulated in two words: TRUST but VERIFY!
While building trust is essential, conduct due diligence, be clear about expectations, and ensure commitments are followed through. Trust is a two-way street, and ethical business practices are key to building lasting relationships in any market.
Remember, thorough research, seeking expert advice, and adapting your approach to each specific market are crucial for navigating the exciting, yet complex, world of international sales.
#TechStartups #GlobalBusiness #SalesStrategy #StartupGrowth #BusinessExpansion #InternationalBusiness #TechFounders #BusinessRelationships #CultureAndBusiness #GlobalTech
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