Internationalizing Your Brand in 2017
How Top US Brands Are Planning to Grow Their European Business
Which European markets are of particular interest to leading US brands? What difference is there between these countries? The "Internationalisation Report 2017" from Arvato gets to the bottom of this. According to the report, US companies want to increase their presence in Germany, Benelux, France and Italy in particular via subsidiaries and online. Brands are increasingly prioritising omnichannel services.
Decision-makers from 200 major US brands were surveyed. The focus of the study was on the fashion, beauty and FMCG industries. The aim was to identify the European markets which are particularly attractive to US companies. In addition to this, the survey analysed which services would be considered for outsourcing during expansion to these countries, for example; setting up a web store in the local language or awarding a contract for logistics services.
According to analysis of the initial results, the UK was the most important country for US trade, 96 percent of the companies surveyed have a presence there. In second place is Germany with 85 percent, but the gap could soon narrow: the Federal Republic is still an important location for further expansion in the European market with around a third of US brands wanting to establish a presence there. Around 16 percent of those surveyed named the UK.
With regard to the European business, US brands are aware they should expect strong competition and regional anomalies. For this reason, two thirds of companies allow their European businesses to be managed locally rather than from the USA. In addition, shopping has to be made as simple as possible for the customers. All companies either have a shopping app or are planning to develop one. The fact that omnichannel has top priority also chimes with this. In particular, stock availability checks, store finders and services such as click & collect or instore ordering are expected to persuade customers in Europe.
All results of the internationalisation report 2017 will now be collated in a final white paper which is made up of two parts. The first section presents and analyses the empirical study results. The second part consists of the analysis of the top European markets which emerged from the interviews. The white paper therefore studies not only the plans for expansion by major US brands, but also offers insight into important European markets.