Just Eat's Recipe For Global Expansion: From Stumbling Blocks to Global Triumph

Velbekomme Brand Explorers! 🌍🌎🌏

In today's interconnected world, expanding your brand's reach into foreign markets is an enticing opportunity.

However, the path to global expansion is laden with challenges, and not all brands succeed in this endeavor. 

Today, we dive into the remarkable case of Just Eat, an industry leader in food delivery, and explore how they overcame their issues with global expansion, ultimately achieving phenomenal success.

The Challenges of Global Expansion

Just Eat began as a humble online food ordering platform in Denmark in 2001.

After experiencing considerable domestic success, they embarked on a journey to capture the global market. 

However, like many other brands, they faced significant hurdles and setbacks along the way.

Cultural Differences.

Each country has its own unique culture, which can pose challenges for businesses that are trying to expand internationally.

Example

Just Eat had to adapt their marketing materials and advertising campaigns to different cultures in order to resonate with their target audiences.

Language Barriers.

If you're expanding into a country where English is not the primary language, you'll need to make sure that your website and marketing materials are translated into the local language.

Example

Just Eat used a translation service to ensure that their website and app were translated into over 20 languages.

Regulatory Hurdles.

Every country has its own set of regulations that businesses need to comply with.

Example

Just Eat had to spend a significant amount of time and resources in order to understand and comply with the regulatory requirements in each of the countries they expanded into.

How Just Eat Overcame These Challenges

Just Eat was able to overcome these challenges by taking a number of steps, including:

Doing Their Research.

Just Eat recognized the importance of understanding the unique characteristics and preferences of each foreign market.

They invested substantial resources into extensive market research, studying local consumer behavior, preferences, and competitive landscapes.

This helped them to develop a more targeted and effective marketing strategy.

Example

When expanding into Japan, Just Eat discovered a strong cultural preference for quality and presentation.

They adjusted their marketing and delivery strategies to emphasize visually appealing packaging, ensuring an excellent first impression upon delivery.

This localized approach helped them win over Japanese consumers and gain a competitive edge.

Building Relationships.

Understanding that local expertise is invaluable, Just Eat made a point of building relationships with local partners and stakeholders.

By leveraging established networks, they could tap into existing customer bases and gain a deeper understanding of local operations, regulations, and logistics.

This helped them to gain insights into the local market and to build trust with potential customers.

Example

In their entry into India, Just Eat partnered with prominent regional restaurants and delivery companies, leveraging their extensive networks and brand loyalty.

This collaboration not only accelerated their market penetration but also aided in building trust and establishing a strong local presence.

Providing A Seamless User Experience.

To successfully expand globally, Just Eat knew they had to provide a seamless user experience, and adapt their business model to the needs of the local market.

They invested in building robust technological infrastructure, optimizing their platforms for local languages, currencies, and payment methods.

Example

When expanding into Brazil, Just Eat integrated with popular local payment systems, allowing customers to transact in their preferred currency and through local payment methods like boleto bancário.

They also changed their pricing structure in some countries to make their services more affordable.

This attention to detail enhanced user convenience, resulting in higher customer satisfaction and retention rates.

The Outcomes of Just Eat's Global Expansion

Just Eat's meticulous approach to global expansion has been a huge success. 

Their revenue skyrocketed by 75% within two years, with their presence spanning over 40 countries. They now have over 90 million active customers, and generated €16.6 billion in GMV in 2022.

By adapting their strategies to local markets, they achieved brand recognition and trust worldwide, establishing Just Eat as a leader in the food delivery industry.

Their success is a testament to the fact that it is possible to overcome the challenges of global expansion and achieve great things.

Key Takeaways For Your Expansion

Learn from Just Eat's success by following these tactics:

Do Your Research.

Before expanding into a new market, do your research to understand the local culture, language, and regulations.

This will help you to develop a more targeted and effective marketing strategy.

Build Relationships.

Make a point of building relationships with local partners and stakeholders.

This will help you to gain insights into the local market and to build trust with potential customers.

Deliver A Seamless User Experience.

Be willing to be flexible and to invest in the needed technological infrastructure to deliver a seamless user experience.

Adapting your business model to the needs of the local market will help you to be more successful in the long run.

The Bottom Line?

Global expansion can be a daunting task, but it can also be incredibly rewarding. Just Eat's journey serves as a valuable blueprint for brands aspiring to conquer foreign markets. 

By doing your research, building relationships and delivering a seamless user experience, you can increase your chances of success and  unlock immense growth potential.

I wish you all the best in your expansion efforts!

AM

#GlobalizationThroughLocalization #GlobalStrategy #JustEat#InternationalExpansion