With globalization accelerating and organizations seeking to expand their reach internationally, conducting global market research has never been more critical. The industry is projected to generate over $140 billion in revenue by 2024, driven by the need for businesses to understand new opportunities outside their domestic markets
But while this milestone opens up possibilities for a lot of organizations, it can introduce challenges that are not usually found in dealing with the local market. This increases the demand for researchers who are well-versed in catering to a global audience.
To effectively navigate the complex of global markets, it's crucial to anticipate potential challenges and plan accordingly. This helps you avoid costly mistakes and streamline your research process. In this article, we'll explore the most common obstacles global market researchers face and offer solutions to prevent and mitigate these issues.
Main Challenges of Global Market Research:
Costs and Technological Limitations
Cost is a pressing matter for stakeholders and organizations who want to maximize every dollar spent on their research investment. Global market researchers are usually faced with challenges from factors such as differences in currencies, logistics issues, and limited technological capabilities.
This is particularly evident in emerging markets, where inadequate infrastructure—such as unreliable electricity, poor road networks, and limited internet access—can severely hamper your research efforts. According to a 2023 study by the World Bank Group, only 35% of people in developing countries have internet access, compared to 80% in developed countries
Solutions
- Leverage remote technologies: Using remote solutions, like a digital ethnography app, virtual interviews, or online communities, doesn’t require respondents to have a more advanced device setup. This helps you reach participants in areas with minimal technological capabilities.
- Outsource local tasks: Partnering with research agencies that have an on-ground presence reduces expensive logistical costs. This approach can save you up to 70% without reducing output quality.
Government Regulations
Many countries have laws requiring permits or licenses from local governments for global market research. Some government bodies often require you to provide a copy of your discussion guide before giving you their approval to conduct research in their city or country.
This red tape can slow down your research process, as approvals may take weeks or months. A 2022 article from Cambridge University Press highlighted the complex bureaucratic hurdles in countries such as India and Brazil, which are notorious for their slow-moving approval processes.
Solutions
- Research regulatory requirements early: As soon as you identify your target countries, immediately research their specific regulatory environments. You can use databases like unctad.org to check their data protection and privacy legislations for your research project.
- Factor bureaucracy into timelines: Account for potential delays in your project timeline. Set internal deadlines for submitting all required paperwork to ensure that even with bureaucratic slowdowns, the project stays on track.
Cultural and language barriers
Cultural and language differences remain some of the most significant challenges in global market research. Translating surveys or interviews not only requires fluency in the target language but also a deep understanding of local idioms, metaphors, and cultural references. Misinterpretations can lead to skewed results.
For example, a 2018 study on cross-cultural survey responses published on PubMed found that even subtle language differences could lead to significant variations in how survey respondents interpret and answer questions.
Solutions
- Hire cultural experts: Hire a team of cultural consultants who can advise on how to phrase questions, ensuring they are understood correctly within the cultural context. This prevents mistranslation of key concepts in your study.
- Conduct back-translation: Use the back-translation method to maintain accuracy. First, translate your transcript from the source language to the target language, then have a different translator reverse-translate it back into the original language. This helps identify and correct any discrepancies.
- Use visual aids: Where language might be a barrier, you can incorporate visual aids (e.g., pictures, symbols) into your fieldwork to clarify complex ideas. Visuals transcend language differences and are particularly effective in cultures with lower literacy rates.
Data Privacy and Compliance Issues
According to IBM, the global average costs of data breaches in 2024 have increased by 10% since last year to $4.88 million. With global data privacy regulations such as GDPR in the European Union, CCPA in California, and China’s Personal Information Protection Law (PIPL), data privacy has become a critical concern when conducting market research in a foreign country.
Non-compliance can result in hefty fines or lawsuits, making it essential that your project adheres to each country’s legal framework.
Solutions
- Use consent forms compliant with local laws: Customize your consent forms to meet local data protection requirements. For example, GDPR in Europe mandates strict consent guidelines, while CCPA in the US requires clear disclosures about how personal data is used and stored.
- Encrypt and secure data: Implement robust data encryption and secure storage methods. Cloud-based platforms with end-to-end encryption are often compliant with international standards such as ISO/IEC 27001.
- Partner with a compliant market research service provider: Work with a global market research provider, such as Civicom, that complies with international regulations. With parameters in place to safeguard respondent data, you can be assured that your research activities adhere to global privacy standards—eliminating the need for you to navigate foreign data privacy laws.
Participant Recruitment and Representativeness
Achieving the right balance of respondents that truly represent the target population is essential for gathering reliable insights. However, recruiting participants for global research can be tricky due to cultural differences, willingness to participate, and accessibility.
In certain countries, consumers may be skeptical of sharing personal information with foreign companies. It may also be difficult to access respondents from a specific niche or those located in hard-to-reach areas.
Solutions
- Partner with recruitment agencies: Collaborate with local to global recruitment agencies that can tap into an organically-grown internal database or work with worldwide recruiting partners to fulfill your respondent requirements.
- Tailor recruitment messaging: Customize your participant outreach based on cultural norms and values. For example, some regions may respond better to incentives or community-based recruitment, while others may need reassurance about privacy and data use.
- Conduct stratified sampling: Use stratified sampling to ensure that different segments of the population (based on age, gender, income, etc.) are adequately represented. This prevents bias so that the data collected accurately reflects the views of all your target groups.
Positioning Your Global Research for Success
Successfully executing a global market research project requires thoughtful preparation. By leveraging the solutions we’ve mentioned above, you can mitigate the most notable challenges associated with this research approach and collect reliable respondent insights.
When seeking additional support, partnering with a market research provider such as Civicom Marketing Research Services can offer you a valuable edge. With extensive experience in global markets, we can help streamline your research process, helping your clients make informed decisions when expanding their business beyond borders.
Gather High-Quality Qualitative Research Data With Civicom® Marketing Research Services
For over 20 years, Civicom® Marketing Research Services has been at the forefront of delivering exceptional online and in-person qualitative solutions to meet the diverse needs of market researchers worldwide. From respondent recruitment to project facilitation and unwavering technical support, we have you covered at every step. With an unwavering commitment to excellence, we have established ourselves as a global leader in providing end-to-end support that enables researchers to deliver qualitative project success.