Zoho corporation recently crossed a major milestone. The bootstrapped Software as a Service (SaaS) company now serves over 100 million users. Interestingly, with the company adding new users at a feverish pace, MENA has emerged as one of its fastest-growing regions.
Speaking to Economy Middle East, Hyther Nizam, president of Zoho MEA, shares some of the reasons behind the company’s success in the MENA region.
For starters, Nizam says Zoho’s growth in the region is also making a notable impact on their overall clientele. The region has contributed about a 35 percent increase in both their revenue streams and customer base.
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“These numbers are indicative of the region’s dynamic market potential and our effective engagement strategies,” says Nizam.
Cracking the MENA puzzle
Nizam credits the company’s “transnational localism” strategy as the primary reason behind their growth in the region.
“At its core, this approach emphasizes a global vision while rooting our operations in local landscapes,” he says.
When put into practice, this involves setting up local offices in the respective countries Zoho operates in. They then go a step ahead and ensure they hire local talent to man these offices.
Doing this, Nizam says, ensures that they have a team that understands the local culture, business ecosystem, and customer needs. Of course, this also helps the company actively contribute to the local job market, which helps foster goodwill.
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Talking of people, another reason for the company’s success in the region is its focus on managing key accounts.
“By dedicating resources and efforts towards managing key accounts, we can provide personalized solutions, better cater to individual client needs, and nurture long-term relationships,” explains Nizam.
In fact, forging relationships is a pivotal aspect of the company’s growth. Nizam says Zoho gets into strategic alliances with local government entities to further integrate into the regional market. It uses these partnerships to ensure the company’s products are aligned with local regulations, standards, and requirements.
Referring to them as a cornerstone of their success, Nizam says it is these collaborations that help the company build “bridges of trust and mutual growth.”
Go local
We also used this opportunity to ask Nizam about his suggestions for other product-based companies looking to break into the region.
One of the first things he says that lies at the heart of their strategy is to provide a “hyper-localized experience” with their products.
Introducing a global product as is isn’t a very viable strategy in the MENA regions, explain Nizam: “It’s essential to tailor the product’s features, functionality, and user interface to align with local customs, preferences, and business practices.”
This could mean anything from supporting local languages, to customizing the UI to match regional aesthetic preferences. In some cases, it could perhaps even involve integrating region-specific modules.
The localization doesn’t just stop there. Next up is adopting a region-specific pricing strategy. As Nizam explains, pricing isn’t just about numbers, but rather about understanding the local economy, purchasing power, and market demand.
“In the MENA region, a one-size-fits-all pricing strategy might not resonate. Companies should consider factors like currency variations, regional economic disparities, and local competitor pricing,” he explains.
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Beyond the localized product and its price, a dedicated local support structure is also important. As the MENA market values relationships and direct interactions, having a local support team that understands the nuances of regional dialects, cultural sensitivities, and local business challenges could be a key differentiator.
“This ensures that customers feel heard, understood, and valued, which in turn fosters long-term loyalty and trust. For companies aiming to replicate Zoho’s success in the MENA region, it’s crucial to dive deep into local nuances,” concludes Nizam.
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