Effective marketing is the foundation of a successful business in the U.S., and it’s essential to start planning well before the company is launched and registered. No venture will be profitable or efficient without preliminary work on market analysis, understanding consumer needs, and developing a strategy to promote a product or service. However, even all of this does not guarantee profitability and success due to the high level of competition in the U.S.
Hundreds of books have been written about marketing in both America and Kazakhstan, but we won’t recount their content. Instead, we will explain how early work on market research and positioning of the future product or service influences company development and why marketing is often more critical than the product or service itself.
The Biggest Mistake New Businesses Make
The first step toward failure is starting a marketing campaign too late. Many entrepreneurs begin marketing only after the company is registered, the office and warehouses are rented, the staff is hired, and the product is purchased. Moreover, the initial capital is nearly spent, and the business owner tries to start marketing with the remaining funds, hoping that clients will come on their own, without any marketing at all.
However, in the U.S., it doesn’t work this way, and most likely, the business will end there. If you want to be noticed in the vast American market and stand out from the competition, you must offer something unique—something completely new or a higher quality of service or product than what competitors offer.
To achieve this, you need to identify your target customers and competitors, understand what your customers want, and determine if you can offer something better than your competitors. Only after this can you launch an advertising campaign and generate anticipation for your product before it even hits the market.
Differences Between Kazakh and American Business Owners
Many businesspeople fail because they don’t consider the differences between Kazakh and American consumers. As a result, a business that thrives in Kazakhstan may struggle in the U.S.
Firstly, it’s crucial to understand that for American consumers, a company’s website is one of the main indicators of its legitimacy. A website in the U.S. is the primary marketing tool. Social media also plays a key role. If a company doesn’t have a website and social media presence, it virtually doesn’t exist. If the site is outdated, neglected, or unappealing, it will be quickly forgotten. However, a well-designed, regularly updated site with good customer engagement can reliably bring in clients.
If you still doubt the necessity of a website, consider that in the U.S., 95% of consumers first search for company information online before deciding whether to engage. Clients prefer to resolve issues directly on the website whenever possible, even in the restaurant business. If a restaurant doesn’t offer online reservations, people are unlikely to choose it over competitors. Americans increasingly avoid “random restaurants” they pass by. Unless it’s a favorite spot, clients first research online. If you’re not there, then clients aren’t either.
The second key factor is the product itself. You need to find what will attract American consumers and carefully plan how to present it. The sales approach in the U.S. differs significantly from Kazakhstan, and techniques that worked back home are unlikely to succeed in the U.S.
A common misconception among Kazakh businesspeople is that wealth equates to success. In reality, Americans value not brands but the story or legacy associated with a product or brand. For instance, many in Kazakhstan might think that selling luxury brands like Versace or D&G is the way to go. However, 99% of Americans may not even know these brands, and their popularity is quite low in the U.S.
We’ve seen cases where clients ignored our advice and took the simplest path—buying flashy, showy, luxurious-looking goods, expecting quick sales. However, as predicted, sales stalled, and only then did business owners return to our recommended approach. By that point, the initial investment was so high that breaking even took much longer than initially planned. In some cases, it was simpler to sell the office, warehouse, and goods and start over from scratch.
These misconceptions stem from our mentality. Kazakh businesspeople are accustomed to living fast and lavishly, owning beautiful things, and being in the spotlight. They seek to enjoy the good life while they can, as business in Kazakhstan can fall apart at any time due to crises, competition, failed investments, or unexpected legal issues.
In contrast, American entrepreneurs prefer to conduct business in a trustworthy, solid manner, as U.S. laws are designed to protect businesses. Those who evade taxes or engage in illegal activities often lose their business, money, and possibly their freedom. Therefore, forward-thinking businesspeople manage their finances wisely. They save, invest in their business, or invest in other successful ventures.
The key difference between Kazakh and American business mentalities is that in the U.S., entrepreneurs prioritize their future over short-term profits. They aim for stability that ensures not only their own well-being but also that of their descendants.
Another hallmark of a successful American businessperson is a lack of pretentiousness. These individuals choose practicality and comfort over flashiness. They wear comfortable clothing and reliable shoes, don’t mind washing their own cars, and are fine grabbing a bite at McDonald’s. Americans view money as a resource and use it efficiently. American billionaires drive themselves, avoid entourages, and dress like everyone else in their company.
Notably, “spoiled rich kids” are more of an exception than the rule. No sensible businessperson would approve of wastefulness from their children and would typically try to limit their access to excess funds. In the U.S., giving a child the latest Mercedes or Ferrari on their 18th birthday is virtually unheard of.
However, earning money is highly encouraged. This is why education is so highly valued in the U.S., and teenagers strive to attend top universities, secure internships, and gain experience as early as possible. Parents are willing to spend significant amounts on education, as they see it as the foundation for their child to become a capable successor and grow the family business—or at least not ruin it.
How to Build a Successful Marketing Strategy
Once you understand the psychology of the American consumer, you can start developing a strategy. First, assess your competitors and understand how strong they are. In the U.S., countless companies engage in the same business type, so to survive among them, you need something that sets you apart. For instance, if there are already 300 companies selling security cameras, you don’t want to be the 301st. Instead, look for a more profitable, untapped niche and offer a new product.
In American business, creativity is highly valued, and it usually pays off. There have been cases where a company created an entirely new niche for itself. For example, one company specialized in selling dishwashing equipment. However, small restaurants couldn’t afford this expensive equipment, and larger restaurant chains already had suppliers. When this distributor was close to shutting down, they changed their strategy to renting out equipment instead of selling it. Naturally, they also took over the maintenance of the rented equipment.
This approach proved beneficial for everyone involved. The restaurants received quality equipment and ongoing service, and the company secured long-term service contracts and a consistent supply of chemicals for their dishwashers. This is an example of effective and adaptive marketing and a timely shift in business model tailored to the U.S. market.
So, don’t rely only on the product or service; focus first on creating a marketing strategy. Start advertising, look for unconventional methods, and don’t hesitate to be a trailblazer. A well-targeted audience assessment and timely marketing can quickly lead to success.
Why are we sharing all this? Understanding the psychology and habits of your clients is already half the battle won.
Professional Support from Us
Our company has years of experience helping business owners with business registration, management, and marketing development. Our goal is to ensure your company becomes profitable. We handle all the organizational aspects and routine, so you can focus on the strategic growth of your business.
During the preparation stage, our specialists perform the following tasks:
- Create a profile of your potential buyers and study your target audience;
- Analyze U.S. market pricing to determine an optimal price for your product or service;
- Compile a list of main competitors and study their strengths and weaknesses;
- Select relevant reading materials tailored to your specific business sector;
- Evaluate the seasonal structure of demand;
- Research less-known information about your planned market segment;
- Provide details on major trade shows;
- Offer guidance on preparing an advertising campaign;
- Seek additional information to help you quickly establish and make your business profitable.
Your task is to explain what you want, providing us with your preferences and expectations. Using this information, we conduct the research needed to get answers. Sometimes a few hours of market research is enough; in other cases, thorough analytical work and in-depth study are required.
Regardless, we will do everything necessary for your company’s success, leaving you with just one job—to make the best of the opportunities created.