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Guest Post by Kelsi Tsatouhas. Senior Business Director at Talk Shop Media [TCO]. You can connect with Kelsi on LinkedIn or Twitter.
Canada is often regarded as the natural next step for US companies pursuing new market expansion. While our two countries share many similarities, it’s the companies that understand our cultural differences that are successful in expanding north of the border.
It’s important to note that Canadian consumers rank trust and reputation as main motivators spurring their purchasing decisions. While this trust and reputation is often baked in for Canadian companies, US brands typically face an uphill battle in gaining consumer confidence.
In order for US brands to successfully operate in Canada, they must demonstrate that they understand Canadian culture and are making an effort to integrate into the Canadian lifestyle, lest they fall victim to the Target effect, launching and collapsing in the span of two short years.
When looking to successfully build authentic connections with Canadian audiences, we recommend US companies follow these three guidelines:
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Understand that the Canadian media landscape is completely different
Building trust with Canadian consumers starts with a strong PR strategy.
The first step in developing an effective PR strategy in Canada is understanding that the media landscape here is completely different. Our media pool – much like our consumer market – is significantly smaller. This means US companies need to take a more targeted approach to which reporters they’re reaching out to, the messaging they’re sharing, and the timing. Media fatigue can happen much quicker in Canada when the same reporters are hearing from the same brand over and over.
The second step is understanding that the company’s US strategy likely won’t resonate here in Canada because Canadian media prioritize telling stories that focus on homegrown companies over international players. Even major US companies with a strong CEO profile in the US will face challenges securing business features in Canada as those placements are held for Canadian CEOs that are making a real impact at home.
A great channel for introducing a brand and building authentic connections with Canadians is influencer marketing. Influencers offer a great opportunity to tap into well-established hyperlocal audiences and build trust through third-party validation. That said, it’s important for brands to understand that our influencer landscape is also drastically different than in the US. While the US influencer market is saturated with celebrities and large-scale influencers, Canadian influencers, that often have lower follower counts, have relatively higher engagement rates. Large scale US influencer partnerships may support brand-awareness goals but Canada’s micro and mid-sized influencers offer a unique opportunity to build trust and credibility for US brands.
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Understand and integrate into Canadian culture
Understanding the Canadian media landscape is only half the work. The other half is understanding the cultural nuances that set Canada apart.
American companies that are successful in Canada are the ones that take the time to show that they understand Canadian culture. While there’s no one-size-fits-all strategy for regionalizing a brand into the Canadian market, tactics that help build consumer trust include:
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Meeting them where they are. On-the-ground activations that engage consumers help build positive sentiment and awareness at a grassroots level. These activations allow brands to engage directly with their target audiences and leave prospective customers with an experience that they’ll remember long after the event itself.
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Hearing directly from them. Entering a new market requires adequate time and research to understand what matters most to this new audience. By leveraging a company’s owned data or tapping into research partners, US companies can glean insights into the market that can be used to both make business decisions and garner media attention. For example, sharing data trends that are relevant to the company and also resonate with Canadians helps build awareness, trust, and credibility.
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Partnering with them. Creating unique touchpoints and sharing new data are great ways to connect with Canadian consumers, however, if these efforts feel like they’re being delegated by an executive in another country, they may still fall flat. To ensure a company’s target audience feels heard, partnering with a Canadian spokesperson who can speak to a company’s impact in Canada and answer any Canadian-specific questions from reporters goes a long way. This can look different from organization to organization, but successful spokesperson strategies can leverage local experts in the field, local celebrities with built-in clout and credibility, or even local influencers with existing media relationships and an engaged audience.
More than just understanding how Canadians think, behave, and live, US brands must show they are committed to living the same way. Rather than taking a copy-paste approach to how they operate in the US, successful brands take the time to listen to Canadian consumers and adjust the way they communicate to ensure they truly resonate with Canadians.
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Do it all again for Quebec
Each market across Canada has its nuances. This is why leveraging research, data, and local spokespeople are great tools in understanding and accommodating the cultural distinctions across the country.
Quebec is a new market in and of itself, from language to rules and regulations dictating how brands can operate in the province, to culture. Similar to how a US strategy is not likely to resonate in Canada, an English-speaking Canadian strategy will not likely resonate in Quebec. Ensuring companies have the right partner to regionalize, and follow the province’s strict regulations around marketing, is crucial in successfully operating in Quebec.
As the world continues to navigate the “new normal,” creating genuine connections with customers has never been more important. Being thoughtful and strategic about how brands interact with their customers, particularly when entering a new market, will be the key to any company’s success.
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