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Over the past five years, many European companies have seen the US market as an opportunity for sales expansion and profitability.

However, according to recent statistics from the US National Venture Capital Association (NVCA), less than 5% of these companies are successful in obtaining an income and market share during their first year. Interestingly, an even smaller percentage continues its business in the United States after the year.

Despite this, situation it is the right time to expand as the US economy is recovering from the Great Recession, so today there is an opening to new ideas and funds available in the US market. To take advantage of these opportunities, it is necessary to avoid the five main errors of entry in the North American market.


  • Underestimating the demands of U.S. market success

Through our experience, time from market entry to income in the U.S. is at least 15 to 18 months. There are techniques that can be used to minimize this.

However, given the United States market, any executive team must be prepared for the time and financial investments for 18 months, before generating a steady flow of revenue.


  • Lack of focus on the ideal market segment:

The US is a very large country, with many market segments and different demographic areas.

To be successful, it is important that the European company identifies one to three key segments of the market, whether it is in relation with the industry, geography or other demographics as the area in which the company’s products and services can provide greater value.

Once successful in penetration into an area, the strategy can be replicated in new US regional markets in an efficient and cost-effective manner.


  • Not having a convincing value proposition

While there is an openness to new ideas, as well as the available funds to carry out strategic acquisitions, American businessmen and consumers are not very attuned to “I also want” schemes.


These types of offerings meet only a part of their impulse needs. To win customers, get benefits and get market traction, your company or product must have a clear, unique and convincing value proposition.

All communications destined to the market (through marketing promotions, sales activities and all customer interactions) must demonstrate how the product or service will offer a real value in financial, functional and Emotional for the buyer/client.


  • Unharnessing alliances with potential American partners

Even though your company may have the resources to generate growth in the European market, the buying patterns in the United States, the legal aspects and the ways of doing business are quite different and, often, much more expensive.

In order to quickly penetrate the U.S. market, we recommend that you consider looking for partnerships or alliances with U.S. service providers, sales channels, and niche customer groups.

These organizations know the dynamics of the US market, understand the buying criteria and decision-making processes, and often have networks to provide faster access to prospects, customers, investors, or other partners in Value in the market.


  • Chasing the efficiency of sales execution

Some companies had business plans that seemed sensible, a certain market approach and clear proposals of value, as well as good partners, but they never got a steady stream of revenue from a diverse customer base. Most of these failures can be attributed to an ineffective sales execution.

In relation to sales, issues need to be raised regarding the choice of the sales channel, the equipment or the sales process.

The sales process is vital to identify the ideal segments of customers, qualify them and develop them, before proceeding to the sales campaign, so that it is possible to build a negotiation of reciprocal value that allows to grow a long relationship, long-term one.

In relation to the team or the channel, it is necessary to analyze how the target customer buys it, if you do it through “sales reps”, you prefer to buy online or through known distributors or partners.

As the US economy recovers, European companies have a great opportunity to plan and execute their international expansion into selected segments of the US market.

Through the realization of these mistakes, developing the right strategy and the relationships needed to overcome these problems, executives and entrepreneurs can take advantage of today’s opportunities to develop a steady flow of income in United States in an environment morning to 18 months.


Many companies fail in making these common mistakes when it comes to expanding abroad and that they can undoubtedly jeopardize the viability of this operation. That is why any company which decides to expand abroad should consider as capital, hiring experts in competitive business intelligence to advise on these and other issues.

Comerciando  Global, with resources in competitive intelligence and a broad background in foreign trade issues, we evaluate your company, strengths and weaknesses, and advise you in relation to ideal markets and distribution channels, investment, Strategy, pricing policy, adaptation, time needed to succeed or how to select the best internal and external team for your international expansion, among other issues, working with you and your company for as long as necessary, as one more resource of the company.

We hope this report has been nteresting for you and for your business. If you are determined to expand your business and want to make sure you make the right decisions in the hands of reputable experts, you can access a diagnosis of the internationalization potential of your company, completing the diagnosis of our website and Benefiting from the launch offer.

Comerciando Global, creates global value strategies for your business!