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Software companies must prioritize international expansion

by Lexie Knauer, Global Go-to-Market Lead  |  22 August 2024  |  Thought Leadership 

For software companies, the lure of global expansion is both tantalizing and intimidating. Imagining your product being adopted by users around the world, revenues multiplying, and economies of scale maximizing profits is certainly an appealing vision. However, the operational roadblocks of new geographic markets—ranging from regulations and cultural nuances to partnerships and sales motions—can make international growth intimidating for even the most resourceful software companies.

The risks of avoiding globalization, though, may be even greater than the challenges of embarking on it. A software company that remains confined to its home markets is leaving millions in potential revenue on the table. New competitors that rapidly scale across borders can swiftly gain irreversible advantages. And any software company that fails to achieve a global presence may soon find itself relegated to niche status.

The ROI imperative of geographic expansion

Software companies positioned to successfully navigate international expansion can:

  • Open new revenue streams by selling into larger, high-growth markets
  • Increase customer base exponentially by reaching new buyers globally
  • Amplify brand reputation by becoming a globally-recognized industry leader
  • Achieve economies of scale that maximize profitability long-term
  • Stay ahead of competitors who may be aggressively pursuing globalization

The next frontiers for software expansion

As software companies evaluate international growth strategies, certain geographies are emerging as particularly compelling opportunities. In Asia Pacific, countries like India, Indonesia, and Vietnam are experiencing rapid digital transformation backed by government initiatives, growing middle classes, and heavy investment in infrastructure. These markets are ripe for cloud adoption.

Latin America is another region that represents greenlighting potential. With a vast population of over 650 million and industries like banking and telecommunications progressing with digitization, Mexico, Brazil, and other Latin American nations are primed for SaaS market growth.

Meanwhile in Europe and the Middle East, the UAE has launched innovation and entrepreneurship campaigns, and Saudi Arabia has a vision to become a global tech and entrepreneurial hub by 2030—both of which signal opportunities in these markets.

AWS recognizes the potential of these regions and has made preannouncements for opening new Infrastructure Regions in Mexico and Saudi Arabia.  

"When it comes to scaling globally, there is a significant knowledge gap: Many US firms have gaps in their processes, or lack the time and focus needed for global expansion, and almost all European and APJ companies have little to no data or insights that are required."

- Jonathan Jeffries, co-founder, Think & Grow

Removing the risk and friction

While the strategic upside may be undeniable, independent software companies don't have to go at it alone. Launching the AWS Global Passport program, AWS is now providing expert guidance, resources, and strategic support to help software companies clear the operational hurdles of global expansion.

Enter Jonathan Jeffries, co-founder of Think & Grow. His consultancy empowers founders, leaders, and executives across the globe to develop their businesses and people to build legacies.

"We partnered with AWS to design an international expansion program. Think & Grow provides consulting to develop a growth strategy and AWS provides the technical foundation, and together we set up software companies to scale successfully,” said Jeffries.

Through AWS Global Passport, software companies receive guided expertise across three key areas:

  1. Strategic Planning: Receive a market evaluation workshop to assess opportunities, challenges, and create an international expansion roadmap.
  2. Technical Enablement: Get guidance on architectural best practices for multi-region deployments, regulatory compliance, and technical requirements for new regions.
  3. Go-To-Market: Benefit from co-selling with AWS sales teams, co-marketing initiatives, and connections to regional resellers/distribution channels.

The business value of participating in AWS Global Passport is clear—accelerate your time-to-market, lower risk, and maximize ROI as you pursue new international growth opportunities.

By leveraging the strategic advice, technical resources, operational expertise, and go-to-market enablement of AWS Global Passport, forward-thinking software leaders can swiftly navigate the complexities of globalization.

Is AWS Global Passport right for your software company? Learn more and request a workshop. 

About the author

Lexie Knauer,

Global Go-to-Market Lead, AWS

Lexie Knauer is a Global Go-to-Market Lead, based in Seattle, WA. She is focused on helping software companies grow on AWS through international expansion and new service adoption. Lexie has over a decade of experience in driving growth at software companies.