Global Digital Services: New Horizons for Entrepreneurs Worldwide

The digital economy, particularly intangible or digital services, provides exciting opportunities for entrepreneurs in 2024.

I – Business Opportunities for Emerging Markets in International IT

In developing countries, entrepreneurs often face fierce competition in traditional industries, where local businesses already dominate the market. Therefore, for newcomers, it is generally more beneficial to focus on global markets that haven’t been monopolized yet. However, by offering high-quality digital services with a strong value proposition and competitive pricing, entrepreneurs can stand out and successfully compete internationally.

Connecting_The_World_Through_Digital_Services

II – The Digital Economy and Digital Services

The rise of digital services has opened up global markets to entrepreneurs, thus providing opportunities to offer services remotely and across borders.

What are some examples of digital services?

Web Content Creation (Copywriting)
Online Courses & Virtual Training
Social Media Management & Community Building
Digital Marketing
Website Design (Showcase & E-commerce)
Search Engine Optimization (SEO) for better online visibility
Translation & Interpretation Services (Remote or via Video Conferencing)

II – 1 Emerging Demand for Intangible and Digital Services

In the current landscape, businesses of all types—whether industrial, commercial, or service-oriented—are expected to have a strong online presence. This presence is not just about having a website, but also about actively engaging with customers through a virtual storefront.

III – Potential Markets for Global Digital Services

Who are the key markets for these services?

The primary customers for digital services are businesses in developed countries, where labor and consultancy costs tend to be much higher compared to those in emerging markets. This creates an opportunity for service providers from developing countries to offer competitive services at lower prices.

For example, the outsourcing of call centers to low-wage countries has been a long-standing trend. Countries like Morocco, India, and Eastern European nations have become hubs for call center operations that cater to global clients in languages such as French, English, Spanish, and Portuguese. This has been facilitated by the rise of VOIP (Voice Over Internet Protocol) technology, which drastically reduces the cost of telecommunication.

Such services have become a significant revenue source for developing countries, where traditional industries may not yet be fully developed.

III – 1 Who Are the Key Clients for Online Services?

Large corporations and Small and Medium Enterprises.
Public sector institutions in developed countries, although these may carry a higher risk of delayed payments.
For better security in payments, it is advisable to target private sector businesses. It is also critical to ensure that contracts are legally sound and include terms that guarantee payment.

III – 2 How to Reach Potential Clients?

Gone are the days of cold calling and sending out unsolicited emails. In Europe and many other parts of the world, businesses have grown increasingly frustrated by these traditional sales tactics.

Instead, Inbound Marketing is now the most effective strategy. This method takes into account the four key stages of the customer journey:

Attract: Turning strangers into visitors
Convert: Converting visitors into leads
Close: Turning leads into customers
Delight: Transforming customers into advocates
Prospective clients typically start by entering relevant keywords in search engines like Google or Bing. Based on the results, they visit the websites that appear on the first page. If the website’s offerings match what they’re looking for, they may proceed to contact the business.

Social media platforms, particularly LinkedIn, Instagram, and Facebook, play an equally important role in reaching out to potential clients and maintaining engagement.

While attending trade shows can still be valuable for some businesses, for digital service providers, an online presence is often far more effective. A well-optimized website can generate leads much more efficiently than attending time-consuming trade shows.

Social media, in addition to websites, serves as an effective viral marketing tool, boosting your online visibility and attracting more prospects. Social platforms can significantly increase traffic to your website and improve your company’s outreach.

III – 4 The Role of the Intermediary

Convincing businesses in developed countries to engage with service providers from emerging markets can be challenging. Concerns about international transactions often center on issues like money laundering or the mismanagement of funds.

An intermediary, particularly one with expertise in both the client’s and service provider’s cultures, can help overcome these obstacles. A trusted local intermediary can reassure clients that their money is safe and that ethical business practices are being followed.

Moreover, understanding intercultural differences is crucial for building strong international business relationships. Training in intercultural communication can be beneficial for companies engaging in cross-border collaborations.

IV – Service Pricing in Developed Markets

Below are typical prices for certain digital services in France:

Translation (French/English): €0.16 per source word (€48 for a 300-word page, or MGA 216,000 gross)
Web Content Writing: Similar rates apply
Videoconference Training: €60 to €100 per hour
Consecutive Interpreting (via Videoconference): €100 per hour
These rates reflect the average charges for direct client services in developed markets.

IV – Offering High-Value Digital Services

By offering remote digital services, entrepreneurs compete on a global scale. While this opens up a much larger market, it also means facing stiff competition. In the early 2000s, for example, affordable internet access led to significant price competition among translation services, with providers from countries like Turkey, Morocco, and parts of Africa offering much lower rates. However, lower costs didn’t always correlate with high-quality services. As a result, those maintaining higher fees were often required to specialize and improve their skills to remain competitive.

This trend still holds true today. To stand out in a crowded global market, digital service providers must continuously develop their skills and offer specialized, high-quality services.

IV – 1 The Need for Specialization and High Added Value

A translator could, for instance, specialize in legal translations and focus on documents from lawyers working with European tax authorities. This specialized knowledge allows the translator to command premium rates, as clients are willing to pay more for expertise. Similarly, in the realm of web content writing, specialization in specific industries or topics can lead to better-paid projects, as not all clients are satisfied with generic content.

To remain competitive, digital service providers must invest in specialized training and continue to enhance their skills to deliver high-value services that justify their pricing.

IV – 2 The Global Market for High-Value Digital Services

When competing globally, several factors must be considered:

Local pricing structures
The cost of living in the client’s country
International competitors’ fees
Competitors’ performance and skill levels
Niche market positioning, which often entails little competition and high demand from clients with specific needs
To succeed, businesses must offer unique value by specializing in areas that require advanced skills. This can involve focusing on niche markets where competition is low but demand is high.

IV – 2.1 Web Content Writing (Copywriting)

Web content writing, or copywriting, involves creating persuasive and informative text aimed at promoting a product or service. The goal is to raise awareness and drive customer action, ultimately encouraging them to make a decision, such as purchasing or engaging with the brand.

IV – 2.2 Videoconference Training

Videoconference training involves conducting educational sessions remotely using platforms like Zoom, Teams, or Skype. This method allows for greater flexibility, mobility, and cost savings, as participants do not need to travel.

IV – 2.3 Translation for Web Content

With the growing need for multilingual websites, businesses require high-quality translations to adapt their content for global audiences. While translation can be done at a basic level, premium content requires expert translators who understand the nuances of language and cultural context.

IV – 2.4 Videoconference Interpreting

Similar to training, videoconference interpreting allows for real-time language translation during virtual meetings. This service has become increasingly popular for international business meetings, offering a cost-effective alternative to traditional, in-person interpreting.

V – Internet in Developing Countries

In countries like Madagascar, internet infrastructure has dramatically improved since the early 2000s, making it easier for local digital service providers to meet the high standards required by international clients.

Entrepreneurs in regions like Africa and the Indian Ocean must now deliver services that match or exceed the quality of what is expected in Europe or other developed markets. Slow internet or power outages can no longer be used as excuses for poor service delivery.

V – 1 Internet Situation in Madagascar

Madagascar, for instance, has made significant progress in strengthening its internet infrastructure. Initiatives such as the improvement of Internet Exchange Points (IXPs) aim to provide faster and more affordable internet, benefiting both businesses and consumers in the region.

VI – Starting Your Digital Services Business

The initial investment required to establish a digital services business in a large city in a developing country can vary. For example, it’s possible to start with an investment of around €3,000, covering business registration, internet setup, and basic equipment costs.

Conclusion

The digital economy presents enormous opportunities for entrepreneurs in emerging and developing countries to tap into the global market. With the right specialization.

Setting up a Global Digital Services company and selling internationally is an ambitious challenge, but one that can be met with the right support. We’re here to help you succeed.

You can also read our other articles on entrepreneurship and the digital economy:

Digital coaching, online entrepreneurial success:

Digital coaching is essential for navigating the world of online entrepreneurship. A coach helps to create a personalised strategy, exploiting digital opportunities. They offer technical and human support, motivating entrepreneurs. Working together, they can define measurable objectives and adapt the strategy to the market. A powerful tool for success in the digital world.

Global Digital Services:

In the world of global digital services, developing countries are discovering fertile ground for economic growth. This article highlights the business opportunities in this area, enabling entrepreneurs to connect with the whole world. Specialisation is key, offering high value-added services while navigating international competition. With the right support, launching a digital services business is an ambitious but accessible venture, opening the doors to success on the world stage.

Digital Coach, Guide to Digital Entrepreneurship:

In the field of international digital services, the digital coach is becoming an essential guide to digital entrepreneurship. This article explores the opportunities for developing countries, offering access to international markets through specialised, high value-added services. With the support of a coach, entrepreneurs can navigate the complexities of digital, turning their ideas into tangible successes on the world stage. Expert guidance is the key to thriving in this fast-changing world.

Online interpreting 2.0:

In the field of global online services, the digital guide is a major asset for Web 2.0 entrepreneurship. The article reveals the opportunities for emerging nations, enabling them to access international markets through specialised, high-quality offerings. With the help of a mentor, entrepreneurs can navigate the complex digital world, turning their visions into concrete achievements on the world stage. Professional support is essential to thrive in this new era of online entrepreneurship.

This article was written by Daniella Fifaliana . Quotations and extracts are authorised, but any reproduction in full or adaptation requires the author’s permission.