Whether you are in a small market, like, say, Sweden, or a large market, like the U.S., there are good reasons to find partners outside of your geography.
Here are the top three reasons why I think publishers in markets with small populations should aggressively partner with publishers in larger markets:
· Assuming that the content of their products is appropriate for other markets, publishers can increase their sales volume tremendously by gaining access to larger markets. In fact, depending on the scope, some publishing projects from their inception—without a subsidy from the government or some other source—may not be feasible without a co-publishing partner.
· A publisher may have identified an opportunity in its market worth pursuing, but also may have determined that creating the product from scratch would be too much of an investment. In this case, adapting an existing product from a publisher in a larger market may be the best option.
· Extremely technical, research-heavy subject areas are more likely to be covered in greater depth by larger markets where more resources are available to generate content at the right sophistication level to meet world-class expectations. This content may be better translated from a major market rather than initiated from the ground floor in a small market.
Does Market Size Matter?
Here are the top three reasons why publishers in large markets should look for partners in smaller markets:
· The size of a market varies depending on the language, and plenty of small- to medium-sized markets can generate incremental revenue for a multinational publisher, even if its indigenous market is substantial enough for it to be highly profitable. No one should underestimate the potential that may be locked away in foreign markets, especially in advanced countries. Successful multinational technology companies routinely customize their software for markets of all sizes; similarly, many publishing houses have gained substantial global traction and have improved their margins by working with a handful of publishers in countries with relatively small populations.
· Many small markets, when viewed as a collective entity, can constitute a meaningful source of revenue.
· By having a presence in a smaller market, publishers may be able to acquire new content for use in their primary market.
Here are the top three reasons why any publisher, regardless of size, can benefit from an exchange of intellectual property (IP) and why it should partner:
· Outside markets can be a source of new ideas, innovation, and talent. Great ideas and skilled individuals can come from anywhere.
· Publishers in international markets can be surprisingly nimble, flexible, and cost-effective in providing services, such as software development, hosting, editorial services, composition, and printing.
· International publishing fosters communication, cooperation, and understanding, and creates a community of like-minded people who believe that sharing information and exchanging ideas may make the world a better place; at the very least, it could prove to be a hedge against disruption.
Finding Common Ground
These are the main drivers behind a dynamic international publishing community that has only grown more robust as a result of technology and the ease with which content can be exchanged and repurposed. To those of us who have been active in the international marketplace for some time, the last bullet point above will not sound overly ambitious. In fact, most of us with extensive partner relationships—even among partners whose governments and politics may be at odds—see only similarities and a common purpose when we explore the opportunities of sharing some of the cumulative knowledge and creative interests of our individual cultures.
