FIVE MARKETS TO TARGET WHEN CONSIDERING A CDN

Today’s customers aren’t necessarily down the street, or even in the same country. The current business landscape has flattened and savvy businesses with a global focus now have the ability to draw customers from all over the world.

According to Internet Live Stats, there are 3.2 billion global internet users. In the past we’ve talked about the opportunity for business growth in China (see this post and this post), but with the right focus and technology other emerging markets could be just as lucrative. With growing populations of internet-connected people, countries like Russia, India, Mexico and Brazil are great prospects for market development.

To successfully launch in these emerging markets, it’s essential to prepare your website for global expansion. Our content delivery network (CDN) harnesses a global network of more than 160 points of presence (PoPs) to accelerate website speed and improve performance. Without a CDN, there can be increased latency as information has to travel from a company data center or server to the end user.

Let’s take a closer look at each country:

  • China

With a population of 1.39 billion and more than 641 million internet users – an almost 50 percent penetration percentage – China is indisputably a valuable market. However, it is not the easiest market in which to open up shop. Internet regulations are numerous and it’s wise to have a trusted partner well-versed in the market.

CDNetworks is licensed by the Chinese government and has delivered content in Mainland China for more than eight years. With 21 points of presence strategically located throughout the country, our China CDN gets end users dynamic and static content quickly with minimal latency.

Consider this: A Dyn survey reported more than 60 percent of Chinese consumers would find an alternative place to purchase a product if they encountered a slow-performing website, which was higher than the average global consumer. Over 80 percent of Chinese customers would likely stop shopping online when a website is slow, or they’re concerned with security. These statistics should crystallize why an optimally performing website is so important in China.

  • Russia

CDNetworks has 16 PoPs in Russia alone, as well as local knowledge to optimize your website for both performance and user experience. With the aid of our CDN and Russian acceleration, Russian businesses and consumers achieve fast web application downloads and dynamic and static content delivery. Noteworthy names like Accuweather.com have deployed CDNetworks’ CDN to improve user experience in Russia.

Ecommerce is a burgeoning market in Russia. A PwC study in 2014 surveyed 1,074 internet users in Russian and 1,006 has shopped online in the past year. About 600 of them were shopping monthly. Moreover, over 40 percent of respondents used their mobile devices for shopping. The same report predicted the ecommerce share of overall retail sales to quadruple over the next few years.

Driven by increased broadband access coupled with mobile users, Russia is expected to eclipse more than 100 million internet users over the next two years.

  • India

In terms of number of internet users, India has the third highest population in the world, but it is still maturing as an online marketplace. Between 2009 and 2014, the market grew 34 percent, closing out 2014 at $16.4 billion in ecommerce sales. Travel ecommerce is a mainstay in the online marketplace, making up about 70 percent of the total ecommerce sales in 2014.

Many big ecommerce players are looking to India’s large population and fast-growing internet adoption as an ideal market to set up shop. An Accel Partners study predicts online shopping for physical goods will grow to $8.5 billion in 2016 and include more than 40 million shoppers.

CDNetworks operates four PoPs in India and 19 in Asia-Pacific region. With a CDN, latency is significantly reduced creating a better website performance for both desktop and mobile users.

  • Mexico

Now, let’s turn to the biggest Latin American markets. Roughly 41 percent of the Mexican population (approximately 50 million) are connected to the internet; about one-third of the population has a mobile phone making it the largest mobile market in Latin America.

The ecommerce market is still in early stages as the population becomes comfortable with shopping online, but it is expected to continue on a skyrocketing track. In 2014, the ecommerce market totaled $2.8 billion and is expected to double by 2019, according to Forrester Research.

  • Brazil

Brazil has a well-established ecommerce market and over the next five years it is expected to grow from $17.8 to $40.8 billion. According to Digital River, Brazil accounts for more than 60 percent of ecommerce sales in Latin America.

More than 105 million (approximately 50 percent of the population) have internet access. Earlier this year, eMarketer forecasted continued double-digit growth for retail ecommerce each year until 2018. To ensure speedy delivery of content, CDNetworks has two centrally located PoPs in Brazil, in the two most populated cities of Sao Paulo and Rio de Janeiro.

Global Markets and a CDN

Customer preferences and behaviors are changing right alongside the global marketplace. Everyday more potential customers gain access to the internet creating opportunity for both domestic and foreign businesses. Whether you’re a cross-border ecommerce shop or a brick-and-mortar brand looking to reach more customers online, any website can leverage the power of a CDN to achieve higher website performance in terms of speed, availability, and overall performance. With potential customers and sales at stake, a CDN gives businesses an edge in today’s competitive global market.

The post Five Markets to Target When Considering a CDN appeared first on CDNetworks.

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