By Rakesh Jain

Localization and personalization often go hand in hand. This factor is essential to marketing effectively to any local demographic. If you approach the market in a manner familiar, understood and respected, then you are far more likely to get business.

Unfortunately for international businesses, customizing their branding, marketing and product manufacture activities to suit regional preferences can be a tedious, time-consuming and expensive process. Even if they employ individuals local to the region, their international outlook hinders their ability to truly take advantage of emergent market opportunities.

This business phenomenon is perhaps visible nowhere more openly that the UAE and other Gulf countries. While the overall culture of the UAE is by and large the same, there are subtle but significant differences between each emirate as well.

For companies involved in marketing to these populations, which are often a complex mixture of ethnicities and thus, often closely-held cultural traditions from around the world, the differences are paramount for success.

For the most part, large enterprises who paint their demographics in broad strokes of the brush fail to identify and capitalize on these differences. This is where hyperlocal marketplace startups come into the picture.

What Do Hyperlocal Startups Offer?

Colloquialism is term which defines the use of everyday language within a limited geographical area. Anyone who has access to the colloquial aspects of an area is the best person to identify emerging market opportunities and the underlying demands.

Hyperlocal startups offer this very facility to their clients. By limiting their reach to a particular industry niche or market demographic, they use hyperspecialization to capture and retain their market share.This enables them to deliver a must more local service experience to clients and helps them effectively compete with much larger commercial entities.

The reason for hyperlocal marketplace startups rising in must be understood in terms of technology as well. They generally employ things like Magento multivendor marketplace scripts to provide highly localized support to their business operations. Such multivendor scripting also allows for easy future expansion and so, it is a win-win for these small businesses.

Now, let us look at why exactly do such startups rapidly gain the local market footing they do. Doing so will allow us to understand prevalent market trends not just in the UAE but to the entire Gulf area at large and other highly diverse international markets as well.

What Sets Hyperlocal Marketplace Startups Apart from Bigger Businesses?

  1. A Window Into The Local Life

Market understanding is fundamental for running a successful business. While large scale organizations can spend quite a bit of money on research, it doesn’t really reveal the stark realities and needs of their target demographic. What they get instead is an approximation arrived at by balancing out multiple factors within the niche and among the competing companies.

Hyperlocal startups, on the other hand, have direct access to the relevant market insight as they life within the demographic. This gives them a unique view of the current and foreseeable demands of the niche. Moreover, they are willing to go the extra mile to give clients what they want. Naturally, they stand to get much more success.

2. Optimized Company Hierarchy

On of the biggest arguments against decentralized decision making in international business is the success of hyperlocal markets. These small companies have the minimal number of decision-making channels required for effectiveness. Thus, they are better equipped to make both small and large market decisions.

For example, if a hyperlocal startup needs to decide which Magento multivendor marketplace extension they need, this can be done very easily and in quick-time. However, the same decision when it must be taken by a large business requires weeks of comparative analysis before a strategic decision is arrived at. So, hyperlocal business clearly have the advantage and they use it for maximum benefit.

3. Precise Market Customization

Ultimately, it is the way that a company markets and provides their overall service that determines success. For hyperlocal startups, this is very easy to do because they are aware of the nuance within any society and the various niches within it. So, with the help of an apt Magento multivendor marketplace ecommerce app, they can really provide a ‘homegrown’ experience not available at non-local businesses.

Additionally, these companies are keenly aware of the changing market dynamics because they are part of the demographic. Thus, they can anticipate temporal shifts and attune their businesses accordingly. The fact that such businesses do not have an excessive amount of capital committed to their domain also adds to their adaptability.


Hyperlocal marketplace startups are the antidote to large-scale commercialization across the world. They are particularly profitable in regions where either there is tremendous diversity or tremendous emphasis on a particular culture.

In both situations, having a inside view of the situation allows these companies to deliver a much more localized and personalized experience to clients and thus, make their business grow.

If larger companies want to compete with these businesses, then they need to step into the local culture and implement a decentralized and effectively localized decision-making protocol which can afford them better competitiveness.

Rakesh Jain is a CEO and Co-founder of Mobicommerce, an eCommerce website & mobile app development company having a team of best app developers who deliver best eCommerce solutions mainly on Magento and PrestaShop platform. He regularly contributes his knowledge on the leading blogging sites. You can connect with him on Twitter.

Online marketplace stock photo by vladwel/Shutterstock