As a Marketing professor, I always remind my students that business and branding must be done “without boundaries.” This short phrase exemplifies how fast the world is moving and how quickly businesses today generate non-stop transactions of goods and service across borders. However, some brands move so fast, they tend to miss the mark on the cultural aspects of doing business on a global scale. This not only leads to a misunderstanding of a company’s brand in other markets, it also leaves money on the table in terms of revenue.

In recent years, businesses have turned to localization to adapt their brands to new markets. But many treat localization as a “copy-paste-repeat” process via translation. However, translation on its own has become too simplistic for an increasingly sophisticated global marketplace; it doesn’t capture meanings, only words. The brands implementing a localization-only strategy are doing it all wrong. Instead, brands should rethink their marketing playbook and turn to culturalization.

Three tips for successful culturalization

Brands that are winning today are practicing culturalization, a process that goes beyond simple translation to dig deeper into cultural nuances, traditions, and values. Brands that embrace culturalization put the consumer in the driver’s seat, making them feel seen and heard.

I have three tips for brands looking to increase their chances of success in new markets:

• first, move beyond the “copy and paste” model;
• second, lead with consumer wants and needs (vs. what the company is trying to sell);
• third, remember that creativity and critical thinking lead to good culturalization.

I explain each of these tips in more detail below.

Don’t fall for “copy and paste”

In the 1980s, localization was popularized by translating from one language to another. By the 1990s and early 2000s, brands began to realize that localization needed some fine tuning and this is when diving into cultural nuances began to surface. Localization is a strategy that focuses on the adaptation of goods or services to local markets. In 2026, I call this the copy and paste strategy. It’s easy and fast. Translation is at the top of the list for localization marketing strategies. I can take a pitch deck or ad and translate it from English to Spanish, or vice versa. It seems like a logical, efficient concept and process.

But localization is a trap – because translating does not mean the brand is communicating effectively, in a correct manner, or appropriately. Effective communication is about more than just words.

Understanding culturalization: more than words

As I mention above, culturalization is a process that goes beyond translation and delves deeper into cultural nuances, traditions, and values to ensure local relevance. Brands that embrace culturalization make the consumer feel seen and heard.

Localization is no longer aligned with the mindset of the consumer. Today’s consumers are savvy, willing to try new things, and do not want to be sold a product or service. They want brands to be tapped into their wants and needs, and they want to know the brand is willing to go the extra mile to make them feel understood. Shared values between the consumer and the brand is an important driving force in culturalization.

Let’s look at a company that has done this well – and one that hasn’t.

Nike

In this example, Nike practiced culturalization and by doing so created genuine connections with their target market.

Nike’s mission for this brand activation in Guangzhou, China was to generate buzz around running, run clubs, and running culture amongst a younger audience, specifically Generation Z. However, Nike didn’t endorse a celebrity or put up billboards across cities in China. Instead, the company partnered with a celebrated local Chinese field and track runner, Su Bingtian, and was strategic not just in its execution but also by celebrating Chinese culture through traditions.

Herbal remedies and soup are an important part of sustaining health and longevity in Chinese culture. Food stalls are also a large part of the food culture in many Asian countries, especially China. Nike created a soup stall pop-up in Ersha Island in Guangzhou, China, catered to Gen Z runners. The results went viral and Nike reestablished themselves as a relevant brand for the current market. Runners were invited to pick ingredients, including herbal remedies, to be stewed in traditional ceramic pots and to sit at the soup stall at Ersha Island to recover from their run.

In this example culturalization has many layers. The location of the soup stall was strategic because Ersha Island is a haven for runners. The Chinese phrase 落足料 点会冇料到 used in the activation also plays on Chinese and Nike cultures. The translation means if you give your all, then you will achieve your results – similar to Nike’s Just Do It statement about pursuing exercise and sport. The different layers of culturalization created memorable experiences and nostalgia. As a result, this keeps Nike in the hearts and minds of the consumer.

What worked here? Nike illustrated that it understood the customers wants (running and local connection) and needs (herbal soup to help runners recover). The research done before entering the market paid off.

The same could not be said for one of America’s largest big-box retailers, Home Depot, whose team clearly did not understand its new market when attemping to expand into China.

Home Depot

According to a Wall Street Journal report, when Home Depot first entered China in 2006, it failed “to grasp the local culture” and imported an “alien” business model more suited to other countries. The biggest issue? Home Depot tried to translate its business promise – How Doers Get More Done – in a country where citizens don’t want to do the work themselves. Cheap professional labor, apartment living, and other factors meant there wasn’t a market for DIY at the time.

Home Depot failed to take these cultural specifics into account, leading to the closure of several stores and the loss of millions of dollars in revenue. This is an example of localization vs. culturalization. The company did a simple “cut and paste” of what worked in the U.S. and other markets in hopes of success in China. It took several years of on-the-ground failure – and learning – to adapt its model to suit what Chinese consumers wanted and needed.

Creativity + Critical Thinking = Good Culturalization

If Home Depot was starting its foray into China today, in the age of AI, could it have learned about the aspirations of Chinese consumers without stepping foot in the country? It’s possible, and many AI proponents would argue that LLMs provide enough powerful data to answer any questions the company might have. But culturalization favors an experiential understanding of a market segment in order to make a branding impact.

A major part of culturalization is also staying aware, and acting on, societal changes and trends. In 2026, AI continues to dominate many fields and certainly has made its way into branding and marketing. And yes, AI can make us faster – but creativity and critical thinking are still dominant forces when it comes to brands driving activations or campaigns that use culturalization. AI can’t feel and experience what you feel as a creator. AI is also unable to understand the emotions felt by the consumer.  We feed AI data and work with large language models (LLMs) to form a desired outcome.

However, it is always important to keep in mind that culturalization comes from a creative process along with critical thinking and thought leadership. The complexity and layers behind culturalization are the reason why creativity is incredibly important. Creativity is the initial step to ideation and then decision making.

Nike understood the assignment when they entered China with an herbal soup pop-up. The secret sauce of creating community coupled with immersive experiences for the runners was pure magic! But this was executed through people who were creative enough to form a concept around Chinese traditions. As a result, Nike gained what so many brands desire, which is emotional ROI.

Benefits of Culturization

Culturalization is a necessity because it drives brand relevancy, attention, and retention. But it takes work, including possible changes to products and services in order to adapt to a new market’s norms and behaviors. As marketers, an understanding of a culture’s emotional cues, along with narrative and visual expectations, are critical. But as important as understanding what a country’s consumers want is understanding its taboos and sensativities in order to avoid them.

When done correctly, the benefits of culturization are immense, resulting in increased market share, more revenue, and a customer base that is more engaged and loyal to your brand. And in today’s environment, loyal customers can become the most important brand ambassadors a company can have.

About the author

Dr. Caryn Pang is a professor at Hult International Business School in Boston and Parsons School of Design in NYC. She has over 15 years of experience as a retail business executive and has worked with several leading retail companies. She integrates the latest business and marketing strategies into her classroom teachings to equip her students with practical skills to prepare them for the industry.