Localization a simple definition and examples

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April 4, 2025

If you're asking yourself "what is localization?" — you're not alone. This guide will help you understand the concept and its role in global business today.

Localization is the process of adapting a product or service to the language, culture, and preferences of a specific audience. The goal is to make the product feel as though it was originally designed for that market — not simply translated.

From my own experience working with digital product teams and international clients, I can confidently say: the brands that localize effectively earn more trust, build deeper customer relationships, and scale faster across markets.

The definition isn't just about linguistic accuracy. It's a strategic move that boosts user satisfaction, trust, and global reach.

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What Does Localization mean?

Adaptation includes, but goes beyond, translation. It ensures that every element of a product or service resonates naturally with the target culture.

Key elements of it include:

Language: Translating content with consideration for idioms, tone, and context.
Content adaptation: Aligning imagery, colors, symbols, and references with cultural expectations.
Regional preferences: Adjusting formats (date, currency, units, etc.) to local standards.
UI/UX adjustments: Modifying layout, reading direction (LTR vs. RTL), and screen structure.
Legal compliance: Ensuring adherence to local laws, from GDPR to packaging regulations.
Functional adaptation: Removing or adding features to suit market-specific needs.
Testing: Verifying linguistic accuracy and technical performance for every locale.

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Adapting content is important for both big companies and small businesses. This is especially true for startups and SMEs that want to grow internationally.

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According to research, 40% of consumers say they will never purchase from a website that isn’t available in their native language. And 75% say they’re more likely to return to a business if post-sale support is in their own language.

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Real-Life Examples of Successful Companies

Airbnb Image

Business Example

As businesses become increasingly global, they're interacting with customers from all over the world. To succeed, they must adapt not just their language, but also their entire user experience to local markets. Localization is no longer optional — it’s a key part of any growth strategy. Airbnb is a great example of this. The company now operates in over 220 countries, and in each one, it adapts the platform to reflect local language, currency, content, and expectations. This makes users feel like the service was built just for them.

Source: airbnb

Netflix Image

Software Example

Localization is also a vital strategy in the world of software development. Everything from user experience to overall design will need to be considered to ensure that customers are getting the very best experience.

A good example of software-localization is Netflix. The global streaming giant has become synonymous with efforts on both the translation side of things and on the developer side. The technology and processes that they utilize are translated and localized in every region, meaning the interface and apps change, as do the subtitles and voice dubbing of content. Even the films and TV shows they develop are localized for specific countries.

Source: netflix

Check out our more real-life examples on this page.

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What does localization mean in industry?

Localization in industry refers to the adaptation of products, services or processes to the requirements and characteristics of a specific market or region. As with the answer to the general question “What is localization?”, the aim of localization in industry is to take into account aspects such as language, legal requirements, cultural differences and local standards in order to increase competitiveness and acceptance in the target market.

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Four examples of the localization definition:

Product packaging: An international food manufacturer adapts the labels and packaging texts to the respective national language and legal labelling regulations of the target country.

Safety standards: A packaging machine is adapted to the respective legal safety standards, such as the European CE marking or American OSHA regulations.

Software customization: A machine manufacturer integrates various language settings and units of measurement into its control software so that operators from different countries can use the machines without any problems.

Marketing campaigns: A car manufacturer develops different advertising campaigns for different markets, taking into account cultural characteristics as well as regional preferences and trends.

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What is an example of localization in business?

When it comes to localization in business, the global fast food company McDonald's is a good example. McDonald's adapts its menus uncompromisingly to local tastes and eating habits in different countries. In India, for example, where many people do not eat beef for religious reasons, McDonald's offers special alternatives such as the “McAloo Tikki” (a potato-based vegetarian burger) or chicken burgers instead of the classic beef burger. In addition, advertising, packaging and even the design of the restaurants are geared towards the respective culture and the expectations of local customers. Localization allows the company to respond better to the needs of regional markets and be more successful.

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What are the three types of localization?

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Localization can basically be divided into three types.

Linguistic localization refers to the adaptation of the language used for a product or service to the respective target language. In addition to dimensions and formats, this also includes currencies and other language-specific elements. Only then will users perceive your offers as natural and understandable.

With cultural localization, you adapt products, content or services to the cultural characteristics and expectations of a specific market. This includes, for example, taking symbolism, legal requirements and social norms into account. The aim is to ensure that your offer is accepted in the respective country or region.

If we look at technical localization, we move within the framework of different standards, power voltages or climatic conditions or legal requirements in terms of safety and functionality.

It is important to consider all three types of localization when developing products and services in order to increase user satisfaction in international markets.

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What Are the Goals?

Effective adaptation is about more than access — it’s about building relationships. Here are the main goals:

Enter new markets: Remove entry barriers and expand reach.
Gain a competitive edge: Compete on equal footing with local businesses.
Boost customer satisfaction: Offer a familiar, intuitive experience.
Increase brand loyalty: Build trust through cultural relevance.
Maximize profit: Tap into new audiences and increase conversion rates.

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Related Resources

Language-Localization – Adapting content for a specific language or region
Strategy – Defining how your business will localize across touchpoints
Software-Localization – Adapting UI, content, and backend for multi-language support
How to do in JavaScript-Localization – Making web apps functional across languages and cultures
Website-Adaption – Translating and adapting websites for global audiences
Align the Marketing – Tailoring campaigns to cultural values and buying habits

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How to Implement it – A Step-by-Step Guide

Identify where it's needed: Not everything must be localized — start with high-impact areas.
Research your target audience: Understand culture, language, habits, and legalities.
Bring in professionals: Work with native linguists, cultural consultants, or a localization partner.
Ensure quality assurance: Use local testers and conduct linguistic and functional QA.
Localize across content types: From websites to games, marketing materials to user manuals.

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🎥 Watch our video to see how our software supports your localization workflow.

FAQs

What’s the difference to translation?

‍Localization adapts content for a specific culture or market, including language, imagery, layout, and legal factors. Translation is only one part of this process.