Cracking the Code: How Newborn Town Thrives in MENA Through
The enormous potential of the Middle East and North Africa (MENA) market has piqued global interest, bringing an extensive list of international media and entertainment corporations eager to get in on the business.
Newborn Town has emerged as a key participant among these enterprises due to its innovative localization strategies. The latest-released Sensor Tower rankings of social media apps' revenue in MENA from January to May 2024 further verified this fact, as four of the company's social apps, MICO, TopTop, SUGO and YoHo, respectively placed eighth, third, fourth and seventh in the categories of highest-grossing live-streaming and audio chat apps.
It is no secret that MENA's social entertainment industry is lucrative. Data from Mordor Intelligence revealed a rise in this region's media and entertainment market size, which will hopefully increase from $42.72 billion in 2024 to $66.99 billion in 2028.
Social media participation in MENA has also been substantial, with local users owning an average of 8.4 social media accounts and spending 3.5 hours per day on these sites.
The "youth bulge" problem that the MENA region meets and the distinct social dynamics affected by religious and cultural concerns have also fueled the strong demand for social networking, boosting opportunities for pioneers like Newborn Town to root in.
Newborn Town's Localization Efforts
Newborn Town's success in the MENA region and other markets is the result of deep and thorough localization, spanning from operational practices to product design.
Several media interviews with Newborn Town's employees and executives mentioned the localization efforts in MENA. As for the team-building strategy, Newborn Town sticks to equal employment opportunities among native and foreign applicants while valuing their self-driven spirits and quick learning abilities more, according to one of the heads of this company. Hiring local MENA employees also ensures that user-reported issues can be resolved swiftly, enhancing the users' experience.
Beyond that, meticulous customization of the product's features is one of the highlights of Newborn Town's localization strategy. For instance, some of its in-app buttons and user interface elements are designed larger, given that Arabic script is cursive, and local users prefer a more spaced-out and less cluttered interface. Certain features and even virtual gifts are renamed to be more culturally appropriate, preventing misunderstandings.
How Newborn Town Engages in MENA Community
Newborn Town's commitment to localization extends beyond product design to active engagement with local stakeholders. This approach enhances the company's local recognition and acceptance.
During 2024 Ramadan, Newborn Town's companion-based social app SUGO organized a series of charitable activities to give back to the local community. Through donating food, necessities and children's toys to several charitable organizations in Egypt, SUGO aims to inspire more people to participate in local public welfare and charity efforts.
Apart from public benefit campaigns, the annual gala events hosted by its social apps like MICO are also well-known locally to many social media fanatics.
Turning Localization Ambition into Achievement
The consistent implementation of localized strategies and the establishment of public images in MENA have contributed to Newborn Town's financial performance. According to the company's annual results, Newborn Town has achieved a 30% YoY increase in revenue from its core apps in the MENA region; from 2020 to 2023, the growth CAGR was ~32%.
Among many business storytelling, the MENA market is often described as a goldmine for social media and entertainment companies. However, long-term success and survival in this region require a deep-rooted commitment to localization, as demonstrated by Newborn Town.
By embedding itself in the local community and continuously adapting to local needs and preferences, Newborn Town has set a benchmark for other companies aspiring to thrive in the MENA market.
