Plenty of companies across the UK channel successfully expand their business overseas, with international expansion opening new doors and new possibilities for the future.
“In an increasingly globalised world, international expansion has become an important step for the growth of businesses, especially in the telecoms industry,” explained William Rubio, chief revenue officer, CallTower. “With growing demands for connectivity, technological advancements and the rapid growth of emerging markets, businesses that expand into foreign markets can unlock new revenue streams and gain a competitive advantage.”
This is a complex task, with companies looking to expand geographically needing expert guidance to ensure their efforts are set for success.
Rubio added, “While international expansion is important, breaking into new markets, especially in underserved regions, is no small feat. It requires that businesses recognise key indicators for expansion, carefully research and plan their overseas ventures, and closely monitor current market trends that could impact their return on investment.
“For businesses that successfully navigate the complexity and expenses of expansion, the benefits far outweigh the risks. The question, then, is not if companies should expand, but when they should and how they can do so effectively.”
When to look overseas
So, when should companies consider international expansion? For Scott Goodwin, managing director, NetSapiens, it makes sense to expand abroad “when you’re crushing it at home, and growth has plateaued”. He explained, “If you haven’t nailed product-market fit in the UK, expanding is like proposing marriage on the second date – bold, but stupid.
“Take Amazon. Jeff Bezos didn’t launch Amazon UK until the US business had a stranglehold on online retail. Contrast that with WeWork’s international disaster – Adam Neumann’s ego expanded faster than his balance sheet, and we all know how that ended.”
Goodwin pointed to three signs a company might be ready to expand internationally. First, you have excess demand and a model that can scale profitably. Second, your competition is eating your lunch domestically, and you need new hunting grounds. And third, your cost structure allows it. He cautioned some companies have burned cash for expansion. This, Goodwin argued, “isn’t strategy – it’s delusion”.
Alex Finn, global partner manager, Evolve IP, added, “In some ways, it’s now easier for companies to expand their international horizons but in other ways, it’s more challenging. The UK is a very saturated, mature and commoditised market, so moving further afield can open up new customer bases and revenue streams. Partners can differentiate more and gain a competitive advantage.”
One key sign the timing is right is when your domestic market has become saturated. Rubio, from CallTower, explained, “When expanding internationally, UK companies must pinpoint the right time to pursue overseas growth. Domestic market saturation is a major indicator.
“When local markets reach their limits, entering international territories can create new revenue streams and customer bases. This is particularly valuable when local competition is intense or growth is stagnating. Expanding globally during domestic saturation can provide a competitive edge, especially if competitors have yet to establish themselves in these regions.”
Rubio also pointed out the reality that some companies expand overseas because they are already seeing rising demand from international customers.
He commented, “With global businesses increasing, the need for telecom solutions like cloud infrastructure, connectivity and IoT services is growing. Companies that meet this demand can secure a strong position in foreign markets, foster lasting customer relationships and enhance their brand presence abroad.”
Government support can also be significant. “Government and trade body support also signals opportunities for global expansion,” explained Rubio. “Programmes such as export financing or trade agreements can lower barriers and provide essential resources to mitigate risks in new markets. Trade bodies can assist businesses in navigating international regulations, ensuring compliance with global and regional standards.
“Other key indicators, such as favourable global economic conditions, emerging global trends and challenges in domestic operations can also help companies determine whether it’s the right time to expand overseas. By recognising these indicators, UK companies can identify the right moment to seize global opportunities and strategically grow their business.”
Best practices
For companies that have decided the time is right for their international expansion, there are plenty of success stories from the UK channel that can guide the path.
Goodwin, from NetSapiens, highlighted three guiding principles. First, localisation matters. He explained, “What works in the UK doesn’t always translate. Just ask Tesco, which thought the US was ready for another grocery chain. Spoiler: it wasn’t.”
Second, distribution is everything. Goodwin argued that, if you don’t have a local partner or a clear route to market, it’s best to stay home. Third, people over pixels. Goodwin explained what he means by that. He said, “Tech makes global business easier, but boots-on-the-ground leadership still wins. Ask Starbucks why it failed in Australia: they ignored the culture and assumed coffee was coffee.”
Rubio, from CallTower, added, “Success in overseas expansion requires careful planning and execution. The first step is conducting thorough market research. Strategies that work in the UK may not be as effective elsewhere. Companies must analyse market size, growth potential, consumer behaviour, competition and demand for telecoms services. This research helps identify opportunities and risks, enabling smarter decisions on market entry and positioning strategies.
“Next, a clear expansion plan is essential. This plan should include measurable goals, timelines and a realistic budget. Companies should consider entry strategies such as joint ventures, wholly-owned subsidiaries or exporting, selecting approaches based on market conditions and risk tolerance. A detailed plan provides focus and direction for efficient growth.”
Rubio emphasised the reality that establishing a local presence strengthens credibility, but only if the local presence is genuine. He commented, “Hiring local talent, forming partnerships with established regional businesses or setting up a local office are effective ways to bridge cultural and operational gaps. These relationships accelerate market understanding and build customer trust.”
Like many other aspects of life, Rubio is of the view that slow and steady will win here. He explained, “Companies should start small and scale gradually. Launching in a few select cities or regions allows teams to test operations, refine processes and resolve logistical challenges. Gradual scaling, paired with adaptability and patience, reduces risk while creating a foundation for sustainable international growth.”
Market conditions
When asked if there is anything particular about the current market that might make now a good time to look overseas?
Rubio, from CallTower, said, “Currently, there are several market trends that offer immense opportunities for businesses to expand internationally. Rebounding capital markets, supported by lower interest rates, moderate inflation and positive GDP growth provide companies with the financial foundation to secure funding and scale operations. Improved investor confidence encourages revenue-raising activities, such as international expansion.
“Enhanced trade and investment conditions also make global growth more achievable. New trade agreements and lower tariffs in key regions create a favourable environment for accessing high-potential markets. These developments reduce operational and financial barriers, fostering partnerships and making cross-border expansion cost-effective.”
There are also some conditions that are based on the technologies channel companies are selling. Rubio explained, “Technological advancements further drive international growth prospects. Expanding 5G networks and innovations like cloud computing empower companies to efficiently scale operations abroad. Additionally, the rising global demand for technologies like AI, automation and digitalisation presents businesses with opportunities to supply high-demand markets while gaining a competitive edge.”
Rubio also pointed out some locations that offer unique opportunities. He said, “Emerging markets offer significant regional growth potential. Rapid economic development and increasing connectivity needs in Africa, Latin America, and South Asia create opportunities for businesses to meet underserved demands. Companies targeting these markets can achieve revenue growth while solidifying their global footprint. Together, these trends make international expansion not just a profitable opportunity but a strategic imperative.”
Finn, from Evolve IP, added, “Market diversification and economic global growth forecasts of around 3.3 per cent this year make it a good time to look overseas. It’s important not to put all your eggs in one basket. If one territory starts to slow down, then the option to pivot elsewhere can be vital when looking to build revenue and new opportunities.”
The right timing
Knowing when to expand is just as important as the decision to look overseas. “Companies that have already expanded overseas have also learned valuable lessons from their international ventures,” explained Rubio, from CallTower. “One key takeaway is the importance of understanding local consumer behaviour. Success often hinges on recognising market needs, purchasing patterns and cultural expectations. Tailoring products and services to meet local preferences can create a strong foothold in these areas.
“Another important lesson is the need to adapt workforce practices. Certain policies and processes that work in the UK may not align with labour laws or cultural norms in foreign countries. Flexibility and openness to incorporating regional practices ensures smoother operations, creates a more engaged workforce and fosters a cohesive work environment.”
Rubio also emphasised the need to invest in local talent and management. He said, “Recruiting local leadership and hiring individuals with on-the-ground knowledge ensures insights into consumer behaviour and government regulations while building trust with the community. Skilled local teams bring invaluable expertise that helps overcome market entry hurdles.”
For resellers and MSPs looking to expand geographically, the right partners can offer assistance. Finn, from Evolve IP, discussed how his company helps set partners up for success by offering a global solution.
He said, “More customers have more international presence now, opening up more offices. Working with Evolve IP enables them to have a uniform service wherever they operate. Years ago, it wasn’t as seamless or easy, with different providers in each country. Partners can now benefit from the same suite of services wherever they are in the world. It’s much less fragmented and more cost-effective now.”
CallTower’s Rubio added, “Taking a measured approach is vital to long-term success. Expanding too quickly or spreading resources thin can lead to costly missteps. Gradual expansion with a focus on sustainable growth allows companies to fine-tune their strategies and mitigate risks. By prioritising these strategies, UK companies can strengthen their global growth plans and position themselves for sustained success in international markets.”
Execution over expansion
There are, of course, companies that do not want to expand overseas, with plenty of practical reasons why they might decide to focus on UK operations. “Expanding overseas is not right for everyone,” explained Finn, from Evolve IP. “There’s an element of risk management, regulatory requirements and even currency fluctuations. Market familiarity can be a problem too, alongside needing a local presence in different time zones.”
Goodwin, from NetSapiens, explained that some companies might choose to focus on their domestic operations “because growth isn’t always about geography”.
He added, “Execution beats expansion every time. Some of the strongest UK-based brands have dominated without looking overseas. Why? Because the UK market is big enough when you do it right. If you’re not yet a category king at home, global expansion is just a distraction.”
The value of market stability cannot be overstated. “While international expansion can be advantageous, some companies prioritise their UK operations instead,” explained Rubio, from CallTower. “The primary reason is market familiarity and stability. Operating within the UK allows businesses to leverage their knowledge of customer behaviour, preferences, regulations and trends. This reduces risks and creates a predictable growth environment, which is harder to establish when venturing into foreign markets.”
Rubio also discussed the importance of being able to focus on strengthening UK market position. He explained, “By concentrating domestically, companies can boost market share, enhance customer offerings and invest in infrastructure to maintain competitiveness.
“This strategy often leads to higher customer satisfaction, stronger brand loyalty and better returns, which are more challenging to achieve in new markets.
“Additionally, the high cost and complexity of international expansion deter businesses. Entering foreign markets requires significant investments, navigating legal and regulatory challenges and managing logistics. For small to medium-sized telecoms companies, these barriers often outweigh potential rewards, making it more strategic to focus resources on the UK.”
There is also uncertainty around tariffs in many parts of the world at the moment, adding a new dynamic to the mix.
Rubio commented, “The UK’s departure from the European Union has introduced uncertainty through changing trade agreements, tariffs and reduced labour mobility. This unpredictability makes international operations riskier. By focusing on the UK, telecoms companies can ensure stable growth in a familiar environment while waiting for more favourable global economic conditions for expansion.”
All in all, this is not a simple decision, and every company will need to carefully assess their priorities before deciding their next move.
Rubio concluded, “Expanding internationally can offer immense rewards, but it’s far from a simple decision. Various trends and key indicators need to be accounted for to determine the right time to expand, and companies must undertake thorough research and planning to ensure a return on investment.
“Whether businesses choose to go global now or focus on optimising UK operations, staying attuned to market conditions will help position them for ongoing success.”
This feature was included in our April 2025 print issue. You can read the magazine in full here.