August 26, 20257 min readGuides

What is Software Localization?

According to a recent study, the global market for software localization generated $5.9 billion in revenue in 2022 and is predicted to grow until 2032, when it is predicted to reach $15.6 billion.

Since the COVID-19 pandemic, as businesses shifted operations online and broadened their global reach, this topic has become even more important.

Software localization can be an expensive process—especially for small and medium-sized businesses (SMEs) with tight budgets—and it takes time and resources to ensure high-quality results in localization projects.

What is it about, and what benefits can it offer your business?

Let’s go.

What is software localization?

Software localization helps to adapt software to the language and circumstances of the target market while retaining its originality.

That means it’s not only the text being adapted into the relevant language, but also the design and overall user experience (UX) being amended so it meets the needs of the target audience.

While internationalization (i18n) is about developing a product to meet the demands of multiple cultures/audiences, software localization is the deeper, market-by-market adaptation.

For example, localizing software from English into Chinese isn’t “just translating wording”: the length of text and symbols can be entirely different, meaning the visual layout often needs to be adjusted to keep the UX consistent.

Software localization also looks at:

Resources and links
Time and date formats
Currency/number formats
Use of images or gestures (cultural appropriateness)
Reading direction (LTR/RTL)

This makes the process complex and time-consuming, but it can be a worthwhile investment.

How does localization take place?

Software can be localized in two core areas: internationalization first, then localization.

Internationalization (design & development)

The internationalization phase covers design and development, which means you should:

Review your application framework to ensure it can support your requirements
Plan your content (including how much space translated text will require)
Incorporate localization needs into design, making localization more effective
Code your strings to allow expansion when required
Externalize any strings that have been prepared for localization

Localization (translation + adaptation + testing)

Once you’ve successfully completed the internationalization phase, you begin the localization phase:

Translate your content (ideally with a skilled translator)
Review everything (accuracy, language quality, terminology)
Copy translations into your software
Test in every locale you’re targeting

Once you’re confident the localized software works as designed and is free from bugs, it can be released.

Waterfall vs continuous localization

For localization of software there are different workflows.

The traditional approach breaks down activities into linear sequential phases—the so-called waterfall workflow.

Continuous software localization combines software development and localization into one process so that developers work in parallel with the localization team from the very beginning:

How does software localization differ from pure text translation?

Pure text translation simply translates words from one language to another.

Software localization takes a more comprehensive approach that includes cultural, regional, and functional adaptations to seamlessly integrate the product into the target market.

This means that localization involves not only translating the text, but also adapting elements such as date formats, currencies, images, colors, and sometimes even the user interface. Cultural nuances are also taken into account, such as text length and reading direction.

What are the risks of neglecting cultural adaptations during localization?

Neglecting cultural adaptations can damage a brand’s image through unintended insults or misunderstandings and can lead to a loss of credibility and customer trust.

Other dangers include legal problems due to non-compliance with local regulations (like data protection laws), reduced user acceptance (higher abandonment rates, negative reviews), and an unsuccessful market entry.

In extreme cases, massive reputation damage can occur if, for example, offensive gestures are published out of ignorance.

What advantages does localization offer e-commerce companies in particular?

For e-commerce companies, software localization facilitates access to new markets and increases conversion rates.

Customers can shop in their native language and with culturally adapted content, which strengthens trust and increases willingness to buy.

Software localization can also improve customer satisfaction through localized experiences (local payment methods, product descriptions), provide a competitive edge through better local SEO, and reduce returns.

Do I need professional translators, or is machine translation enough?

Whether you need a professional translator or whether machine translation tools (like Google Translate) are sufficient depends on the context.

However, professional translators are usually essential for high-quality software localization because they account for nuance, cultural context, and technical terminology.

Machine translation is useful for quick, rough translations and scalability, but for complex content it can introduce tone issues, idiom mistakes, or cultural sensitivities.

A common approach is using machine translation plus human post-editing.

Why localization of software is important

Technology has connected the world: users can discover and use software globally. But understanding local expectations, language nuance, and cultural differences is crucial.

Globalization gives software developers access to hundreds of millions of potential new customers—and to succeed, they need to offer a great user experience everywhere.

Benefits include:

Maximizing your sales: Success on an international scale becomes possible.
Improving user experience: Users can clearly understand the product and get the most out of it.
Staying ahead of competitors: Better experiences reduce churn and help attract more customers.
Enhancing feedback: More engaged users means more feedback and more ideas.

9 steps to successfully implement software localization

This guide walks through essential steps to implement software localization—whether you’re a startup or an enterprise.

Assessment and planning

Choose the languages and markets you want to target. Check if your software is localization-ready:

Is your code dependable and bug-free?
Has your main language UI been put into place?
Is your text in the main language complete?
Is your character encoding correct?

Translation

Choose professional translators or translation software. Maintain context and accuracy.

A professional translation management system can integrate translation services and improve delivery reliability while reducing manual errors.

Visual elements / graphic design

Customize visuals to align with local preferences and respect cultural norms.

Consider a style guide (branding, tone of voice, formality) to ensure consistency.

Compliance with legal and regulatory requirements

Ensure compliance with local laws (data privacy, accessibility, industry regulations).

Examples include GDPR and WCAG.

Testing

Test localized software for functionality and display; fix issues.

Quality assurance (QA)

Establish a QA process for localized versions and address found bugs.

Documentation and support

Translate documentation and support materials; offer localized support.

Release and distribution

Prepare localized versions for distribution; update marketing materials.

Maintenance and updates

Regularly update localized versions while maintaining quality.

Treat localization as an extension of software development. Instead of doing it only at the end, incorporate it throughout development.

Use a localization platform

Effective software localization is a large project. Using a localization management platform can simplify the process.

For example, React localization becomes much easier for developers when used with the i18next framework.

You can use Locize to make the localization process easier across your company. Locize is a platform for localizing your website, mobile app, video game, or any other digital product.

Who needs software localization?

If your software targets only one specific region, localization might not be required.

But if you want to expand to new markets (now or later), localization is worth considering—and preparation during development helps.

Software localization should be a major consideration for those working in e-commerce, legal, or governmental sectors.

You’ll definitely need it when:

Your business plan targets multiple regions (or is region-specific)
You’re developing your software right now (it’s easier to take care of localization at this stage)
You have a many-to-many business model and are planning to grow exponentially

These types of developers should take care of localization:

Web developers

Develop code for websites and web applications.

SaaS or cloud developers

Build cloud-based applications for end users.

Desktop application developers

Write software applications that run natively on operating systems.

Virtual reality application developers

Create and test applications for VR/metaverse.

Mobile app developers

Develop applications for smartphones and mobile devices.

Video game developers

Turn game concepts into playable reality.

Blockchain developers

Enable secure digital transactions by building blockchain systems.

Integration developers

Own the full life cycle of information systems.

Connect your project directly to Locize and automatically send new “non-translated” parts of your application to Locize.

You can use Locize CDN translations or translate within your web application directly.

All newly generated keys in the reference language can also be automatically translated into target languages using machine translation.

Now we want to turn it over to you: do you plan to invest in software localization?

If you have questions, reach out at support@locize.com.