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Translation services: China’s latest money spinner

China's Translation Services Boom

There was once a time in China when translation errors were a common sight in the country. Rather than being helpful, translated sign boards and advertisements were a source of amusement for visitors and speakers of different languages. However this trend too is fading away as China continues to develop rapidly. This change is due to a boom in language service start-ups looking to fill the rise in demand of translation and localization services. This has resulted in higher quality translation work and China is better off as a result.

China’s rapid growth and development in the last few decades has led to quick development of all industries and now it’s the language industries turn. According to Translators Association of China (TAC) in 2010, there are more than 15,000 companies who offer translation and/or localization services that generate a total of 1.9 billion dollars’ (12 billion Yuan) worth of revenue. This conservative estimate accounts for 7 percent of the global language service market and this number is only expected to increase in the coming years.

The surge in the market was expected as a result of globalization and China’s growing role in the global economy. The upward trend is also being encouraged by education institutes. More and more universities in China now offer translation and interpreting courses. This has resulted in the creation of skilled translators and interpreters who hail from China. Just recently at the International Federation of Translators (FIT) world congress, Chinese translators had the third largest presence behind Americans and Norwegians.

Businesses understand the importance of translation and localization in this interconnected world. The high number of companies offering translation and localization services differ greatly in the quality of their output. Increased competition has resulted in varied prices and service being offered. The TAC understands the challenges and future prospects of this flourishing industry and it aims to help keep it in a good position.

As with any new industry, regulatory and accreditation authorities are sparse. China only has one national accreditation test for translators and interpreters. A More robust and efficient system needs to be created in order to produce better translators and interpreters. TAC’s long term aim is to develop an industry that can compete on a global level and they are making an all-out effort to achieve this as soon as they can.

The consumer boom in Indonesia

Indonesia - Economic Growth

Following in the recently trodden footsteps of the BRICs countries, Indonesia is emerging as a serious contender in the new world economic order. Its commodities-based economy has fuelled a consumer boom creating a 50m strong middle class from a total population of 238m. For a country whose middle class numbered only 1.6m in 2004, growth levels even compared to the likes of Brazil and China is startling. With continued progress, Indonesia could very well become a part of the informal BRIC group consisting of the fastest growing economies in the world. According to official forecasts, Indonesia’s middle class will reach an estimated 150m by 2014 creating a consumer market that cannot be ignored.

With the added disposable income in their pockets, Indonesia’s burgeoning middle class is on a spending spree. Just last year about 8m two-wheel scooters were sold in Indonesia. This has led to the entry of brands selling high-end products trying to cash in on the boom in the South-East Asian country. On the technology side, Indonesians are quickly adapting smartphones and use of social media through these devices is proving extremely popular. The country is home to the second largest number of Facebook users and the third largest number of Twitter users.

There is, however, still a number of challenges for companies looking to enter Indonesia.  Marred by poor infrastructure and corruption, Indonesia remains a hard country in which to do business. Then there is the language problem. The use of English has been curbed in the past and the majority of Indonesians do not speak English. Bahasa Indonesia is the national language of the country, and the Indonesian government prefers foreign companies to use it as the lingua franca.

Social media companies have, notably, been quick to localize their websites for the large Indonesian market. Facebook offers their entire website in Bahasa Indonesia for its millions of users in the country. An English language based utility would not have had the same impact and reach the amount of usage that it has without a translated version.

As Indonesia now looks to move beyond its reliance on commodities, it need look no further than its own technology savvy population before its boom turns into bust. The country, once ignored by large corporates, is now becoming the place to do business even though challenges remain. Though any move into Indonesia has to be backed up by investment in language and localization services to make the right impact on the majority of Indonesians.

 

The evolving language services industry

It’s nearly the end of the year, so let’s take a flying look at how the language services industry has evolved in the last 12 months. Here are some of the key trends for 2010.

The centralisation of the buying process has been a strong theme, with larger businesses, particularly those in the technology or life sciences industries, opting to streamline their buying processes by favouring a centralised approach to translation and localisation.

It is encouraging to read that buyers are focusing more on the quality of language services. According to a survey carried out by the Common Sense Advisory 44.6% of buyers now make it a priority to formally measure quality, and the overwhelming majority (94.6%) claim to measure it at least on an informal basis.

Sales of commercial translation technologies for automation continued to grow throughout 2010, and there was also an increasing trend towards the creation of home grown software, as language service providers realised the need for an increasingly customised approach and adapted and consolidated their own systems for ease of use.

In a competitive and expanding market many companies have chosen to narrow their focus and offer a niche service, such as transcreation. They discovered that it’s no longer always enough to rely on quality or price to differentiate themselves from rivals, instead it’s becoming more important to have a unique sales edge and market themselves as experts in one particular sector.

Since the launch of Facebook’s translation platform (Facebook Connect) in 2008, crowd-sourced translations have become ever more popular. For example, Google’s pilot “Health Speaks” initiative launched in September uses crowd-sourced and collaborative translation to make health information more accessible to people across the world.

Crowd sourced translations really come into their own in the social networking context (Hootsuite, Facebook, WordPress, Twitter, Flickr) where users are passionate about the site and have a personal interest in contributing and improving the service. Despite the hype, crowd sourcing has not proved to be a corporate trend- probably mainly because business organisations have a specific style or brand they need to protect, but also perhaps due to the fact that visitors are less involved with their sites and lack the motivation to translate them.

The Common Sense Advisory’s review of 1, 000 websites “Gaining Global Web Presence” showed that despite the slowing of economic growth generally, the investment in translation and localisation services continued to grow – and in fact the average number of languages available on websites actually increased. Around a fifth of the world’s highest ranking websites are now available in at least 8 languages, and the globalisation trend shows no sign of slowing down as support for emerging languages becomes ever more necessary.

Demand for interpreting services in Europe has increased over the last year and continues to do so.  The figures are impressive, with Northern Europe reporting average growth rates of 153.51% (http://www.globalwatchtower.com/2010/12/15/predictions-postmortem/), for example. Previous Common Sense Advisory reports had shown that compared to the US, spoken language services in 2009 took up only a small amount of the European market- and this may have begun to change throughout 2010 in response to the European Union’s Treaty of Lisbon and other initiatives which championed the rights of individuals to have access to interpreting services during court proceedings.

It’s certainly been another eventful year for the language services industry. I wonder what 2011 will hold!

Source:

http://www.globalwatchtower.com/2010/12/15/predictions-postmortem/

May 2012
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