Founded in 1996 as AdventNet by Sridhar Vembu and Tony Thomas, Zoho is an Indian software-as-a-services company with operations in more than 150 countries.
Before a formal launch in Australia, Zoho spent a decade serving Australian customers, gaining crucial market understanding. Its official market launch, which occurred during the COVID pandemic, was built on foundational investments like local data centres established in 2019.
The Australian market has a strong appreciation for data sovereignty. Zoho’s ownership of its entire tech stack and emphasis on customer data privacy and security appealed to Australian customers. Zoho’s alignment with buyer priorities in Australia helped the company build a significant local presence.
Localisation leads to success
Zoho adopted a nuanced market-entry strategy for Australia. The company started building a customer base and understanding customer preferences by growing a network of channel partners. Customers trust local partners who understand regional nuances and can provide accessible support.
Zoho later complemented this partner-led model by establishing a direct presence, beginning with local data centres to address the critical issue of data sovereignty, which is a key purchasing driver for Australian businesses.
Zoho leaned heavily on its Australian employees to shape how the company communicated, branded itself, and conducted business, ensuring an authentic alignment with local customs.
On the product front, the company focused on creating bespoke solutions for Australian organisations. For instance, it worked with a local partner to create a custom solution for the Australian construction market. Another example was a solution to help Australian preschools and councils manage enrolments efficiently.
In Australia, personal referrals and community credibility matter. Zoho partnered with tech associations and industry bodies, became a member of business chambers, and participated in community events. Engaging with the Australian tech ecosystem amplified Zoho’s visibility, created referral networks, and built credibility in a competitive market.
South Australia’s Minister for State Development Chris Picton with Zoho’s General Manager for Australia and New Zealand Rakesh Prabhakar at the opening of Zoho’s Adelaide head office.
Steady growth spurs reinvestment
Zoho’s strategic and culturally attuned approach helped the business to thrive in Australia. Because the company entered with an existing base of partners and customers, it achieved a return on investment quickly.
Zoho says its customer retention rate in Australia is ‘one of the highest across the world,’ reflecting its strong product-market fit and customer satisfaction. Zoho’s steady growth and expanding footprint have allowed the company to continue investing in Australia, helping ensure local support remains easily accessible.
Zoho has also contributed to the local job market. Between Zoho Corporation and its division Manage Engine, the company has generated close to 60 jobs in Australia across sales, pre-sales, support, and marketing.
The Australian expansion has influenced Zoho’s global strategy. The company realised the importance of getting localised messaging right and defining clear product learning journeys. This insight is now applied in other international markets, where Zoho engages channel partners to better understand local business pain points and tailor messaging accordingly.
Zoho plans to deepen its investment in the region and expand its brand footprint by strengthening its collaboration with local partners and resellers.
Long-time partnership with Austrade
Zoho has worked with Austrade for several years, paving the way for the company to enter and expand into Australia. Austrade has provided market insights, regulatory guidance, and introductions to senior government officials, policymakers, industry bodies and universities. Austrade has also facilitated business-matching meetings and invited Zoho to key events to help build the company’s profile.
How Austrade can help
The Australian Trade and Investment Commission (Austrade) supports foreign investors to establish and expand operations in Australia. Our experts in Australia and around the world can help you through every stage of your investment journey.
We offer the latest industry insights, connections with key stakeholders and decision-makers, and virtual or physical site visits to Australia. Thousands of foreign businesses have worked with us to tap into the Australian market.
For information on investment opportunities in Australia, contact an Austrade investment specialist.
This story was adapted from a case study originally produced by Newland Global Group.
Subscribe to the Investment Update newsletter
Find out about new investment opportunities, insights and investor success stories across Australia.