Professional Documents
Culture Documents
Issue 2
June 2017
HEC167
Preface
“Serving clients for whom communicating in the local idiom is
crucial and protecting their company’s reputation and brand image
is paramount.” 6
In 2015, TRSB updated its marketing plan – and specifically its brand image – to meet the
language industry’s new challenges in accordance with this vision.
TRSB was able to achieve this growth by developing solid expertise in Quebec’s business
community and building a client roster comprised solely of large and very large Canadian
companies active in the financial, banking, pharmaceutical, insurance, and technical fields. 7 All
of TRSB’s clients have several things in common: their brand image is paramount, they operate
in highly regulated industries, and their communications must be flawless.
1 Translation from the French of case #9 10 2017 002B “TRSB (B): Communication marketing 360 ° pour une entreprise de
traduction de classe mondiale.”
2
Real case study based on three sources: an interview conducted with Serge Bélair, founder, and Esther Légaré, director of operations;
internal administrative documents; and public sources.
3 Normand Turgeon is a professor in the Department of Marketing at HEC Montréal.
4 Alexis Lavoie is a consultant at Lavron Solutions.
5 Julien Bergeron St-Onge is a consultant at Lavron Solutions.
6
Excerpt from an interview with Serge Bélair and Esther Légaré, TRSB president and director of operations, respectively.
7 Samuel Larochelle, “Le Canada, un important marché”, La Presse, September 23, 2014 (page consulted on November 3, 2016).
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All rights reserved for all countries. Any translation or alteration in any form whatsoever is prohibited.
The International Journal of Case Studies in Management is published on-line (http://www.hec.ca/en/case_centre/ijcsm/), ISSN 1911-2599.
This case is intended to be used as the framework for an educational discussion and does not imply any judgement on the
administrative situation presented. Deposited under number 9 10 2017 002BT with the HEC Montréal Case Centre, 3000, chemin
de la Côte-Sainte-Catherine, Montréal (Québec) H3T 2A7 Canada.
This document is authorized for use only in Dr. Neha Sadhotra's Business to Business Marketing: at Narsee Monjee Institute of Management Studies (NMIMS) from Dec 2019 to Jun 2020.
TRSB (B): 360° Marketing and Communications for a World-Class Translation Company
TRSB is now a North American leader in the translation industry. For the second consecutive
year, the company was named Canada’s largest language service provider by independent market
research firm Common Sense Advisory. TRSB offers a comprehensive suite of services,
including customized translation and terminology management solutions. Following a complete
internal reorganization, TRSB adopted the best practices, tools, and technology systems to
successfully compete with increasingly fierce international competition. Workflows were
reviewed and project coordinator and associate director positions were created to streamline
request handling, mobilize staff, and optimize work processes. TRSB is now ready to join the big
leagues.
According to Statistics Canada, consulting firm PricewaterhouseCoopers, and the Les Affaires
newspaper, the translation industry was booming, growing at an annual rate of 7.41%. 2 TRSB’s
management team realized the vast potential for business development in its sector, but was also
aware of many existing and potential threats, some of which would have to be mitigated to
minimize their impact.
Computer-aided translation (CAT) is part of a new paradigm emerging in the translation industry.
Some CAT tools are more sophisticated than others, but all offer two basic features:
• retrieval of previously translated content (translation memory)
• access to terminology data banks
Major corporations generate masses of documents, their content often being used for a variety of
different purposes. The same promotional text, for example, might be used in client brochures,
sales rep sell sheets, and the corporate website. Even more commonly, excerpts of a text might be
reused for different purposes, or sections of several different documents might be combined to
create a whole new text.
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TRSB (B): 360° Marketing and Communications for a World-Class Translation Company
Sooner or later, most of these documents are translated. Since clients don’t wish to pay full price
for previously translated content, this is where CAT tools come in handy. CAT tools incorporate
what is called “translation memory” – a database of all content in both the original, or source,
language and the target language. When a CAT tool processes a document, it calculates the
number of previously translated words, extracts previously translated sentences or paragraphs
from its memory, and incorporates them into the translated text in the appropriate places. The use
of CAT tools offers clients several benefits, including terminological consistency, something that
is especially important in specialized fields. They also enable both translators and translation
agencies to realize efficiency and productivity gains.
Major international firms are entering the Canadian market by undercutting the prices of local
language-service providers. Large companies such as SDL, TransPerfect, RR Donnelley, and
Lionbridge have adopted this approach with some success. While these companies are not known
for the quality of their work, price is often a differentiating factor in the translation industry.
Developing a new rate structure is one of the challenges facing local translation businesses,
whose prices are higher than those charged by international competitors.
Many firms in other sectors are also adding document translation to their service offer. Law
firms, auditors, and communication agencies have realized that Canada is the El Dorado of
translation. In Canada, higher rates can be charged for translation, companies must communicate
with their clients and employees in French, and local firms approach these service providers
directly, knowing that French/English translations can help them reach a wider market.
Emerging countries are now also offering translation services at reduced prices. Chinese
companies, for example, are now undercutting competitors with a rate of just $0.05 a word, 1
much lower than that charged by major international firms. This aggressive approach to breaking
into the market is seen by some established translation companies as a potentially serious threat.
Some companies that opted for a business model including an in-house translation department
were faced with soaring operating costs. The necessary investments in infrastructure and
equipment along with high labour costs drove them to rethink this approach. The early 2000s thus
saw a shift to outsourcing as companies in Quebec and elsewhere began closing their translation
departments and turning to translation agencies. In this way, they avoided fixed expenditures and
initial investments and paid only for the translation work actually done. Some companies adopted
a variation of this strategy: for an unspecified period, rather than send all their outsourced work to
a single firm, they sent it to two or three suppliers on a trial basis to rate their performance. While
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TRSB (B): 360° Marketing and Communications for a World-Class Translation Company
the major international players remained in the running because of their aggressive pricing, they
were often sidelined by quality issues. Outsourcing enabled companies to focus on their core
business. Moreover, in-house translation departments were struggling to keep up with the latest
technology and best practices, something translation agencies must do to remain competitive.
Companies such as Google, Microsoft, and Skype are developing translation software. One of
their strategic objectives is to push the limits of the technologies they develop. The steady
emergence of complex new tools is indicative of the major boom and technological shift now
being felt in the translation industry. As reported by CNN Money, Google Translate now covers
over 100 languages. 1 These major players are carving out a niche in the industry, and their
innovations appear promising. Might this herald possible consolidation in the translation
industry? Or does it signal potential disruption caused by progress in the field of artificial
intelligence?
Canada’s unique situation as an officially bilingual country (French/English) means that players
in different fields must translate a wide range of documents. The demand for translation services
has increased, with economic data showing strong industry growth. 2 Over the past thirty years,
many Quebec-based translation agencies have in fact posted explosive growth. 3
We are nevertheless seeing a huge upheaval linked to the development of new technological tools
along with new types of service and pricing structures. Some serious questions must be answered.
Should human and technological capital be better paired? Should Quebec translation companies
seek to gain a decisive competitive advantage over these new players by developing and using the
most sophisticated translation tools? Will high-quality, customized translation become a luxury
that only major mature companies can afford and be willing to pay for?
The arrival of several large multinational players in the Canadian market is also making it
difficult for local companies to position themselves. Some industry pundits, including Réal
Paquette, president of Quebec’s association of translators, terminologists, and interpreters
(OTTIAQ), and Jill Krasny, a U.S. economic journalist, suggest that translation companies
should completely reinvent themselves as communication firms focused on developing their
clients’ brand through the optimal use of translation software. 4
1 Alanna Petroff, “Google Translate now covers 103 languages”, CNN Money, February 18, 2016 (page consulted on
November 3, 2016).
2 Larochelle, op. cit.
3 Larochelle, op. cit.
4 Jill Krasny, “Lost in Translation? There’s a whole industry to help”, Inc.Com, March 25, 2014 (page consulted on November 3,
2016).
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TRSB (B): 360° Marketing and Communications for a World-Class Translation Company
Adapt or Perish!
As noted by Darwin in his theory of evolution, a species can only hope to survive and then thrive
in the face of a threat by adapting. Darwin’s theory can be applied to many Quebec and Canadian
translation companies. In all cases, if they wish to grow, they must adapt. TRSB had begun
evolving in 1987 and had successfully transformed numerous challenges into new business
opportunities. 1
Faced with its changing market environment, TRSB focused on the following three factors: 1) the
quality and targeting of its services; 2) pricing in line with the quality of services offered; and, 3)
a corporate structure designed to consolidate and retain the best human resources. By the mid-
2000s, TRSB had become a translation platform for businesses and translators alike. The new
approach worked well since the company faced little competition and offered a superior service.
As Bélair notes, “It used to be much easier since companies needed translation services to enter
the Quebec market, very few of them had in-house translation departments, and there were no
translation tools.” 2
But times have changed, and Bélair believes that three factors contributed to the sudden changes
in the industry. 3
Factor #1: Automation through greater use of increasingly specialized tools enabling companies
to be more productive while standardizing communications. TRSB is fully aware of the benefits
of technological innovation and regularly invests in R & D pilot projects. The pairing of human
and machine intelligence nevertheless remains its business model.
Factor #2: Market globalization and its corollary: the migration of international translation
companies to Quebec. U.S. and European language-service providers know that Canada (with its
officially bilingual status) and Quebec are fertile grounds for translation companies. Many large
and/or multinational firms in Canada need translation services, and price often seems to be the
deciding factor. In the translation market, both decision-makers and influencers play key roles.
Decision-makers are primarily English-speakers responsible for making procurement decisions.
Focused on business strategies, they are more concerned with cost than with the quality of
services provided. Influencers are primarily French-speakers in charge of in-house translation
departments who are meticulous and deeply concerned with language quality. They can play an
important role in the decision-making process, especially if their company is expanding in
Quebec or operates in a highly regulated sector such as the financial or pharmaceutical industry.
Communications with such clients can adopt a two-pronged approach: one in English, focused on
efficiency, and the other in French, focused on quality.
Factor #3: The fact that many Canadian companies have an outdated image of the translation
industry and the role of the translator. Translation is often seen as the last compulsory step in the
communication process rather than as a strategic lever. The market is fragmented, with suppliers
1
Claude Turcotte, “Un monde à traduire”, Le Devoir, January 21, 2013 (page consulted on November 30, 2016).
2 Ibid.
3 TRST, Client brief, October 2014.
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TRSB (B): 360° Marketing and Communications for a World-Class Translation Company
differentiating themselves through factors such as pricing strategy, ability to meet tight deadlines,
and quality of service. It can take six to eighteen months for a translation agency to sign a new
client, with the longest process involving submitting a bid in response to a call for tenders. A
translation agency’s communication strategy must thus be supported by “top of mind” 1
positioning along with a message expressing both the quality and the excellent value of the
services provided.
In late 2014, TRSB decided to build an internal marketing communications team. Before then,
the company had never had a formal marketing strategy. The majority of TRSB’s clients had
come on board through word of mouth generated by the company’s spotless reputation. The
marketing team joined the business development team created in 2012. Its role was to help TRSB
successfully navigate a changing environment by supporting sales and business development
efforts.
The company identified key communication and differentiation areas that could form the basis of
its added value offer to clients. The company had clearly organized its business activities around
a translation process focused on quality, exclusive client relationships, and a process designed to
ensure that translations met and were adapted to all client specifications (see Exhibit 2). 3 TRSB
decided to differentiate itself from bulk translation services, offering existing and future clients
consulting services designed to enhance every aspect of their communications. TRSB also aimed
to support client initiatives in the areas of promoting their brand image.
1 The most-remembered brand, the first one to come to mind when thinking of a particular industry or category
2 Turcotte, op. cit.
3 Expertise posted on the company’s website at www.trsb.com
4 Turcotte, op. cit.
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TRSB (B): 360° Marketing and Communications for a World-Class Translation Company
In 2016, with a marketing budget of almost $100,000 (see Exhibit 3), TRSB participated in a
number of professional events to increase its visibility in target markets. It attended the APEX
Leadership Conference as the event’s official translation sponsor, for example. TRSB is also the
official translation services provider of the Investment Funds Institute of Canada, is an affiliated
member of CETFA, a Canada-wide exchange-traded funds (ETFs) organization, and attends
various trade shows. It adopted a new on-line advertising strategy and built a new website
optimized for mobile platforms (see Exhibit 4). TRSB also makes charitable donations to
organizations such as Cystic Fibrosis Quebec, Grand Défi Pierre-Lavoie, United Way/Centraide,
and the Fondation Paul-Gérin Lajoie.
TRSB continues to buy advertising space in a few financial magazines and occasionally in
translation industry publications. The company’s PR efforts have paid off, in particular with a
lengthy interview with Serge Bélair about the translation industry appearing in a major Quebec
newspaper. With its brand image now clearly defined, what does the future hold for TRSB?
The members of the communication and marketing team are wondering how to promote this new
brand image, making it better known and respected in the Quebec and Canadian business
communities. TRSB’s marketing personnel will be working to enhance the organization’s
presence across all media to increase the company’s visibility and stimulate interest in its
services, but they need some advice.
2017-03-09
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TRSB (B): 360° Marketing and Communications for a World-Class Translation Company
Exhibit 1
TRSB’s Organizational Chart
Business Development
Finance/Accounting team (5) Operations team (6) IT* and CAT** team (8)
and Marketing team (4)
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TRSB (B): 360° Marketing and Communications for a World-Class Translation Company
Exhibit 2
TRSB’s Business Model – 2014
• Senior managers
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TRSB (B): 360° Marketing and Communications for a World-Class Translation Company
Exhibit 3
2016 Marketing Budget
Activities Budget
Sponsorships $15,000
Networking $5,000
Total $97,500
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TRSB (B): 360° Marketing and Communications for a World-Class Translation Company
Exhibit 4
Statistics on TRSB’s Social Media Presence
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TRSB (B): 360° Marketing and Communications for a World-Class Translation Company
Source: http://www.alexa.com/siteinfo/http%3A%2F%2Fwww.trsb.com
(The average number of interactions includes all “likes,” comments, and shared links.)
Source: https://www.quintly.com/ (Quintly data, April 13, 2016)
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