Just recently I’ve been doing some work on sites which needed translation. It’s not an uncommon thing, but it’s the first time I’ve really been involved in this kind of job, and I’ve learned a lot.
Firstly, I’ve discovered that some SEO people out there are very, very out of date in their thinking. Your SEO bod may tell you that, if you want a translation of your site, you’ll need to host your site in the country you’re targeting, so you need two versions of your site. This is wrong.
In 2009, Google said that this mattered. Let me emphasise that for you: in 2009 they said it mattered. And even then, they didn’t really say it mattered that much:
Let’s listen to what he says: as well as the IP address, TLD (.com, .de etc) is a factor. So you can host here with a .de and still be fine. You could do a WP Multisite setup with different languages and different domains, and be fine (by 2009 standards, remember!). Then he says the most important thing: you can overrule the IP-based location in Webmaster Tools. For specific parts of your site: subdomains or subdirectories.
And then, in 2013, Google themselves said this:
For search, specifically for geotargeting, the server’s location plays a very small role, in many cases it’s irrelevant. If you use a ccTLD or a gTLD together with Webmaster Tools, then we’ll mainly use the geotargeting from there, regardless of where your server is located.
And linked to this: https://support.google.com/webmasters/answer/182192?hl=en
Speed is basically the biggest thing you should be thinking about in terms of hosting location and, to be honest, most WordPress sites (and SME business sites) would benefit much more from speeding up in other ways: caching, removing needless plugins, using custom rather than premium themes, compressing images, that kind of thing. If you think moving hosting is a quick fix for your site speed, you’re wrong.
So, on to translation. I’ve been using WPML (http://wpml.org/) and, while the learning curve is a little steep at the start, it’s excellent. There are some things to really consider, though:
Overall, I’ve been really impressed with WPML and doing translation. I’m interested to see what happens with Babble now they’ve been bought by Automattic, but it’s possible this buyout is more to do with talent than with incorporating Babble in to core or anything.