Advertising Subject to Regulation Products that may be advertised Content or creative approach used Media advertisers are permitted to use The amount of advertising one may do Use of foreign languages in ads Use of materials from outside the country Use of local vs. international ad agencies Specific taxes levied on advertising
Global Marketer’s Dilemma Offer the same product, marketing, and advertising everywhere? Adapt the product, marketing, and advertising to each society?
Global Marketing & Advertising Advantages Lower costs with less in planning and control Economies of scale in production, distribution Lower advertising production costs Ability to exploit good ideas worldwide Ability to introduce products quickly, worldwide Consistent international brand, company image Simplification of coordination and control
When is globalization appropriate? Brands can be adopted for visual appeal, avoiding translation problems Brands promoted with image campaigns playing to universal needs, values, emotions High-tech products, new to the world, not steeped in the cultural heritage of the country of origin Products with a nationalistic flavor, if the country has a favorable reputation in the field Products appealing to a market segment with universally similar tastes, interests, needs, values Globalization Often Works Best For:
Decision Areas in International Advertising Organization Style Creative Strategy & Execution Agency Selection Advertising Research Coordination of Other IMC Tools Media Strategy and Selection Decision Areas
The Brand “The sum of all characteristics, tangible and intangible, that make the offer unique.” Brand NameCoca-Cola Brand LogoBottle Design and Red Cap Trademark™ Legally Protected Marks Brands and organizations spend considerable sums telling customers what they stand for.
Views on Brands “ A name, logo, or symbol that evokes in customers a perception of added value for which they will pay a premium price.” John Torella, J.C. Winters Group, Toronto “ A product with a personality.” Chris Staples, Rethink, Vancouver Marketing communications in any form has an impact on customers’ perceptions.
Benefits of Branding For customers a brand offers: 1.A desired level of quality. Consistently 2.Psychological rewards from ownership 3.A means of distinguishing one brand from another The brand image helps create loyalty.
Benefits of Branding For the company branding offers: 1.A means of communicating features and benefits 2.An opportunity to create and sustain an image 3.Customer satisfaction and repeat purchase opportunity
Brand Loyalty “The degree of consumer attachment to a brand.” Recognition Preference Insistence Awareness of name, benefit and package Is useful, consumer will buy if available…evoked set Will search for; must have
Brand Equity The value of a brand in its holistic sense to its owners as a corporate asset. Brands have value. Equity is derived from: Effective marketing strategies A brand’s status in the marketplace A brand’s position among customers
The Top 10 Global Brands 1.Coca-Cola$70.4 2.Microsoft$65.1 3.IBM$51.8 4.GE$42.3 5.Intel$31.1 6.Nokia$29.9 7.Disney$28.0 8.McDonald’s$24.7 9.Marlboro$22.2 10.Mercedes$21.4
Brand Building 1. Identify Brand Values and Positioning Strategy 2. Plan and Implement the Marketing Program 3. Measure and Evaluate Brand Performance 4. Build Brand Loyalty and Brand Equity
The tools available to a business to gain the reaction it is seeking from its target market in relation to its marketing objectives 7Ps – Price, Product, Promotion, Place, People, Process, Physical Environment Traditional 4Ps extended to encompass growth of service industry
Methods used to improve/differentiate the product and increase sales or target sales more effectively to gain a competitive advantage e.g. – Extension strategies – Specialised versions – New editions – Improvements – real or otherwise! – Changed packaging – Technology, etc. Image copyright: www.freeimages.co.uk
The means by which products and services get from producer to consumer and where they can be accessed by the consumer – The more places to buy the product and the easier it is made to buy it, the better for the business (and the consumer?)
People represent the business – The image they present can be important – First contact often human – what is the lasting image they provide to the customer? – Extent of training and knowledge of the product/service concerned – Mission statement – how relevant? – Do staff represent the desired culture of the business?
How do people consume services? What processes do they have to go through to acquire the services? Where do they find the availability of the service? – Contact – Reminders – Registration – Subscription – Form filling – Degree of technology