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“GLOCALIZATION SCORE”MEASURING GLOBALBRANDS’ ADAPTATION TOLOCAL CULTURESA CROSS-CULTURAL STUDYOF BRAND PERCEPTION VS. LOCA...
3 main questions we will answer• What is GLOCALIZATION?• How we measureGLOCALIZATION?• Why GLOCALIZATION isimportant for a...
We live in a global village….We are closer to eachother than ever before
HE WANTS A CANADIAN WEDDING
I WANT A RUSSIAN WEDDING
MARSHALLMCLUHAN NEVERPROCLAIMEDUNIFICATION AS AGLOBALIZATIONTRAIT.HE ARGUED THATTHE GLOBALVILLAGE CREATESMORE DIVISIONAND ...
1983 “ECONOMYOF SIMPLICITY”
1999 “GLOBALBRANDS –POSITIONING,ADVERTISING,PERSONALITY,LOOK, ANDFEEL…ARE THESAME FROMONE COUNTRYTO ANOTHER.”
A BRAND IS A NETWORK OFEMOTIONAL CONNECTIONS ANDVALUES IN CONSUMERS’ MINDS2003
Richard Tiplady, 2003:“GLOCALIZATION is the way in whichideas and structures that circulateglobally are adapted and change...
DO YOU KNOWWHAT YOUR CONSUMERSVALUE?…IN EACH COUNTRY?
N=3000respondents14GLOCALIZATION SCORE™22values6cultures10brands
Canada RussiaBrazil AustraliaChinaU.S.A.
22 valuesNature Family InnovationInner peaceUniquenessFriendsHealth Helping othersSuccessSafety
DO COUNTRIES HAVEDIFFERENT LOCAL VALUES?
FEELING SAFE & PROTECTEDis among the top five values acrossall six countries
BEING PHYSICALLY BEAUTIFUL andATTRACTIVE TO THE OPPOSITE SEX…is valued the most bywhich of these 6 countries?Canada Russia...
BEING PHYSICALLY BEAUTIFUL ANDADDTRACTIVE TO OPPISTE SEXis valued by75% of Russians66% of Brazilians81% ofChinese
81756645 4232China Russia Brazil USA Canada Australiabut not so much byCanadians, Americans and AustraliansValue being phy...
HOW DO LOCAL VALUES AFFECTBRANDS?
BRAND is GLOCALIZEDTO SUPPORT YOURBRAND STRENGTHGLOCALIZATION SCORE™ model24LOCAL BRANDPERCEPTIONLOCALCULTURALVALUESGLOCAL...
16.6-8.5-3.858.8GLOCALIZATION SCORES FORSOME BRANDS IN CANADA
SafeResponsibleHard-workingHealthy,activeCaringFamilyorientedInnovativeRelaxedRespectfultotraditionIndependentChallengedFa...
SO WHAT?STAY TRUE TO YOUR COREVALUES:• Challenged, competing, winning• Fast• InnovativePROTECT:• Healthy• ActiveDEVELOP:• ...
DOES GLOCALIZATION REALLYMATTER?
30PepsiNokiaNikeNestleNescafeMcDonaldsColgateColaAppleAdidas253545556575-10 0 10 20 30 40 50 60GlobalBrandStrengthGlobal G...
0.75
Is a correlation of 0.75 high?Let’s compare to well-known Ipsos indices…Source: Ipsos ASI website
GLOCALIZATION ISRESPONSIBLE FOR 55% OFGLOBAL BRAND’S SUCCESSVARIATIONWHAT DOES 0.75 MEAN?0.75 = 55%2correlationcoefficient...
 Globalization does not mean unification: people ofdifferent cultures have different values.KEY FINDINGS: Closeness of g...
 Glocalization Score is a ready to use model whichmeasures the closeness of brand values to culturalvalues. The Glocaliz...
Glocalization: A Measure of Global Brands’ Adaptation to Local Cultures by Olga Churkina of Fresh Intelligence - Presented...
Glocalization: A Measure of Global Brands’ Adaptation to Local Cultures by Olga Churkina of Fresh Intelligence - Presented...
Glocalization: A Measure of Global Brands’ Adaptation to Local Cultures by Olga Churkina of Fresh Intelligence - Presented...
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Glocalization: A Measure of Global Brands’ Adaptation to Local Cultures by Olga Churkina of Fresh Intelligence - Presented at the Insight Innovation eXchange North America 2013

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A brand’s ability to adapt and reflect consumers’ core values in different areas of the world directly effects its sales in those markets. Multicultural targeting is every global brand’s dream, but there are no metrics in place to truly know how brand strategy adaptations are resonating with different cultural communities’ values – until now.

The “Glocalization Index” is a simple actionable tool that will revolutionize the field of global brand tracking and communication research. Marketers of global brands will be able to use the “Glocalization Index” to track their communication strategy success and brand health in local markets.

The presentation will illustrate the importance of learning about local values and adjusting brand communication to those local values while keeping true to the global brand’s core essence.

Learn how values associated with being rich and owning prestigious things are viewed by China vs. Australia and how major brands like Colgate and Nike fall on our correlation index that determines how well a brand’s perceived value correlates to that of a country, and relates to that brand’s strength there.

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Glocalization: A Measure of Global Brands’ Adaptation to Local Cultures by Olga Churkina of Fresh Intelligence - Presented at the Insight Innovation eXchange North America 2013

  1. 1. “GLOCALIZATION SCORE”MEASURING GLOBALBRANDS’ ADAPTATION TOLOCAL CULTURESA CROSS-CULTURAL STUDYOF BRAND PERCEPTION VS. LOCAL VALUESOLGA CHURKINA | FRESH INTELLIGENCE RESEARCH CORP. | ESOMAR 2011
  2. 2. 3 main questions we will answer• What is GLOCALIZATION?• How we measureGLOCALIZATION?• Why GLOCALIZATION isimportant for a brand’ssuccess?
  3. 3. We live in a global village….We are closer to eachother than ever before
  4. 4. HE WANTS A CANADIAN WEDDING
  5. 5. I WANT A RUSSIAN WEDDING
  6. 6. MARSHALLMCLUHAN NEVERPROCLAIMEDUNIFICATION AS AGLOBALIZATIONTRAIT.HE ARGUED THATTHE GLOBALVILLAGE CREATESMORE DIVISIONAND DIVERSITY.1964
  7. 7. 1983 “ECONOMYOF SIMPLICITY”
  8. 8. 1999 “GLOBALBRANDS –POSITIONING,ADVERTISING,PERSONALITY,LOOK, ANDFEEL…ARE THESAME FROMONE COUNTRYTO ANOTHER.”
  9. 9. A BRAND IS A NETWORK OFEMOTIONAL CONNECTIONS ANDVALUES IN CONSUMERS’ MINDS2003
  10. 10. Richard Tiplady, 2003:“GLOCALIZATION is the way in whichideas and structures that circulateglobally are adapted and changed bylocal realities”Russia McDonalds opening Saudi Arabia McDonaldsopening
  11. 11. DO YOU KNOWWHAT YOUR CONSUMERSVALUE?…IN EACH COUNTRY?
  12. 12. N=3000respondents14GLOCALIZATION SCORE™22values6cultures10brands
  13. 13. Canada RussiaBrazil AustraliaChinaU.S.A.
  14. 14. 22 valuesNature Family InnovationInner peaceUniquenessFriendsHealth Helping othersSuccessSafety
  15. 15. DO COUNTRIES HAVEDIFFERENT LOCAL VALUES?
  16. 16. FEELING SAFE & PROTECTEDis among the top five values acrossall six countries
  17. 17. BEING PHYSICALLY BEAUTIFUL andATTRACTIVE TO THE OPPOSITE SEX…is valued the most bywhich of these 6 countries?Canada RussiaBrazil AustraliaChinaU.S.A.
  18. 18. BEING PHYSICALLY BEAUTIFUL ANDADDTRACTIVE TO OPPISTE SEXis valued by75% of Russians66% of Brazilians81% ofChinese
  19. 19. 81756645 4232China Russia Brazil USA Canada Australiabut not so much byCanadians, Americans and AustraliansValue being physically beautiful, %
  20. 20. HOW DO LOCAL VALUES AFFECTBRANDS?
  21. 21. BRAND is GLOCALIZEDTO SUPPORT YOURBRAND STRENGTHGLOCALIZATION SCORE™ model24LOCAL BRANDPERCEPTIONLOCALCULTURALVALUESGLOCALIZATIONSCOREBRAND USAGEBRANDLOYALTYBRANDSTRENGTH
  22. 22. 16.6-8.5-3.858.8GLOCALIZATION SCORES FORSOME BRANDS IN CANADA
  23. 23. SafeResponsibleHard-workingHealthy,activeCaringFamilyorientedInnovativeRelaxedRespectfultotraditionIndependentChallengedFastExperiencingsensualityPhysicallybeautifulRich,prestigiousCanadaColgateNikeWHY?Gi = 58.8Gi = -8.5
  24. 24. SO WHAT?STAY TRUE TO YOUR COREVALUES:• Challenged, competing, winning• Fast• InnovativePROTECT:• Healthy• ActiveDEVELOP:• Responsible• Reliable• Casual, down to earth - stay awayfrom being prestigiousin
  25. 25. DOES GLOCALIZATION REALLYMATTER?
  26. 26. 30PepsiNokiaNikeNestleNescafeMcDonaldsColgateColaAppleAdidas253545556575-10 0 10 20 30 40 50 60GlobalBrandStrengthGlobal Glocalization IndexVALIDATION ACROSS 6 COUNTRIES:STRONGER BRANDS HAVE HIGHERGLOCALIZATION SCORE
  27. 27. 0.75
  28. 28. Is a correlation of 0.75 high?Let’s compare to well-known Ipsos indices…Source: Ipsos ASI website
  29. 29. GLOCALIZATION ISRESPONSIBLE FOR 55% OFGLOBAL BRAND’S SUCCESSVARIATIONWHAT DOES 0.75 MEAN?0.75 = 55%2correlationcoefficientcoefficient ofdetermination
  30. 30.  Globalization does not mean unification: people ofdifferent cultures have different values.KEY FINDINGS: Closeness of globalbrands to localvalues, orGlocalization iscrucial for brand’s. No matter what yourbrands target is – theoverall nationalculture matters.
  31. 31.  Glocalization Score is a ready to use model whichmeasures the closeness of brand values to culturalvalues. The Glocalization Scorewas validated toin-marketperformance. We recommend everyglobal brand to trackGi to ensure strongperformance of globalbrands in local markets.KEY FINDINGS:

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