1. Constraints on Global Communications Strategies
2. Setting the Global Advertising Budget
3. Message Strategy
5. Global Media Decisions
6. Choosing an Advertising Agency
7. Other Forms of Communication
2. Overview
1. Constraints on Global Communications Strategies
2. Setting the Global Advertising Budget
3. Message Strategy
5. Global Media Decisions
6. Choosing an Advertising Agency
7. Other Forms of Communication
3. 1. Constraints on Global Communication Strategies
ā¢ Language Barriers
ā¢ Cultural Barriers
ā¢ Local Attitudes toward Advertising
ā¢ Media Infrastructure
ā¢ Advertising Regulations
ļ¼ Advertising of āVice Productsā and Pharmaceuticals
ļ¼ Comparative Advertising
ļ¼ Content of Advertising Messages
ļ¼ Advertising toward Children
4. Actions to cope with advertising regulations
1. Keep track of regulations and pending legislation
2. Lobbying activities
3. Challenge regulations in court
4. Adapt marketing mix strategy
5. 2. Setting the Global Advertising Budget
ā¢ Percentage of Sales
ā¢ Competitive Parity
ā¢ Objective-and-Task
6. 3. Message Strategy
The āStandardizationā versus āAdaptationā Debate
Merits of Standardization
Scale Economies
Consistent Image
Global Customer Segments
Creative Talent
Barriers to Standardization
Cultural Differences
Advertising Regulations
Market Maturity
āNot-Invented-Hereā Syndrome
7. 4. Global Media Decisions
Media Infrastructure
Media Limitations
Recent Developments in the International Media Landscape
ā¢ Growing commercialization and deregulation of mass media
ā¢ Shift from radio and print to TV advertising
ā¢ Rise of global and regional media
ā¢ Growing importance of multimedia advertising tools
Improved monitoring
Improved TV-viewership measurement
8. 5. Choosing an Advertising Agency
Options
1. Work with the agency that handles the advertising in the firmās home market
2. Pick a purely local agency in the foreign market
3. Choose a local office of a large international agency
4. Select an international network of ad agencies that spans the globe
Criteria
ā¢ Market coverage
ā¢ Quality of coverage
ā¢ Expertise in developing a central international campaign
ā¢ Scope and quality of support services
ā¢ Desirable image (āglobalā versus ālocalā)
ā¢ Size of agency
ā¢ Conflicting accounts
9. 6. Coordinating International Advertising
ā¢ Monetary Incentives (Cooperative Advertising)
ā¢ Advertising Manuals
ā¢ Feedback via the Internet
ā¢ Lead-Country Concept
ā¢ Global or Pan-Regional Meetings
Guidelines
1. Top management must be dedicated to going global.
2. A third party (e.g., the ad agency) can help sell key managers the benefits of
going global.
3. A global brief based on cross-border consume research can help persuade
managers to think in terms of global customers.
4. Find product champions and give them charter for the success of the global
marketing program.
5. Convince local staff that they have an opportunity in developing a global
campaign.
6. Get local managers on the global marketing team: have them do the job
themselves.
10. 7. Other Forms of Communication
Sales Promotions
ā¢ Economic development
ā¢ Market maturity
ā¢ Cultural perceptions
ā¢ Trade structure
ā¢ Government regulations
Event Sponsorships
Trade Shows
12. McDonald's runs ads invoking 9/11 and Boston bombings
Seeking to insert some gravitas to its ads,
McDonald's (MCD, -0.47%) in January launched
a campaign that featured messages on
McDonald's billboards across the U.S. over the
decades. The messages varied from birth
announcements to "We Remember 9/11" to
"Boston Strong," all with the burger chain's
trademark golden arches above them. Many
objected to the campaign, accusing McDonald's
of trying to capitalize on tragedy. The company
said it was trying to have "deeper" conversations
with customers.
13. Pampers Confuses Japanese Parents
When Proctor & Gamble started selling Pampers diapers in Japan, they were confused
why sales were so dire. After some careful research, they realized that the problem was
the packaging, which featured an image of a stork delivering a baby. The reference was
completely lost on Japanese parents, since the story isnāt part of Japanese folklore ā
instead their story goes that giant floating peaches deliver babies.
American Motors Launches āThe Killerā
When American Motors launched a car named āMatadorā, they were confident of sales
success, with research suggesting that the word meant virility and excitement to
consumers. However, when they introduced the model to Puerto Rico they ran into
trouble. It turned out that matador was the Spanish word for ākillerā ā hardly a good
advertisement.
Pepsi āBrings Your Ancestors Back from the Graveā
When Pepsi entered the Chinese market it launched with the slogan āPepsi Brings You
Back to Lifeā. Unfortunately, the company failed to realize that the phrase had been
translated as āPepsi Brings Your Ancestors Back from the Graveā. Not an ideal blunder in
a country where reverence for ancestors is an important part of the culture.
14. Pepsodent āYouāll Wonder Where the Yellow Wentā
When Pepsodent tried to sell toothpaste in South East Asia by promising white teeth,
the brand overlooked a key cultural factor. In this part of the world, people chew betel
nuts to try and blacken their teeth ā a habit which is viewed as a status symbol.
Consequently, the brandās promise wasnāt what their audience wanted to hear.