Gillette Launches Mach3 Globally

Tourism Australia Uses Global Campaign

Heineken Translation Issues

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:

TAG Heuer’s Global Campaign

Decision Areas in International Advertising

Organization StyleOrganization Style

Creative Strategy & ExecutionCreative Strategy & Execution

Agency SelectionAgency Selection

Advertising ResearchAdvertising Research

Coordination of Other IMC ToolsCoordination of Other IMC Tools

Media Strategy and SelectionMedia Strategy and Selection

Decision AreasDecision Areas

The Brand

“The sum of all characteristics, tangible and intangible, that make the offer unique.”

Brand Name Coca-Cola

Brand Logo Bottle 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.

Coke the brand

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 anotherThe 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.”

RecognitionRecognition

PreferencePreference

InsistenceInsistence

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 $70.42. Microsoft $65.13. IBM $51.84. GE $42.35. Intel $31.16. Nokia $29.97. Disney $28.08. McDonald’s $24.79. Marlboro $22.210. Mercedes $21.4

Brand Building

1. Identify Brand Values and Positioning Strategy1. Identify Brand Values and Positioning Strategy

2. Plan and Implement the Marketing Program2. Plan and Implement the Marketing Program

3. Measure and Evaluate Brand Performance3. Measure and Evaluate Brand Performance

4. Build Brand Loyalty and Brand Equity4. Build Brand Loyalty and Brand Equity

The Marketing Mix

The Marketing Mix

• 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

Price

Price• Pricing Strategy• Importance of:– knowing the market– elasticity– keeping an eye

on rivals

Image copyright: www.freeimages.co.uk

Product

Product• 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

Promotion

Promotion• Strategies

to make the consumer aware of the existence of a product or service

• NOT just advertising

Place

Place

• 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

People

• 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?

Process

Process

• 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

Physical Environment

Physical Environment

• The ambience, mood or physical presentation of the environment– Smart/shabby?– Trendy/retro/modern/old fashioned?– Light/dark/bright/subdued?– Romantic/chic/loud?– Clean/dirty/unkempt/neat?– Music?– Smell?