International Advertising and Integrated Marketing Communications

Chapter Learning Objectives

• Global vs. Local Advertising
• Developing Global Campaign
• Global-Local Decision
• Global Media Strategy
• Standardize or Customerize or Modularize???

Global vs. Local Decision

• Cost savings
• Branding
• Target market
• Market conditions
  • Stages in product life cycle
  • COO perception
  • Stages in economic development cycle
• Regulatory Environment:
  • Example: China Advertisement Law
    • Restrictions on outdoor advertisements
    • Superlative adjectives are banned
    • No Ads for Offensive products during meal times
    • pharmaceutical advertisements
• Cultural differences:

Developing Global Campaign

• Standardize or Customerize or Modularize???
• Modularized Approach to global advertising:
  • Select some features as standard for all its advertisements while localizing other features
• Global Theme Approach
  • The use of an advertising campaign in which a single advertising theme is utilized in all markets but is varied slightly with each local execution

Top 20 Global Advertisers ($ millions)

• Insert Exhibit 16.1

Global Media Strategy

• Media availability
• Radio
• Television
• Billboards
• Cinemas
• Internet
• Direct mail
• Mobile device

Global Media Strategy

• Media habits
  • Media penetration
  • Literacy level
  • Cultural factor

Media Habit in China

Global Media Strategy

• Global Media

Integrated Marketing Communication

Pull vs. Push Strategies

• Pull Strategy is a promotional strategy directed at the final buyer or end user of a product or service characterized by a relatively greater dependence on promotion, including sales promotions and advertising
• Typical for consumer-goods firms
  • Access to advertising media
  • Channel  length
  • The leverage the company has with the distribution channel

Pull vs. Push Strategies

• Push Strategy focuses on the distributors of a product
• Incentives are offered to wholesalers or retailers to carry and promote a product

Personal Selling

• How extensively personal selling is used?
  • Complexity of a product
  • Costs
• Two types:
  • International selling: B to B
  • Local selling: B to C

International Selling Local Selling

• Role of local sales force
• Control
• Foreign sales practices

Public Relations

Types of Sales Promotions

Can Sales Promotion Go Global?

• Local focus
• Country restrictions on some forms of sales promotions

Summary

• An integrated marketing communications (IMC) program includes coordination among advertising, sales management, public relations, sales promotions, and direct marketing.
• Currently companies are basing their advertising strategies on national, subcultural, demographic, or other market segments.
• The major problem facing international advertisers is designing the best messages for each market served.
• The availability and quality of advertising media vary substantially around the world.
• Advances in communication technologies are causing dramatic changes in the structure of the international advertising and communications industries.