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Global Marketing Communications. Top 10 Companies by Ad Spending Outside the U.S. Slide 20-1 Figure 20-1. Irwin/McGraw-Hill. The McGraw-Hill Companies, Inc., 1998. SmartBeep. Hyundai - Sweden. Global Attitudes Towards Advertising. Advantages of Global Marketing and Advertising.

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slide1

Global Marketing

Communications

top 10 companies by ad spending outside the u s
Top 10 Companies by Ad Spending Outside the U.S.

Slide 20-1

Figure 20-1

Irwin/McGraw-Hill

  • The McGraw-Hill Companies, Inc., 1998
advantages of global marketing and advertising
Advantages of Global Marketing and Advertising
  • Economies of scale in production and distribution
  • Lower marketing and advertising costs
  • Ability to exploit good ideas on a worldwide basis
  • Consistent brand and/or company image in all markets
  • Simplification of coordination and control of marketing and promotional programs
problems with global advertising
Problems with Global Advertising
  • Differences in market and economic development, consumer needs, media availability and legal restrictions
  • Cultural differences make advertising standardization difficult
  • Usage patterns and perceptions of a product may vary from one country to another

Irwin/McGraw-Hill

  • The McGraw-Hill Companies, Inc., 1998

Slide 20-3

when is globalization appropriate
When is Globalization Appropriate?
  • Brands that can be adapted for a visual appeal

Irwin/McGraw-Hill

  • The McGraw-Hill Companies, Inc., 1998

Slide 20-4

when is globalization appropriate11
When is Globalization Appropriate?
  • Brands that can be adapted for a visual appeal
  • Brands that are promoted with image campaigns that play to universal appeals

Irwin/McGraw-Hill

  • The McGraw-Hill Companies, Inc., 1998

Slide 20-4

when is globalization appropriate15
When is Globalization Appropriate?
  • Brands that can be adapted for a visual appeal
  • Brands that are promoted with image campaigns that play to universal appeals
  • High-tech products and new products coming to the world for the first time

Irwin/McGraw-Hill

  • The McGraw-Hill Companies, Inc., 1998

Slide 20-4

when is globalization appropriate18
When is Globalization Appropriate?
  • Brands that can be adapted for a visual appeal
  • Brands that are promoted with image campaigns that play to universal appeals
  • High-tech products and new products coming to the world for the first time
  • Products with nationalistic flavor

Irwin/McGraw-Hill

  • The McGraw-Hill Companies, Inc., 1998

Slide 20-4

when is globalization appropriate22
When is Globalization Appropriate?
  • Brands that can be adapted for a visual appeal
  • Brands that are promoted with image campaigns that play to universal appeals
  • High-tech products and new products coming to the world for the first time
  • Products with nationalistic flavor
  • Products that appeal to a market segment with universally similar tastes, interests, needs and values

Irwin/McGraw-Hill

  • The McGraw-Hill Companies, Inc., 1998

Slide 20-4

standardized advertising it s all about degree
Standardized Advertising: It’s all about DEGREE

The Chameleon

  • An advertising strategy with different meanings in different cultures, but with positive associations for the target audience in all of them.
  • When this happens, it can be a truly global campaign.
marlboro man31

US (circa 1988):

no logo needed

Latin America

Marlboro Man
coca cola light diet coke
Coca Cola Light/Diet Coke
  • Coca Cola Light campaign "Just for the Taste of It" was used in many different countries, the execution of that strategy was tailored to cultural differences.
coca cola light diet coke33
Coca Cola Light/Diet Coke

France: cooling off

France: hugging

coca cola light diet coke34
Coca Cola Light/Diet Coke

France: cooling off

Korea: behind the back

coca cola light diet coke35
Coca Cola Light/Diet Coke

Thailand: red & white

slide36
Standardizing advertising strategy across countries while the execution is modified to fit in with local cultural mores.

Drakkar Noir

USA – “Feel the Power”

drakkar noir

French Version

Spanish Version

Saudi Arabia

Drakkar Noir
communicating with world consumers
Communicating withWorld Consumers

Challenges

Legal and Tax Considerations

Language Limitations

Cultural Diversity

Media Limitations

Production and Cost Limitations

creative challenges of global advertising
Creative Challenges of Global Advertising

Legal and Tax Considerations

  • Legal
    • Comparative Advertising
      • No - Germany
      • Indirect - U.K., Spain, Ireland, Portugal
      • Heavily regulated in Asia
    • Amount of advertising
      • Kuwait - 32 minutes per day
  • Taxation on advertising
    • Britain, France and Australia
    • Austria - Huge taxes on print and t.v.
  • - Cinema advertising 11% of ad revenue
  • per year
language limitations
Language Limitations
  • lPhonetic Problems with Brand Names
    • Bardok in Russia
    • Big John In French -speaking Canada - Gros Jos
  • lTranslations
  • Intent Translation- Stepping Stone - Stumbling Block- Car Wash - Car Enema- Highly Rated - Over Rated
  • Symbols- Owl - Bad Luck in India
  • - Airline Log in Australia - EMU
cultural diversity
Cultural Diversity
  • Function of Advertising:
    • Interpret or translate the need/want satisfying qualities of product and services in terms of consumer needs, wants, desires, and aspirations.
    • Emotional appeals, symbols, persuasive approaches etc.must coincide with cultural norms to be effective.
cultural diversity45
Cultural Diversity
  • General Mills Cake Mixes
    • US and UK
      • Homemaker’s guilt
    • Japan
      • Don’t eat cakes
      • Concerned about failing
      • Easy as rice
  • Subcultures
localization
Localization

Sweden

France

slide47

Japan

United Kingdom

advertising as a mirror individualism vs collectivism
Advertising as a MirrorIndividualism vs. Collectivism

Germany: man diving

South Africa: cigarette party

slide50

Latin America: footprint in the sand

Taiwan: Samsonite suitcase ad

slide52

Brazil: soccer players

United Kingdom: shark

Pakistan: "Rhythm Wythm"

Gender Roles

media limitations
Media Limitations
  • Availability
    • Political position
    • Literacy rates - selective
  • Cost
    • Media costs subject to negotiation
    • Agent discounts split with client
  • Coverage
    • National vs. regional
    • Fragmented
slide54

Media Selection

 Newspapers

 Magazines

 Radio & Television

 Satellite and Cable Television

 Direct Mail

 Other Media

slide55

Household Penetration of Cable, Satellite, and Internet Top 10 Media Markets 1997

SOURCE: Abstracted from: “Top Global Advertising Market” Ad Age International May 1997. p. 17.

slide56

Media Planning & Analysis

 Tactical Considerations

 Availability

 Cost

 Coverage

 Lack of Market Data

other forms of communication
Other Forms of Communication
  • Sales Promotions
  • Event Sponsorships
  • Trade Shows
  • Direct Marketing
  • Public Relations