Transcript International IBP Pl..

Marketing 3344
Taking on a Huge International
Advertising and IBP Challenge
2
International Advertising
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Advertising that crosses national
and cultural boundaries
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Important issue: Cultures not
nations define the nature of
advertising messages
Overcoming Cultural Barriers
Barriers to successful international
advertising:
 Ethnocentrism
– Tendency to view and value things
through one’s own cultural
perspective
 Self-Reference Criterion (SRC)
– Unconscious reference to own
cultural values, experiences, and
knowledge to make decisions
Cross-Cultural Audience
Research
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Economic conditions (LDC, NIH,
HIC)
Demographic characteristics
Values
Custom and ritual
Product use and preferences
Challenges in Executing
Advertising Worldwide
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The Creative Challenge
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The Media Challenge
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The Regulatory Challenge
Creative Challenge
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Written and spoken language
 Translation difficulties
 Culture-bound “picturing”
 Assumptions and inferences
 Identifying cross-cultural icons
and symbols
Ad in Context Example
Why could this ad be
used on a world-wide
basis?
The Media Challenge
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Availability and Coverage
 Too few options
 Too many options
 Global television now possible though
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Costs and Pricing
 Complex due to many options
 No set pricing in some markets
 Global coverage is expensive
Regulatory Challenges
What are the . . .
 Products that can be advertised?
 Appeals that can be used?
 Times that products may be promoted?
 Rules regarding foreign language use?
 Restrictions on using national symbols?
 Taxes levied against advertising?
Regulatory Challenges
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Can you use:
 Ads directed to children?
 Foreign languages in ads?
 National symbols in ads?
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Advertising may be taxed
International Agency Options
Global Agency
 Greater integration
 Economies of scale
Local agency
 Highly localized
 Execution risks
International affiliates
 Local market expertise
 Cultural adaptation
Ad Campaigns: Global versus
Local
Global Campaigns
Local Campaigns
Message 1
Message
Market
A
Market
B
Message 2
Market
C
Message 3
Ad in Context Example
Why can Jack
Daniels’ use a
global ad
campaign when
other advertisers
often cannot?
Trends Promoting Global
Advertising
 Global communications
 Global youth
 Universal demographics and
lifestyle trends
 Americanization of consumption
values
Arguments Against Using Global
Campaigns
 Audiences in different cultures place
value on different brand attributes
 Global campaigns can defy local customs
or ignore local competition
 Local managers will not support a global
campaign and message