Transcript 16 International Advertising

International Marketing
15th edition
Philip R. Cateora, Mary C. Gilly, and John L. Graham
Introduction
16
• Integrated marketing communications (IMC) are
composed of advertising, sales promotions, trade shows,
personal selling, direct selling, and public relations
• All these mutually reinforcing elements of the marketing
mix have as their common objective the successful sale of
a product or service
• For most companies, advertising and personal selling are
the major components in the marketing communications
mix
• The goal of most companies, large and small, is to
achieve the synergies possible when sales promotions,
public relations efforts, and advertising are used in
concert
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Sales Promotions
in International Markets
16
• Sales promotions
– Marketing activities that stimulate consumer
purchases and improve retailer or middlemen
effectiveness and cooperation
– Short-term efforts directed to the consumer or
retailer to achieve specific objectives
• In markets with media limitations the
percentage of the promotional budget allocated
to sales promotions may have to be increased
• Product sampling
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International
Public Relations
16
• Public relations (PR) is creating good
relationships with the popular press and other
media
– To help companies communicate messages to
customers, the general public, and governmental
regulators
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Bridgestone/Firestone Tires safety recall
Global workplace standards
Building an international profile
Corporate sponsorships
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International Advertising
16
1. Perform marketing research
2. Specify the goals of the communication
3. Develop the most effective message(s) for the
market segments selected
4. Select effective media
5. Compose and secure a budget
6. Execute the campaign
7. Evaluate the campaign relative to the goals
specified
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Advertising Strategy and Goals
16
• Marketing problems
– Require careful marketing research
– Thoughtful and creative advertising campaigns
• In country, regional, and global markets
• Increased need for more sophisticated
advertising strategies
• Balance between standardization of advertising
themes and customization
• Consumer cultures
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Product Attributes
and Benefit Segmentation
16
• Different cultures usually agree on the benefit of the
primary function of a product or service
• Other features and psychological attributes of the
item can have significant differences
– Cameras
– Yogurt
– Almonds
• Blue Diamond
– Assumes that no two markets will react the same
• Each has its own set of differences
• Each will require a different marketing approach
and strategy
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Regional Segmentation
16
• Pan-European communications media highlights
need for more standardized promotional efforts
• Costs savings with a common theme in uniform
promotional packaging and design
• Legal restrictions slowly being eliminated
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Legal Constraints
16
Comparative advertising
Advertising of specific products
Control of advertising on television
Accessibility to broadcast media
Limitations on length and number of
commercials
• Internet services
• Special taxes that apply to advertising
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Linguistic Limitations
16
• Language is one of the major barriers to effective
communication through advertising
• Translation challenges
• Low literacy in many countries
• Multiple languages within a country
• In-country testing with the target consumer
group avoids problems caused by linguistic
differences
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Media Limitations
16
and Production and Cost Limitations
• Media limitations may diminish the role of
advertising in the promotional program
• Examples of production limitations:
– Poor-quality printing
– Lack of high-grade paper
• Low-cost reproduction in small markets poses a
problem in many countries
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Campaign Execution
and Advertising Agencies
16
• Managed by advertising agencies
– Local domestic agency
– Company-owned agency
– Multinational agency with local branches
• Compensation
– Commonly 15 percent throughout the world
– Some companies moving to reward-by-results
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International Control
of Advertising – Broader Issues
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16
Consumer criticism
Deceptive advertising
Decency and blatant use of sex
Self-regulation
Government regulations
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Summary (1 of 2)
16
• 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
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Summary (2 of 2)
16
• 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
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