Global Marketing
Communications
Top 10 Companies by Ad Spending
Outside the U.S.
6000.00
5000.00
Unilever
4000.00
GM
3000.00
Nestle SA
Nissan
PSA
2000.00
Volkwagen
Outside U.S.
U.S.
Worldwide
1000.00
0.00
P&G
Toyota
Philip
Morris
Mars Inc.
Slide 20-1
Irwin/McGraw-Hill
© The McGraw-Hill Companies, Inc., 1998
Figure 20-1
SmartBeep
Hyundai - Sweden
Global Attitudes Towards
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

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?

Brands that can be adapted for a visual appeal
Irwin/McGraw-Hill
© The McGraw-Hill Companies, Inc., 1998
Slide 20-4
BA – Visual Appeal
BA Casablanca
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
Latin America
Continental – Universal Appeal
Wedding - France
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
IBM
Gillette – Standardized Advertising
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
Latin American
BA Football
BA Manhattan
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
Levis - Elevator
Levis – Tainted Love
Levis - Clayman
Standardizing Advertising: It’s All
about degree
Think
Globally
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 Man
Saudi Arabia
France
Marlboro Man
Turkey
Singapore
Marlboro Man
Germany
Sweden
Marlboro Man
Latin America
US (circa 1988):
no logo needed
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 Coke
France: cooling off
France: hugging
Coca Cola Light/Diet Coke
France: cooling off
Korea: behind the back
Coca Cola Light/Diet Coke
Thailand: red & white
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
Communicating with
World Consumers
Challenges
Legal and Tax Considerations
Language Limitations
Cultural Diversity
Media Limitations
Production and Cost Limitations
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
l
Phonetic Problems with Brand Names
•Bardok in Russia
•Big John In French -speaking Canada - Gros Jos
l
Translations
Intent
Translation
- Stepping Stone
- Car Wash
- Highly Rated
- Stumbling Block
- Car Enema
- Over Rated
Symbols
- Owl
- Bad Luck in India
- Airline Log in Australia - EMU
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 Diversity
 General
Mills Cake Mixes
– US and UK
 Homemaker’s
guilt
– Japan
 Don’t
eat cakes
 Concerned about failing
 Easy as rice
 Subcultures
Localization
Sweden
France
Japan
United Kingdom
Latin America
Japan
Advertising as a Mirror
Individualism vs. Collectivism
Germany: man diving
South Africa: cigarette party
Latin America: footprint in the sand
Taiwan: Samsonite suitcase ad
Korean: nutritional
supplement and the family
France: birds of a flock
Brazil: soccer players
United Kingdom: shark
Pakistan: "Rhythm
Wythm"
Gender Roles
Media Limitations

Availability
– Political position
– Literacy rates - selective

Cost
– Media costs subject to negotiation
– Agent discounts split with client

Coverage
– National vs. regional
– Fragmented
Media Selection

Newspapers

Magazines

Radio & Television

Satellite and Cable Television

Direct Mail

Other Media
Household Penetration of Cable, Satellite,
and Internet Top 10 Media Markets 1997
Country
Cable
Satellite
Internet
United States
66.9
4.1
21.3
Japan
Germany
UK
France
Brazil
So. Korea
China
Italy
Mexico
22.9
59.9
7.0
7.0
4.3
14.0
25.8
N/A
7.5
22.9
20.7
15.0
8.0
5.2
N/A
25.8
3.4
1.5
9.9
11.6
5.0
1.7
0.003
1.8
N/A
1.9
0.06
SOURCE: Abstracted from: “Top Global Advertising Market” Ad Age International
1997. p. 17.
May
Media Planning & Analysis

Tactical Considerations

Availability

Cost

Coverage

Lack of Market Data
Other Forms of Communication
 Sales
Promotions
 Event Sponsorships
 Trade Shows
 Direct Marketing
 Public Relations