By Fazin Bin Ummer

08ac11

Developing standardized advertisements that are marketed worldwide.

It is a process of maintaining uniformity in operations and marketing processes throughout the world

Key Benefits

▪ Cost Reduction ▪ Improved Quality▪ Global Customers▪ Global Market Segments

Drawbacks of Standardization

Off-Target or Wrong positioning in some countries

Lack of Uniqueness Vulnerable to Country Specific Barriers

In reality 100% standardization is rare Some features have to be localized▪ Packaging, pricing etc

Only the “Core Ad” which acts as the foundation is standardized

All additional things are standardized in varying degrees to meet local tastes

Legal Consumer demographics Culture Local traditions/ customs—e.g., Local usage conditions Pricing Pressures

Local Environmental DeterminantsCultural EnvironmentEconomic ConditionsLegal ConditionsCompetitionAdvertising InfrastructureConsumer ProfileCountry of Origin Image

Firm Environment Determinants* Managerial and Financial Characteristics - Corporate Strategy - Internal Culture - Decision-making authority - Financial condition of organization* Nature of product

Firm Environmental DeterminantsManagerial and Financial Characteristics - Corporate Strategy - Internal Culture - Decision-making authority - Financial condition of organization Nature or product

Intrinsic DeterminantsInternational advertising objectivesRelationship between multinational advertiser and advertising agency (ies)Creative StrategiesMedia StrategyOther elements of the communication mixSupport activities and barriers

Area of strategies and tactics Standardization of creative strategy and tactics

A spectrum

of various

degrees of

adaptation

influenced by

the presence

or absence

of the local,

firm and

intrinsic

determinants

The

International

advertising

strategy

continuum

Adaptation of creativestrategy and tactics

Assumption: Consumers everywhere share the same wants and needs Maintaining consistent image Reducing confusion among world travelers Implementing single-coordinated

campaign across countries Reducing development, media, and other

costs

Luxury productsHigh-tech productsExperiential productsFavorable country image

Assumption: Insurmountable cultural, economic, infrastructural, and political differences across countries Increasing effectiveness by tailoring

ads to local conditions Giving more freedom to subsidiaries

SCALE ECONOMIESCONSISTENT IMAGEGLOBAL CONSUMER INSIGHTSCREATIVE TALENTCROSS FERTILIZATION

CULTURAL DIFFERENCESADVERTISING REGULATIONSMARKET MATURITY“NOT INVENTED HERE”(NIH)

SYNDROME.

Global Difficulties with the Communication Process In China: KFC’s slogan: “Finger lickin’ good”

came out as “Eat your fingers off” Also in China: Coca-Cola had thousands of

signs made using the translation: “Ke-kou-ke-la”▪ Depending on the dialect this means . . .▪ “Bite the wax tadpole,” or ▪ “Female horse stuffed with wax”

In Taiwan: Pepsi’s slogan, “Come alive with the Pepsi generation” came out as “Pepsi will bring your ancestors back from the dead”

800 products-200 countriesConsistent worldwide image as

masculine sports oriented company. In Us blades is known as Trac IIWorldwide as G-11Silkience hair conditionr is Soyance

in france and sientel in Italy

Cleaning LiquidVif-switzerlandViss-Germany Jif –BritanCif –France

Ford escort advertises the affordability in USA

But In India the Ads projected it as a premium segment product

In Usa excellent pictures with easy foolproof operation are expected by most of the market.

In germany and Japan a camera must take excellent pictures but the camera must also be state of the art in design.

In africa where penetration o cameras is < 20% the concept of picture taken must be sold

Ultimately, the perspective of standardization is realistic though not absolute. This means the need for minor adaptations to facilitate the process of standardization is required. The mantra followed by successful global companies is

THINK GLOBAL! ACT LOCAL!

THANK YOU……