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Belch: Advertising and
Promotion, Sixth Edition
Minimum
Subsidiary
influence
Maximum
• Strategy
• Design
• Execution
VII. Special Topics and
Perspectives
Adoption + Adaptation
• Strategy
• Design
• Execution
Information
Transfer
Local
Cross-Fertilization
• Information transfer
20. International
Advertising and Promotion
• Design
• Execution
Strategy
• Cross-fertilization
• Information
transfer
Regional Global
Low International brand uniformity High
require uniformity in marketing communications, the promotional program should be
determined at the headquarters level. Decisions regarding overall promotional strategy—including
international communications objectives, positioning, allocation of
the communications budget to sales promotion versus advertising, and weight of consumer
versus trade promotions—are made at the headquarters level. 102
While the promotional strategy for global brands is determined by global product
managers at headquarters, implementation of the programs should be left to local
management. It is important to make the promotional strategy broad enough to allow
for differences in diverse local markets. Headquarters is also responsible for encouraging
the cross-fertilization of ideas and practices among local managers and facilitating
the transfer of information. Some companies are now using promotional agencies that
have offices around the globe and can coordinate programs in various markets. Exhibit
20-20 shows an ad for DVC Worldwide touting the agency’s integrated marketing
communications capabilities in local as well as global markets.
Regional brands usually do not require the same level of standardization as global
brands, and the promotional strategy can be developed by regional offices and carried
out at the local level. However, regional promotions should avoid contradictory brand
communications and promotional activities that might upset local activities in nearby
markets. The role of national-level brand managers is adoption and adaptation. They
determine what promotional ideas to adopt from the region and adapt
them to local conditions.
For local brands, decisions regarding promotional strategy, program
design, and execution are left to local managers. Of course, local managers
may benefit from information about the promotions used in other
local markets.
Personal Selling
As a company’s most direct contact with its customers in foreign markets,
personal selling is an important part of the marketing and promotional
process. Companies selling industrial and high-tech products
generally rely heavily on personal selling as the primary method for
communicating with their customers, internationally as well as domestically.
Consumer-product firms may also use personal selling to call on
distributors, wholesalers, or major retailing operations in foreign markets.
Due to low wages in many developing countries, some companies
hire large sales staffs to perform missionary activities and support selling
and advertising efforts. For example, Citibank launched its credit
cards in many Asian countries using a multifaceted marketing program
that included advertising, direct mail, and personal selling. The company
found personal selling a very focused and cost-effective way to
Maximum
Headquarters
influence
Minimum
© The McGraw−Hill
Companies, 2003
Figure 20-5 Central
versus local roles in
international sales
promotion
Exhibit 20-20
Promotional agencies such
as DVC Worldwide have
offices in cities around the
world
693
Chapter Twenty International Advertising and Promotion