1. R. Srinivasan 1
Role of International promotion:
• Estimated world wide ad expenditures: $ 450 billion- 50 % in US, increased ad. Spend in
China, India, Brazil etc.
• Why effective promotional programs ?
• Most visible of the marketing function-
• Other functions – Passive quieter way.
Analysing the International Marketing Environment
• Economic
• Demographic
• Cultural
• Political/ Legal
Cultural Environment
• Language
• Taste / traditions- cosmetics in France
• Values
• Religion
Other factors
The Media Infrastructure
2. Advertising Regulations
3. Standardization vs Adaptation
1. The Media Infrastructure
• Media Availability
– Media infrastructure differs from country to country
• Media Reliability
• Media Restrictions
• Media Costs
• Media Formats
– Advertising Posters on Kiosks and Fences
– Sides of Private Homes
– Plastic Shopping Bags
– Outdoor Umbrellas
– Billboards
– Shift from radio and print to TV advertising
– Rise of global and regional media
– Growing spread of interactive marketing
– Growing popularity of text messaging
– Improved monitoring
– Improved TV-viewership measurement
2. Advertising Regulations
• The major types of advertising regulations include:
– Comparative Advertising
– The major types of advertising regulations include:
– Advertising Targeting Children
– Advertising of “Vice Products” and Pharmaceuticals

2. R. Srinivasan 2
– Content of Advertising Messages
– Other Advertising Regulations: Issues of local languages, tax issues, and
advertising rates.
–
Standardization vs Adaptation
• The “Standardization” versus “Adaptation Debate”
• Merits of Standardization:
– Scale Economies
– Consistent Image
– Global Consumer Segments
– Creative Talent
– Cross-Fertilization
• 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
Adapted Advertising
• Assumption: Insurmountable cultural, economic, infrastructural, and political differences
across countries
– Increasing effectiveness by tailoring ads to local conditions
– Giving more freedom to subsidiaries
• Barriers to Standardization:
– Cultural Differences
• Language is one of the most formidable barriers in global marketing.
– Religion
– Communication Infrastructure
– International Agencies may not serve a market
– Consumer Literacy Levels
– Advertising Regulations
– Market Maturity
– Values and Purchase Motivations
– “Not-Invented-Here” (NIH) Syndrome
Creative challenges.
Media Regulations –
comparative advertising – e.g., Germany prohibits use of superlatives.
time allocations – e.g., In Italy 12% ads per hour.,
special taxes – e.g., Japan,
type of product, type of copy and illustration, etc.
• Countries view the value of advertising in different ways
– U.S. = eager to criticize advertising (especially that aimed at children)
– Asia = advertisements provide good product information, respects consumers’
intelligence
– Former Soviet Union = most skeptical
Products Suitable for Standardized Advertising
• Luxury products

3. R. Srinivasan 3
• High-tech products
• Experiential products
• Favorable country image
Five Global Product and Promotion Strategies
Pattern advertising
• Plan globally act locally.
• Broad outlines or basic positioning given but details can be adapted.
• Assuming that there are some differences in culture and consumer behavior even if
primary function is the same.
Global Advertising
– 7 Steps in International Advertising
• 1. Perform marketing research
• 2. Specify the goals of the communication
• 3. Develop the most effective message
• 4. Select effective media
• 5. Compose and secure a budget
• 6. Execute the campaign
• 7. Evaluate the campaign relative to the goals specified