Chapter Fifteen Global Advertising. Strategic Options global (with or without localization), multidomestic International Advertising Characteristics volume,

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Presentation transcript:

Chapter Fifteen Global Advertising

Strategic Options global (with or without localization), multidomestic International Advertising Characteristics volume, local media distribution, global media, strategic concerns Components of Global Advertising message: prototypes and standardized patterns media, strategy, organization

Advertising Intensity in Selected Nations Source: Distribution Economics Institute, Survey on International Comparison on the Distribution Industry, May 1990.

Media Usage in Various Countries * 15-3 Exhibit 15.2 *In U.S. dollars Source: International Marketing Data and Statistics 1995 and European Marketing Data and Statistics 1995.

Managing Global Advertising When Global Advertising is Appropriate costs, global markets, global products similarity in image, symbols, features and usage Decisions communication flow: encoding, decoding, opinion leadership, feedback objectives: evolving from reminder to purchase stimulation budgeting: % of sales, competitive parity, objective and task

Managing Global Advertising Global Advertising Agencies globalization of agencies local knowledge, global/regional campaigns, creative work, media value of local agencies

A Model of the International Mass Communications Process 15-6 Producer/ marketer/ advertiser Sets objectives and advertising budget Mass Media Carries the message Advertising agency Develops message (encoding) and selects media Opinion leaders, individuals Receive the message and interpret (decoding) Individuals Think, feel and act (hierarchy of effects) Coordination and control Generate feedback on effects Sender’s cultural settingReceiver’s cultural setting

Scope of Advertising Agencies’ Participation in Multicountry Campaigns Source: Adapted from Hill and Shao, 1994, p.39..

Chapter Terms and Essay Terms Global advertising, global prototypes, hierarchy of effects, identical ads, localized advertising, multidomestic advertising, pattern standardization, objective and task, competitive parity, percentage of sales Essay Identify and describe two advantages and two disadvantages of globalized advertising. Using two ads from the Global TV Advertising exercise as examples, explain the difference between an ad with high globalization potential and an ad with low globalization potential.

TV Ad Globalization Potential Exercise Identify and explain the three criteria for evaluating the "Globalization Potential" of television advertising. For the country assigned to you, identify the ad with the MOST potential for globalization. Explain For the country assigned to you, identify the ad with the LEAST potential for globalization. Explain

Chapter Fifteen Global Advertising