1. Managing Global Advertising
Lecture 26

2. Recap Global versus local advertising Developing global campaigns
The global-local decision
Overcoming language barriers

3. Global Media Strategy Media Availability Global media
TV = CNN, BBC World, ESPN, MTV, Satellite stations
Print = The Economist, Fortune, Time, Business Week
Internet = banner ads
But companies cannot expect to use their preferred advertising medium to the fullest extent everywhere  it may not be available! 3

4. Global Media Strategy Satellite Television Media habits
Scheduling international advertising

5. Organising the Global Advertising Effort
Selecting Ad Agencies
Domestic Agencies
When firm first goes international, typically turns to domestic agency for help
But smaller agencies typically don’t have international experience
Local Agencies
Understands local environment, creates targeted advertising
Can be difficult to coordinate across several markets
International Advertising Networks
Can be difficult to be global and local – instead many companies have formed alliances to serve clients globally with local experience and expertise 5

6. Organising the Global Advertising Effort
Working with Domestic Agencies
Working with Local Agencies
Working with International Advertising Networks

7. Advertising Coordination
External factors
Market diversity
Homogeneous customer needs and interests = more standardized, centralized approach
Heterogeneous customer needs and interests = more adapted, localized approach
Competitive set
Similar set of competitors across markets = more standardized, centralized approach
Differing local competitors in each market = more adapted, localized approach 7

8. Advertising Coordination (cont.)
Internal factors
Decentralization
Is only possible if local skill levels and efficiency are acceptable
May be preferred by companies priding themselves on giving considerable freedom to subsidiary managers 8

9. Summary
Global media strategy
Organizing the global advertising effort

10. References
Gillespie, K., Jeannet, J.P. and Hennessey, H.D. (2004), Global Marketing: An Interactive Approach, Houghton Mifflin, Boston, NY.