1. GLOBAL PROMOTION STRATEGIES
Overview
Marketing communications include advertising, sales promotion, personal selling, and public relations. When communicating with publics in more than one country, firms must work within the limitations of each market to maximize their promotional objectives.

2. Elements of the Communication Process
Sender
Encoding
Message
Medium of Transmission
Receiver
Decoding
Response
Feedback
Noise

3. Global Advertising - Any Paid Form of Nonpersonal Communication where the Sponsor is Identified
Often Controversial
Benefits Derived from Advertising
1. Economic
Sales increase
Production increases
Per-unit cost of product goes down - economies of scale

4. Global Advertising - Any Paid Form of Nonpersonal Communication where the Sponsor is Identified
Price decreases
Sales increase further
Competition increases - yielding higher productivity and better product quality
2. Social
Employment is generated
Higher standard of living

5. Planning an Advertising Campaign - Specify Objectives; Then Decide On
Advertising Message
Standardise when country markets are similar
Adapt when they are different
Avoid taboos of target market - don’t offend

6. Planning an Advertising Campaign - Specify Objectives; Then Decide On
Budget and Allocation Based on Internal and External Conditions
1. Internal conditions
Management orientation
Advertising objectives
Resources available

7. Planning an Advertising Campaign - Specify Objectives; Then Decide On
2. External conditions
Governmental regulations
Competitors’ advertising strategies
Market attractiveness
Media restrictions

8. Planning an Advertising Campaign - Specify Objectives; Then Decide On
Media Options and Country Characteristics - Effectiveness Versus Economy
1. Television
Developed countries (DCs) - countrywide availability
LDCs - concentrated in major cities, per capita ownership of TVs is lower
Limitations: ads may be bunched, broadcasting times vary, ads regulated

9. Planning an Advertising Campaign - Specify Objectives; Then Decide On
2. Radio
DCs - popularity on the rise, many program options available
LDCs - good medium to reach uneducated urban and rural customers
3. Magazines

10. Planning an Advertising Campaign - Specify Objectives; Then Decide On
4. Newspapers
Advantages: fast and economical
Disadvantages: some LDCs don’t compile demographic data; they have space limitations and content specifications

11. Planning an Advertising Campaign - Specify Objectives; Then Decide On
5. Direct mail
DCs - more common
LDCs - limited opportunities, lack of reliable lists, undependable delivery, low literacy rates
6. Catalogs - limited to DCs for same reasons as for direct mail

12. Planning an Advertising Campaign - Specify Objectives; Then Decide On
7. Facsimile - controversial
8. Videos
Time not limited to 30- or 60- second slots
DCs - whole video can be an ad
LDCs - movie d\videos contain ads
9. Cinema - these ads more common in LDCs
10. Billboards - all countries

13. Planning an Advertising Campaign - Specify Objectives; Then Decide On
Advertising Regulations - Know Them and Adapt Message Accordingly
Agency Selection
1. Global agency
2. Local agency
3. Combination of both

14. Global Sales Promotions - Short-Term Efforts to Increase Sales
Consumer Sales Promotion Techniques - Can Foster Long-Term Objectives
Coupons - maintain current customers, attract new ones
Rebates - maintain current customers, attract new ones
Free samples - encourage new users by eliminating cost
Mail-in premiums

15. Global Sales Promotions - Short-Term Efforts to Increase Sales
In-pack premiums - promotional benefit packaged with the product
Bonus packs - more product for the same price
Trading stamps - increase store patronage
Contests and sweepstakes - enhance name recognition and stimulate sales

16. Global Sales Promotions - Short-Term Efforts to Increase Sales
Trade Sales Promotion Techniques - Persuade Channel Members to Carry Products or to Increase Sales
Sales contests - increase sales
Price-off offers - push new products or move large quantities
Advertising allowances

17. Global Sales Promotions - Short-Term Efforts to Increase Sales
Display allowances
Free goods
Push money - money to carry and to push products

18. Global Personal Selling - Keeping Buyers Happy, the Firm Informed
The Personal Selling Process
Planning: what, how, when
Prospecting: who
Preparing: what buyers need, competitors offer

19. Global Sales Promotions - Short-Term Efforts to Increase Sales
Selling
Approaching customer
Making presentation
Answering questions
Closing sale
Following up - establishing solid link

20. Global Sales Promotions - Short-Term Efforts to Increase Sales
Managing the Global Sales Force
Sales Force Compensation
Straight salary
Advantages: sales force security, easy to administer
Disadvantage: lower sales if unmotivated sales force

21. Global Sales Promotions - Short-Term Efforts to Increase Sales
Straight commission - fixed percentage or varying percentage
Advantage: encourages performance
Disadvantage: salespeople may stop with quotas
Combination salary and commission

22. Global Public Relations - Tools for Building a Favorable Image
Employee Relations - Create Favorable Ambassadors to the Community
Customer Relations - Show Firm Cares About Customers
Press Relations - Keep Shapers of Public Opinion on Firm’s Side
Government Relations - Be a Good Citizen