2. MK364 INTERNATIONAL ADVERTISING THEME FIVE: MANAGING INTERNATIONAL ADVERTISING

3. MANAGING CHANGE HISTORICAL CURRENT 21ST CENTURY MARKETER MARKETER MARKETER MARKETER CHANNEL CHANNEL CHANNEL CHANNEL MEDIA MEDIA MEDIA CONSUMER CONSUMER CONSUMER

4. BASIC MODEL OF THE COMMUNICATIONS PROCESS ___noise____________noise____ Source encodes signal decodes destination (message) (receiver) (message) (receiver)(communication) feedback feedback________________noise_______

5. COMMUNICATION THEORY – MULTI STEP FLOW OF COMMUNICATIONS T1 T1 T2 T2 Mass T3 Media ___ T4 ___ T4 ___ T5 (OL) ___ T5 (OL) T6 T6

6. ADOPTION AND DIFFUSION OF INNOVATIONS (normal diffusion) early adopters early late majority majority Innovators laggards 2.5% 13.5% 34% 34% 16% Time

7. APPLICATION WITHIN THE ADOPTION PROCESS awareness/ evaluation/ trial/ purchase/ interest preference conviction adoption advertising direct mail literature public relations exhibitions sales promotion

8. KELLMAN’S SOURCE CHARACTERISTICS MODEL Source (Internalisation) Credibility Source (Identification) Source Attractiveness Characteristics Source (Compliance) Power

9. FIELD OF EXPERIENCE/REALM OF UNDERSTANDING rou/foe sender/source (encoding) noise signal/message rou/foe (decoding) feedback destination/ receiver

10. INTERNATIONAL ‘NOISE’ FACTORS language differences language differences other cultural/social differences other cultural/social differences economic differences economic differences legal/regulatory differences legal/regulatory differences competitive differences competitive differences

11. DECISION SEQUENCE MODEL key factor analysis objectives and positioning research communication agencies strategy strategy communications mix communications mix communications budgets communications budgets evaluation and testing evaluation and testing

12. PRACTICAL IMPLICATIONS how an organisation communicates with its markets how an organisation communicates with its markets identifies any mismatch between organisation and customers and exploit motivations identifies any mismatch between organisation and customers and exploit motivations brief internal and external agencies brief internal and external agencies determine optimum mix determine optimum mix plan response to feedback plan response to feedback

13. ROLE OF RESEARCH “..repositioning the brand had reversed its decline and opened new opportunities for continuing market growth. For an international brand these findings would have offered valuable pointers for many other market territories..” David Wheeler on test marketing in “International Advertising by J P Jones ch. 22

14. ROLE OF RESEARCH THE EXAMPLE OF BEZIQUE BY BACARDI: the decision not to test market the decision not to test market the decision not to endorse the decision not to endorse 80% of new products “fail” 80% of new products “fail” leading the way for Bacardi Breezer & Tom Cat leading the way for Bacardi Breezer & Tom Cat

15. PERCEPTUAL MAPPING AND BRAND IMAGE UP-SCALE, CLASSY Mercedes Porsche Mercedes Porsche Volvo BMW Volvo BMW Chrysler Saab Honda Chrysler Saab Honda CONSERVATIVE SPORTY Ford Nissan Ford Nissan Toyota Toyota Hyundai Hyundai PRACTICAL, AFFORDABLE PRACTICAL, AFFORDABLE

16. Communications Mix Advertising sales promotion public relations personal selling corporate PR direct marketing

17. Integrated Communications “careful planning creates marketing communication synergy that reinforces a consistent message or image in a cost effective manner”

18. Integrated Communications “a process for managing the customer relationships that drive brand value..by strategically controlling and influencing all messages…and encourage purposeful dialogue with them”

19. GESTALT consistency in brand development consistency in brand development synergy of effort synergy of effort closer client-agency relationship closer client-agency relationship teamwork teamwork effective measurement effective measurement

20. PUTTING IT INTO PRACTICE THE EXAMPLE OF PERRIER: history history policy policy future prospects future prospects good behaviour good behaviour reputation reputation

21. Any Questions