Wednesday 4 January 2012

Integrated Marketing Communications And International Advertising

Integrated Marketing Communications  And International Advertising:
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Integrated Marketing Communications
Integrated Marketing Communications (IMC) are composed of advertising, sales promotions, trade shows, personal selling, direct selling, and public relations-almost all are included in the Barbie campaign described in the global perspective. Indeed, even the original wall street journal story itself was most likely prompted by a company press release. All these mutually reinforcing elements of the promotional mix have as their common objective the successful sale of a product or service. In many markets the availability of appropriate communication channels to customers can determine entry decisions. For example, most toy manufacturers would agree that toys cannot be marketed profitably in countries without commercial television advertising directed toward children. Thus product and service development must be informed by research regarding the availability of communication channels.

India
Sales Promotions in International Marketing
Sales promotions are marketing activities that stimulate consumer purchases and improve retailer or middlemen effectiveness and cooperation, cents off, in-store demonstrations, samples, coupons, gifts, product tie-ins, contests, sweepstakes, and sponsorship of special events such as concerts and fairs and point-of-purchase displays are types of sales promotion devices designed to supplement advertising and personal selling in the promotional mix. Sales promotions are short-term efforts directed to the consumer or retailer to achieve such specific objectives as consumer product trial or immediate purchase, consumer introduction to the store, gaining retail point-of-purchase displays, encouraging stores to stock the product, and supporting and augmenting advertising and personal sales efforts. For example buy one get one free, in these offer encourage customers to buy that product, also increase the sales promotions.

International Public Relations
Creating good relationships with the popular press and other media to help companies communicate messages to their publics-customers, the general public, and governmental regulators-is the role of public relations. For example Coca-cola’s sponsorship of European football matches or ford sponsorship of Australian open tennis tournament that creates international public relation.

India
International Advertising
Since the turn of the century, growth in global advertising expenditures has slowed with the global economy. Most estimates of total expenditures for 2005 are in the neighborhood of $400 billion .A 4 percent annual growth rate is predicted through 2006,but that of course depends on a resurgence of growth in the general global economy .In this slow-growth global economic environment the advertising industry continues to undergo substantial restructuring. Global mass media advertising is a powerful tool for cultural change, and as such it receives continuing scrutiny by a wide variety of institutions. Advance in communication technologies (particularly Internet) are causing dramatic changes in the structure of the international advertising and communication industries. New problems are being posed for government regulations as well. Despite these challenges, the industries is experiencing dramatic growth as new media are developed and as new markets open to commercial advertising.

The basic framework and concepts of international advertising are essentially the same wherever employed. Seven steps are involved:
1. Perform marketing research.
2. Specify the goals of the communication.
3. Develop the most effective message(s) for the market segments selected.
4. Select effective media.
5. Compose and secure a budget.
6. Execute the campaign.
7. Evaluate the campaign relative to the goals specified.

India
Advertising Strategy and Goals
The goals of advertising around the world vary substantially. For Unilever is introducing a new product-line extension, Dove shampoo, in East Asian markets; and Russia’s airline Aeroflot is seeking to upgrade its quality image. All these marketing problems require careful marketing research and thoughtful and creative advertising campaigns in country, regional, and global markets, respectively. Increased costs, problems of coordinating advertising programs in multiple countries, and a desire for a broader company or product image have caused multinational companies (MNC) to seek greater control and efficiency without sacrificing local responsiveness. Many companies are using market-segment strategies that ignore national boundaries-business buyers or high-income consumers across the globe are often targeted, for example. Others are proposing newer global market segments defined by “consumer cultures” related to shared sets of consumption-related symbols-convenience, youth, America, Internationalism, and humanitarianism are examples.

Product Attribute and Benefit Segmentation
A market offering really is a bundle of satisfactions the buyer receives. This package of satisfactions, or utilities, includes the primary function of the product or service along with many other benefits imputed by the values and customs of the culture. Different cultures often seek the same value or benefits from the primary of a product.

For example, the ability of an automobile to get from point A to point B, a camera to take a picture , or a wristwatch to tell time. But while usually agreeing on the benefit of the primary function of a product, other features and psychological attributes of the item can have significant differences.

Bangladesh
Regional Segmentation
The emergence of pan-European communications media is enticing many companies to push the balance toward more standardized promotional efforts. As media coverage across Europe expands, it will become more common for markets to be exposed to multiple messages and brands of the same product.

Mars, the candy company, traditionally used several brand names for the same product but has founds it necessary to select a single name to achieve uniformity in its standardized advertising campaigns. As a result, a candy bar sold in some part of Europe under the brand name Rider was changed to Twix, the name used in the United State and the United Kingdom.

The Message: Creative Challenges
Global Advertising and the Communications Process
A message may not get through because of media inadequacy, the message may be received by the intended audience but not be understood because of different cultural interpretations.

In international communications process each of the seven identifiable steps can ultimately affect the accuracy of the process. The process consists of the following:

1. An information source: An international marketing executive with a product message to communicate.
2. Encoding: The message from the source converted into effective symbolism for transmission to a receiver.
3. A message Channel: The sales force or advertising media that convey the encoded message to the intended receiver.
4. Decoding: The interpretation by the receiver of the symbolism transmitted from the information source.
5. Receiver: Consumer action by those who receive the message and are the target for the though transmitted.
6. Feedback: Information about he effectiveness of the message that flows from the receiver back to the information source for evaluation of the effectiveness of the process.
7. Noise: Uncontrollable and unpredictable influences such as competitive activities and confusion that detract from the process and affect any or all of the other six steps.

Legal Constraints
Laws that control comparative advertising vary from country to country in Europe. In Germany it is illegal to use any comparative terminology. we can be sued by a competitor of we do. Belgium and Luxembourg explicitly ban comparative advertising, where as it is clearly authorized in the United Kingdom, Ireland, Spain, And Portugal.

In Kuwait , the government controlled TV network allows only 32 minutes of advertising per day, in the evening. Commercials are controlled to exclude superlative descriptions, indecent words, fearful or shocking shots, indecent clothing or dancing, contests, revenge shots and attacks on competition.

Linguistic Limitations
Language is one of the major barriers to effective communication through advertising. The problem involves different languages to different countries, and the subtler problems of linguistic nuance, vernacular, and even accent. Recently an Irish accent was voted “ sexiest” in Britain and Ireland , beating the competition from the Scots, Welsh, Geordies, Brummies, West Country and “posh English” contenders. For many countries language is a matter of cultural pride and preservation- France is the best example of course.

India
Cultural Diversity
International advertising is almost uniformly dreadful mostly because people don’t understand language and culture. Communication is more difficult because cultural factors largely determine the way various phenomena are perceived. If the perceptual framework is different, perception of the message itself differs.

Knowledge of cultural diversity must encompass the total advertising project. When introduced instant cake mixes in the United States and England, it had the problem of overcoming the homemaker’s guilt feelings. When general Mills introduced instant cake mixes in Japan, the problem changed. Cake were not commonly eaten in Japan, so there was no guilt feeling but the homemaker was concerned about failing.

Media Limitations
Limitations on creative strategy imposed by media may diminish the role of advertising in the promotional program and may force marketers to emphasize other elements of potential mix.

In our Country the TV channel or Bill Boards etc of the advertising media were limited, but now it is available .For this reason by using advertising media it can be possible to showing the advertisement of any products.

Production and Cost Limitations
When a budget is small or where there are severe production limitations, such as poor quality printing and a lack of high grade paper. For example, the poor quality of high circulation glossy magazines and other quality publications in eastern Europe has caused Colgate-Palmolive to depart from its customary heavy use of use of print media in the west for other media.

The necessity for low cost reproduction in small market poses another problem in many countries. For example, hand-painted billboards must be used instead of printed sheets because the limited number of billboards does not warrant the production of printed sheets.

Media Planning and Analysis
Tactical Consideration: Although nearly every sizable nation essentially has the same kinds of media, a number of specific considerations, problems, and different are encountered from one nation to another. In international advertising, an advertiser must consider the availability, cost, coverage, and appropriateness of the media. For example, billboard ads next to highways cannot include paragraph of texts. Moreover recent research has demonstrated that media effectiveness varies across cultures and product types. Local variations and luck of market data require added attention.

Imagine the ingenuity required of advertisers confronted with this situations
1. In Brazil, TV commercials are sandwiched together in string of 10 to 50 commercials within one station brick.
2. National coverage in many countries means using as many as 40to 50 different media.
3. In Vietnam, advertising in newspapers and magazines is limited to 10percent of space , and to 5 percent of time, or three minutes an hour, on radio and TV.

Availability
one of the contrasts of international advertisement is that some countries have too few advertising media and others have too many. In some countries, certain advertising media are forbidden by government edict to accept some advertising materials.

Cost
Media prices are susceptible to negotiation in most countries. Agencies space discounts are often split with the client to bring down the cost of media. The advertiser may find that the cost of reaching a prospect through advertising depends on the agents bargaining ability.

Coverage
Closely akin to the cost dilemma is the problem of coverage. Two points are particularly important: one relates to difficulty of reaching certain sectors of the population with advertising and the other to the lack of information on coverage. In many world marketplaces, a wide verity of media must be used to reach the majority of the markets, in some countries, large number of separate media have divided markets into uneconomical advertising segments.

Lack of market Data
Verification of circulation or coverage figures is the difficult task. Even where advertising coverage can be measured with some accuracy there are questions about the composition of the market reached. Even the attractiveness of global television is diminished some what because of the lack of media.

Newspapers
The newspapers industry is suffering from lack of competition in some countries and choking because of it in others. Most U.S cities have just one or two major daily newspapers, but in many countries, there so many newspapers that an advertiser has trouble achieving even partial market coverage.

India
Magazines
the use of foreign national consumers magazines by international advertisers has been notably low for many reasons. Few magazines have a large circulations or provide dependable circulations figures. Technical figures are used rather extensively to promote export goods but, as with newspapers, paper shortage cause placement problems. Media planners are often faced with the largest magazines accepting up to twice as many advertisings as they have space to run them in then the magazines decide what advertisements will go in just before going to press by means of a raffle.

Radio and television
Possibly because of their inherent entertainments values, radio and television have become major communication media in most nations. Most populous areas have television broadcasting facilities.

Radio has been relegated to subordinated position in the media race in countries where television facilities are well developed.

Television and radio advertising availability varies between countries. Tree patterns are discernible: competitive commercial broadcasting, commercials monopolies, and noncommercial broadcasting countries with free competitive commercials radio and television normally encourage completion and have minimal broadcast regulations.

India
Satellite and Cable TV
Of increasing importance in TV advertising is the growth and development of satellite TV broadcasting. Sky channel a United Kingdom based commercial satellite television station, beams its programs and advertising into most of Europe TV subscribers.

Direct Mail
Direct mail is a viable medium in an increasing number of countries. It is especially important when other media are not available.As is often the case in international marketing. even such a fundamental medium is subject to some odd or novel quirks. For example, in Chile, direct mail is very virtually eliminated as an effective medium because the sender pays only part of the mailing fee; the letter carrier must collect additional postage for every item delivered. Obviously advertisers cannot afford to alginate customers by forcing them to pay for unsolicited advertisements.

The Internet
Though still evolving, the internet has emerged as available medium for advertising and should be included as one of the media in a company’s possible media mix. Its use in business to business communications and promotion via catalogs and product descriptions is rapidly gaining in popularity.

India
Other Media
Restrictions on traditional media or their availability cause advertisers to call on lesser media to solve particular local country problems. The cinema is an important medium in many countries, are the billboards and other forms of outside advertising. Billboards are especially useful in countries with high illiteracy ratios. Hong Kong is clearly close seconds.

Campaign Execution and Advertising Agencies
The development of advertising campaigns and their execution are managed by advertising agencies. Just as manufacturing firms have become international, so too have U.S , Japanese’s, and European advertising agencies expanded internationally to provide sophistical agencies assistance worldwide. Local agencies expanded internationally as the demanded for advertising services by MNCs has developed. Thus international marketer has a variety of alternatives available.

A local domestics agencies may provide a company with the best culture interpretations in situations where local modification is sought, but the level of sophistication cab be weak. However, the local agencies may have the best feel for the market, especially if the international agencies has little experiences in the market.

International Control of advertising: Broader Issues
Broader issues related to the past, present or future of the international regulation of advertising considered.

Consumer criticism advertising are not a phenomenon of the U.S market only. Consumer concern with the standards and believability of advertising may have spread around the world more swiftly than have many marketing techniques. A study of a representative sample of European consumers indicated that only half of them believed that advertising meant higher prices; nearly eight of ten believed advertising often made them buy things they did not really need, and that ads often were deceptive about product quality. In Hong Kong, Colombia, and Brazil, Advertising fared much better than in Europe.

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