International Marketing Communication SIS6, Spring 2006

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International Marketing Communication SIS6,
Spring 2006

• Aim Inspiration/introductionprojects/in-depth
  studies
• The lecturer and subjectivity!
• Marketing communication, not culture..except
  today!
• Literature (book texts)
• Course plan a lot of chapters for some
  sessions
• Teaching methods lectures, workshop,
  discussions
• Slides
• 5th semester any marketing courses?
  Literature?
• Good ideas and suggestions, please expert
  audience
• Questions, please

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Course plan 1

• Session 1
• a) Course introduction
• b) Cross-cultural consumer behaviour
• Textbook Chapters 1, 2, 3 and 4 (please focus
  on chapter 4)
• Session 2
• Standardization vs. adaption 1
• Textbook Chapters 5, 6, 8
• From the text collection
• Theodore Levitt The Globalization of Markets
• William B. Werther, Jr. Toward Global
  Convergence
• Marieke De Mooij Convergence and divergence in
  consumer behaviour implications for global
  advertising
• Session 3
• Standardization vs. adaption continued
• See lecture 2
• Session 4
• Cross-cultural marketing research

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Course plan 2

• Session 5
• Workshop strategy/creative briefs
• Session 6
• Workshop continued
• Session 7
• Aspects of international marketing communication
  and strategy
• Textbook chapters 13, 14, 15
• From the text collection
• H. David Hennessey Marketing Communications
  Trends in the
• OConnor, Galvin and Evans Electronic Marketing
  and Marketing..
• Percy, Rossiter Elliott The Strategic
  Planning Process
• Jon Steel Serendipity got milk?
• Session 8
• a) Aspects of international marketing
  communication and strategy
• b) Course evaluation
• See lecture 7

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From SIS4

• Marketing communication studies advice
• Be critical - always!
• Right or wrong usually dont exist!
• There are no easy solutions or to-do-lists!
• We expect arguments, reflections and
  contemplation!
• High level of abstraction is expected too!

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Expected knowledge/terminology

• Differences between advertising, PR, sales
  promotion etc.
• Basic consumer behavior principles
• Segmentation criteria, targeting, positioning
• Standardization gtlt differentiation
• Basic marketing research
• Basic information types
• Branding
• Marketing mix/4Ps integrated marketing com.
• SWOT, PLC etc.

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Marketing communication 2005!

• Worldwide advertising expenditure grew by almost
  7 in 2004 to 370 billion
• The ad market in 2004 was boosted by some
  special factors, such as a presidential election
  .. and the Olympics.
• Television remains the most powerful advertising
  medium, with a 38 global share of spending on
  major media in 2004.
• Some people, especially young men, now spend
  more time surfing the internet than watching TV.
  The internet is the fastest growing advertising
  medium.
• (The Economist, Jan. 1, 2005)

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Marketing communication what is it?

• This course
• Marketing communication The old-fashioned
  promotion P
• Advertising
• Sales promotion
• Public relations
• Direct marketing
• (Personal selling)

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Remember, its still about moving peoplefrom A
to B
But why is it getting increasingly difficult to
do so?
B
C
A
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Marketing Communication in the New Millennium
Among the most important changes that have
confronted marketers in recent decades, both
audiences and media have become more fragmented
and should continue to become more so The
range and variety of media have rapidly expanded
whereas marketing communicators once relied
primarily on the more traditional above-the-line
forms of communication, such as television,
print, radio, and outdoor advertising, virtually
anything goes in the contemporary marketing
environment. Competition is so strong in the
contemporary marketing environment that marketers
are obliged to keep experimenting with different
ways and means to direct their messeages to
increasingly jaded consumer audiences. If
anything, marketing professionals expect the
search for evermore novel means of communicating
their product, services, and brands to continue
well into the new millennium. (Allan J. Kimmel)
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Marketing Communication in the New Millennium
Further complicating communication decision
making and adding to the ongoing challenges faced
by marketers is the growing fragmentation of
their target audiences. Media habits have
changed with new technologies, so the ability for
marketers to reach their targets has grown more
complicated. For example, young people are
increasingly turning to new media types. Also
new consumer audiences are appearing e.g. men
buying product originally for women. So
increasingly marketers have to move from
broadcasting to narrowcasting. (Allan J.
Kimmel)
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Marketing Communication in the New Millennium
As target audiences become progressively more
technology savvy, marketing communicators have
begun to utilize more aggressive and
unconventional strategies to reach them, with
greater reliance on interactive, mobile, and
personalized tactics. Moreover, as the number
of marketing messages to which they are exposed
continues to grow, consumers ability (and
desire) to differentiate among them has
diminished. Growing consumer skepticism towards
companies in general and also towards the ethical
implications of marketing communications. Emotio
nal messages consistent with the so-called
soft-sell approach, oriented to the building of
brand image, have increasingly taken the place of
harder-sell messages that provide objective
reasons why the consumer should make a
purchase. Further, marketers have begun to
actively elicit the assistance of consumers
themselves in the dissemination of positive word
of mouth E.g. seeding. (Allan J. Kimmel)
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Usunier Lee

• eye-opener
• source of inspiration
• starting point for further studies
• good discussion starter
• not like the other books on
• the subject

• Repetitive
• Structure
• Focus
• Factual not a lot of models etc.
• Not marketing communication focus

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Usunier, Lee and Culture - 1

• In an increasingly interdependent world where
  barriers to trade and to international exchanges
  constantly diminish, cultural differences remain
  the single most enduring feature that has to be
• taken into account for localizing marketing
  strategies.
• Part 1 of this book introduces key concepts in
  cultural studies that have great influence on the
  understanding of local markets and the design of
  international marketing strategies.
• (Usunier Lee , p. 2)

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Usunier, Lee and Culture - 2

• International marketing automatically allocates
  a prominent place to the cultural variable, but
  not everything is culture based. It would be
  dangerous to equate the behaviour of individuals
  entirely with that of the cultural grouping to
  which they belong. (P. 4)
• In fact, the cultural variable is difficult to
  isolate and operationalize. (P. 4)
• The cultural is more complex and the way in which
  it influences behaviour is difficult to analyze.
  (P. 4)
• This course No definition of culture put forward

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Usunier, Lee and Culture - 3

• Cultural differences exist, but this is no
  reason for judging a particular culture as
  globally superior or inferior to others. (P. 9)
• Nevertheless an attempt to equate culture
  directly with the nation-state, or country, would
  be misguided... (P. 10)

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Usunier, Lee and Culture 4Sources of
culture on an individual levelThe national
element is not always the main source of culture
when regarded from an operational culture
perspective. (Goodenough, 1971).
Isnt operational culture the key term when
working with culture in an marketing
communication context?

• Language(s)
• Nationality
• Education (general)
• Profession
• Group (ethnicity)

• Family
• Sex
• Social class
• Religion
• Corporate or organizational culture
• (Usunier Lee, p. 10 and 11)

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Usunier, Lee and Culture - 5

• Most international market segments are based on
  geographical/geopolitical divisions, which are
  convenient and may be also efficient segmentation
  criteria depending on homogeneity. However,
  sociodemographic variables or lifestyles may also
  be relevant for international segmentation. (P.
  12)
• In fact, firms have difficulty deciding on
  whether to target a transnational ethnic segment,
  a national segment or a cross-border regional
  segment. Lenartowicz and Roth (1999) suggest a
  process that begins with a review of the cultural
  literature to gather invormation that identifies
  and details cultural groupings befor segmenting
  the market (P. 12)

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Usunier, Lee and Culture - 6

• Goodenough is particularly relevant or
  interesting - to marketers in todays
  fragmented world
• culture is a set of beliefs or standards,
  shared by a group of people, which help the
  individual decide what is, what can be, how to
  feel, what to do and how to go about doing it.
• (Usunier Lee, p. 5)

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Usunier, Lee and Culture - 7

• Usunier on Goodenough
• On the basis of this definition there is no
  reason for culture to be equated with the whole
  of one particular society. It is, however,
  related to activities that are shared by a
  particular group of people. Thus individuals may
  share different cultures with several different
  groups and in a particular cultural situation
  they can switch into the culture that is
  operational. The term operational describes a
  culture that is shared by those who must
  cooperate on a task. (Usunier and Lee, p. 5)
• In Danish Det situationsbestemte forbrug?
• Challenge How to communicate effectively with
  people who constantly switch into new
  consumption roles.

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Context, culture and SOFT DRINKSFrom 4th semester
Situational context
Culture

• She buys Coca-Cola Light for the refrigerator at
  home
• Her boyfriend buys Coca-Cola for the refrigerator
  at home
• In connection with sports she drinks Carlsberg
  Kildevæld
• In cafés she drinks Søbogård
• In bars she drinks gin/tonic
• When meeting girlfriends to talk she drinks tea
• She never drinks Cola when she is alone
• She drinks water when she is alone

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Kotler on Culture

• "Culture is the most fundamental determinant of a
  person's wants and behavior. The growing child
  acquires a set of values, perceptions,
  preferences, and behaviors through his or her
  family and other key institutions."
•  
• (Kotler in Marketing Management (9th ed.) p. 172)

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Hoecklin on Culture

• What culture is
• - a shared system of meanings 
• - relative. There is no cultural absolute.
• - learned
• - about groups  
• What culture is not
• - right or wrong
• - inherited
• - about individual behaviour
• (Source Lisa Hoecklin Managing Cultural
  Differences)

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Culture as an onion - Hofstede
Symbols
Heroes
Rituals
Expressions of culture
Values
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Culture Basic problems/cultural orientations

• Dealing with uncertainty
• What's action - deed or speech
• Appraising oneself How to
  schedule tasks
• Why act? Is time money?
• How to treat unknown people
• How to
  deal with rules
• Relying on oneself or other
  Appraising others
•   How to deal with physical space
• Relating the individual to the group
• Self-reliance vs.
  Dependence
• (Source Usunier Lee tables 2.1, 2.2, 3.1,
  3.2, 3.5)

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Simon Anholt on Culture
"It seems clear to me that the marketing and
advertising industries' persistent failure to see
culture as their biggest challenge - or a failure
to understand that culture has anything to do
with international marketing and advertising, or
even a failure to acknowledge that cultural
differences actually exist - is the main reason
why, historically, there have been so many more
failures than successes in international
marketing programs, and why international
advertising campaigns are so often
disappointing".   Anhalt in Another one Bites the
Grass (p. 53)
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Usunier and Lee, chapter 4

• Usunier and Lee basically uses consumer behavior
  (cultural differences) as an argument against
  standardization.
• Although global convergence seems undeniable,
  some basic traits of local consumption experience
  will tend to resist to change. (p. 84)
• The cross-cultural approach to international
  marketing that is presented in chapters 4 to 7
  should enable future international marketers to
  understand local consumer behaviour in its full
  complexity. (p. 84)

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Usunier and Lee, chapter 4
The ethnic consumption perspective applies
specific theories but assumes consumers are
universal.
The global perspective assumes both universal
theories and universal consumer insight from the
market

• Consumer behaviour theories
• Universal (etic) Specific (emic)
• Consumers Universal (1) Global perspective (3)
  Ethnic consumption perspective
• Its purest form
• Rarely found except in Levitt
• Specific (2) Imported perspective (4)
  Cultural meaning perspective
• Offerings tailored to the local
• markets but the basic underlying
• theories are not changed
• The etic approach is primarily The emic
  approach holds that concerned with
  identifying universals. attitudinal or
  behavioural phenomena
• are expressed in a unique way in
  each culture.

The cultural meaning perspective applies specific
theories to specific consumers.
The imported perspective assesses consumer
insight assuming universal theory.
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Usunier and Lee, chapter 4

• researchers in other cultures to study their
  own reality rather than to replicate American
  studies. (p. 87)
• we will progressively move towards questioning
  the cross-cultural transposability of CB
  theories. (p. 87)
• Although there is evidence of convergence of
  economic systems, there is no evidence of
  convergence of peoples value systems. On the
  contrary, there is evidence that with converging
  incomes, peoples habits diverge.
• (de Mooij in Usunier and Lee p. 87)
• It is important to know what one is looking for
  similarities or differences. Both exist it is
  just a matter of being clear about which models
  one applies those that let differences emerge or
  those that favour the discovery of similarities.
  This corresponds with the etic (universal)
  approach and the emic (specific) approaches. (p.
  87)

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Usunier and Lee, chapter 4

• Some essential points of cultural influence on
  consumer behaviour
• Hierarchies of needs, which shape demand across
  product categories.
• Culture-based values, especially individualist or
  collectivist orientations, which influence
  purchasing behaviour and buying decisions.
• Institutions, which influence consumer behaviour,
  given that most consumption is rooted in social
  life, a large part of which is institutionalized.

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Possible impact of cultural differences on some
aspects of consumer behaviour (Usunier, table
4.2)

•        Age
•       Self-concept
•         Group influence
•         Social class
•         Perception
•         Motivation
•         Learning and memory
•         Sex roles
•         Attitudes change
•         Decision making
•        Purchase
•         Post-purchase

Example SIS-6 students and product X?
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Keys to international marketing communication
success?

• A thorough understanding of consumers and their
  behavior.
• BUT where do we start?
• Making cultural knowledge/awareness operational
  is it even possible?
• BUT where do we start?
• Convincing others about the importance of e.g.
  culture
• BUT where do we start?

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On marketing communication!

• Jeg konfronteres med en masse postulater om
  ting, der kan gøre mig lykkelig. Dem forholder
  jeg mig til. Jeg analyserer postulaterne. Jeg
  evaluerer de nye reklamer. De er en stor del af
  gadebilledet. Og jeg lærer noget om dem, der vil
  sælge mig noget. Det er bare interessant. Jeg
  lærer hvad de mener er attraktivt. og det
  foreholder jeg mig til. Jeg forholder mig til
  reklame som en slags kunst Et maleri, et
  fotografi, et budskab, en historie. Det er vore
  dages eventyr.
• (Source firstmove 2004)

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