Intercultural Communication in Business (8) Marketing Implications of Cultural Issues

Transcription

1 Intercultural Communication in Business (8) Marketing Implications of Cultural Issues

2 Culture, Globalisation and Marketing In the era of globalisation, and global marketing strategies in particular, there is still a number of issues that remain very sensitive to the culture of local markets. Marketing communication probably the most visible aspect of marketing is one of those issues. Even within a global marketing approach, it is primarily the communication strategy that is most likely to be adjusted to the cultural specifics of local markets.

3 Culture and Marketing Communication The aim of marketing communication is to influence the attitudes and purchase behaviour of consumers related to a particular product, product category or firm. This is done through encoded messages which use different symbols, archetypes, stereotypes, value oriented references, and other culturally highly specific attributes. The main purpose of adjusting the marketing communication to a local market s culture is thus to ensure better effectiveness in addressing the local market.

4 Approaches to Marketing Communication in the Globalised World Global communication approach Differentiated communication approach Individualized communication approach

5 Global communication approach Global communication approach ignores cultural differences between markets, and instead, implements universally comprehensible communication messages. This approach is limited to use of those communication and creative techniques that are supposed to be perceived equally across cultures. However, it is very difficult to create a universal communication strategy that would be effective, and at the same time understood by the whole market.

6 Differentiated communication approach Differentiated communication approach respects cultural differences between countries and clusters them into culturally compatible groups. Consequently, it implements different communication messages for each cluster. Since the clusters are formed on the basis of cultural sameness, it is assumed that people from one cluster share similar cultural norms and values and therefore are susceptible to the same type of communication messages. This approach is commonly implemented in the European market, where we can identify basically six cultural clusters (Western countries, Scandinavian countries, Central Europe, Eastern Europe, South Europe and Balkan).

7 Cultural Clusters Within Europe

8 Individualized communication approach Individualized communication approach adjusts a communication message to the cultural specifics of local markets in individual countries. In many cases the use of the individualized communication approach is provoked by a concrete situation in the particular local market (such as strong local competitors, big size of a market with unique cultural characteristics, etc.).

9 Basic Elements of the Marketing Communication Program (1) Creative strategy What to say? To whom? How to say it? (2) Media strategy Where to place the message? When to communicate? Which media pressure to use? (GRP) It is within the creative strategy of the marketing communication program where the cultural issues are mostly manifested.

10 Main Influences on the Creative Strategy of Marketing Communication Program Culture Economic situation Target market Product Competitors strategies Previous communication campaigns

11 Cultural Aspects of the Communication Strategy Symbols Stereotypes Archetypes In-groups/Out-groups Heroes, Ideals Context Style

12 Creative Tactics in the Marketing Communication Creative tactics the way in which the communication message is encoded and presented to a target audience. Comparison Facts Emotions Metaphor Hyperbola Humour Sex Chock Moderator Testimony Life style Specialists Celebrities...

13 Creative Tactics Sensitive to Cultural Issues Metaphor Hyperbola Humour Sex Chock Risk not to be understood Risk to be rejected

14 Example Creative tactics HUMOUR

15

16

17

18

19 Example Creative tactics SEX

20

21

22

23 Example Creative tactics HYPERBOLA

24 Example Creative tactics CHOCK

25 Example Creative tactics EMOTIONS

26 CASE STUDY Global Brand vs. Local Brand Coca-Cola vs. Kofola on the Slovak market

27 Coca-Cola Cola vs. Kofola Coca-Cola One of the world known global brands founded in 1886, with local operations in over 200 countries around the world. Kofola A traditional Slovak and Czech brand founded in the former Czechoslovakia in 1962, with local operations in four Central European countries (Slovakia, Czech republic, Hungary, Poland) and exportations to other two countries (Slovenia and Croatia).

28 Brief History of Coca-Cola Cola vs. Kofola Story on the Slovak market 1990s invasion of Coca-Cola brand to the Slovak market, becomes leader at soft drinks soon. Kofola has problems with production and financing, almost disappears from the Slovak market Struggles for the ownership of Kofola brand Kofola, a.s. established Kofola reenters the Slovak market Kofola broadens its product portfolio at soft drinks and opens new production factories in neighbour countries Kofola introduces a huge marketing campaign Kofola becomes a leader at soft drinks on the Slovak market. Coca-Cola lowers substantially the price of Coca-cola drink Coca-Cola reacts with individualized communication strategy Kofola is still No. 1 brand at soft drinks on the Slovak market.

29 Kofola Brand

30 Strengths of Kofola Brand s s Image Perceived as a traditional national brand to be proud of Perceived as a product of good quality (based on natural ingredients herbs, fruits and coffee extract) Perceived as a healthier product in comparison to Coca-Cola (less sugared, does not contain phosphoric acid) Available in pubs as a draught drink

31 Communication Campaigns of Kofola Brand (Slovakia), If you love it (her) there is nothing to solve

32 Individualized Communication Campaign of Coca-Cola ola Brand (Slovakia), 2005 Coca-Cola Cola for Everybody

33 Slogan: For all from Tatras peaks to Bratislava castle Coca-Cola for everybody

34 Slogan: For my Bratislava Coca-Cola for everybody

35 Slogan: For my Košice Coca-Cola for everybody

36 Slogan: For my town Coca-Cola for everybody

37 Coca-Cola Cola for Everybody For my friends, for my family, for individualists, for the whole teams, for fans, for beautiful Slovak girls, for those who love and don t love, fore those in love, for the ex-, for minimalists, for maximalists, for those who are responsible, for those who wish to know more, for originals, for you and for me, for all from Tatras peaks to Bratislava castle, for the whole Slovakia, for us, for everybody.

38 Coca-Cola Cola for Everybody Communication goal: To achieve the image of an international brand which understands needs of the local market. Communication strategy: To create an emotional closeness between the brand and the local market. Global communication message: For everybody ( Para todos Argentina) Local communication message: From Tatras peaks to Bratislava castle For my Bratislava, For my Košice, For my town

39 Coca-Cola Cola for Everybody General values of the local market compatibles with the brand identity: Friendship, family, responsibility, honesty Specific values of the local market: Tatras, beauty of Slovak girls, achievements of Slovak sportsmen Intercultural aspects of the communication strategy: To create a locally communicating campaign while not violating traditional elements of the brand s image.

40 How to address local markets in the era of globaliasation? Knowledge and understanding of cultural specifics of a local market (values,norms, taboos...). Adjustment of marketing mix variables to the local market (marketing communication, distribution, price). Use of the symbolic language that is comprehensible for the consumers of the local market (symbols, aspirations, ideals, heroes...).