Global Branding Strategies 5e6l13

Branding for Global Markets & Competing with

Foreign Brands Presentation by G.Sathish

Global Brands ? “A mechanism for achieving competitive advantages by firms in the global market,through ”

differentiation

Brands that consumers can find under the same name in multiple countries

Differentiation..!!

Global Brand Strategy 12 Commandments of Global Branding 1. Define your brand It starts with your authenticity, the core purpose, vision, mission, position, values and character. Vision statement: “a personal computer in every home running microsoft software” Mission statement: “our mission and values are to help people and businesses throughout the world realize their full potential”

2.Tie your brand with your business model To maximize the potential within your brand

3.Consistency, consistency, consistency Consistency in your message is the key to differentiate

Contd.. 4. Start from the Inside out Everyone in your company can tell you what they see, think and feel about your brand.

5. Connect on the emotional level Sell people something that satisfies not only their physical needs but their emotional needs.

6. Empower brand champions Award those that love your brand to help drive the message,facility activities so they can be part of the process.

Contd.. 7. Stay relevant and flexible • •

A well managed brand is always making adjustments. Branding is a process, not a race, not an event so expect to constantly tweak your message and refresh your image.

8. Align tactics with strategy Convey the brand message on the most appropriate media platform with specific campaign objectives.

9. Measure the effectiveness Focus on the ROI (return on investment) is the key to measure the effectiveness of your strategies.

Contd.. 10. Cultivate your community To engage customers and create loyalty towards the brand.

11. Keep your enemies closer Keeping your HAWK EYE on your competitors actions.

12. Practice brand strategy thinking Develop the process for creating new choices and ideas.

Advantages of global marketing •

ECONOMIES OF SCALE IN PRODUCTION AND DISTRIBUTION – lower cost that derive from higher volumes in production & distribution

•

LOWER MARKETING COSTS – Unifomity in packaging,advertising,promotion and other marketing communication activities

•

UNIFORMITY – Standardised global marketing program may simplify coordination and provide greater control

•

POWER AND SCOPE – Brand which is widely available may signal that the product is high quality & convenient to use

•

INTERNATIONAL PRICING ADVANTAGES – Firms can fix their same rate of return because the company can make the same profit margin from each subsidiary

Disadvantages of global marketing •

DIFFERENCES IN CONSUMER NEEDS ,WANTS AND USAGE PATTERNS FOR PRODUCTS

•

DIFFERENCES IN THE LEGAL ENVIRONMENT • eg.Sweden prohibits ments featuring childrens

•

DIFFERENCES IN CONSUMER RESPONSE TO MARKETING MIX ELEMENTS

•

Soft drinks

Beer

Bottled water

Australia

111.8

93.0

25.3

Mexico

152.2

48.6

130.0

DIFFERENCES IN MARKETING INSTITUTIONS Rigid & complex distribution system that locks entry of foreign goods in JAPAN.

Competing with Foreign Brands “With brands increasingly crossing international borders via the internet, marketers may need to

fine-tune their

strategies to ensure their brands are

making the most of the global market”

Strategies to compete Globally Build a strong, consistent brand culture

Be borderless in your marketing

Build your brand reputation

Buiding your brand recognition

Make consumers your co-creators

Case study: Cadbury’s

Global

Strategies History •Established in 1824 in Birmingham by

John Cadbury. •Firstly Cadbury was involved in trading of tea and coffee. •It came to India in 1948.

Background •Sugar confectionery (candies and toffees) has the largest share (50%), followed by chocolate, (16%), and bubble gum, (10%). •The chocolate segment is the fastest growing in value (9.8% average annual growth rate) •Cadbury India, Ltd. is by far the market leader, followed by Perfetti Van Melle India, Ltd. and Nestle India, Ltd.

Cadbury’s Brand Image & Reputation

PEOPLE

From age 4 to 50

PERFORMAN CE

Tasty Healthy Consistent Quality

IMAGE

Occasions Casually Success

CBBE Model featuring Cadbury’s High Brand Loyalty, high no. of repeat purchases

High quality packaging, reasonably priced

Well trusted brand, good gifting option

All age groups, celebrations, special occasions, history

Supreme taste and quality

Very High Awareness:

Outcomes of Cadbury’s Global Marketing Strategies Total Confectionery Market holds share of Rs 41 Billion

Urban Consumption: 73%

Sales % in India Amul 18%

Others 14% Cadbury 46% Nestle 22%

Rural Consumption: 27%

Visuals speaks more than words..

Conclusion

“Brand yourself Because it shows your uniqueness”