Updated im c8 accaca

CHAPTER 8

PROMOTION &
MARKETING
COMMUNICATION

VU THN



Table of Contents

01
02
03
04

Export marketing promotion
and communication decisions
Alternative techniques of
promotion
Standardization or adaptation?

Ethics


INTRODUCTION
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•
•
•

•
•
•
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Communication greatly affected by culture so international promotion more
complex
Social, political and economic contexts influence promotional activities
Same promotional mix elements used, but may have different importance in
different countries
Sophisticated communication tools might not be appropriate in some markets
Brands as story tellers (brand narrative)
Growing importance of digital and social media across markets
Rise of Brand Journalism
Storytelling


1 EXPORT MARKETING PROMOTION
& COMMUNICATION DECISIONS

The promotion decisions
● What messages?
● What communications media?
● How much effort or money to spend?


Personal selling
to communicate primarily face-to-face with prospective customers

Advertising

a nonpersonal presentation of sales messages through various ‘mass’
media, paid for by the advertiser

Sales promotion
sales activities, which supplement & strengthen personal selling & advertising

Publicity

news about a company or its products that is reported by some media, and is not
paid for by the company


1.1 A CONCLUDING
COMMENT

One world, one voice?
1. Requirements for effective comms are
fixed and don’t vary from country to
country
2. Does the use of digital media make
standardization easier
3. Communication process the same BUT
- Message may not get through
- May reach target, but not understood
- May not compel target to take action
- Effectiveness impaired by noise
(Keegan & Green, 2013)


2.1 PERSONAL SELLING

The actual
selling activity

Customer
relations

The communication of
product information to

The salesperson must at
all times be concerned

customers, and
obtaining orders.

with maintaining &
improving company’s
position with customers
and the general public.

Information
gathering and
communicating
The salesperson is often
able to provide
information that might
be useful in planning
advertising and trade
promotion programs.

2.2 SALES PROMOTION
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•

•

Can global brands run standardised campaigns?
Tends to be used locally [tactically] by companies in order to
achieve short term objectives.
May also be used to support advertising campaigns (which may
have longer-term objectives)


2.2 SALES PROMOTION

Nonprice promotion
Free samples
Buy 1 get 1
Premiums
Contests
Sweepstakes

Price promotion
Price reduction
Coupon
Mail-in refund


2.2 SALES PROMOTION

Consumer sales promotions are designed to make consumers aware
of a new product, to stimulate nonusers to sample an existing
product, or to increase overall consumer demand.
Trade sales promotions are designed to increase product availability
in distribution channels


2.2 SALES PROMOTION
• Often the responsibility of local or regional management
• Will the offer work from a cultural perspective?
• Are retailers willing and capable of supporting promotion
• Laws differ – regulations very fragmented
• Regulation of competitions, free gifts, coupons


2.2 SALES PROMOTION

Pringles festival promotion
increases EMEA sales

Berry White gives a donation from every
bottle sold to Global Angels charity


2.3 FOREIGN CATALOGS
• Create interest and attract readership.
• Mirror the personality of the manufacturer or exporter.
• Carry the reputation of the manufacturer or exporter into world

markets.

• Make buying easy.
• Create the desire for ownership.
• Supply all the facts that a salesperson would present in person.


2.4 SAMPLES
• Direct sampling (mail, express or

courier)
• Residential agents
• Branch office managers
• Traveling sales people

⥤ need to look at national regulations


2.5 HOUSE ORGAN AND COMPANY-PUBLISHED
MAGAZINES
• Publications provide company, distributor, or agent personnel with

knowledge of the success of other distributors or agents.
• A vehicle for promotional ideas, company news, the results of contests,

employee commendation, important device to stimulate enthusiasm
and effective sales performance abroad.


2.6 FILMS, SLIDES, AND
PERSONAL COMPUTERS
• Motion picture, video tape, DVD

• Advantages: buyers are often willing

to take the time to watch, not to
spend the same amount of time
listening to a conventional sales talk.


2.7 TRADE FAIRS AND EXHIBITIONS
2 types:
(1) the broad, general-type, well-established annual affairs
(2) the specialized type, for products in specialized groups or
industries
Some elements of the process at a trade fair
(1) gathering names;

(2) demonstrations;

(3) prizes;

(4) client promotions.


2.8 INTERNATIONAL PR
“strategic communication process that builds mutually beneficial relationships
between organizations and their publics.”
•

Increasing need for organisations operating globally to use PR to manage
reputation

•

$14 bn. Industry revenue in 2018 (Statista, 2018)

•

Top 7 players $5.7 bn.

•

More stakeholders than domestic environment, groups vary across countries

•

Culture has great influence on PR

•

Foreign firms have to face nationalism

•

“Corporate diplomacy”


2.8.1 PR TRENDS
Fake News Frenzy Escalates
•

Recognize the pressure that journalists are under.

•

Be specific in terms of quotes, citing all sources, and being hyper-vigilant when it comes
to figures and statistics.

Storytelling and Relationship Building Become Priorities
•

Expand your net, reaching a diverse set of partners who can help scale your stories.

PR Professionals Will Play a Broader, Deeper Role
•

Create content across multiple channels to expand and deepen your reach.

•

Use the power of storytelling throughout your organization to personalize your content.
Deepen your communications with visual, video, and voice content tailored to your

•

audience.


2.8.2 TARGET GROUPS FOR INTERNATIONAL PR
REGIONAL
GROUPINGS
SUPPLIERS

CUSTOMERS
EMPLOYEES

GOVERNMENTS
GENERAL
PUBLIC
FINANCIAL
MARKETS
SHAREHOLDERS


2.8.3 GLOBAL PR TOOLS
Global PR

Website

Social Media

Corporate
Advertising

Corporate
philosophy

Spokesperson

Corporate
philanthropy

Conferences

Media
Relations

“When people want to criticise
something, they will attach that criticism
to the biggest company they can find.”
(Knight, n.d.)

Sponsorship

Government
Relations


“We are a PR agency, but that doesn’t
mean we just do media relations. PR is
now a much wider discipline than that. It
includes many different channels of
communication and many different
influencers through which we can tell
your story”
(Berkeley Communications, 2018)


UNILEVER GLOBAL PR
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Brands include Dove, Lipton, Magnum, Persil and Vaseline
PR spend approx. $35 mill
2009 decision to centralise
“to ensure consistency of pricing, work and quality of ideas”
Global media agency review 2015
Unify global spreads business

“dramatic changes” to the media landscape and how it is transforming the way
people connect with our brands” (Di Como, n.d.)


2.8.4 INTERNAL
COMMUNICATIONS
●

Internal communications

●

Employee engagement

●

Use of storytelling and narrative

●

Channels – corporate TV, magazines,
posters, emails, social media, blogs,
intranet, face-to-face ……

(Lipiainen, Karjaluoto & Nevalainen, 2014)


“Internal communication is among the fastest growing
specializations in public relations and communication
management”
(Tkalac Vercic, Vercic & Sriramesh, 2012)