global marketing
global marketing
Global marketing The Oxford University Press defines global marketing as “marketing on a worldwide scale reconciling or taking commercial advantage of global operational differences, similarities and opportunities in order to meet global objectives.” Global marketing Advantages and Disadvantages Advantages Economies of scale in production and distribution Lower marketing costs Power and scope Consistency in brand image Capability to leverage good ideas swiftly and efficiently Uniformity of marketing practices Helps to establish relationships outside of the “political arena” Helps to encourage ancillary industries to be set up to cater for
The needs of the global player
The benefits of marketing over traditional marketing
Reach
The nature of the world wide web means businesses now have a truly global reach. While traditional media costs limit this kind of reach to large multinationals, marketing opens up new avenues for smaller businesses, on a much smaller budget, to access potential consumers from all over the world.
Scope
Internet marketing grants the marketer to reach consumers in a wide range of ways and enables them to offer a wide range of products and services. E-.Marketing includes, among other things, information management, public relations, customer service and sales. With the range of new technologies becoming acquirable all the time, this scope can only grow.
Interactivity
Whereas traditional marketing is largely about getting a brand’s message out there- marketing facilitates conversations between companies and consumers. With a two way communication channel, companies can feed off of the responses of their consumers, making them more dynamic and adaptive.
Immediacy
Internet marketing is healthy to, in ways never before imagined, wage an immediate impact. Envision you’re reading your favorite magazine. You see a double-page advert for some new product or service, maybe BMW’s latest luxury sedan or Apple’s latest I Pod offering. With this kind of traditional media, it’s not that easy for you, the consumer, to take the step from hearing about a product to actual acquisition. With e-Marketing, it’s easy to make that step as easy as possible, meaning that within a few short clicks you could have booked a test drive or ordered the Pod. And all of this can happen regardless of normal office hours. Effectively, World wide web marketing makes business hours 24 hours per day, 7 days per week for each week of the year. By closing the gap between providing information and eliciting a consumer reaction, the consumer’s buying cycle is speeded up and advertising spend can go much further in creating immediate leads.
Demographics and targeting
Generally speaking, the demographics of the World wide web are a marketer’s dream. World wide web users, considered as a group, have greater buying power and could perhaps be considered as a population group skewed towards the middle-classes. Buying power is not all though. The nature of the World wide web is such that its users will tend to organize themselves into far more focused groupings. Savvy marketers who know where to look can quite easily find access to the niche markets they wish to target. Marketing messages are most effective when they are presented directly to the audience most likely to be interested. The World wide web creates the perfect environment for niche marketing to targeted groups.
Adaptively and shut loop marketing
Closed Loop Marketing requires the constant measurement and analysis of the results of marketing initiatives. By continuously tracking the response and effectiveness of a campaign, the marketer can be far more dynamic in adapting to consumers’ wants and needs. With e marketing, responses can be examined in real-time and campaigns can be tweaked continuously. Combined with the immediacy of the World wide web as a medium, this means that there’s minimal advertising spend wasted on less than effective campaigns. Maximum marketing efficiency from Marketing creates new opportunities to seize strategic competitive advantages. The combination of all these factors results in an improved ROI and ultimately, more customers, happier customers and an improved bottom line.
Disadvantages Differences in consumer needs wants and usage patterns for products Differences in consumer response to marketing mix elements Differences in brand and product development and the competitive environment Differences in the legal environment, some of which might conflict with those of
The home market
Differences in the institutions available, some of which might call for the creation
of entirely new ones (e.g. infrastructure)
Differences in administrative procedures Differences in product placement.
