What is advertising? It is a paid-for communication through media such as television, newspapers or radio. Most advertising can be categorised as either informative or persuasive, or a combination of the two. Advertisements can be seen on billboards, buses, television, the internet, etc. They are usually put in areas where members of the public can easily see/hear and access the advert. Advertising spending is on the rise, as study a show that in the US, $155billion was spent on advertising during 2006 alone. A review built by the accounting firm PriceWaterhouseCoopers that same year stated that the worldwide advertising expenditure was at $385billion. What is Global Advertising? Terminology such as international, global, export and multinational has caused some problems when mentioned along with advertising. Some of this is due to the facts that that some organisations produce and market their products in a range of countries and have some form of subsidiaries there. This has caused some of them to focus solely on export from their home country or the country of manufacture, some companies perform their marketing abroad largely through franchisees and licensees; whilst some engage in both forms together. Global advertising is therefore defined as the advertising activities of any profit or non-profit organization in more than one country. (http://en.wikipedia.org/wiki/Advertising#Global_advertising)
Factors That Affect Global Advertising
Standardisation Vs Customisation
This is a problematic issue that organisations face whether to standardise their advertisements to a single message for all the countries they advertise, or try and adapt them in so they can be tolerated and meet the requirements of the variety of markets globally. Standardisation
Standardisation is about considering the world as one whole market, ignoring the fact that there could be cultural, national and regional differences, and advertising a company’s message in the same manner in all countries. By doing this they are targeting similar consumers in each state, all with similar buying trends and attitudes. There are a few advantages of this approach, one being that it doesn’t need that much if any advertising research in comparison to customisation, which in turn is cheaper to manage, and requires less work to be done overall. This means that one message is used to transpire a company’s message. Arguments that are for this include: -In recent times the world seems to be adapting to similar lifestyles and behaviours. This is very common in developed countries. However, countries like India and China have even adapted to more westernized living traits, especially in their main developed cities. This shows that in International Marketing, people’s lifestyles and behaviours are important factors to consider. The world’s population is now seemingly becoming more and more similar in terms of living traits, especially in the more developed countries, which could come to benefit marketers where they can market similar products and services without having to tailor it. -The world we live in continues to urbanise, so more and more people are moving from bucolic areas into cities to work. This allows them to implement similar attitudes and lifestyles to each other, even though they may live in different states. This again shows that people are now moving out of rural areas to cities, where they work in similar environments to people all around the world. The world is becoming similar in this aspect and in terms of International Marketing; it shows that marketers consider this a beneficial as people are now more likely to develop similar trends. -Media has now become much internationalized, which has in turn given people similar outlooks, even though they live in different countries. The youth culture, for example, is similar across different countries. This is because they all...