Sunday, October 26, 2014

Crossing Borders: Cultural Differences in Marketing

So you have got your products or services settled in the domestic market and plan to venture into international market place.

Would you use the same marketing mix (product, price, place, & promotion) and strategies that you have developed for the domestic market and apply them to the global market?

The answer should be a resounding no.

When attempting to create a presence in international markets, it is vital to be aware of others' cultural sensitivities and develop marketing campaigns that are in line with the cultural norms of the target international markets. Local market knowledge will undoubtedly come in handy when competing with local companies armed with a vast array of information on the markets and customers.

Cultures are not static and they typically evolve over time. Global marketers must understand the target country's existing and emerging cultures, customs, and needs in order to devise marketing strategies that are tailor-made for that specific market. Failure to do exactly that results in a series of embarrassing marketing blunders. 





For example, did you know that the name of the baby food company Gerber means vomiting in French?













General Motors Body by Fisher means Body by Corpse in Japanese.









"Let Hertz Put You in the Driver's Seat"  is translated into "Let Hertz Make You a Chauffeur" in German.









Number 7 means bad luck in Kenya while it means good luck in Czech Republic.


Individualism is one of the defining characteristics of most Western countries such as the United States of America, the United Kingdom, and Australia. On the contrary, countries such as Japan, Korea, and India tend to be more collective.

Research. Research. Research!

Thus, it is essential to do a thorough research on the customs and business etiquette of prospective international market. Enlist the help of local representatives if necessary to fully grasp the understanding of the target international market, its cultures, historical values, and customers' attitudes.

Before committing to the full-blown international expansion, be sure to test the water with focus groups. Evaluate the results of focus groups and make adjustments to the marketing campaign and strategies accordingly.

Research on close competitors who may already be present in the territory. Analyze their strategies and learn from their mistakes. Incorporate what you have learnt into decision making and develop the best possible version of international marketing campaign and strategies.

The video below is an brilliant example of a company that successfully comprehends the importance of cultural differences in marketing.

HSBC is the world's second largest bank, based in the United Kingdom. Dubbed themselves as "The World's Local Bank", its Different Values campaign effectively portrays different cultural values of various countries.



“Through our campaign, HSBC challenges people to address their own values and discover what drives and motivates them in their daily lives. And through this journey it is our belief that what we learn from one customer will help us to better serve another.”


MAY MANDY HAN

Source:
Consumer Behavior: Building Marketing Strategy 12th Edition, Del I. Hawkins & David L.Mothersbaugh

2 comments:

  1. Excellent post! Many people have difficulty learning the proper cultural responses for their very own community, much less from a global perspective. This topic needs to be integrated into education systems today.

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  2. Wow, all of this information is very good. I am also willing to try out the Heymarket app for do it yourself bulk sms campaigns for the growth of my business. I know that it is an affordable option but it will be great if you could share some decent options to manage these campaigns more professionally.

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