Research Problem
While globalization affords companies may opportunities, it also creates some challenges due to the existence of global consumer segments. Consumer cultures have emerged with unique consumption-related values, leading to the need for companies to create relevant marketing and advertising models. Global companies have the challenge of understanding the customers and using the most appropriate advertising model to market to the emerging type of customer.
Research Theory
The researchers used a semiotics theory, which is a hypothesized positioning framework focusing on the application of verbal, thematic, and visual symbols (such as colors, shapes, and materials) when advertising. The theory also relates to meaning transfer related to the product or service marketed to local, national, and global consumer culture. Signs provide relevant meaning when marketing to a highly segmented consumer culture, like evident in the modern global marketplace. Thus, theory helps to study signs and their meanings to support their application in global brand positioning in marketing.
Methodology
The authors addressed the question about whether companies can use brand positioning strategies to advertise their products to take advantage of global market growth. They explored the role of the emerging global consumer culture positioning and its importance in global brand positioning strategies. The researchers proposed operationalized and tested global consumer culture positioning (GCCP) as a new construct.they tested the validity of the new construct using in-depth coding. The new construct associated a brand with symbols that people understand and recognize as part of a global consumer culture. Therefore, they would establish whether it can be useful in brand positioning when advertising to the global audience.
Hypotheses
The authors tested eight hypotheses to understand global consumer culture positioning and the role in marketing to a global audience:
“Hi: LCCP (local consumer culture positioning), FCCP (foreign consumer culture positioning), and GCCP (global) consumer culture positioning are meaningful positioning constructs in television advertising” (78).
“ H2: LCCP will be used more frequently than FCCP or GCCP as the brand positioning strategy in television advertising”(78).
“H3: GCCP will be identified less frequently in television advertisements in the United States relative to advertisements in other countries”(78).
“H4: LCCP will be identified more frequently in television advertisements in the United States relative to advertisements in other countries”(78).
“H5: Television advertisements using GCCP will more frequently use indirect, image-oriented content approaches (soft-sell) than direct, strong message argument appeals (hard-sell)”(79).
“H6: GCCP will be used least frequently in television advertising for food products and most frequently for durable, high-technology goods, with household, personal care, and low-tech durable consumer products in between”(79.
“H7: LCCP will be used most frequently in television advertising for food products and least frequently for durable, high-technology goods, with household, personal care, and low-tech durable consumer products in between”(79)
“H8: LCCP will be used more often in television advertising for services than for goods”(79)
Instruments
The only instrument that the researchers used in the study were coding forms to conduct the in-depth coding procedures. A native coder used a standard coding form that was translated when necessary. The coding instrument was necessary since the study was a cross-cultural research.
Sample
The authors conducted two sampling steps, that of national cultures and sampling advertisements within country. Using Hofstede’s (1980) cultural dimensions,the researchers sampled seven countries, representing western and Asian cultures: “India, Thailand, Korea, Germany, the Netherlands, France, and the United States” (79). to sample advertisements within country, the researchers used randomized cluster sampling of national-brand TV advertisements. For most countries, the sample was between 175 and 200 national-brand TV ads.
Findings
The findings revealed that the new construct,global consumer culture positioning (GCCP), was valid in global advertising. The findings also indicate a significant percentage of TV ads use global consumer culture positioning (GCCP) rather than local consumer culture positioning or foreign consumer culture positioning. Thus the study supported the hypotheses that indicated the positive role of positioning brands or products as global instead of local to succeed in the global marketplace. The culture-based brand positioning concept is helpful in understanding the efficacy of global positioning to sell to the emerging global audience.
Implications
Managers can use findings from the study to change or create a new brand positioning strategy for the global consumer. The information could be useful in identifying the target culture, product category, and consumer segment that will provide the highest returns from the global marketplace. Managers should understand that the approaches they use in the local market could differ considerably when dealing with the global customer due to cultural implications.
Future Research
The study indicate various areas for further research. First, a research is necessary to refine measures for assessing positioning types, such as adding coding measures. Secondly, additional research could increase the sample of ordinary consumers to validate the findings. Thirdly, further research could help to deal with confounding variables, such as between product and positioning type. Fourthly, future research should consider modelling higher order interactions, which was limited by the sample.
Reference
Alden, D. L., Steenkamp, J. B. E., & Batra, R. (1999). Brand positioning through advertising in Asia, North America, and Europe: The role of global consumer culture. Journal of marketing, 63(1), 75-87.
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