Discuss the role of Advertising in the International Marketing Process.
Advertising is playing an important role in the international marketing process. According to Keegan there are following reasons for international advertising’s growing popularity:
International campaigns at least to management’s conviction that unified themes not only spur short term sales but also help build long-term product identity and offer significant savings in production costs.
The potential for effective global advertising also increases as companies recognize and embrace new concepts such as product cultures.
International advertising also offers companies economies of scale in advertising as well as improved access to distribution channels. Through advertising a company convinces retailers to carry its products rather than those of competitors. A global brand supported by global advertising will be attractive.
Advertising has become an essential marketing activity in the modern era of large scale production and serve competition in the market. The role of advertising in the international marketing process discussed as under:
Promotion of Sales: It promotes the sale of goods and services by informing and persuading the people to buy them. A good advertising campaign helps in winning new customers both in the national as well as in the international markets.
Introduction of New Product: It helps the introduction of new products in the market. A business enterprise can introduce itself and its product to the public through advertising. A new enterprise can’t make an impact on the prospective customers without the help of advertising. Advertising enables quick publicity in the market.
Creation of Good Public Image: It builds up the reputation to the advertiser. Advertising enables a business firm to communicate its achievements in an effort to satisfy the customers needs. This increases the goodwill and reputation of the firm which is necessary to fight against competition in the market.
Mass Production: Advertising facilitates large-scale production. Advertising encourages production of goods in large-scale because the business firm knows that it will be able to sell on large-scale with the help of advertising. Mass production reduces the cost of production per unit by the economical use of various factors of production.
Research: Advertising stimulates research and development activities. Advertising has become a competitive marketing activity. Every firm tries to differentiate its product from the substitutes available in the market through advertising. This compels every business firm to do more and more research to find new products and their new uses. If a firm does not engage in research and development activities, it will be out of the market in the near future.