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Liberalization and the dawn of Digital
Marketing compelled conglomerates
aspiring universal leadership
to conceive radical strategic
facets in their marketing practices and
philosophies. The buzz “GO GLOBAL” was
phenomenal, and thereby its impulse, that
many marketers overlooked the eminence of
the basic law that: “though the products are
global, the markets are local.” The dynamic
process of globalization forced the imprudent to recoil and scripted success for the
innovators, the ones that made the best &
most are the ones which became glocal.
Glocalization is a strategic route adopted
by organizations determined to lead and
conquer markets beyond their cultural and
geographical boundaries. Organizations
that have managed to efficiently align and
synergize their core global vision vis-à-vis
their cross border market specific visions
and mission have achieved leadership not just locally but globally. The best example
one could cite for Glocalization is that of
Mc Donald, which had stood all the challenges,
yet managed to stick to its globally
standardized menu, but see how they did
sell local? The Big Mac of America has become
the Maharaja Burger in India, to keep
in tune with the culture in India, Mc Donald
doesn’t sell any Beef or Ham products.
The loudest glocal communication of
all was done by HSBC: “The World’s Local Bank”. They say that it defines the distinct
personality of the brand. It took HSBC a
worldwide research to understand that
though people value international products
and services, they question the global model,
and buy products that relate to them as an
individual in their “bound rationality”.
One would much admire and appreciate
the global brands around, but when it comes
to buying-in, one would always go in for a
nearer brand. HSBC, through its campaign,
not only did overcome this hindrance in the
consumers mind, but also effectively created a difference between itself and even
the other global brands.
Glocalization is practiced at multiple
levels. In the category of Low involvement
purchases & impulse purchases, Glocalization
can be limited at the level of communication.
Take for example Coke. Global
brand, global taste, global communication
differentiated with local language. The
Classic Coca Cola Enjoy! Ask anyone to
think of few global brands, and I bet Coke
would be among the top five. Pepsi, though
a global brand, it is surely not supported by
its global communication strategy, but by its
positioning worldwide. “A Brand that stands
for nothing, can fall for anything” has been
an effective mantra, for which brands have
been aggressive enough to capture mind
space of their respective targeted customers.
But, the impact
of Glocalization is so
much that even positioning
is also going
the glocal way. Look
into the recent past
advertisements of Coca Cola, yes, it’s less
of ‘Coca Cola Enjoy’, but Thanda Matlab
Coca Cola, which has been shot with Aamir
Khan, posing in different cultures, as a Hyderabadi,
Punjabi, Lucknowi, Bombay-Bhai
and as a Gorkha as well.
If one should take a look at the recent campaign of Mc Donald’s “I’m loving it,”
combined with the “reasons to make a bahana,”
no doubt it wouldn’t strike someone
who hasn’t heard of Mc Donald that it is a
firang brand, (except by its name)! Rather,
one would be looking at the fellow consumers
enjoying it-
Indian ishtyle. More
so, with the Pizza
Hut range of pizzas.
Who in blessed Italia
would have conceived
the concept
of Tandoori Pizza
or Pan Hindustani
Pizza? To make it
more effective, it
was complemented by aggressive advertising
showing the experience of Pizza at an
ecstatic Indian marriage. I hope it is very
interesting to notice how the global brand
has become a glocal one here. ‘Pizza’ which
was a new concept, first tried its customization
of product, then tailored an appropriate
desi (local) campaign, but one gap was
left unfilled: The price distance. To cover
this up, soon there was “Pachas ka Pizza,”
which means Pizza for 50 (Rupees) is still
yielding results. A perfect illustration of the
Law of Marketing: “Price sensitivity and the
perceived Utility/Value of a product play an
extremely ‘make or break’ role”.
Effective positioning
elements to
make the best impact
and the maximum
results can be
identified from national
players’ advertisements. ICICI, for one
had much impact by associating its insurance
packages with ‘sindoor’ (vermillion).
It not only registers in customers mind,
but because of the value it holds generates
the necessary impact the marketer wants
to make. Chevrolet for one had associated Optra (a high-end product in India) with
Karva-Chouth which probably didn’t work
the magic as must have been expected. Reasons?
The market knows! On questioning
about a serious issue in marketing, a Marketing
consultant, who also served as a Marketing
head at one of
India’s largest FMCG
Company said “The
research undertaken
by professionals today
is not one with
depth and more importantly
sincerity.
Frank Brown, the
President of MTV
Asia had also acknowledged
the fact that the success of the
channel could be attributed to the use of
local and international cultures to captivate
audiences. Roland Robertson, the sociologist
who made the word “glocal” famous
emphasized “the tempering effects of local
conditions on global pressures”. Why
then do companies ignore this rule when
going global, but local somewhere? Companies come up with many new and creative
campaigns, but very few make an effective
advertisement. An effective ad being
one which suceeds in “getting the message
across” or “obtaining the expected feedback
from the targeted group or market”. Many
case studies have been compiled on industry
experiences with failures and glorious
successes of marketing. Many in the list of
failures show how multinational and global
products have failed in local or domestic
markets. Observers sigh at the causes, and
neo-professionals ridicule at the reasons.
Why? The reasons are very elementary.
The marketer, when going global, must
make a pitch and test its validity and relevance
in every locality of the domain. Going
global might not take much effort. But, going
glocal means a lot of responsibility.
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