8 Key Differences Between Global Marketing And International Marketing
- Posted by: GroVine
- Category: Business Growth Strategy, Business Management Consultancy, Global Marketing and International Marketing, Marketing
Among different elements of marketing, Global Marketing and International Marketing are assumed to be same by several marketers around the globe. The terms and definitions of these elements may sound similar but they are actually not.
In Global Marketing, the whole world is a single marketplace and creates products that will only require weeks to fit into any regional marketplace. There is no differentiation between local marketplace and marketplace across the nations. The products in the global market are exactly the same as available in local market, and all over the world.
Examples of Global Marketing is the Audi and Lamborghini cars, which is available in same variants across the globe.
In International Marketing, a specific country is considered as the market place, and marketing strategies are designed to meet the target market space only. In simple words when a company based in one country sells its products in another country it is called international marketing. It is almost like a franchise being built, just in another country.
Examples of International marketing is Sony-Ericsson , and Maruthi Suzuki. The partnership between Japanese electronics and Swedish Telecommunication company, and Japanese automobile and Indian automobile company, respectively.
What are the factors that differentiate Global Marketing from International Marketing?
1. What is offered to the market?
If the product or service offered is same in multiple countries, it is global marketing.
If the product or service offered is tailored to meet the requirements of a group of countries, or specific regions it is international marketing.
2. Who is your marketing team?
If the marketing person works from the company headquarters in collaboration with a diverse set of people in his team, and the team possesses various skill sets collectively, it is global marketing.
If the marketing person hails from the same country as the target market with linguistic and cultural affinity, it is international marketing.
3. What is the marketing budget?
If the marketing budget decision is made and managed by the company headquarters, it is global marketing.
If the marketing budget decision is made and managed by the local team or the subsidiary, it is international marketing.
4. What are the promotional tactics used?
If the promotional materials and ads are in sync with the global audience, it is global marketing.
If the promotional materials and ads are designed to meet the target market, considering some factors such as religion and regional preferences, culture and customs, and so on; it is international marketing.
5. What is the operational autonomy?
In global marketing, the marketing team is in corporate headquarters and manages the end-to-end activities.
In international marketing, the marketing team handles marketing requisites at domestic level.
6. What is the social media engagement?
If a company maintains a single page for all the social media content, then the company follows global marketing.
If a company has specific pages for specific regions for the social media content, then the company follows international marketing.
7. How is the customer engagement?
If the company follows single window for communication and engagement with customers, it is global marketing.
If the company has multiple channels/windows of communication and engagement with customers, it is international marketing.
8. What are the advertisements of the company?
If the commercials of the company are run all over the world, it is global marketing.
If the commercials are run only in specific regions and are customized for the target market, it is international marketing.
What is the importance of Global Marketing and International Marketing?
1. Easy adaption to changes – exposure to the global market lets company visualize the changes and forecast the needs. Hence gets the company is ready to adapt to changes.
2. Opportunity is not missed – Constant touch and focus in the market brings into pitch any opportunity available.
3. Future of marketing – With growing access to internet and presence in social media, global marketing is the future of the marketing.
4. Promotes global cooperation – Global marketing ensures to have an equi-cooperation between countries and hence promotes peace and togetherness.
1. Division of work and specialization – Division of work and focus on the exact requirements allows specialization in particular category of the product.
2. Balances unequal distribution of natural resources – Helps maintain the equilibrium of the natural resources by making available resource to those countries which lack in the availability of such resources.
3. Balance in demand and supply – Maintains equilibrium of the market by creating sufficient demand for products and constant supply of the products.
4. Improves standard of living – Introducing new and sophisticated products into new markets tailored for the requirements of the region, solves issues and increases the standard of living of the people.
5. Employment opportunities – New products, new market, more demand, increase the employment opportunities of that region.
Global marketing and International marketing are the elements of the marketing umbrella and are different from each other in terms of reach, approach, and the target audience. Though there are difference between these two marketing elements they can co-exist in the same market and can also serve as supplement to each other.
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