Global branding is when products or services are marketed under the same name in various different countries. These products have similar marketing strategies with their advertising, positioning, personality, and look and feel remaining mostly unchanged from one country to another.
According to an article by Small Business, “global branding means using standardized global advertising and global marketing strategies. It’s basically a method of designing standardized global advertising and global marketing strategies in order to develop a product or service that is recognized worldwide, regardless of the country, continent or region where it is marketed.” Global brands are recognized everywhere. By using similar marketing strategies to promote the brand all over, companies make sure that the brand is being presented reliably in every market.
One of the great things about global branding Is how companies benefit through the economies of scale. This means that although languages and customs may differ, brands can use the same advertising strategy, brand images and brand representations anywhere. For example, McDonald’s, Google, Disney, and Apple are some brands who remain unchanged regardless of what country they are being marketed in. Each of these companies have had tremendous success in using the same marketing strategies and images to advertise their product regardless of where they are in the world. This has become easier to do in our modern age due to the internet.
Global branding has various benefits for consumers. The first advantage is that because the brand is globally known, products are very easily identified so consumers tend to be quicker to purchase. Consumers also tend to believe that globally marketed brands are of better quality since they are sold everywhere. This means that the brand has a strong presence regardless of country, language, tradition, and beliefs. The product breaks all barriers, which is difficult to do. Another benefit is that prices tend to be consistent. This means that an Apple iPhone will charge you roughly the same amount in the United States as it will in Italy.
Due to their quality and consistency, globally marketed brands draw in consumer loyalty because they are often seen as dependable and consistent. This means that these companies can charge a premium for their products since consumers are willing to pay more for something that they believe they are getting their money’s worth for. It makes sense for companies that are doing well and leaving a large footprint to expand globally and then adapt their brand to the country’s culture for optimal success. This allows the product to really understand the customer and merge with their values and traditions while still maintaining the same quality and consistency being offered everywhere else.
An article by the Harvard Business Review makes a valid point. “All multinational companies should actively engage in global brand management. Any company that tries to get by with unconnected and directionless local brand strategies will inevitably find mediocrity as its reward.”