Types of global sales and marketing strategies
Clarke Ricks School of Business,
Liberty University
BUSI 690: Policy and Strategy in Global Competition
Dr. Hicks
May 7, 2022
Types of global sales and marketing strategies
There are many approaches to global marketing. The three key types of global marketing
approaches include:
1. Standardization
In a standardization strategy, you sell the same products in every location. A
standardization strategy keeps all of the company's control centralized rather than delegating
decisions to other local markets. Some of the benefits of a standardization strategy include the
ability to develop products quicker and easily coordinate activities across locations.
Imagine that you run a luxury purse company, and are choosing to expand the business on
a global scale. Using the standardization strategy, you may sell essentially the same purses at
every location. Less variation in your products/services is important with this strategy. This
strategy allows you to keep your products consistent in every market.
2. International
An international strategy involves importing and exporting products. Using an international
strategy can allow you to work with foreign suppliers and sell to customers around the world
while keeping your physical premises within your home country. Typically, international
strategies still focus on the company's home market while doing some business overseas.
This strategy incorporates ideals from many countries. For context, the physical production
of purses would still occur in your home country, but you would still export some purses
internationally.
3. Multinational
When you use a multinational strategy, you can cater your products to each individual
market. This includes physical business locations and staff based in these various locations. The
key benefit of using a multinational strategy is the ability to alter the business to individual
locations.
Using the multinational strategy, you create different luxury purses for each location that
you sell. More variation in your products/services is important with this strategy. This allows
you to adjust your purses to appeal to different markets. Prices may also vary depending on the
demographic or the demand for the product in a market.
Utilizing e-commerce to your benefit
E-commerce enables companies of all sizes to expand internationally with the help of good
global marketing approaches. The internet alters the way people shop and the way business
owners are marketing their products. E-commerce allows companies to easily expand into
other markets and reach a wider range of consumers without having a physical store in every
region. Although expansion is more easily accessible, it creates a competitive market. Brands
prove their products or services worthy to gain customers' trust.
Through social media, websites, and live chats, businesses can adopt new consumer
shopping habits and learn what's trending. It's important to create an online presence for
potential customers to learn about your brand. Plus, online platforms store data and can track
results to improve the relationship between the business and the consumer. You can use online
data from your platforms to refine your marketing campaigns and specify your goals. There is
more to global marketing than simply selling your products or services internationally, but keep
in mind that e-commerce relies heavily on trends and is a competitive field.
Localization and global standardization strategies
When selling products or services worldwide, some companies choose to localize their
brand by adjusting their content and name to better fit the local consumer expectations.
Whether you choose to use a localization or global standardization approach in your global
marketing strategy, it's important to recognize the differences and understand how they can
benefit the overall growth of a business.
Localization
The goal of localizing your strategies is to create an experience for customers that makes
them feel like the company personalizes it for them. Determining what connects your
customers is the most important factor in localizing your strategies. Whether it be your
website, marketing materials or the actual product or service you sell, it's important to make
consumers feel like it's designed and developed in their country of origin. This form of
marketing may rely on instilling a sense of national pride in some cases.
Global standardization
A global standardization strategy is the ability to use consistency in every aspect of your
brand. Using consistent messaging across your brand can create trust between the consumer
and the company. Although global standardization can oftentimes cost less since it requires
fewer campaigns, it's important to recognize when a global standardization strategy can be the
most effective. Global standardization requires universal appeal despite cultural or locational
differences. If there are no barriers in terms of understanding the product or service you're
selling in each country, then a global standardization approach can be a good strategy for a
business.
Growing with a business
To continue the growth of a business and maintain positive customer relationships, you
can continually strive to create new products and services and enter new markets. By adjusting
your brand in ways that follow contemporary trends and cultures, you can access more diverse
markets. Marketing strategies set a business up for success in the future. Ultimately, a strong
strategy incorporates the needs of all demographics beyond the needs of each country. A global
marketing strategy usually consists of:
Consistent brand names, messaging, and packaging
Similar products and services
Coordinated pricing
It's important to keep an open mind when developing a marketing strategy. Whether you
choose to use a standardization, international, or multinational approach, it's crucial to make
sure that the company's team is adaptable and willing to change directions. Adjusting your
global marketing strategy throughout the course of business expansion is vital when creating a
campaign that's appealing to international markets. Developing a global marketing strategy
means enhanced competition, so with a willingness to accept change, you can earn your place
across the world.
