The Advertising Standards Council of India (ASCI), established in 1985, has adopted a Code for Self-Regulation in Advertising. It is a commitment to honest advertising and to fair competition in the marketplace. It stands for the protection of the legitimate interests of consumers and all concerned with advertising—advertisers, media, advertising agencies, and others who help in the creation or placement of advertisements.
The ASCI is a voluntary, self-regulatory council established in 1985 to promote responsible advertising and to enhance public confidence in advertisements. Complaints against misleading advertisements can be filed with this body. Adverts that contravene the provisions of the following acts of the government or various state governments are not acceptable:
The ASCI’s Code for Self-Regulation 1985 (the ASCI Code);
The Code for Commercial Advertising on Doordarshan and All India Radio;
The Drugs and Magic Remedies Act 1954;
The Emblems and Names Act 1950;
The Indecent Representation of Women Act 1986;
The Trademarks Act 1999;
The Consumer Protection Act 1986;
The Cable Television Network Amendment Act 2011;
The Drugs and Cosmetics Act 1940;
The Prize Competitions Act 1955;
The Press Council Act 1978;
The Cable Television Network Rules 1994;
The Indian Medical Council (Professional Conduct, Etiquette and Ethics) Regulations 2002;
The Bar Council of India Rules are formulated under the Advocates Act 1961;
The Cigarettes and other Tobacco Products Act 2003; and
The Food Safety and Standards Act 2006.
Advertising Agencies Association of India (AAAI)
Introduction
The Advertising Agencies Association of India (AAAI) is the official, national organization of advertising agencies, formed to promote their interests so that they continue to make an essential and ever-increasing contribution to the nation by working towards the following objectives:
To benefit Indian consumers and to protect their interests by helping ensure that advertising is honest and in good taste.
To benefit Indian advertisers by promoting their sales, increasing productivity, and enhancing profitability to stimulate business and industrial activity.
To benefit media by establishing sound business practices between advertisers and advertising agencies and each of the various media owners.
To benefit the nation by harnessing advertising for the good of the country, its institutions, and its citizens to cooperate with the government in promoting its social objectives and in the task of nation-building.
To question advertising that is wasteful and extravagant to make it possible for the small entrepreneur to grow through advertising and to compete with the biggest to encourage market and media research to serve society by meeting its social responsibilities.
We aim to stimulate young individuals’ interest in the communication industry, support educational and training initiatives, and disseminate beneficial information to our members. Non-members are also provided this service for a fee.
To establish a common platform in building and sustaining the prestige of the advertising profession and to serve as a spokesman against unwarranted attacks or restrictions on advertising.
To establish a forum where representatives of advertisers, advertising agencies, media owners, and the government can meet on mutual ground and examine problems of mutual concern.
To offer effective cooperation and liaison with government officials and bodies for the purpose of broadening their understanding of the role of advertisers, advertising, and advertising agencies.
To work together with government agencies to talk about issues like taxes, radio and TV advertising, laws, political campaign advertising, and regulations on ads for pharmaceuticals, tobacco, or alcohol, as well as other similar sensitive topics.
The AAAI today is truly representative, with a huge number of small, medium, and large-sized agencies as its members, who together account for almost 80% of the advertising business placed in the country. It is thus recognized at all forums—advertisers, media owners and associations, and even the government—as the spokesperson for the advertising industry.
Comparative advertising is one of the latest techniques to grab consumers’ attention. Comparative advertising, otherwise known as advertising war, is a process where a particular company compares its product with a competitor to show why its product is superior. Comparative advertisement sometimes helps consumers to choose the better product, but sometimes it could mislead the consumers and create confusion.
Comparative advertising is terrifying for marketers. Of course everyone wants to showcase their brand as superior to their competitor, but often it’s found that’s not true. ASCI (Advertising Standard Council of India) is an independent body to bring advertising discipline amongst advertisers and is very active and prompt with their actions.
Comparative advertising may also lead to defamation and compensation cases. And if wrong claims are made, then a single lawsuit can eat years of brand profits or change the existence of the company that makes false claims. Comparative advertising displays a comparison of two different brands on numbered variants like price and quality by referring to the alternative brand by name, visual illustrations, or other distinctive attributes. Advertisers employ this technique to increase their visibility in the market and to promote their product.
Legal provision (ASCI)
Comparative advertising is legal to the extent that it does not hamper the reputation of the competitor’s mark and is in accordance with the honest practices in industrial matters. A person while advertising his goods can compare the advantages of his goods over the goods of his competitor, but he cannot say that his competitor’s goods are bad, as this may lead to disparagement of the goods of his competitor. A person cannot use any false or misleading statement while promoting his goods.
The Advertising Standards Council of India has specified certain norms or guidelines that should be kept in mind while promoting their goods through ads in its Code of Conduct, 1985. The guidelines state as follows:
Honest representation;
Must not be offensive in any way to the general public;
Ads must not in any way hamper competition.
Ads must not be used for the promotion of products hazardous or harmful to society or to individuals, particularly minors, to a degree unacceptable to society at large.
Cases Study
A few points of caution are also given by the High Courts in the same regard in order to raise awareness among the producers of their rights and limitations, allowing them to prevent all kinds of legal liabilities.
The Delhi High Court in Reckitt & Coleman of India v. Kiwi T.T.K.1 explained the concept of disparagement in regard to comparative advertising, stating that “a manufacturer is entitled to make a statement that his goods are the best and also make some statements for puffing of his goods, and the same will not give a cause of action to the other traders or manufacturers of similar goods to institute proceedings, as there is no disparagement or defamation or disparagement of the goods of the manufacturer in so doing. However, a manufacturer is not entitled to say that his competitor’s goods are bad so as to puff and promote his goods and concluded that comparative advertising cannot be permitted, which discredits or denigrates the trademark or trade name of the competitor.
There is no specific legislative mechanism regulating comparative advertising in India; therefore, the precedents set by various courts are followed while adjudging such matters. Though the courts rule in favor of the liberty to advertise, they do not hesitate in granting injunctions and imposing damages against infringers.
Ad wars: India’s most notable brand battles
Amul Vs HUL (2017)
Amul found itself strapped in legal trouble when Hindustan Unilever Limited (HUL) sued them for disparagement. At the root of the dispute were two advertisements comparing Amul’s “ice creams” to other “frozen desserts”—claiming that the former uses “real milk” while the latter does not.
Complan Vs Horlicks (2017)
The Defendant (HEINZ INDIA PRIVATE LIMITED), on 11th November 2017, published an advertisement for its “COMPLAN” branded health food drink in the newspaper “The Telegraph” (in its Kolkata and Patna editions). The advertisement compared one cup of COMPLAN with two cups of a competing brand, “HORLICKS,” with a disclaimer at the bottom of the page that read, “One cup of Complan (33 g) provides 5.94 g of protein, while two cups of Horlicks (27*2=54 g) give 5.94 g of protein based on the recommended pack dosage….” The Defendant also used a tagline that states, “From Now On, Only Complan.” The Plaintiff (HORLICKS LIMITED) claimed that the Defendant’s advertisement was intentionally and deliberately disparaging its health food drink product, HORLICKS.
Reckitt Benckiser Vs HUL (2013)
Reckitt Benckiser launches Dettol Kitchen and follows it up with a TV ad comparing the cleaning product with HUL’s Vim. HUL appealed to the Calcutta High Court for a stay order, saying the ads were untrue, but it was denied.
It then hit back with ads on front pages of mainline dailies claiming Lifebuoy works better than Dettol antiseptic liquid—HUL’s ad says it has been ‘issued in public interest.’
Hyundai Vs Maruti Suzuki (2012)
Traditional Japanese and Korean rivalry came to the fore again when Korea’s Hyundai Motor went ballistic with its marketing campaign ‘Trendsetter vs. Follower’ on claims of a much-superior small car, the EON, over the newly launched Alto 800 from Maruti Suzuki.
Micromax Vs Samsung (2012)
Micromax took a not-so-subtle dig at Samsung, with its latest ad campaign styled as a ‘sequel’ to Samsung’s Galaxy Y TVCs. The films brought out the product features through dialogue delivered by spunky kids, ending with the same question: “Aapke paas nahi hai, Uncle?”
Micromax responded with a series of films that pick up where the Samsung ads end; the last few words spoken in the Samsung ads are the first words in the Micromax ads. The plot, theme, script, and appearance of the ads have been crafted to look similar to the Samsung ads, so much so that at first glance, one assumes it is a sequel to the Samsung campaign.
2012: The Times of India Vs The Hindu (2012)
TOI launched ‘the Wake Up!’ campaign last year, featuring Chennai readers being put to sleep by a newspaper full of boring news. In an attempt to hit back hard, The Hindu told its readers to ‘Stay Ahead of the Times’ by reading news that was relevant to current affairs instead of Bollywood and celebrity gossip. Television commercials as well as print ads kept the battle between the two publications going.
2012: Micromax Vs Apple (2012)
Micromax took a jab at iPhone with the tagline “i (can afford this)” for its A 70 smartphone, priced at Rs 8,000. When Apple launched the iPhone 4S, Micromax went a step further, releasing new ads for the A75 model that used the tagline “i (can afford this) Phone 4S(ure).”
Ford India’s ‘Swap the drive’ campaign (2011)
Ford India’s ‘Swap the Drive’ campaign in 2011 challenged multiple players. Through this campaign, Ford engaged directly with owners of nine competing car brands, who were given the opportunity to swap their vehicles with models for a week-long test drive. The company then created ads that showed these consumers’ comparisons of their own vehicles vs. Ford’s, prominently featuring the names of rival brands such as Maruti Swift, Maruti Dzire, and Toyota Fortuner.
Hindustan Unilever Vs P&G (2010)
In HUL’s Rin commercial, a pack of Tide Natural, the brand owned by rival Procter & Gamble, was prominently displayed with a voiceover, “Tide se kahin behtar safedi de Rin.”
And HUL’s Clinic All Clear Shampoo spoofed P&G’s Head & Shoulders when it showed Bollywood actress Bipasha Basu searching for a girl with zero dandruff. One girl who does have dandruff mentions the name of her shampoo, making a muted reference to Head & Shoulders.
Nestle Vs Cadbury (2009)
Nestle launched a spoof on a Cadbury ad with the tagline “Khao bina tareekh dekhe,” directly challenging Cadbury, which had advertised its brand with the tagline “Meetha hai khana aaj pehli tareekh hai.”
Complan vs Horlicks (2008)
In September 2008, GSK’s Horlicks showed Horlicks as a better and cheaper option than Complan in terms of nutritional value and market price.
Limitations for comparative advertising
Comparative advertising shall be permitted when the following conditions are met:
It should not be misleading.
There is a comparison between the goods and services, which are for the same needs and the same purpose.
It compares those goods and services where there are relevant features, which may include price.
It does not create any confusion in the market between the advertiser and a competitor or between the advertiser’s trademarks, trade names, other distinguishing marks, goods, or services and those of a competitor.
In the reputation of trademarks of a competitor, there is no unfair advantage.
Shock advertisements can be shocking and offensive for various reasons, and violations of social, religious, and political norms can occur in many different ways. The use of shocking content in advertising appeals has been widely adopted. It is effective and possibly leads to increased brand awareness and an increase in sales volume.
Shock advertising is defined as the use of intentional, offensive, controversial, and attention-grabbing advertising to sell a particular product or idea. Resulting from this definition, there are seven types of shock appeals that marketers can use to shock the audience.
Disgusting images that include images containing blood, killing, body parts, cavities, disease, parasites, death, or bodily harm.
The images may also contain sexual references, such as masturbation, nudity, or sexual acts.
Vulgarity/obscenity refers to the use of swear words, rude gestures, or racial captions.
Vulgarity applies to pictures/acts that are distasteful, lack sophistication, and are crude, for example, farting or nose picking.
Indecency, also known as indecency, refers to a breach of social decency and etiquette.
Moral offensiveness occurs when images depict innocent people or animals being harmed, showcase uncalled-for violence or sex, involve individuals who provoke violence (such as Mussolini, Hitler, or Mao Tse-tung), display unfair behavior, or feature children in uncomfortable situations.
Religious restrictions occur when marketers inappropriately use religious or spiritual symbols or individuals.
Impact of Shock on the audience
Advertisers, psychiatrists, and social scientists have long debated the effectiveness of shock advertising. Some scientists argue that shocking ads evoke stronger feelings among the consumers. One finding suggests “shocking content in an advertisement significantly increases attention, benefits memory, and positively influences behavior. Moreover, consumers are more likely to remember shocking advertising content over advertising content that is not shocking. But if a consumer finds a certain kind of advertising content threatening or disturbing, the message will be filtered out. An example of this is a heavy smoker who could be filtering out a picture of a cancer-sick lung since the content could be perceived as disturbing and uncomfortable.
Advertisements that exploit negative emotions to induce shock do not elicit positive emotions in the audience. Therefore, using shock advertising may evoke negative feelings whenever customers see the brand logo or company name, leading to discomfort alongside brand recall.
In case of a cause or an issue, using shock advertising can work by getting the attention the cause deserves and getting people interested in contributing or working for it. It can sensitize people to other cultures and ways of life. Causes like child abuse, domestic violence, lung cancer, AIDS, and animal rights (PETA) have used shock advertising very effectively in the international context. This implies that consumers will filter out advertising content they deem threatening or disturbing.
Shocking advertisements in India
BF. Controversial Advertising
Introduction
In their natural state, people don’t think many deep thoughts and keep themselves occupied with immediate tasks and mildly pleasant ideas that keep them safe from fear or worry whenever they can.
Advertising has long been recognized—and criticized—as an efficient way to persuade us to spend our money. But sometimes the “Mad Men” have chosen to take a risk, go beyond the “soft sell,” and seek to challenge the way we think.
They have flirted with race, religion, sexual orientation, and more to make people question their belief systems—and boost their brand at the same time. As any idea that is calculated to wound the feelings and arouse anger, disgust, or outrage in the mind of a reasonable person can be viewed as offensive, it’s not hard to see why one man’s controversial idea is another man’s offensive idea. As practically everyone thinks he/she is a reasonable person, it’s not straightforward to cross that fuzzy line.
The controversial advertisements can be shocking and offensive for a variety of reasons, and violations of social, religious, and political norms can occur in many different ways. They can include a disregard for tradition, law, or practice (e.g., lewd or tasteless sexual references or obscenity), defiance of the social or moral code (e.g., vulgarity, brutality, nudity, feces, or profanity), or the display of images or words that are horrifying, terrifying, or repulsive (e.g., gruesome or revolting scenes or violence).
Some advertisements may be considered shocking, controversial, or offensive not because of the way that the advertisements communicate their messages but because the products themselves are “unmentionables” not to be openly presented or discussed in the public sphere. Examples of these “unmentionables” may include cigarettes, feminine hygiene products, or contraceptives.
However, there are several products, services, or messages that could be deemed shocking or offensive to the public. For example, advertisements for weight loss programs, sexual- or gender-related products, clinics that provide AIDS and STD testing, funeral services, groups that advocate for less gun control, and casinos, which naturally support and promote gambling, could all be considered controversial and offensive advertising because of the products or messages that the advertisements are selling. Shocking advertising content may also entail improper or indecent language, like French Connection’s “fcuk” campaign. There are some controversial advertisements in India, as follows.
1. This Footwear Ad
Milind Soman and Madhu Sapre posed naked for this brand with nothing but shoes and a python on them. Social activists as well as animal rights activists caused a huge furor over this advertisement.
2. This denim print ad
To drive the concept of second skin home, a popular denim brand shot a print ad that featured three hot models clad in their jeans and skin-colored innerwear. At first glance, it seemed as if the models were topless. Furthermore, to promote this brand, Akshay Kumar asked Twinkle Khanna to unbutton his jeans when he walked the ramp at Lakme Fashion Week 2010.
3. Jewelry print ad:
Lastly, the ad was forced to be pulled down after receiving heavy criticism on social media for featuring a dark-skinned kid who is struggling to hold a parasol on top of Aishwarya Rai’s head. There have been accusations of the ad being racist in nature and promoting child labor.
4. Levis
In 2008, Kangana Ranaut in the Levi’s ‘Stuck On You’ campaign stopped people in their tracks. The fashionista appears atop a shirtless model in one of the photos.
5. Fair & Handsome Cream
Bollywood’s King Khan came under fire for endorsing a skin-lightening cream product a couple of years ago. The advertisement led to an online campaign titled Dark and Beautiful, which urged not only the star but also the brand to stop promoting and encouraging fairness creams. A lot of people backed the campaign’s cause, including Aamir Khan, who said that he would never promote such products. But King Khan kept mum on the whole controversy and still promotes the brand.
6. Candy Ad
A candy commercial got Big B in hot water when he was shown pelting stones at a mango tree. According to the Advertising Standards Council of India, children could imitate his actions, leading to dangerous consequences. The advertisement was later taken down.
Impact of controversial advertisement on society
When one thinks of advertising, one normally thinks of advertising that coerces or persuades one to try a product. But there is another form of advertising, used less often but used amazingly well in certain campaigns where immediate attention and discussion are needed, namely controversial advertising.
Defined traditionally as advertising that “deliberately, rather than inadvertently, startles and offends its audience by violating norms for social values and personal ideals.” Controversial advertising generally uses disturbing and graphic imagery and slogans that disturb in order to draw immediate attention to the issue at hand.
Causes or issues that require public opinion mobilization primarily employ controversial advertising. It can be used effectively to cut clutter, create buzz, and get a social service message across. In fact, public service campaigns and social issues use controversial advertising to the greatest effect. Causes like child abuse, domestic violence, lung cancer, AIDS, and animal rights (PETA) have used controversial advertising very effectively in the international context.
Some brands, like United Colors of Benetton, have also used controversial advertising to communicate social messages, thus associating the brand with a social image rather than keeping it purely a fashion brand. The advertising for this brand has been consistently provocative, with a newborn baby, a dying AIDS patient, and such images being used in its campaigns. The visuals often have no relevance to the product and are considered by some to be graphic, gory, and tasteless. In fact, Benetton is seen as the company that pioneered the concept of controversial advertising in the late 1980s.
Some controversial advertising might not use gory visuals but might use language or metaphors that are not acceptable culturally and which might be controversial. For instance, the fashion brand French Connection got its moment of fame when it abbreviated French Connection, UK, and got a word, FCUK, which it used.
The controversial advertising has been much discussed among media watchers and with those who study the psychology behind advertising. According to scientists, controversial ads bring out stronger feelings among consumers, with the ad getting more attention, remaining in the memory, and influencing behavior as well. Incidentally and not surprisingly, advertising that is controversial tends to be recalled better than regular advertising.
Shock advertising is a double-edged sword. It can generate interest in the brand, or it can generate extremely passionate and negative feelings towards the brand, which could impact the brand negatively. Benetton, for instance, used religious taboos (a picture of a priest and nun kissing), cultural taboos (the visual of a Black woman feeding a white baby), a death row inmate’s thoughts, and an AIDS patient on his deathbed. These images are ones that force the viewer to confront and deal with their inherent biases and prejudices and can result in negative feelings for the brand.
On the flip side, the advertising has resulted in positive feedback for the brand for talking about difficult issues and taking a stand on social and environmental issues. To quote Oliviero Toscani, the photographer for some of the most controversial ads Benetton produced, about the ad of the man dying from AIDS, his attempt was “to use the forum of poster advertising to make people aware of this [AIDS] tragedy at a time when no one dared to show AIDS patients.” At that point, when no one was talking about AIDS, this ad was considered radical.
Another brand that has courted international controversy is the Calvin Klein jeans ads, which had young models in very soft porn poses, with some models as young as 15. In India, the Tuff Shoes campaign, which showed models Milind Soman and Madhu Sapre with a snake wrapped around them, courted an obscenity case and controversy but definitely got attention. However, most advertising in India does tend to play it safe.
Shock advertising is used to effect in campaigns like anti-tobacco and smoking campaigns, where visuals of diseased lungs or of cancerous tumors are used to put people off smoking. Visuals of smokers’ faces and lips being hooked through with fishhooks were used to show that they were hooked on smoking. Other campaigns for Child Abuse Awareness, for instance, show disturbing visuals of an assaulted child to encourage awareness about this issue.
The Breast Cancer Fund internationally ran a poster campaign that showed women in lingerie in poses like lingerie ads, but with mastectomy scars in place of their breasts. Many publications refused to run these ads, but they were a shocking reminder to women to check their breasts regularly. For a brand, shock advertising is a little dangerous because of the potential negative fallout. But for a cause or an issue, using shock advertising can work by getting the attention the cause deserves and getting people interested in contributing or working for it or modifying their behavior accordingly.
The positive impact of shock advertising, when it deals with social and cultural taboos, is that it can sensitize people to other cultures and ways of life.
A negative fallout of shock advertising is that continuous exposure to it desensitizes us, and it becomes a blind spot. To remain relevant, shock advertising should constantly innovate, be topical, and be something that touches a core belief or value in a way that shakes up the viewer.
Surrogate advertising relates to advertising by duplicating the brand image of a product to promote another product of the same brand, the advertising for which is otherwise banned. In such advertisements, though the companies directly advertise a different product, they intend to advertise indirectly a banned product such as liquor or tobacco. Consumers associate such advertisements with the corresponding banned product. The products are thus indirectly advertised. This type of advertising uses a product of a fairly close category, such as club soda or mineral water in the case of alcohol, or products of a completely different category (for example, music CDs or playing cards) to hammer the brand name into the heads of consumers.
The banned product (alcohol or cigarettes) may not be projected directly to consumers but rather masked under another product under the same brand name, so that whenever there is mention of that brand, people start associating it with its main product (the alcohol or cigarette). In India there is a large number of companies doing surrogate advertising, from Bacardi Blast music CDs and Bagpiper Club Soda to Officer’s Choice playing cards.
India is not first when it comes to banning controversial adverts or adverts showcasing alcoholic drinks, cigarettes, or other tobacco products. Surrogate advertising first started in Britain, where housewives started protesting against the liquor company and forced them to promote fruit juice and soda under the same brand. This has led to a steady inflow of surrogate advertising in India.
Who oversees ‘surrogate ads’ in India for alcohol?
Activists seek government action against those who advertise liquor brands
Mineral water, sodas, music, and sports franchises are among the common avenues taken by alcohol manufacturers to advertise their brands. So what is new in this?
Nothing. But what is befuddling those in power as well as the moral police is how “”surrogate advertising’ can be monitored in the absence of overarching legislation.
At the Centre, the buck is passed on between ministries and sometimes to respective states. This is even as consumer activists urge the government to frame central legislation, even if effective implementation will rest with the state governments. In fact, the self-regulating Advertising Standards Council of India (ASCI) already has a code for brand extensions.
“Surrogate advertising is not allowed as per law, but we have been urging the government to start taking legal action against liquor brands that violate these providers and are habitual offenders,” said Bejon Misra, founder of the Consumer Online Foundation.
Regulation of such advertising appeared to fall under the jurisdiction of at least five ministries—Consumer Affairs, Health, Information & Broadcasting (I&B), IT, and Social Justice and Empowerment. “There are ambiguous court rulings on the matter where alcohol manufacturers state that the logo is the identity of the brand and using it on products other than alcohol is a legitimate business activity. So it’s mainly down to legal interpretation and in time will need to be settled by courts to establish a stated position,” a senior government official told Business Line.
He added any concerted effort to clamp down on the practice would have to be led by the Health Ministry, which took the lead in curbing cigarette/tobacco advertising.
Another official pointed out that Section 2(r) of the Consumer Protection Act, 1986, outlined ‘unfair trade practices’ for sales maximization of a good or service and provided legal recourse for consumers if suppliers were found to have engaged in misleading advertisements.
“Though it does not explicitly mention surrogate advertising, sellers could be prosecuted depending on how a case is presented. That said, if mineral water advertised by an alcohol company meets requisite standards, it’s a murky area,” he said, adding new legislation might not serve any purpose and could lead to inter-sectoral conflicts.
Direct advertising of alcoholic beverages is banned in India, but private channels have often permitted surrogate advertising.
“We need to have a comprehensive Central Law that regulates various aspects of alcohol consumption and promotion,” said Monika Arora, Health Promotion & Associate Professor, Public Health Foundation of India.
Brand experts define it as the leveraging of existing brand equity, while agencies call it an exercise to create awareness and brand recall of products on the negative list. The government, on the other hand, comes down heavily on the intriguing concept of surrogate advertising. The anti-tobacco lobby is going strong worldwide, and the list of negative products in every country is on the rise.
“Surrogate advertising is a reflection of the hypocritical society that we live in. Some products are good enough to be sold but not good enough to be advertised. A marketer has to sell his product and will find means to promote it. I don’t blame him.”
Says Santosh Desai, Executive Vice President, McCann Erickson, “There seems to be an inherent double standard in the government’s policy. If something is unrecognizably bad and cannot be advertised, then why sell it at all and earn tax revenue on it as well? I feel that the case of the government allowing liquor companies to operate but not advertise is like a baby who is given birth to but is thereafter not looked after.”
Meenakshi Madhvani, CEO of Carat, a company that manages brands such as Bacardi and UDV, concurs. “If selling liquor is a legal business, then why is advertising liquor not?” she questions. “This is a case of the government having its cake and eating it too. If liquor brings in so much revenue to the government, why should it not be advertised?” she adds.
Although the withdrawal of surrogate liquor advertisements would cause a decline in the revenues for television channels, the drop would not be as substantial. Says Madhvani, “As a whole, the spending on liquor as a category is not as much. Therefore the impact on ad revenues would not be very marked.’
But the views of Zia Mody, Advocate, and member of ASCI differ. “Liquor companies have found an indirect way of getting over the ban on advertising through surrogate advertising. The government may allow certain vices, but that does not mean that it would be forced to encourage them as well. Advertising liquor would be encouraging it.”
Bharat Kapadia, Associate Publisher and Partner, Chitralekha Group, and member of ASCI, opines, “Liquor companies try to find loopholes to advertise their brands. Via this surrogate advertising, consumers can be misguided, which is why the I&B ministry needs to take care of such advertising.”
Raj Nayak, Executive VP, Star Network, also touches upon the same. “Although we would follow the government’s final take on this, the distinction between surrogate advertising and a real brand extension is what is called for.”
Amongst liquor majors that have been advertising their line extensions are Bacardi International and Radico Khaitan. While Bacardi has been advertising its Bacardi Blast Summer Party Music Album,” Radico Khaitan has started marketing apple juice under the 8 PM brand. While the McDowell Mera No. 1 ad campaign is used to sell their soda, United Breweries is selling its mineral water under the “Kingfisher” brand.
According to Richard Nordquist, a weasel word is a modifying word that undermines or contradicts the meaning of the word, phrase, or clause it accompanies, such as “genuine replica.” This term is also referred to as weaselism.
More broadly, “weasel word” may refer to any word that’s used with the intention to mislead or misinform. The term was coined by author Stewart Chaplin in 1900 and popularized by Theodore Roosevelt in a speech in 1916. The weasel claim is the most popularly used advertising trick. The words are phrases used in advertising (or press releases) that convey an impression of meaning without actually saying it.
It involves using “weasel words,” or words that are meant to trick the audience into thinking the product is better than it really is. Words such as “virtually,” “fights,” and “helps” are all weasel words. The weasel claim uses weasel words to take what could be a solid claim and make it worthless by weakening any bold assertion with words such as “helps,” “probably,” “refreshes,” “fights,” “strengthens,” “virtually,” “like,” “almost,” and so on. Example:
Steakies taste almost as delicious as they sound.
Head & Clean helps stop dandruff completely.
Persil makes your dishes virtually spotless.
Probably the best beer in the world.
We could make you look like a real celebrity.
Weasel advertisements in India
Uses of weasel advertising
We use weasel words to instill an idea in readers’ minds that surpasses the actual claim. Working from vague, indeterminate facts (or no facts at all), you can generate perceptions that may be completely at odds with reality without making a definite, absolute, or concrete claim that could be open to challenge.
Help to: In conjunction with ‘can’ (see below), ‘help to’ positions your product or service as part of the solution to a problem without taking sole credit. For example, Crunchaflakes can help to reduce weight as part of a calorie-controlled diet.
Can and could: Use ‘can’ and ‘could’ for indefinite claims that you want to sound definite. For example, while traditional fan heaters have an average lifetime of 10–15 years, the Room Heater 32 can keep on pumping out heat for decades.
Hundreds and thousands: Look again at the example above. What period does ‘decades’ actually denote? Dunno, but it sounds like ages—just as words like ‘dozens,’ ‘hundreds,’ and ‘thousands’ sound like big quantities.
Fractions: Closely related is the word ‘fraction,’ as in ‘now available at a fraction of the original price.’ 99/100ths is a fraction, but your audience will think of the ones they learned at school, like 1/2, 1/3, and 1/4, which will make them think you’re offering a huge discount.
Relative improvement: Whiter teeth. Improved search engine rankings. Increased sales. Shinier hair. Whatever it is you’re offering to do, make it relative and unquantified, not absolute and specific. That way, even the tiniest improvement fulfills the promise.
Up to: ‘Up to’ or ‘as much as’ are used when you want to quote a numerical or statistical claim but can only substantiate it within a certain range.
‘As much as’ and ‘as little as: For a rhetorical twist, use ‘as much as’ or ‘as little as’ to imply that the figure you’re quoting is particularly high or low. For example: The iPhone is now available for as little as £35 per month.
A subliminal message is a signal or message embedded in another object, designed to pass below the normal limits of perception. These messages are indiscernible by the conscious mind but allegedly affect the subconscious or deeper mind. Subliminal techniques have occasionally been used in advertising and propaganda; the purpose, effectiveness, and frequency of such techniques are debated.
Can words flashed quickly on a screen make you want to purchase a product? Can a hidden image persuade you to spend your hard-earned cash on something you don’t need? This topic will explore the questions surrounding subliminal advertising.
History of Subliminal Advertising
In the 1950s, a researcher named James Vicary coined the term to describe what he claimed he found in his Popcorn Experiment. He argued that sales of concessions had increased based on the split-second flashing of visual stimuli, suggesting people make these purchases. Vicary later retracted his claim, but the thought was an intriguing one for the public. Can we be made to take actions based on information received below our conscious awareness? People asked themselves, “How frightening is that?”
Years later, when a 1973 ad for a board game named Husker Du included the flashing of the words ‘Get It,’ the ad was removed from the air. The incident led to the Federal Trade Commission’s official stance against the ads. The Commission saw these ads as deceptive and banned the practice of using subliminal ads, even though there wasn’t definitive research to prove the effects. Even now, the question of whether we are affected by subliminal marketing is up for debate.
Definition
According to Business Dictionary, “Promotional messages the recipient is not aware of, such as those played at very low volume or flashed on a screen for less than a second. Its effectiveness is not supported by scientific evidence, and its use is considered a deceptive business practice in some jurisdictions.”
Subliminal advertising advocates would say that if you’d seen those words flashed at you for a fraction of a second, you’d be more likely to do as they say. The claim is that our brain has picked up the message even if we haven’t.
As you read those exclamations now, you probably wondered what they were doing at the beginning of your lesson. But what if you hadn’t perceived them at all, if they’d flashed on your screen as visual stimuli, and you couldn’t even remember you’d seen them? Stimuli such as images may activate our brain even if we don’t fully perceive what is happening.
The argument goes that you’d feel more compelled to consume the tasty treats as a result of these subliminal visual stimuli. And the weird part is, you wouldn’t even know why you were craving them because the messages were below the threshold of your perception.
Advertising can manipulate our emotions, with or without making the process hidden. To balance out the tremendous power of advertising, a person can aim to consider and question how the company is trying to position the product and then weigh whether he really needs what is being sold. This is a big part of why subliminal advertising is considered deceptive. When something is below our level of perception, we miss out on the opportunity to consider the message being communicated to us.
Subliminal Messages
A subliminal message is an affirmation or message, either auditory or visual, presented below the normal limits of human auditory or visual perception.
For example, the subliminal signal might be inaudible to the conscious mind because it is below the conscious threshold of hearing (but audible to the unconscious or deeper mind) or might be an image transmitted briefly and unperceived consciously and yet perceived unconsciously.
While this definition assumes a difference between conscious and unconscious—this might be misleading in the understanding and use; it may be more true to suggest that the subliminal message (sound or image) is perceived by deeper parts of what is a single integrated mind.
How do subliminal messages work?
It is suspected and usually tested in psychological studies that subliminal messages gain their potential ability to influence from the fact that they may be able to circumvent the conscious awareness and its critical functions.
For example, if you were listening to a subliminal session for weight loss and you were able to hear the affirmation “I am slim and trim,” your conscious mind would say to itself, “What a load of crap; I am fat and hate my body.” The idea is that since you are unable to criticize the affirmation when you cannot consciously hear it, it is accepted by the subconscious mind without comment or rebuttal.
This route to influence or persuasion would be akin to auto-suggestion or hypnosis wherein the subject is encouraged to be (or induced to be) relaxed so that suggestions are directed to deeper parts of the mind; some observers have argued that the unconscious mind is incapable of critical refusal of hypnotic or subliminal suggestions.
Research findings so far do not support the conclusion that subliminal suggestions are peculiarly powerful. Although this might be because most of the studies into subliminal suggestions or influence involve a one-off subliminal stimulus, and then behavior is measured to test any influence. Usually, if at all, the response of subjects is small and weak.
Subliminal Perceptions in Marketing
An organization’s marketing is effective when it delivers a message that sticks in consumers’ minds and influences them to buy. Consumers experience subliminal perception from marketing messages that influence them without their conscious knowledge. Subliminal influence on consumer buying behavior has been studied and debated for decades. Many marketers include subliminal words and images in advertising, while others don’t make it a priority.
1. Subliminal Marketing
Subliminal messages influence consumers only under certain conditions. “Subliminal” means “below the threshold,” so subliminal messages are aimed at consumers’ subconscious minds. Many marketers include subliminal references to sex, power, happiness, hunger, or wealth in their print, online, and television ads or in brand logos.
For example, one print ad for Coca-Cola featured frost that some argued was subtly shaped in the image of a naked woman on the top of a can. Presumably, that image would shift the perception of the drink and make it more attractive to the target market. In another example, the Amazon logo features a smiley face that connects the letters A and Z in Amazon as if to suggest that consumers can find anything from A to Z and always be happy doing business with Amazon.
2. Creating Preferences
Subliminal marketing can influence consumers to prefer your product if they don’t already have a strong preference for a competing product.
For example, in a 2011 study published in the “Journal of Consumer Psychology,” researchers tested whether a subliminal message of an iced-tea brand could influence viewers’ choices when they were given the option to drink iced tea or bottled water at the end of an experiment. The data determined that only thirsty viewers were influenced, and only those who either didn’t prefer iced tea or didn’t prefer either choice were influenced to choose the iced tea because of the subliminal message.
3. Motivation Necessary
Consumers have to have heard of the brand in a subliminal message and be motivated to do what the subliminal message suggests in order to be influenced by subliminal perception. For example, if you don’t own a dog, watching a subliminal message to “Buy Brand-X dog food” flashed quickly at intervals throughout a movie won’t influence you to buy dog food.
The subliminal message may influence you, however, to choose Brand X over Brand Y if you already plan to buy dog food after watching the movie. At the same time, the subliminal message about Brand-X will likely have no influence on a dog food-buying consumer if the consumer strongly prefers Brand-Y or has never heard of Brand-X before.
4. Subliminal Exposed
While implanting subliminal messages in marketing can help sway some undecided consumers, many marketers don’t see the need. Compelling marketing that moves conscious thoughts and emotions does more to keep consumers coming back to a brand they already like. Additionally, any subliminal impact of ads and logos on consumers’ minds is diminished when the supposed subliminal messages or images are exposed.
For example, when you’re told that the frost on a cola can in an ad is shaped like a woman, the subliminal image no longer serves its purpose. Once your subliminal trick is revealed, the words or images become just another part of the overt marketing message consumers will consciously think about regarding your brand.
According to the Legal Dictionary, puffery is a form of advertising in which a product or service is praised as being superior to all others like it, without any evidence to back up the claim. This is done for the sole purpose of attracting buyers that might not otherwise give the product or service any attention.
Puffery can normally be found in advertising or promotional materials about a specific product or service, though it is often employed by politicians and other people attempting to gain favor. Puffery is legal, so long as it does not escalate to what would be considered misrepresentation. For example, undeserved or exaggerated praise; publicity consisting of such praise and others.
What is puffery?
Puffery is a statement or claim that is promotional in nature. It’s usually subjective and not to be taken seriously. Advertisers try to persuade people to buy a product or service through various methods. A company may deliver an entertaining message about its product, compare the product to a similar item, list facts about the product, or make vague claims about the product that cannot be proved or disproved. This last method is known as “puffery”; the advertiser “puffs up” the product to seem like more than it is.
Puffery is not illegal and is a common method used in advertising. Examples of these include claiming that one’s product is the “best in the world” or something completely unbelievable, like a product claiming to make you feel like you’re in space. For example:
Duracell
We all know that a toy rabbit powered by a Duracell battery will not keep going and going and going. Even if puffery’s only function is to entertain, that would be sufficient reason not to discourage it.
Fevicol (“Fevicol ka mazboot jod hai Tootega nahi!” by Fevicol)
The impact of puffery advertisement on the audience is as follows:
Consumers tend to buy the product on the basis of puffed-up ads but at times end up being dissatisfied. The product does not live up to their expectations.
At times, puffery has a negative impact on the consumers, where instead of being brand loyal, they end up being brand averse.
Some other examples of ‘puffery’ in advertising:
“Red Bull Gives You Wings”
“Feels like you’re sleeping on a cloud.”
“It’s a meal fit for a king.”
“It’ll blow your mind.”
“World’s best coffee.”
The above slogans are all ‘puffery’; we don’t know what it’s like to sleep on a cloud. Who knows what a meal fit for a king is? “Blow your mind” is obviously not to be taken literally, and there is no way of substantiating if you’re serving the world’s best coffee.
Puffery enables an advertiser to grab consumers by their collars and say, “Hey, have I got a great product for you!” If firms are discouraged from placing in their ads all but the driest factual claims, consumers will be forced to spend more of their time and resources discovering which products are available.
One consequence will be diminished product innovation. Because consumers are more familiar with established products than with new products, puffery is pivotal to the marketing of new products. Fewer resources will be devoted to product innovation if firms encounter greater legal risks in bringing new products to consumers’ attention. Established products experience less intense competition as fewer products enter the market. Product quality declines.
Social marketing was “born” as a discipline in the 1970s, when Philip Kotler and Gerald Zaltman realized that the same marketing principles that were being used to sell products to consumers could be used to “sell” ideas, attitudes, and behaviors. Kotler and Andresen define social marketing as “differing from other areas of marketing only with respect to the objectives of the marketer and his or her organization. Social marketing seeks to influence social behaviors not to benefit the marketer, but to benefit the target audience and the general society.” Social marketing is an approach used to develop activities aimed at changing or maintaining people’s behavior for the benefit of individuals and society as a whole.
So what, exactly, is social marketing? In the Social Marketing Report, it’s defined as “the application of commercial marketing techniques to social problems.” It means to take the same principles used in selling goods—such as shoes, television shows, or pizza—to convince people to change their behavior.
What does that mean? Well, instead of selling hamburgers, you’re selling a life without heart attacks. Instead of convincing teenagers to buy blue jeans, you’re convincing them to buy the advantages of postponing pregnancy.
If you are selling blue jeans, you’re still trying to influence behavior—you’re convincing people they need to wear your jeans, either for comfort or for style or for value. So then, what is the difference between social marketing and commercial marketing?
Definition
Before we focus on social marketing, we should clarify the nature of marketing as both an academic discipline and a management practice.
The definition offered by Kotler, Roberto, and Lee (2002, p. 5) is a useful one:
“The use of marketing principles and techniques to influence a target audience to voluntarily accept, reject, modify, or abandon a behavior for the benefit of individuals, groups, or society as a whole.”
Social marketing relies on voluntary compliance rather than legal, economic, or coercive forms of influence.
Kotler et al. (2002) argue that social marketing is often used to influence an audience to change their behavior for the sake of one or more of the following:
Improving health—health issues
Preventing injuries—safety issues
Protecting the environment – environmental issues
Contributing to the community involves issues of community-building.
Lazer and Kelley (1973, p. ix) define social marketing as follows:
“Social marketing is concerned with the application of marketing knowledge, concepts, and techniques to enhance social as well as economic ends. It is also concerned with analysis of the social consequences of marketing policies, decisions, and activities.”
Corporate Social Responsibility (CSR) is a continuing commitment by businesses to integrate social and environmental concerns into their business operations. Changes in the global environment increasingly challenge businesses around the world to look beyond financial performance and to integrate social and environmental concerns into their strategic management.
India traditionally viewed CSR as a philanthropic activity prior to the Companies Act 2013. And in keeping with the Indian tradition, it was believed that every company has a moral responsibility to play an active role in discharging its social obligations, subject to its financial health. In the early 90s, Mahatma Gandhi introduced the concept of trusteeship, helping socio-economic growth. Family values, traditions, culture, and religion influenced CSR.
On 29th August 2013, the Companies Act of 2013 replaced the Companies Act of 1956. The New Act has introduced far-reaching changes that affect company formation, administration, and governance, and it incorporates an additional section, i.e., Section 135—a clause on Corporate Social Responsibility obligations (“CSR”) for companies listed in India. The clause covers the essential prerequisites pertaining to the execution, fund allotment, and reporting for successful project implementation.
India became the first country to legislate the need to undertake CSR activities and mandatorily report CSR initiatives under the new Companies Act 2013. This is the beginning of a new era for CSR in India.
Companies to implement their CSR in PROJECT MODE are:
Suggested Areas of Activities for (As per Schedule VII)
Eradicating hunger, poverty and malnutrition; promoting health care including preventive health care and sanitation, including contribution to the Swachh Bharat Kosh set-up by the Central Government for the promotion of sanitation; and making available safe drinking water;
Promoting education, including special education and employment-enhancing vocation skills especially among children, women, the elderly, and the differently abled and livelihood enhancement projects;
Promoting gender equality, empowering women, setting up homes and hostels for women and orphans; setting up old age homes, day care centers, and such other facilities for senior citizens, and taking measures for reducing inequalities faced by socially and economically backward groups;
Ensuring environmental sustainability, ecological balance, protection of flora and fauna, animal welfare, agroforestry, conservation of natural resources, and maintaining the quality of soil, air, and water, including contributions to the Clean Ganga Fund set up by the Central Government for the rejuvenation of the Ganga River;
Protection of national heritage, art and culture, including restoration of buildings and sites of historical importance and works of art; setting up public libraries; promotion and development of traditional art and handicrafts;
Measures for the benefit of armed forces veterans, war widows and their dependents;
Training to promote rural sports, nationally recognized sports, Paralympic sports and olympic sports;
Contribution to the Prime Minister’s National Relief Fund or any other fund set up by the Central Government for the socio-economic development, relief, and welfare of the Scheduled Castes, Scheduled Tribes, other backward classes, minorities, and women;
The Central Govt. approves and provides contributions or funds to technology incubators located within academic institutions.
The tagline “jaago re” from TATA Tea is considerably encouraging to the public, as it conveys a positive message to “awaken” the people of India towards their real aims and duties.
Coca-Cola Mehman Nawaaji
Coca-Cola is taking ‘mehman nawaazi’ to a new level with #CokeNawaazi, where vada pav is being served with Coke, paranthas are being had with Coke, and 4’s and 6’s are being celebrated with shots of Coke.
P & G (Padegha, India; Badegha, India)
Shiksha is now in its 7th year and is back with an even stronger commitment—to take its current impact of 150,000 children to the 200,000 mark. On May 7, 2011, Shiksha held an event in Delhi. Shiksha ambassadors Anupam Kher and Dr. Kiran Bedi, as well as recent Shiksha supporter Jacqueline Fernandes, unveiled the plan of the Shiksha-RTI School in Purkhas, Haryana. This school is one of the 20+ schools that Shiksha is building in 2010-11 alone.
B. Advocacy Advertising
Introduction
Advocacy advertisements are communications intended to bring awareness to a certain problem. It is a kind of advertisement that is used in order to influence the public on political or social matters. Moreover, it is also concerned with the propagation of ideas and the explanation of controversial social issues that are deemed important in public policy terms.
Advocacy advertising is commonly regarded as a subdivision of corporate or institutional advertising. Contrasting commercial advertising, advocacy advertising is considered to be undertaken in the interest of a group or the public and naturally does not promote a product or service. Funding for advocacy advertising can be provided by nonprofit organizations, corporations, or private advocacy groups.
Advocacy advertising in India
Indian brands are taking advantage of the new call of social selling, employer branding, social hiring, personal branding, social PR, etc., which are the key principles of brand advocacy. Nowadays every brand begins changing their colors. Literally. Well, we are referring to the sudden switch to saffron, white, and green (India’s flag colors) in their marketing communication to celebrate Independence Day. But beyond these surface-level changes, there are a few brands that go the extra mile and design a campaign to aptly represent the spirit of independence and what it means for India.
Incorporating the brand message into the advertisement adds a unique touch. Undoubtedly, these campaigns continue to resonate with Indian consumers even after their discontinuation. So here’s a look at a few such memorable campaigns that evoke a strong sense of patriotism in every Indian.
Bajaj (‘Buland bharat ki buland tasveer – Hamara Bajaj’)
In this ad, Bajaj encapsulates the aspirations and spirit of a pre-liberalization India through its flagship scooter brand, Chetak. A simple middle-class family riding the scooter, a Parsi man wiping it clean, and yet another family worshipping the scooter before the first ride—each of these instances resonated well with the Indian consumer and positioned it as the perfect family two-wheeler. In fact, the sense of belonging this ad created was so strong that even today, the words ‘Buland bharat ki buland tasveer – Hamara Bajaj’ immediately make the Indian consumer nostalgic.
Paytm
Theme: Freedom is realizing that you have a choice.
Year of release: 2016
Hope and the possibility of a corruption-free India are the messages that mobile payments and the e-commerce platform Paytm convey through this ad film. It narrates three instances where it seems like there would be an exchange of money as a bribe but, in a pleasant twist, shows an exchange of emotions instead. “Jab cash nahi hoga, toh corruption kaise hoga?” The last frame of the ad urges people to work towards India’s freedom from corruption by encouraging them to use less cash and more digital payments.
Note: Interestingly, three months later, the government of India announced the demonetization of high-value currency, with one of the objectives being a cash-free economy.
National advertising means advertisements, brochures, catalogues, and similar marketing materials published and distributed to consumers; included in publications intended for consumers; or broadcast through television, the Internet, radio, or other media that are designed and intended to promote the sale of approved products, including point-of-purchase displays for use by retailers and marketing and promotional pieces provided to retailers for use in sales promotions to consumers.
Geographically speaking, national advertising is extended to the territorial limits of the country. The advertiser uses the national media to inform the consumer about the product. The advertiser uses the national, local, or regional language but prefers the national language. It can be available everywhere in the country and easily purchased. For example, Nestlé Kit Kat
Nestle Kit Kat in India
Nestlé Kit Kat was launched in India in 1995 and was well received by consumers owing to both the ‘finger format’ of the chocolate as well as the way its advertising celebrated the ‘consumption ritual.’ Through different creative renditions, the brand has always propagated the ‘BREAK IN ROUTINE’ communication. The new ad concept has really come out very well, based on the concept of animals emoting human emotions, particularly love.
The TVC that hit the screens a few days back has already garnered a huge fan base of over 40,000 viewers on YouTube. Basking in this, the company has even introduced various different format portions of the chocolate in 1-2-3 and 4-finger at convenient price points of Rs.5 and Rs.10, respectively.
Hyundai in India
Hyundai, the South Korean automobile manufacturer, has recently marked its 20th anniversary in the Indian market. This cause for celebration paved the way for a beautiful ad, ‘Hyundai brilliant moments,’ that narrated the story of a family’s memories with their Hyundai Accent.
Hyundai Motor India Ltd. (HMIL), the country’s second largest car manufacturer and the largest exporter since inception, launched the innovative Emotional and Recalling Brilliant Moments with Hyundai Campaign to celebrate 20 years of sales and production in the Indian market. To celebrate Hyundai’s legacy and thank over 5.5 million valuable customers, the emotionally connecting Brilliant Moments with Hyundai (BMH) campaign will invoke nostalgic memories to connect with all Hyundai customers. The Brilliant Moments Campaign will provide a unique experience through various experiential marketing, sales, and service initiatives at all Hyundai touchpoints and invite the customers of SANTRO, ACCENT, and i10 to share their brilliant moment stories.
B. Global advertising
Introduction
Only a few generations ago, it took months to ship products to a market in another country, and doing so was such a difficult undertaking that only major trading companies were able to take the risk. Then, developments in transportation technology made it possible for people and products to move much faster, and the first push toward globalization began.
More recently, information technology and particularly the Internet have shrunk the world even further. A business might have partners and employees half a world away, and consumers can get products from those locations in a matter of days.
Global marketing is more than simply selling a product internationally. Rather, it includes the whole process of planning, producing, placing, and promoting a company’s products in a worldwide market. Large businesses often have offices in the foreign countries they market to, but with the expansion of the Internet, even small companies can reach customers throughout the world.
Even if a company chooses not to expand globally, it may well face domestic competition from foreign companies that are. This competition has made it nearly a necessity for most businesses to establish an international presence.
Who employs global marketing?
Global marketing is particularly important for products that have universal demand, such as food and automobiles. Thus, a beverage company is likely to be in more markets than, say, a wooden toy company, but even a wooden toy company may find niche markets in diverse corners of the world.
However, even today most companies are focused on the domestic market (which is the largest economy in the world), with only one percent of U.S. companies invested in exporting. Nevertheless, the value of U.S. exports continues to increase, amounting to some $2.1 trillion in 2011.
Some individual examples of global marketing include:
Coca-Cola started selling internationally back in 1919 and is now present in more than 200 countries. In order to keep a consistent brand, Coke tastes the same in every region (although outside of the United States, the recipe uses sugar instead of high-fructose corn syrup), but the size, shape, and labeling of the bottle are changed to match the norms in each country. While the company formerly used a standardized advertising approach, it has changed to adapt advertising messages to local culture. Additionally, it adjusts its product line-up to fit local tastes, including a number of additional beverage brands.
McDonald’s makes certain that a Big Mac tastes the same in every country, but it also varies items on its menu according to local tastes. Customers in Mexico can order a green chili cheeseburger, customers in Korea get to eat bulgogi burgers, and customers in many Arab countries can enjoy the McArabia, a grilled kofta sandwich on pita bread.
Starbucks also adjusts their menu to fit local tastes. In Hong Kong, for example, they sell Dragon Dumplings. And as a global buyer of coffee, the company has long had a reputation for engaging local cultures according to their needs.
In Japan, Kentucky Fried Chicken has managed to associate their product with Christmas, and every year Japanese line up around the block to get their KFC chicken on that day.
For a non-American example of global marketing, consider Ahava, which started out as a tourist stand on the Dead Sea selling bottles of mud and salt from the renowned body of water. From this inauspicious start, they developed a line of cosmetics, and after partnering with an American company that already has a global distribution network, their cosmetics are being sold in high-end department stores throughout the world.
What kinds of customers does global marketing reach?
Since global marketing involves a variety of different products and opportunities, it’s impossible to identify a single customer profile. A global company must be prepared to develop multiple profiles for each of the different regions it trades in. The United States’ biggest trading partners are Canada, Mexico, China, and the European Union, but international trade by no means ends there.
Depending on the product, customers can be reached nearly anywhere in the world. In order to do so, global companies may rely on local distribution networks, but as they grow in particular markets, they may establish their own networks. Companies attempting to enter new markets tend to start with heavily populated urban centers before moving out to surrounding regions.
Particular attention needs to be paid to the growing international online market, which vastly increases businesses’ access to customers worldwide if they can speak the language. J.P. Morgan, in a report for the Department of Commerce, estimated that only 27 percent of online shoppers speak English. Nonetheless, in Korea, 99 percent of those with Internet access shop online; in Germany and Japan, 97 percent. Thus, companies that wish to break into those markets need to not only create a good product and do what works stateside; they also need to immerse themselves in the language and culture of the international market they wish to break into.
How is a global marketing campaign developed?
When marketing products globally, companies must recognize that a marketing mix that works in the domestic market may not have the same success in another market. Differences in local competition may require a different pricing strategy. Local infrastructure may affect how products are produced and shipped. In some cases, it may be more profitable to produce things locally; in others, it may be cheaper to ship them in from across the globe.
Partnerships with local businesses may be an important step in expanding into one market, while in another market, such partnerships might dilute the brand. The savvy global marketer must consider all these aspects of marketing in addition to the task of communicating cross-culturally.
When promoting a product or brand globally, a company must make decisions regarding trade-offs between standard and local messages. A single message is cheaper to produce and maintains the consistency of the brand, but it may not perform well in some regions due to differences in cultural values or expectations.
A global company must carefully research the various markets and prepare to make adjustments to its product and messaging wherever required. Sometimes this requires changing a name (for example, the Chevy Nova didn’t sell well in Spain, as “no va” in Spanish means “no go”). Sometimes it even involves changing the packaging (in America, Gerber baby food has a cute baby on the label to represent the brand, but in some countries shoppers expect the picture to represent the contents of the jar and were appalled by the image).
Individual marketers working with global campaigns should strive to learn the language of the market they’re assigned to, both for the purpose of managing business relationships with local companies and in order to verify translation efforts. For example, how do you evaluate the work of someone who has translated your company website? Is it a meaningful translation, or is it just full of buzzwords?
Additionally, marketers should personally visit their target markets and spend time in them—even moving to them for a time. Here they can develop local contacts, as well as gain a deeper understanding about how business is conducted in the area. In Japan, for example, it is not enough just to speak Japanese; you must also conduct business the Japanese way. Learn what is valued culturally—and what is offensive.
Developing and respecting local business talent is also critical for global marketing. If you have an office in Hong Kong, for example, you want to make full use of talented Hong Kong Chinese professionals in your marketing, advertising, and distribution. Many companies have lost opportunities and alienated allies by having the attitude that as Americans, they automatically knew better than their foreign partners.
J. International advertising
Introduction
As technology creates leaps in communication, transportation, and financial flows, the world continues to feel smaller and smaller. It is possible for companies and consumers to conduct business in almost any country around the world thanks to advances in international trade. According to the World Trade Organization, the volume of international merchandise trade increased 33 times between 1951 and 2010.
Brands and products that originate in one country are enthusiastically accepted in others. For example, Louis Vuitton handbags, BMWs, and Columbian coffee, all foreign products, are symbols of status and quality in the United States—and many American brands, like Warner Brothers motion pictures, have similar footholds overseas.
However, globalization has created just as many challenges as opportunities for brands that venture overseas. Because consumers have so many more options for similar products, companies must ensure that their products are high in quality and affordability. Additionally, these products cannot be marketed identically across the globe. (See also Global Marketing.) International marketing takes more into consideration than just language—it involves culture, market saturation, and customer behaviors. American and European companies especially have turned their international marketing efforts into something more than just exporting—they have adapted their branding to account for differences in consumers, demographics, and world markets.
Companies who have done this very well include Coca-Cola, who discovered that the word ‘Diet’ carries a negative connotation in Latin America and changed the name of their zero-calorie product to ‘Coke Lite’ for those countries. UPS, known in America for their brown trucks, issued a fleet of a different color after learning that their flagship brown trucks resembled Spanish hearses.
What is international marketing?
International marketing is the application of marketing principles in more than one country, by companies overseas or across national borders. International marketing is based on an extension of a company’s local marketing strategy, with special attention paid to marketing identification, targeting, and decisions internationally (see also Local Marketing).
According to the American Marketing Association (AMA), “International marketing is the multinational process of planning and executing the conception, pricing, promotion, and distribution of ideas, goods, and services to create exchanges that satisfy individual and organizational objectives.”
Who employs international marketing?
Rapid technological advances mean that geographical and cultural communication barriers are disappearing, and even smaller businesses without a physical presence in other countries can market and sell their products internationally (see also Diversity Marketing). This means that almost anyone with the desire can market internationally but will do so with varying levels of success, depending on the thought and research that is put into the international marketing strategy.
Companies selling goods that have customs restrictions, like food and live plants, must contend with a more rigorous regulatory process before marketing their products internationally. While they may have a more difficult time setting up their international export business, they also have the opportunity to expose other countries to native products they couldn’t access otherwise. Other types of companies that often perform well internationally include those involved in export, joint ventures, and direct investment.
Exporting is the practice of shipping goods directly to a foreign country. Prominent companies that do an excellent job of marketing their foreign exports to the United States include Fanta soft drinks, Honda, and retail giant H&M. In fact, H&M paid $3.5 million for a 30-second commercial during the 2012 Super Bowl, a marketing bonanza that has long been dominated by American brands.
Joint venture companies refer to the combined efforts of two or more businesses for their mutual benefit. One of the most famous international joint venture success stories is Sony-Ericsson, a partnership between a Japanese electronics company and a Swedish telecommunications company. Their international marketing strategy, comprised of bright colors and modern shapes, has helped make the joint venture known the world over. (See also Cooperative Marketing.)
A direct investment company places a fixed asset in a foreign country with the aim of manufacturing a product, or part of a product, abroad. Dell computers, for example, is an American company with factories in many other countries that assemble personal computers from parts made all around the world. Dell then markets their computers with an exceptional emphasis on customer needs and customization—unlike other companies that sell pre-manufactured products, Dell computers are custom-assembled after customers place their orders.
What kinds of customers are effectively marketed to with international marketing?
Depending on your brand, any foreign citizen is a potential customer. But how does a marketing team figure out how to tap into an international market? Customers who live in foreign markets have different buying habits, preferences, and priorities than the customers they’re familiar with. By tracking these foreign customers through market research and cultural surveys, marketers can discover the best methods of reaching them.
Trying to market a brand to international customers without researching is just asking for trouble, as companies have proven time and time again. Careful consideration of a culture’s beliefs and prejudices is important in international marketing. For example, the Muslim culture considers dogs to be dirty animals. So, positioning a dog as “man’s best friend” in a Middle Eastern country will surely fall flat.
Huge international Marketing Blunders
Pepsodent tried to market its toothpaste in Southeast Asia by claiming that it “whitens your teeth” before learning that some locals chewed betel nuts to blacken their teeth, a sign of attractiveness in their culture.
The Scandinavian vacuum manufacturer Electrolux didn’t account for a common American colloquialism when marketing their vacuum in the U.S.: “Nothing sucks like an Electrolux.”
The soft drink Fresca was marketed under that name in Mexico … before the company discovered that ‘fresca’ is a slang term for lesbian in parts of Mexico.
Pepsi used the slogan “Come Alive With Pepsi” in Taiwan … or so they thought. The slogan was actually translated as “Pepsi brings your ancestors back from the dead.”
The Coors slogan “Turn It Loose” was translated into Spanish as “Suffer From Diarrhea.”
How is an international marketing plan developed and employed?
It can be difficult for a small or medium-sized corporation to initially build an international marketing plan because they generally don’t have the expertise or budget to launch the campaign. By partnering with another group or hiring marketing experts with knowledge of foreign markets, smaller companies can build their cultural research and implement more successful campaigns. Whether a company chooses to partner with another foreign agency or hire an inside international marketing representative, the most important facet of building a successful international marketing campaign is the research they conduct. Research will inform the company’s marketing mission as they proceed, allowing them to maximize potential in new markets.
Once research is completed and a market is chosen, experts should examine and modify a brand’s marketing strategy so that it fits their target demographics. Hiring representatives from the country will help ensure that all cultural differences are handled appropriately and with sensitivity. For an emerging international brand, establishing partnerships and networking with other companies in the country are essential for success. Partners within a target market help new companies establish themselves in markets where they would otherwise have gone unnoticed.
Finally, it is important to review an international marketing strategy on a quarterly basis. Even if a company sends representatives to travel to the foreign market, it is much more difficult to keep a finger on the pulse of an overseas marketing campaign. This means that results need to be tracked extremely closely, and tweaks should be made regularly to help a product gain the appropriate foothold for success.
Generic advertising provides a unique window through which to observe advertising effects on market performance, because changes in the dispersion of consumers’ valuations systematically redistribute rents among firms according to observable characteristics of producer size.
According to the American Marketing Association, AMA Dictionary. “Generic advertising is an approach to preparing advertising messages that concentrates on the customer benefits that apply to all brands in a product category, rather than benefits that are unique to specific brands.”
According to advertising wearout, defined as the declining effectiveness of a commercial or campaign associated with increased exposure, it is examined from a generic advertising perspective.
Generic advertising campaigns of the type typically undertaken by agricultural commodity groups differ from branded advertising in that the former seek to increase aggregate demand for a product category (e.g., beef, milk, wool) rather than the market share of a particular brand within a category. For example, most commodities in the United States have check-off programs assessing producers for generic advertising and promotion, a public good for producers. Examples of the more popular programs include “Got Milk?” and “Beef, It’s What’s for Dinner,” etc.
Generic advertising is a type of marketing designed to promote a general product rather than a specific brand name. Such campaigns have been produced for everything from fresh milk to gemstones. This type of advertising does not mention particular brand names but attempts to build consumer support for the product in general.
Does the industry need generic advertising today?
Generic Advertising of Rhein Maas
Since 1 July 2018, Veiling Rhein-Maas has collected a levy for generic promotion from the auction customers, which is passed on to the two above-mentioned initiatives. Below, you can find all relevant information about the possibilities that ‘Flower Council of Holland’ and ‘Blumen—1000 Gute Gründe’ offer to the customers of the auction as well as the next upcoming events, presentations, and campaigns.
Flower Council of Holland
The ‘Flower Council of Holland’ takes care of the consumer-oriented promotion of flowers and plants in various European countries. Funnyhowflowersdothat.co.uk and thejoyofplants.co.uk are showing the customer that flowers make us happy and that everything is a little bit less stressed and more comfortable in the company of plants. You can also find both brands on Facebook, Twitter, Pinterest, and Instagram.
In addition, the ‘Flower Council of Holland’ regularly launches campaigns such as ‘Houseplant of the Month,’ ‘Garden Plant of the Month,’ and the ‘Flower Agenda,’ where different flowers and plants are placed in the spotlight every month. The ‘Flower Council of Holland’ also provides you with photographic material (image bank), texts, posters, and graphics free of charge. Use these promotional materials to boost your sales! The initiative has also issued a calendar for 2019, which includes all the important days in the flower industry from several European countries.
Voluntary generic advertising in India
The ‘voluntary’ prefix says that only those companies that wish to pay towards the campaign do so. Such advertising is perhaps most prominent in the promotion of agricultural produce, with campaigns promoting milk, chicken, eggs, and other foodstuffs.
