26 July 2002
| Brand Strategy
By David Wethey
David Wethey recommends a different process for international clients and
agencies to follow in global campaigns.
Brand valuation experts place a high premium on internationality. David
Andrew in Interbrand's publication Brand Valuation says: "Brands which have
proven international acceptance and appeal are inherently stronger than
national or regional brands". In Interbrand's brand valuation system, the
'internationality' dimension carries 25% of the total score, equal first
with 'leadership'.
Global marketing companies know this and put vast resources behind promoting
their brands across the continents. The advertising industry is dominated by
groups of agencies who have opened offices in hundreds of countries to serve
their clients.
So do clients and agencies manage their campaigns like a well-oiled machine?
Well - in our experience anyway - no. As consultants, we observe and analyse
many global relationships. Let's be fair and acknowledge that we are usually
called in when things are less than hunky dory, and often in new
relationships where problems have struck early. Here's what we tend to find:
* Dissatisfied central clients, criticising their agency for having exceeded
budget, being behind schedule and infuriating their colleagues. Above all,
the promise of famous creative work (which settled the outcome of the pitch
in favour of the chosen agency) has not been realised.
* Frustrated agencies, claiming to be losing money. They are not working
well with the HQ clients and are starting to fall out with their colleagues
around the world. These local agency managements much prefer dealing with
national clients, who are easier to work with, far more likely to provide
opportunities to fill the shop window and win awards, and are seen as more
profitable.
So what has gone wrong? It can be weaknesses in the people on both sides -
lack of experience, lack of chemistry, and sometimes sadly simply lack of
ability.
We believe that the real problem is that having been rigorous decision
takers during the agency selection process, clients frequently take their
eye off the ball once the new relationship is under way.
Let's take a couple of examples of invalid assumptions in the world of
international advertising:
* "There should be a brand proposition that works everywhere, so the agency
can develop an international campaign"
* "They are a famous international agency, so they know best"
The potential decision traps here are: first, trusting the agency to know
what development process to follow, and second, believing what you want to
believe - our brand is sold in 37 countries, therefore it should have a
global campaign.
Before you know where you are, six months will have passed, the agency will
have spent most time on "strategic development", the planners will have
passed the baton to the creatives, and you will be looking at six routes -
all in English naturally - to go into research. None of them have set the
Thames alight. There are also doubts about whether the Yangtse will be set
alight either, given the awkwardness about the Chinese not having heard of
John Cleese. Timeburn on your (as yet unsigned) resource package agreement
will already be massive, as will the travel bill.
Yet some other key decisions will not have been made - or if they have been,
probably not fully shared with the agency:
* Short, medium and long term commercial objectives - globally, by region
and by market?
* Which markets will have advertising this year? Next?
* Detailed levels of budget and media spend by market?
* Media selection?
If this in any way sounds familiar, you would probably benefit from the
proprietary five stage sequential decision pathway we have developed for our
international clients called DISCO.
D is for Deliverables. Before we look at how our international advertising
might look and sound, what is it for? What results is it supposed to
achieve? Over what time frame? How will it fit with the rest of the
marketing mix? Responsibility: client marketing team. No agency - however
brilliant - can make much contribution until the client has thrashed this
out.
I is for Investment. How much can we afford to invest to hit those targets?
What do we need to budget for media, production and agency fees?
Responsibility: led by marketing accountants with significant upfront inputs
from the media agency.
S is for Strategy. Spend time on marketing and communications strategy,
looking in depth at the brand and digging for insights to inspire the
creative process. Responsibility: led by brand specialists in the client
marketing team, working closely with agency planners.
C is for Creative. The agency at last comes into its own, but it should be
looking at far more than just ads in English. Responsibility: led by the
central agency creatives and planners, but involving colleagues from all key
geographies and markets.
O is for Operations. Client team: how are we going to manage our
international campaign? Agency team: how are we going to resource and
operate? Drivers: effectiveness, efficiencies, value. Need to tailor,
design, cost and agree an operating system to deliver whatever advertising
and marcoms the brand needs. Responsibility: led by central client and
agency teams, working together.
DISCO is nothing more than logic and common sense - but as a framework for
taking the key decisions in an endeavour as fraught and risky as
international advertising, it is a better bet than winging it.
David Wethey is chairman of Agency Assessments International, which advises
clients on selecting new agencies and getting value out of existing
partnerships.
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