Global Marketing Research

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• Global Marketing Research
• And Global E-Marketing
• Nicole Howatt

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Research

• Given the complexity of the global marketplace,
  solid marketing research is critical for a host
  of global marketing decisions.
• Most of the cultural blunders in global marketing
  stem from inadequate marketing research.

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Global Marketing Research

• Secondary Data Data/information which is already
  available.
• Primary Data When the information is not useful,
  or simply does not exist.
• Selected Secondary Data Sources Lexis/Nexis,
  FINDEX, National Trade Data Bank, U.S. Department
  of Commerce, Japan External Trade Organization
  (JETRO), OECD, IMF, The Economist Intelligence
  Unit (E.I.U.), ACNielsen Co, Taylor Nelsen Sofres.

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Primary Global Marketing Research

• Focus Groups
• Survey Methods for Cross-Cultural Marketing
  Research
• Questionnaire Design

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More Helpful Sources

• US imports and exports (Bureau of the Census)
• Yearbook of Industrial Stats (United Nations)
• OEDC Economic Survey
• World Factbook (CIA)
• Euromonitor
• Advertising Age
• Interdata

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Kotabe Helsen/Global Marketing Management,
2e Chapter 6, Exhibit 06-05
EXHIBIT 6-5 Comparison of European Data
Collection Methods
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Construct Equivalence

• Requires that a construct or concept occurs and
  has the same meaning (and is equally relevant)
  across countries and contexts.

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Measurement Unit Equivalence

• Requires that the measurement unit is equivalent
  among comparisons
• For example, a comparison of money indicators
  (e.g., income figures, trade statistics) needs to
  be converted into a common currency for all
  countries in the study.
• Exercise caution when using scales developed for
  a particular country or culture
• Consider using shortened versions of scales that
  reflect the core items of the construct.

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Why The Excitement of Internet?

• Power shift from sellers to buyers
• Death of distance
• Time compression
• First mover advantage
• First real global medium
• Real time trackable interaction
• 24/7
• Customer is in control
• MUST BE RELEVANT

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The Internet

• Computer Industry Almanac estimated that
  worldwide users will reach 490 million by 2002
  and the US is estimated to reach 165 million
  users
• (Presently, US is 182 million and worldwide
  is over 530 million- only 8.5 of global
  population)
• 15 of worlds population comprises 88 of all
  Internet users

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E-Business Model

• A method of doing business that contributes to
  the firms profitability whether by increasing
  revenue or decreasing costs
• Necessary for models to identify value for the
  customer

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Exhibit 1 - 2 Level of commitment to
e-businessSource adapted from
www.mohanbirsawhney.com
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Global E-Marketing Trends

• Only 45 of US companies have not done anything
  to customize their web sites fro foreign users
• 30 average hits from outside US
• 46 non US orders go unfulfilled
• International Cybersquatting
• Localized domain names

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Comparisons

• Traditional-broadcast, direct mailings, press
  releases, promotions, networking
• Internet-banner ads, email, online events, chat
  rooms, viral marketing
• Types?
• Promotional, service, e-tailers

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Tips To Increase Traffic

• Include web site on traditional pieces
• Add links from relevant sites
• Post security and privacy policies
• Collect visitor info and log trends
• Languages
• Obtain opt in lists
• Offer free things that match your segment free
  games, chat rooms, information, bulletin boards,
  pictures, free post cards

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Australia

• 3rd highest internet penetration
• Online shopping has doubled each year since 1998.
• Items purchased books, magazines, music,
  computer software, entertainment products.
• Downfall no widespread broadband

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Chile and China

• Chile
• Internet growth of 305 in two years
• Expected 1000 increase in online sales revenue
  expected between 1999 and 2002.
• China
• Internet used most in home and in cafes
• Low phone penetration, lack of Chinese web sites
• 40 females online (56 million people)

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Egypt

• High illiteracy rate
• Charged per minute for phone use no flat rate
  plans
• Limited computer availability
• New laws allowing government to provide online
  services through E-Government project

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Germany and India

• Germany
• High cost to go online
• 31.4 million had access in 2002 vs. 15.9 million
  in 2000
• Projected 50 will be online in next few years
• India
• Internet usage growth of 116.5
• 2 online users shop online
• Very low credit card usage
• High legal barriers

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Ireland

• 50 of population has internet access
• Consumers are growing more confident with online
  purchases
• Revenues from e-commerce and advertising are
  rising steadily. This was evident in 2000 when
  revenues grew 59.
• Online grocery shopping is becoming more and more
  important

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Poland

• ½ online users log on daily
• 68 users live in highly populated towns and
  cities
• 35 of users are younger than 35 years old
• Online banking is a new trend

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Turkey

• High cell phone usage
• Love to bargain
• Barrier of preference for buying in store

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Thailand

• Shipping prices are expensive
• Enjoy the mall
• Internet controlled by a few players charging
  high rates
• Use cash on delivery system the Thai way