March 1, 2010

The allure of the blockbuster global brand is irresistible — but too often, plans for global dominance don’t work out, even when the company in question already has an established name. In their article @BeginLink@Why Global Brands Have Become a Long Shot@EndLink@ (published as Grow it Globally), which appeared in the Spring 2010 issue of Marketing Management, authors Rita E. Numerof, Ph.D., President, Michael Abrams, M.A, Managing Partner, and Bill Ott, M.B.A., Senior Consultant share their perspective on rapidly changing global market forces, and how companies should design their market strategies.

Globalization — especially the increasing importance of emerging markets — has made a consistent brand identity much more difficult to maintain. But when the purchasing power in your target markets is as different as London and Delhi, how do you find the right price points and value proposition — ones that won’t encourage grey market transactions or cheapen your brand, yet can be successful in both? And how do you manage a portfolio of similar products with different brand appeals, at very different price points, targeted at vastly different segments?

In this article, the authors address these questions, and make the case for a structured approach to understanding and segmenting the market based on real needs, and applying that understanding in a way that influences business strategy and drives portfolio decision-making.