When a company is planning to enter some international market and is looking for a suitable strategy to brand its products there, it’s always very important to appraise all the nuances in order to make the right decision. There are three possible variations of how to brand your products on the foreign market and you should choose one basic strategy which is most suitable in your particular case.
The strategy of international brand
Company operating in the international market don’t make a broad adaptation of its offers, brands and marketing to different local conditions. So, a brand, designed for domestic market is used on external markets in the same form. Such a strategy is suitable for companies whose brands and products are truly unique and they don’t face any serious competition on foreign markets. For example, Microsoft Corporation.
The strategy of global brand
Company that uses this strategy don’t adapt the concept of branding to possible national differences and use same brand name, logo and slogan all over the world (like Intel Corporation did at the beginning of its operation). Market proposal, brand positioning and communications are identical. So, everything is originally developed for the multinational audience. Branding operations standardization leads to significant economies in terms of investments needed.
The strategy of transnational brand
Company using this strategy develops individual concepts of branding for each of foreign markets it’s interested in. Not only brand name, but also market proposals and marketing events are specially adapted to local conditions. Nevertheless, the concept of corporate brand is quite visible and it works as a framework, which guides local adaptation. So, a brand can be positioned different ways and an appropriate price can be settled and trade policies used. High investments needed to match all local requirements, as well as the absence of benefits of standardization are negative aspects in this case.
Implementation of branding strategy involves certain difficulties. Constant adaptation is important because of changing conditions and dynamic development of the market. In addition, these three main strategies are hardly seen in their purest form in practice. In reality we are dealing with a lot of options and a wide variety of hybrid forms. Nevertheless, these strategies provide a good starting point and help to characterize a general direction of brand strategy.