International Brand Management - It's More Important Than Ever

It's fair to say that  branding is one of the most important aspects of any business, large or small, retail or B2B. Effective brand strategies are becoming increasingly important as consumer cashflow return and markets become more competitive.

Your brand confirms your company credibility, motivates the consumer to buy your product or service and pins down customer loyalty. Your brand resides within the hearts and minds of customers, clients, and prospects. It is the sum total of their experiences and perceptions, some of which you can influence, and some that you cannot. 

The huge global brands of 2015 did not get to where they are today without effective branding and brand strategies. Take a look at Forbes 2015 list of the worlds most valuable brands. From Apple to McDonalds and on down to Facebook, they all have had effective strategies embedded in them at their core. Each company knew what they offered, they knew what customer they wanted to attract and they knew their strategies.

But what do most of the brands in this list have in common? Nearly all have struggled when it comes to managing their brand internationally. As companies grow and increase in popularity domestically it is quite clear that expansion is on the horizon. Yet plans are never in place before reaching this milestone. Big brands have rested on their laurels and then take their strategy designed for domestic implementation and force it to fit into their international expansion plans. They seem to disregard cultural differences and consider a standardised approach to distribution. Not when going internationally to other markets. Everything changes.

McDonalds - A Case In International Brand Management Failure

Take McDonalds for example. When entering the Japanese market they took the famous Ronald McDonald to the streets of Japan for promotional opportunities and  try to get people into their restaurants. Japanese customers were seen running away from the famous face of the fast food brand. Why? Because white painted faces of clowns represented death in Japan and customers were completely thrown off. A cultural difference that McDonald's either didn't do their research on or just disregarded it as not important.

Following this significant set back to the McDonald's brand in the Asian market, the mammoth restaurant chain released the "McGratin Croquette" also know as the Gurakoro in Japan. Oh you haven't heard about it? That is because it was an unmitigated disaster in Japan and subsequently buried by McDonalds. Yet again more problems around culture and distribution on the ground. 

They may have hidden it from the world but nevertheless the brand has suffered major damage in that particular market due to their lack of adequate international brand management.The management and distributors had a fundamental problem from the beginning. They refused to take the local culture into account when marketing to their audience and they also used a standardised approach to distribution. They never once thought about protecting their brand.

It's More Important For Startup Or Newer Companies

Companies that are starting out in their early years have to manage their brand like they are walking on egg shells. One post, tweet, offer or article can cause permanent negative harm to a startups overall brand. 

Having the right distributor is also a very important choice. But it cannot be any standard distributor with a big name. They're too commercial, too contract orientated. There is no brand awareness there and certainly no loyalty. It is the distributor that gets the brand noticed and gets the products into view of the target audience. However choosing the right distributor has been a continuous challenge for companies both in their early stages of development and in their maturity.

Standard Commercial Distributors Harm International Brand Management

Currently the distributors role is to get the products to market for the brand. But often they never take the promotion of the brand itself into account. The work spent on creating a great brand in one's domestic market can often be wasted if the distributor just provides the standard service of just delivery.

Yes, granted the products are delivered and get placed into stores in their new market but they can end up having an awful in store placement. They are seen as just another product in the store. Who wants to build a brand just for it to be placed on the bottom shelf in the far corner? No one. Well, not anyone who has put their blood, sweat, tears and unbridled passion into what they have built.

The advertising and marketing of the brand itself in an international market is vital. Brand management should be carried out weeks before the product is shipped and all the way through the supply chain. A distributor should eat, sleep and breath the brand and products just as the creator does. That partnership and synergy between brand and distributor is just that. A partnership! But that is not what large commercial distributors see their role as. Their role has changed apparently. And it needs to change back. Quickly.

Connections Are Difficult To Attain, But Loyalty In 2015 Is Much Harder

The large commercial distributors on the world do not care about the product or brand they are delivering and that is a problem. Once a contract is signed, distributors focus on their core function. That being get the product to the store in whatever way possible. Brand promotion, product placement in store, follow up reviews of stores that stock those products and all of these other very important functions are not carried out. What happened to creating an experience and maintaining a great image?

I am asking why can't there be a company that will get the connections for you on the ground in a new international market. One that will ship and control inventory for you in that market. One that will get the product to the correct target audience and above all else promote and market those products just as strongly as the brand would itself in their domestic market. One that is loyal to the brand and see that brand as their own. They see that brands success as their own success.

International brand management is something that cannot be over-looked by companies looking to expand. Cultural awareness and in-depth research of the market is a vastly undervalued. As we have seen even the mightiest brands can meet significant issues if they take their success for granted and exlpre new markets without using their heads.

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