If your brand operates in multiple markets, you’ll know that communicating to audiences in each locale can be a huge challenge. Marketing campaigns created in your domestic market need to be effectively adapted to meet the linguistic and cultural expectations of each target market.
In some markets, you might need to create new campaigns altogether to make stronger connections with consumers and better position yourself alongside local competitors.
All of this can take a toll on your time and resources depending on your industry or product – especially if you’re successful in markets that demand more from your marketing teams. As a result, you might find that your international marketing strategy could benefit from moving from a centralised process to a decentralised one – or even a combination of the two.
But what are the differences between centralised or decentralised marketing processes and what are the benefits of each approach?
The centralised approach
When you centralise your marketing strategy, the marketing team is based in the target region. Strategy is developed, implemented and optimised in one location.
Resources, skills, budget, vendor management and data are all maintained within one centralised team. Furthermore, brands have a clear line of accountability when it comes to global marketing campaign performance.
Although budgets and brand messaging can be tightly controlled, the creative process can become stifled. Many brands who choose to use the same marketing messaging in new markets risk missing the mark in their marketing campaigns and alienating potential customers.
If you do decide to centralise your marketing team, it would be wise to implement a strategy that takes into consideration the complexities and nuances of marketing to customers in countries that require a tailored marketing approach.
The decentralised approach
With this option, marketing teams are spread out in different locations that your brand operates in. Typically implemented by larger global organisations, local marketing teams, who are native to each locale, act as market specialists in order to effectively build products and develop strategies that are uniquely tailored to each market.
Consequently, your marketing communications are highly localised and there’s more scope to deepen the customer relationship with your brand.
But there are a few drawbacks. You’ll lose accountability for marketing decisions in each market along with the implementation of local systems and strategies that may lead to inflated costs. Furthermore, with multiple marketing teams, you run the risk of losing your brand integrity and your ability to make strategic decisions globally, at scale.
The best of both worlds
Commonly known as the distributed approach, brands are increasingly choosing the best of both a centralised approach to global marketing but with a decentralised style of execution.
With this distribution method, brands keep tighter control of brand messaging by creating assets such as brand and tone of voice guidelines and media assets to be shared with local marketing teams. These assets can then be customised to fit the specific linguistic and cultural needs of the local market.
Furthermore, these assets, along with customer data, are stored in one central location for everyone to access. This allows greater control over brand identity and the ability to monitor and track brand campaign performance at both a local and international level.
Want more information about how some of the world’s top retail and travel brands execute their international marketing strategies? We partnered with Econsultancy on a research report identifying localisation opportunities and challenges with a panel of eight leading brand marketers.
You can download the report for free below.
