The global brand building and management world is in a state of change. It is changing rapidly, and the tools and platforms to make global brand management possible are evolving fast. However, the underlying trends that guide the process of international brand building and management will not change nearly as quickly. This article will examine five key trends impacting brand building and leadership in the digital age. They include the rise of digital global sales channels, the cocreation of global brand strategy, global transparency of brand activities, and the Internet of Things.
Global brands can reach consumers in the world's remotest parts with digital sales channels. In China, for example, the internet has allowed international brands to reach 600 million rural consumers, many of whom lack access to modern distribution systems. Moreover, with the advent of internet-connected smartphones, consumers can access any product from any location with just a tap of a finger.
Global branding gives companies a substantial competitive advantage over other businesses because it gives them a worldwide presence and recognition. As a result, it makes their products and services more appealing to customers and increases their chances of sales. It also expands a company's target market, which means it can raise more funds and find investors.
However, the digital age has brought new challenges. For example, globalizing a brand can be expensive. While some companies can run their own Twitter and Facebook campaigns, global brands need a team of professionals to implement global branding strategies.
A vital brand signals trustworthiness to consumers. If a product does not live up to its promises, consumers can return it for a refund. On the other hand, if they buy online, they can rely on the brand name for reassurance. A global brand signals quality and trustworthiness.
Digital sales channels allow global brands to reach consumers even in remote regions. This is especially helpful in China, where more than 600 million rural residents have little access to modern distribution methods. In addition, Internet-connected smartphones allow consumers access to virtually every product on offer. As a result, over 50% of consumers have purchased something online from an overseas retailer within the last six months.
Big data allows companies to adjust pricing in real-time. This will enable companies to offer lower prices to price-sensitive users. They can also provide targeted advertisements and coupons. These tools are already in use in many companies. Big data can also help companies understand what products and services appeal to a particular audience.
The big data market is expected to increase in the next few years. Companies are increasingly turning to big data to gain a competitive advantage. With a growing demand for data-driven decisions, businesses can react faster to changes in the marketplace. This, in turn, will directly affect the bottom line.
Big data is also used to analyze and improve marketing programs. Its vast data sets enable organizations to test more than one factor simultaneously. They can also use visitor histories and natural speech patterns to improve search functionality and user experience.
A cocreation is an emerging product development approach involving the active participation of multiple parties. Companies can use joint innovation centers, research labs, and strategic partnerships to support product development. Cocreation has several distinct advantages over traditional product development and management, including balancing cost and time to impact.
The process requires a shift in thinking and collaboration across functional areas. Organizations must consider cultural differences, unique strategies and technologies, and progress reporting processes. It is essential to set clear milestones for success. If teams are involved in multiple aspects of the process, the agreements must be clear about ownership and responsibility.
In addition to defining ownership rights and reducing risk, cocreation partnerships must have clear goals and objectives. It is also crucial to know the value proposition for both parties. For example, most companies assume their intellectual property (IP) makes them valuable. However, it is essential to look for partners with a positive track record of collaboration, a robust risk appetite, and access to markets and talent.