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Steve Norcia, Managing Director, DDB Worldwide Communications
March 23, 2000, 12:00 - 1:00 p.m. Eastern

moderator: Hello all, Welcome to the Global Advertising Discussion. We'll begin at noon.

steve_norcia: not necessarily produced just in the US, it could be produced in any country and used ww. depends on operationg structure of the client.

moderator: We'd all like to hear the question. I'll give you a voice.

kuhio: How does Internet advertising work in Europe, Japan and other places?

steve_norcia Could be produced anywhere, and translated or adapted for specific use in a country.

moderator: Did that anwer your question?

steve_norcia: Internet is a global medium so it works basically the same around the world.

kuhio: What is the breakup of e-mail vs. banners in these other countries?

steve_norcia: I am afraid I would have to check an Internet specialist on that one. Sorry.

kuhio: Also, what percent of the ad expenditure pie is Internet advertising?

steve_norcia: Not necessarily, but most of it is. Internet ads can be separated by country domain.

kuhio: When should a brand use same creatives across countries and when should they customize?

kuhio: I know. Big question. Just wanted to revisit it and get the latest thinking on it.

steve_norcia: A company or a brand must determine what it wants to do. Some want to be globally the same and other some need to reflect different cultures. McDonalds wants to be local, IBM wants to be more global.

kuhio: But, is it really possible to have the same creatives across cultures with different communication styles and different understanding of symbols?

steve_norcia: The world likes to think global and act local. What is important is that brands have common brand strategy, but what is important is that they have a united brand image. Today no points are given for being a centralist. More and more companies are thinking about the importance of the local market.

steve_norcia: Nike does it across the world. Digital equipment did, Bennetton right or wrong does.

steve_norcia: The Internet is no different than any other medium. You profile accordingly, against the audience.

kuhio: Can you comment on Coke vs. Pepsi in different countries? Doesn't Pepsi use more of a celebrity endorser approach?

steve_norcia: Pepsi has become the more global of the two right now, since Coke has recently changed management and they now want to be more responsive to their local needs. Pepsi use of global celebrities seems to run counter to Coke.

kuhio: Can you comment on English vs. other languages? Also, can you talk about translating the whole message- not just the English?

steve_norcia: Depending on where the initial creative is done would be the first factor. For example, if it were to be developed in the US first, then the correct way to do an ad, is to have all countries comment and help create the ad at the outset. Then everyone feels it is their ad. Then the adaptation to the market is easier. And

steve_norcia: the way to adapt is not to literally translate from one language to another. I remember doing an ad with a server and a Tank. When I sent it around the world Israel said Tanks were not too popular right at that time, could I use a Truck. We changed the ad.

kuhio: I know that Coke has run English ads in India- i saw the one with the african-american teenager singing in a bus. It was identical to the one I saw here.

steve_norcia: Where is here?

kuhio: Oops- US- Seattle

steve_norcia: A lot of Indian advertising is run in English, it is aspirational and widely spoken.

steve_norcia: How is the weather in Seattle?

kuhio: As the proportion of the global audience in E-Business sites in the US increases, will taking into account what customers of other countries think become a big issue?

Paula: Most Coke advertising is developed to be easily adapted.

steve_norcia: How is Bill G?

kuhio: Seattle weather is mostly cloudy with chances of "sun-breaks".

kuhio: Bill is fine. Trying hard to get back to techie roots. E-nough of that, I guess. :-)

steve_norcia: It is a big issue now. And will become more so in the future. As the dot coms roll out around the world they are seeking an understanding of global markets.

moderator: Steve, aaf1 has a question.

steve_norcia: fire

aaf1: thank you for taking my question. How do you think global marketing affects the US's business and economy

steve_norcia: Positively

steve_norcia: The worlds markets have opened up as the Internet has added a new market of exchange. The US has benefitted the most.

aaf1: I certainly agree

steve_norcia: Other markets will benefit as the infrastructure of the Internet improves around the world.

moderator: aaf1, do you have another question?

aaf1: no, thank you for answering my question

moderator: okay, i'll give the floor back to kuhio, who had a question

Paula: I should think that at present, internet advertising around the world is very ancillary to outdoor, print and TV, however, because of ability to purchase equipment esp. in third world countries. Yes?

steve_norcia: Internet advertising is still in its infancy. For example I am not sure banners are there yet.

steve_norcia: Also its cluttered.

kuhio: Do you care about permission marketing or do you think it is a fad?

steve_norcia: What is permission marketing? I am not sure I know what you mean?

Paula: ...Nor do I.

kuhio: Well, Steve asked me about permission marketing. It is Seth Godin's concept of involving customers in targeting. Check out yesmail.com for an example.

steve_norcia: Now it is getting more clear, but I have not read the new book. I guess I better get current. There is a lot of logic to it but it will require a lot of consumers to embrace the concept before the large marketers will buy in for sure.

kuhio: I guess looking at Internet advertising from a global standpoint changes things a bit. I heard BB Ghali say that 50% of the world had not made a phone call!!

steve_norcia: so if customers want you to respond to them, you are starting from a stronger place in terms of receptivity of messages. That seems good if we, as marketers, can pull it off.

kuhio: I think the idea with permission marketing was that you could take direct marketing to the next level. I have written some critical pieces on it. I will be glad to pass it on. Did you get my e-mail address?

steve_norcia: Internet penetration if I am not mistaken is highest here in the US at 60% then Scandanavia, Sweden at 40% and parts of Europe like Germany and the UK. (Greece is only 4%) It has a long way to go in LAmerica and other area.

steve_norcia: I did but could I get it again so I can write and type at the same time.

steve_norcia: I would love to read your pieces.

steve_norcia: I would love to read your pieces on the AEF web site? Then we could all read them.

moderator: kuhio, if you'd like to send them to us, we'll review them for possible posting

moderator: You can send them to the webmaster@aef.com

moderator: Does anyone else have a question?

kuhio: Wonderful. I was going to tell Steve that the pieces are currently not on AEF. Moderator, I will send them to the address you gave me.

kuhio: Moderator, sorry for hogging the "floor". Will get off if you want me to.

moderator: No, it's okay.

moderator: It's good to have questions.

steve_norcia: Excellent, anything you have on this would be helpful to my class at Fordham that I teach.

steve_norcia: Are there any more questions in the last 5 minutes since I am about to get a hamburger

moderator: We'll be wrapping it up then. Thanks for joining us.

moderator: Please check our schedule and come back for the next online discussion.

moderator: Steve, do you have any final comments?

steve_norcia: I think this was a terrific opportunity to talk together. The future of these are bright.

moderator: Thanks Steve. Hope you'll join us again soon.

moderator: This discussion is closed.

moderator: Join us next Weds.


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