The Provincialism Of Global Brands An Empirical Analysis Of Brand Equity Differences In Mexico And Germany

The term “global brand” has become widely used by the media and by consumers. Although media and consumers call these brands “global” and centralized marketing departments manage these brands globally – are these “global brands” really global? Can we talk about truly global brand equity? And if there were brand image differences between countries, which factors cause them? The authors conducted an empirical research during May and June 2009 with similarly aged University students in Germany (n=426) and Mexico (n=296). The goal was to identify if brand awareness rates differ between Germans and Mexicans, if the brand image of Apple iPod is perceived in the same way in Germany and in Mexico and what influencing factors might have an impact on any brand image discrepancy between the countries. Results prove that brand recall rates differ between the two countries as well as brand image attributes vary significantly, with Mexico showing higher levels of favorable brand image attributes. Key influencing factors on the different brand image perceptions are perceived quality, satisfaction and the influence of reference groups. The results suggest that so-called “global brands” are not perceived the same way in Germany and Mexico. As a consequence, brand management using standardized marketing instruments for its presumable “global brands” might be better off with a more differentiated approach that takes into account a specific local brand image.