A topic that was briefly taught during my time at the University of South Carolina is localized marketing. The concept was first introduced to me in my Journalism 533: Public Relations Management course in which we were required to read Richard Edelman’s article The Way Ahead: 2017. One of Edelman’s predictions for the future of public relations was simply put, “local will prevail over global" (Edelman, 2016). I believe Edelman was right about local prevailing over the global. It is true that we are exposed to more technologies such as artificial intelligence - AI - but it is also true that companies have started to use AIs that have more realistic voices and are capable of listening and interacting with customers similar to how a human being would. We also see corporate giants such as Geico doing advertising campaigns that are focused on particular areas rather than a generic situation. I believe we have started to see a shift toward people wanting to do business with companies that can relate to them, that are available to talk with them and are able to connect with them on an interpersonal level. People are beginning to crave the real-life interaction and the physical act of doing business with someone, over the introverted, non-personal practices of pressing a button to navigate a switchboard.

 

As I mentioned previously, Geico’s 2012 advertising campaign features the iconic Geico Gecko traveling the United States to tell people about the company. The root that blossomed this campaign was not actually to give a local feel to Geico advertisements. Ted Ward, Geico’s vice president and chief marketing officer, told the New York Times that the creative team at the Martin Agency, a Richmond, Va. based advertising agency pitched the idea to change the gecko's typical setting. It was brought to Ward’s attention that the Geico Gecko “had never been ‘on the road’ he was always ‘behind the desk’" (Elliott, 2012). Martin Agency wanted to finally take the gecko from behind the desk, and it turned into the "All Across America" marketing campaign.

 

Edelman did not predict the trend of local marketing until late 2016, but I think this campaign is a great example of the beginning stages of local marketing starting to take off. The gecko traveled to multiple cities in the United States which meant people in different areas across the country could all find a commercial they related to. For example, I am from Portsmouth, Va. which is near Norfolk. In that commercial, the gecko was featured on the Battleship Wisconsin, a retired Navy battleship that resides at Nauticus in Norfolk. The Hampton Roads area - which includes both Portsmouth and Norfolk - is known for having the largest Naval base in the United States. Being from the area - which I know to be saturated with military bases, shipyards and other government affiliations - I connected well with the symbolism in the advertisement and the relevance of the featured ship. It also gave me a sense of pride and excitement that the area I was from was on the television, rather than "featured" in a Hollywood mock of Hampton Roads whose only real connection to the area was the name bestowed upon the mock city.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

It seems that Geico was experimenting with local marketing well before Edelman's 2016 predictions for the future of public relations, but this only leads me to more questions. What does “local” really mean? Can “local” only mean specific to one town or city, or can it mean local to the state or country?

 

The Oxford English Dictionary has four definitions of the term “localize” which relate to our use of the word. We are using the word in terms of business. The applicable definitions for this case are as follow:

 

 “transitive. To make local in character; to invest or imbue with the characteristics of a particular place or region; to adapt so as to suit a local audience or market. (Oxford English Dictionary, n.d.)”

“transitive. To associate with a particular place or location; to find or determine the location of, to locate. Also occasionally with to. (Oxford English Dictionary, n.d.)”

“To establish in, or restrict to, a particular place or region; to make local in range or currency. (Oxford English Dictionary, n.d.)”

“To focus (attention) on a particular thing. Chiefly with preposition phrase. (Oxford English Dictionary, n.d.)”

 

The Oxford English Dictionary also has definitions for the root of “localize,” which is “local.” The applicable definitions for this case are as follow:

 

“Of or relating to position in space, or to the fact of occupying or taking up space; of or relating to the location of something. (Oxford English Dictionary, n.d.)”

“Limited, restricted, or peculiar to a particular place or region. (Oxford English Dictionary, n.d.)”

“Of a name: denoting a geographical location. Also: of, relating to, or concerned with such names. (Oxford English Dictionary, n.d.)”

“Of, relating to, inhabiting, or existing in a particular place or region. (Oxford English Dictionary, n.d.)”

 

By these definitions, “local” and therefore “localized” are  described in ways that make them seem as though they are self-defined spaces. There appears to be no definite measure of what constitutes something as being “local” or “localized,” so does “local” and therefore “localized marketing” really exist?

 

Edelman refers to the topic of “local will prevail over global” with a nod toward small businesses, and claims that they will have the advantage going into 2017. He states that “brands should underline their local roots, including farmers who grow the raw material.” He finishes the statement by saying, “global brands must find a local connection through "social purpose.” His finishing statement leads me to another question, what is “social purpose" (Edelman, 2016)?

 

Social purpose is a fairly new term in the business world. It is difficult to come up with a concrete, commonly used definition for the term, but an article from the United Kingdom described it as, “a social purpose guides a brand to make a positive impact in society in a way that generates long-term business growth" (Mindshare Purpose: What Is Social Purpose?, 2016). Social purpose is sometimes confused with corporate social responsibility and charity initiatives, but the key difference lies in that social purpose is expected to deliver business results while corporate social responsibility and charity initiatives are only meant to make a difference, but do not have the expectation of delivering business results (Klein, 2012).

 

An example of social purpose is Toms who donates to those in need every time a product is bought. They use the donation to give people a positive feeling toward their products and in turn people are more driven to buy Toms’ products. Because the company has been built on this philanthropy of donating a pair of shoes for every pair of shoes bought, it is considered a “social purpose native" (Vilá & Bharadwaj, 2017).

 

Domino’s has recently – 2018 – started a campaign called “Paving for Pizza,” with a goal of paving in all 50 states in the United States. Participants are able to nominate their town for the chance to cure the roads of potholes, cracks and bumps (Domino’s IP Holder LLC, n.d.). The commercials feature a road crew with trucks and outfits that feature the Domino’s logo and the “Paving for Pizza” logo (Domino’s IP Holder LLC, 2018). It leads you to believe that Domino’s is hiring a crew to do the work themselves, however, the byline on the “Paving for Pizza” website tells a slightly different story (Domino’s IP Holder LLC, n.d.). An excerpt from the byline of the "Paving for Pizza" website says:

 

“Domino’s is donating funds to select municipalities to improve the road conditions, but is not responsible for coordinating or conducting actual repairs. (Domino’s IP Holder LLC, n.d.)”

 

 

 

 

 

 

 

 

 

 

 

 

 

Why is “Paving for Pizza” not an example of social purpose?

 

Domino’s is not using the campaign to generate long-term business growth. The company claims they are only hosting the campaign until it has paved roads in all 50 states. The campaign is, instead, a charity initiative that was created to contribute to its image in a positive way. Corporate social responsibility – CSR – and charity initiatives are not expected to improve business growth like social purpose is (Mindshare Purpose: What Is Social Purpose
?, 2016).

 

Edelman writes that “global brands must find a local connection through social purpose" (Edelman, The Way Ahead: 2017, 2016). I agree with that to a certain extent. I do not think the connection needs to be made through social purpose, as he states. I think it is becoming ever more important that companies keep a transparent and positive image, and that they are more honest with the public than ever before, but I think CSR and charity initiatives are going to be more important than social purpose as we continue into the future.

 

Edelman predicted this trend for the year of 2017 but I think we did not see it truly takeoff until 2018. I also believe that with more Millennials entering the workforce, we will see it continue to rise. Millennials are more focused on how a company treats its employees than any other generation before, which will spur problems for companies that do not value the importance of internal publics.

 

I believe that CSR, not social purpose, will find its value improve because most companies will have to find a local connection if they want to continue, or start, thriving. Societal trends are beginning to shift toward people wanting to do more good, and know that the companies they show patronage to are doing the same. People want to feel good about the products and services they are buying which is why social purpose has been born and why CSR and charity initiatives are finding their own values to be on the rise.

 

This brings us back to the term “local.” As I discussed earlier, the deciding factor on what deems something to be “local” appears to be fairly self-defined, so can you use localized marketing on a global scale? I believe the answer is yes.

Coca-Cola Co. products can be found in more than 200 countries across the globe. The company uses local marketing by changing the drink recipe based on location. The Great Britain division of the company says, “We tailor our drinks to local tastes. Some flavours are more popular in one country than another and often there are different ingredients in different countries" (The Coca-Cola Company, n.d.). Coca-Cola Co. is an example of how “local” can take on many different forms. By tailoring their recipes to the taste of different areas, Coca-Cola Co. has given itself the ability to be successful and recognized worldwide while producing the best product experience they can for each market.

 

During my internship with the YMCA of Portsmouth, we were approached by Freddy’s Frozen Custard and Steakburgers to be their community partner. The company is a fast-food chain from Kansas that has never had a location in South Hampton Roads. Reaching out to a local organization as a community partner was a way for them to connect with the local community.

Freddy’s used its soft opening as a fundraiser for the YMCA of Portsmouth. They gave hundreds of cards to the YMCA of Portsmouth and to the surrounding businesses. Customers that came in with the card received a free meal and frozen custard. The YMCA was able to ask for donations and was allowed to keep all of the money donated that night. Freddy’s found a positive way to connect with the local community. The fundraiser allowed the company to break into the Hampton Roads market by establishing a professional connection in the community while building a positive reputation. It was successful because they were able to play off of the cliental and the local reputation of the YMCA of Portsmouth, and the YMCA in general, to draw a crowd without the use of major advertising and commercials.

 

In my career, I plan to use what I have learned about localized marketing to help the image of the company I work for in each area it serves. Tailoring your product to the community can also be a key factor to global success, with my understanding of this concept I will help the company to use “local” to its benefit and eventually improve the company’s image and approval in each market they serve.