The effects of packaging localisation of Western brands in non-Western emerging markets
| Published date | 18 September 2017 |
| Date | 18 September 2017 |
| DOI | https://doi.org/10.1108/JPBM-08-2016-1302 |
| Pages | 589-599 |
| Author | Huda Khan,Richard Lee,Larry Lockshin |
| Subject Matter | Marketing,Product management,Brand management/equity |
The effects of packaging localisation of
Western brands in non-Western
emerging markets
Huda Khan and Richard Lee
University of South Australia, Adelaide, Australia, and
Larry Lockshin
School of Marketing, University of South Australia, Adelaide, Australia
Abstract
Purpose – The common market practice by foreign marketers is to sell their brands in standard or localised packaging or sometimes both in the context
of Pakistan. By examining the differential influence of standard (Western) and local (Urdu) packaging on Pakistani consumers’ perceptions and choice under
conspicuous and inconspicuous situations, this study aims to examine whether the localisation strategy is effective or even necessary.
Design/methodology/approach – A pre-test first identified suitable products and brands. The main survey was conducted using convenience
sampling in popular shopping precincts of the Lahore district in 2015. Participants first rated the packaging of hedonic and utilitarian products. After
rating the packaging likeability, the respondents were asked to assume the two consumption situations. Their choice of standard versus local
packaging under conspicuous and inconspicuous consumption situations for the same brand was recorded.
Findings – Overall, findings suggest that for hedonic products, localisation is not an effective strategy particularly for well-known Western brands
such as M&M’s. For utilitarian products, packaging localisation does not render a Western brand more competitive as consumers did not like one
packaging type over the other. Mode of consumption did not change the preference for standard packaging in case of hedonic products, whereas
in case of utilitarian products, the mode of consumption did moderate the results for the choice of packaging; standard packaging is chosen more
often under conspicuous a situation but not under an inconspicuous situation.
Research limitations/implications – The findings of this research show that indiscriminately localising the packaging of any products as they enter
foreign markets may not be the most effective strategy for international marketers.
Originality/value – This is first study to question the common market practice of packaging localisation and investigate the differential effects of
standard versus local packaging of foreign products on consumers’ perceptions and choice under varying consumption modes.
Keywords Standardisation, Localisation, Hedonic and utilitarian consumption
Paper type Research paper
1. Introduction
As developed Western markets reach maturity, major Western
consumer goods brands naturally look to the vast and largely
emerging non-Western markets for growth (Walters and
Samiee, 2003;Burgess and Steenkamp, 2006). However,
marketing to the consumers in these markets is not without
challenges. In particular, differences in language and culture
(Sheth, 2011) or even consumer dispositions such as
ethnocentrism (Frank and Watchravesringkan, 2016)
necessitate that Western brands develop competitive product
packaging strategies to be successful in these markets.
Take the case of Pakistan as an emerging non-Western
market, for example. A recent economic survey shows that
Pakistani consumers’ literacy and awareness of as well as the
demand for Western brands are persistently strong (Pakistan
Economic Survey, 2015). During recent visits to supermarkets
in major Pakistani metropolises, we found that the shelves are
well stocked with major Western brands, including the likes of
Mars, Procter & Gamble and Unilever. The visits also
revealed that the majority of Western brands are sold in
standard or localised packaging and sometimes both.
Throughout this research, the term “localised packaging”
refers to product packaging customised specifically for a
country, whereas “standard packaging” refers to the packaging
that would typically appear in a Western English-speaking
country.
This practice of having two different packaging types
naturally raises a question: which one, and under what
circumstances, is more effective in attracting consumers? In
support of localisation, advertising research suggests that
symbolically customising marketing messages may reach local
consumers better. The rationale is that if local consumers can
identify with these symbolic cues, then they would be more
inclined to buy the products (Brunner et al., 2016;Silayoi and
Speece, 2007). This is consistent with Cooley’s (1902) theory
The current issue and full text archive of this journal is available on
Emerald Insight at: www.emeraldinsight.com/1061-0421.htm
Journal of Product & Brand Management
26/6 (2017) 589–599
© Emerald Publishing Limited [ISSN 1061-0421]
[DOI 10.1108/JPBM-08-2016-1302]
Received 25 August 2016
Revised 8 November 2016
26 January 2017
17 March 2017
Accepted 17 March 2017
589
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