Marketing Management in Turkey

Selcen Ozturkcan, Elif Yolbulan Okan, Selcen Ozturkcan, Elif Yolbulan Okan

• Publisher: Emerald Publishing Limited
• Year: 2018
• ISBN:
  9781787439276
• Topic: Commerce
• Subtopic: Marketing
• Index: Marketing

Emerging market economies have long been a significant driver of global growth, and since the beginning of the new millennium they have gained greater importance than ever. Economists state that the economies of emerging countries are rapidly catching up with those of developed countries and are even predicted to overtake some of them by 2020. A deep understanding of emerging markets is crucial, then, to build tailored products and marketing programs that will capitalize on such rapid growth.
In Marketing Management in Turkey, Selcen Ozturkcan and Elif Yolbulan Okan present the reader with marketing opportunities, market potential, and standardization and customization opportunities available within a fast-growing emerging economy—namely, the Turkish economy. Along the way, the book also offers important insights into issues affecting similar emerging markets by detailing the common perceptions and misconceptions around the unique opportunities they appear to offer.
This book will be of keen interest to practitioners interested in investing in emerging markets, and it will also have much to offer to researchers and students interested in the future of the global economy.

SECTION 1

BASICS OF MARKETING MANAGEMENT IN TURKEY

CHAPTER 1.1

INTRODUCTION

Selcen Ozturkcan and Elif Yolbulan-Okan

The twenty-first century has set the stage for global economic power to shift in favour of emerging countries. Emerging market economies have assumed a crucial role in becoming significant drivers of global growth since the turn of the millennium. Moreover, the ever-increasing complexity, fragility and transparency of the world economy has taken its toll, leading to intense suffering in developed countries, particularly on occasions of economic crises, while emerging countries enjoy high growth rates. According to the Euromonitor International’s report, emerging economies are expected to grow approximately three times faster than the developed economies, which is to account for approximately 65% of the global economic growth by the year 2020. Economies of the emerging countries are expected to rapidly catch up, if not supersede, the progress of the developed countries by 2020. In a similar vein, the Turkish economy is expected to grow bigger than that of Italy by the year 2030 as forecasted in PWC’s The World in 2050 report.

Emerging countries are often associated with low per capita rapid growth, high volatility, low maturity and higher than average return in using economic liberalisation as their primary engine of growth (Hoskisson, Eden, Lau, & Wright, 2000). Low per capita income is particularly known as the key driving force of rapid growth in emerging countries. For instance, the economic growth observed in 2011 in developed countries and emerging countries was at the level of 1–2% and 3–4%, respectively. Higher growth rates were observed in emerging countries, which were defined by Zou and Cavusgil (2002) as the ‘countries that have low income but experience rapid economic growths’. Despite the higher economic growth, emerging countries still involve certain challenges and risks associated with their uneven regional development, inequality, weak public governance and abundant environmental problems. Therefore, multinational companies aiming to enter and expand their businesses in emerging markets need to tackle unique challenges as well as promising opportunities.

The value of local information, findings and know-how are obvious in overcoming challenges involved with emerging markets. However, literature on emerging markets is yet to emerge to attract more academic research. This long overdue book aims to fill this gap by presenting fundamental marketing management topics with the lens on Turkey as an emerging country. Focus is dedicated to market potential with opportunities of marketing, standardisation and customisation possibilities. Findings presented about the Turkish market also provide insights into similar emerging markets with an opportunity to discuss common (mis)perceptions and (mis)conceptions.

Marketing Management in Turkey comprises nine chapters. The first chapter aims to define the marketing environment and marketing history of Turkey. During the early years of the establishment of the Republic of Turkey, capitalism, industrialisation, modern marketing and consumer culture have emerged as new concerns along with the adaptation of liberal policies. Later, economic, cultural, historical, social and political forces have further shaped the marketing landscape. The substantial development in manufacturing and increased foreign trade had major impact on the adaptation of modern marketing practices. Besides the dramatic shifts in political, economic and social environment in the last century, the global and local ups and downs in the new millennium also provide important reasons for thoroughly examining the Turkish marketing landscape. Chapter 1.2 titled ‘From Bazaars to Digital Environment: A Short History of Marketing in the Turkish Context’ provides an insight and a brief history regarding the development of the Turkish marketing context throughout the years. Next, in chapter 1.3, titled ‘Business Ethics, Marketing Ethics, Consumer Ethics, Sustainable Consumption and Corporate Social Responsibility in Turkey’, awareness and involvement levels about ethics and sustainability issues are discussed with real-life examples of the Turkish market and consumers to provide cultural differences.

In chapter 2, ‘Turkish Market Insight’ is examined in two sub-chapters. In addition to the impacts of global trends, such as green consumption and voluntary simplicity, the Turkish market also has its own trends shaped by the joint forces of East and West. These trends and the consumer culture in Turkey need to be understood carefully by international companies intending to do business in Turkey. Besides popular topics, such as consumption and satisfaction, more unconventional topics, such as the sharing economy, presents a promising area to gain insight into the Turkish market. In ­chapter 2.1, titled ‘The Sharing Economy in Turkey: A Marketing Perspective’, the future of the sharing economy in Turkey is discussed, and success indicators in the Turkish market are compared and contrasted with that of the United States, the United Kingdom and Brazil. The second part of chapter, i.e. chapter 2.2, ‘Analysis of the Turkish Market Research Industry: The Changing Role of the Researcher’, intends to include marketing intelligence systems and opportunities to make use of big data in Turkey. The challenges and changes throughout the market research environment are examined and the new roles of researchers and new perceptions of the research industry are discussed thoroughly.

Chapter 3, ‘A Review of Factors Affecting Turkish Consumer Behaviour’ includes cultural, social, psychological and personal factors of Turkish consumers. As Sandıkçı and Ger (2002) state: ‘Turkish consumptionscape is complex and multi-layered where different adaptations of the modern identity and modern consumption practices co-exist’. This highly dynamic nature of consumptionscape provides highly interesting and inspiring insights for other similar emerging countries. As a highly attractive market, recent trends in both business and consumer markets are very crucial for global firms aiming to adapt marketing strategies in Turkey.

Although many global economists have recognised substantial growth in the Turkish economy, only a few Turkish brands have been considered truly global. Recently, few Turkish brands such as THY (Turkish Airlines), Beko and Mavi Jeans have been flourishing, yet many (e.g. Simit Sarayi) are investing heavily in establishing emotional and functional connections with their international consumers. Lately, Turkey has initiated a programme called TURQUALITY to globalise its world-class domestic brands (Sheth, 2011). Thus, the attempts in building global Turkish brands and also success and failure stories in building and managing domestic brands would put forward valuable branding lessons for all emerging and developed countries that aim to enter these markets. In ­chapter 4, ‘Building Brands in Turkey’, three sub-chapters are included. In chapter 4.1, ‘Consumer–Brand Relationships in Turkey’, a comprehensive and well-informed analysis of the issues and practices involved in consumer–brand relationships in the Turkish marketing context is examined.

Competitive dynamics of Turkey as an emerging market need to be analysed by evaluating export, import and production capacities of Turkish manufacturing and service companies. Second part, chapter 4.2, titled ‘Competitive Dynamics in Turkey’, aims to guide multinational companies and entrepreneurs in Turkey by explaining the competitive environment in the country.

In recent years, the branding concept has been applied to cities and regions. Chapter 4.3, ‘Place Marketing in Turkey’, examined place branding campaigns in Turkey with regard to the role of social media, culture, movies, mega-sports events and slow city concept via provided examples.

In chapter 5, the rise of experientialism in retail industries is studied, and the social aspects of experiences are discussed in the context of third place experiences. Chapter 5.1, titled ‘Experience Consumption in Turkey’ aims to show how experientialism is adapted within the Turkish marketing context by providing some empirical findings.

Along with the global advancements in technology, the one-size-and-one-type-fits-all approach in supply chain is becoming obsolete. Examples provided give insights on how the Turkish marketing landscape copes with this trend, which necessitates faster, leaner and more responsive strategies. In chapter 6.1, titled ‘The Birth of Omni-Channel Marketing and New Dynamics of Consumers’ Approach to Retail Channels’, the latest trends in marketing channels are discussed with regard to emerging digital technologies and relevant success factors, challenges and opportunities in implementing the related omni-channel strategies. Several omni-channel initiatives from Turkey are reported.

Regarding the conventional media in Turkey, TV advertising is yet to hold the majority share of the industry’s revenue stream. A creative advertising festival named ‘The Crystal Apple Award’ has been organised for more than 30 years, while Effie competitions exist for performance-based indicators. Both indicate high devotedness of Turkish advertising and marketing professionals. Besides the promising advertising landscape, Turkey has also its special limitations related with its social, legal and cultural sub-differences. The advertising and digital market is booming in Turkey. According to PwC’s Global entertainment and media outlook 2014–2018 report, Turkey is the second-largest Internet advertising market in Europe. Social life, business and marketing arena are highly affected by the Turkish consumers’ high Internet access ratio. Unlike many other countries, recent technology enables Turkey to evolve as an online trendsetter market within its region. Thus, this chapter focuses on the digital revolution in Turkey, with its impact on marketing practices.

Moreover, controversial advertising practices related to religiosity, gender, stereotyping, sexuality, obscenity and violence need a deeper investigation. In chapter 7, there are three sub-chapters on the Turkish way of marketing communication. In chapter 7.1, ‘IMC: Integrated Marketing Communication’, the IMC concept in Turkey is elaborated upon and a worldwide popular case of ‘Nusret’ is provided as an example. This case provides insight into creativity in advertising coupled with modern integrated marketing communication methods. Next, contemporary ways of using traditional mass advertising based on Turkish brand experiences are discovered. Chapter 7.2 titled ‘Is the Advertisement Really Dead? A Case Study of Filli Boya,’ points out how TV advertisement, a so-called ‘traditional and boring’ communication tool, can still be effective when creatively integrated into the contemporary marketing philosophy.

Increase in the number of media channels, having too many product options to choose from, and the massive amount of advertisement pieces lead the way to the success of word of mouth. Recent developments in technology and increase in the number of social media tools and users place more emphasis on the Word of Mouth Marketing (WOMM) than ever. In chapter 7.3, ‘Word-of-Mouth Marketing,’ the key points of WOMM are summarised and a roadmap for successful WOMM applications is provided. In this chapter, several best practices from the Turkish marketing context are examined.

Chapter 8.1, titled ‘A Survey of Marketing Management for the Video games Industry in Turkey’ analyses the marketing management practices with regard to the videogames industry in Turkey. Research on the videogame industry in Turkey is very scarce despite the large size of the videogame production industry. This chapter aims to contribute to the literature and identify the extended value chains by defining the critical success factors peculiar to the local environment.

Technology continues to assume an important role in changing lives of consumers with its swift introduction of new developments. Chapter 8.2, titled ‘Marketing in Cooperation with Technology to Form N...