Post on 08-Feb-2016
Defining Marketing for the 21st Century
What is Marketing?
• Marketing is an organizational function
• and a set of processes for creating,
• communicating, and delivering value
• to customers and for managing
• customer relationships
• in ways that benefit the
• organization and its stakeholders
What is Marketing Management?
• Marketing management is the
• art and science
• of choosing target markets
• and getting, keeping, and growing
• customers through
• creating, delivering, and communicating
• superior customer value
What is Marketed? Goods
Services
Events & Experiences
Persons
Places & Properties
Organizations
Information
Ideas
Figure 1.1 Structure of Flows in a Modern Exchange Economy
Figure 1.2 A Simple Marketing System
Demand States
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Nonexistent Latent
Declining Irregular
Full Unwholesome Overfull
Negative
Functions of CMOs
• Strengthening the brands
• Measuring marketing effectiveness
• Driving new product development based on customer needs
• Gathering meaningful customer insights
• Utilizing new marketing technology
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Figure 1.3 Improving CMO Success
• Make the mission and responsibilities clear
• Fit the role to the marketing culture and structure
• Ensure the CMO is compatible with the CEO
• Remember that show people don’t succeed
• Match the personality with the CMO type
• Make line managers marketing heroes
• Infiltrate the line organization
• Require right-brain and left-brain skills
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Core Marketing Concepts
• Needs, wants, and demands
• Target markets, positioning, segmentation
• Offerings and brands
• Value and satisfaction
• Marketing channels
• Supply chain
• Competition
• Marketing environment
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I want it, I need it…
Five Types of Needs
• Stated needs
• Real needs
• Unstated needs
• Delight needs
• Secret needs
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The marketplace isn’t what it used to be…
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Information technology
Globalization
Deregulation
Privatization
Competition
Convergence
Consumer resistance
Retail transformation
New Consumer Capabilities
• A substantial increase in buying power
• A greater variety of available goods and services
• A great amount of information about practically anything
• Greater ease in interacting and placing and receiving orders
• An ability to compare notes on products and services
• An amplified voice to influence public opinion
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Company Orientations
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Production
Selling Marketing
Product
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Figure 1.4 Holistic Marketing Dimensions
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Figure 1.5 The Four P’s
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Internal Marketing
Internal marketing is the task of hiring, training, and motivating able employees
who want to serve customers well.
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Performance Marketing
• Financial Accountability
• Social Responsibility Marketing
Social Initiatives
• Corporate social marketing
• Cause marketing
• Corporate philanthropy
• Corporate community involvement
• Socially responsible business practices
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Performance Marketing
• Financial Accountability
• Social Responsibility Marketing
Social Initiatives
• Corporate social marketing
• Cause marketing
• Corporate philanthropy
• Corporate community involvement
• Socially responsible business practices
Chapter 2
Developing Marketing Strategies and Plans
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Three V’s Approach to Marketing
Define the value segment
Define the value proposition
Define the value network
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Core Business Processes
• Market-sensing process
• New-offering realization process
• Customer acquisition process
• Customer relationship management process
• Fulfillment management process
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Figure 2.1 A Holistic Marketing Framework
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Levels of a Marketing Plan
• Strategic
– Target marketing decisions
– Value proposition
– Analysis of marketing opportunities
• Tactical
– Product features
– Promotion
– Merchandising
– Pricing
– Sales channels
– Service
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Figure 2.2 The Strategic Planning, Implementation, and Control Processes
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Major Competitive Spheres
Industry
Products
Market segment
Geographical
Competence Vertical
channels
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Table 2.3 Product Orientation vs. Market Orientation
Company Product Market
Missouri-Pacific
Railroad
We run a railroad We are a people-
and-goods mover
Xerox We make copying
equipment
We improve office
productivity
Standard Oil We sell gasoline We supply energy
Columbia Pictures We make movies We entertain
people
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Dimensions That Define a Business
Customer groups
Technology Customer
needs
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Figure 2.3 The Strategic Planning Gap
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Figure 2.4 Ansoff’s Product-Market
Expansion Grid
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Figure 2.5 The Business Unit Strategic Planning Process
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Figure 2.6 Opportunity Matrix
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Figure 2.6 Threat Matrix
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Porter’s Generic Strategies
Overall Cost Leadership
Differentiation
Focus
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Categories of Marketing Alliances
Product or Service Alliances
Promotional Alliances
Logistics Alliances
Pricing Collaborations
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Marketing Plan Contents
Executive summary Table of contents Situation analysis Marketing strategy Financial projections Implementation controls