marketing presentation1
TRANSCRIPT
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The Presenter
This module is presented by,
• R.MASILAMANI(‘Masi’ in short)([email protected])• He has more than 30 years of working, training &
consulting experience• Has acquired a profound knowledge and exposure to
management, in general, and some specific disciplines, in particular
• His specifics include performance management, leadership, finance and project management
• His exposure includes, Mc Kenzie, Dale Canegie, INTAN, PETRONAS, OUM, UTM and some other private educators and companies, both local (M’sia) and international
• Marketing is one of his passionate areas of focus
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THE MARKETING CONCEPT
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Agenda
Objectives Introduction Managing the Marketing
Mix Marketing Management Philosophies Competitive Strategies Impact of IT on Marketing Mix16/6/2012
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The ObjectivesIn this course, we will learn,
Why is marketing important?What is the scope of marketing?What are some core marketing concepts?
How has marketing management changed in recent years?
What are the tasks necessary for successful marketing management
Principal Source: ‘Marketing Management’, Philip Kotler andKevin Keller(12th,13th &14th editions)
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The Introduction
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Case 1: Is Wal-Mart in a mid-life crisis?
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Wal-Mart Stores, Inc•It is branded as Walmart since 2008 and Wal*Mart before then, is an American multinational retailer corporation that runs chains of large discount department stores and warehouse stores•It is the world's 18th largest public corporation, according to the Forbes Global 2000 list•It is the largest public corporation when ranked by revenue by FORTUNE 500 list. •It is the biggest private employer in the world with over two million employees•It is also the largest retailer in the world
•but•IT TOO has MARKETING CHALLENGES!
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Walmart logo, used since June 30, 2008Type Public
Traded asNYSE: WMTDow Jones Industrial Average ComponentS&P 500 Component
Industry RetailingFounded 1962 (1962)Founder(s) Sam Walton
HeadquartersBentonville, Arkansas, U.S.36 21 51 094 12 59 / 36.36417 94.21639 / 36.36417; -94.216° ′ ″N ° ′ ″W °N °W39
Number of locations 8,970 (2011)Area served Worldwide
Key people Mike Duke (President & CEO)S. Robson Walton (Chairman)
ServicesApparel/Footwear Specialty, Cash & Carry/Warehouse Club, Discount Department Store, Discount Store, Hypermarket/Supercenter/Superstore, Supermarket
Revenue US$ 446.950 billion (2012)Operating income US$ 026.558 billion (2012)Net income US$ 015.699 billion (2012)Total assets US$ 193.406 billion (2012)Total equity US$ 071.315 billion (2012)Owner(s) Walton familyEmployees 2.2 million (2012)Divisions Walmart Canada
Subsidiaries Asda, Sam's Club, Seiyu Group, Walmex
Website Wal-Mart Stores.comWalmart.com
References: [1][2][3]
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1 Wal-Mart Stores2 Exxon Mobil3 Chevron4 General Electric5 Bank of America Corp.6 ConocoPhillips7 AT&T8 Ford Motor9 J.P. Morgan Chase & Co.10 Hewlett-Packard
First Among Top 20 companies in the U.S, 2012
11 Berkshire Hathaway12 Citigroup13 Verizon Communications14 McKesson15 General Motors16 American Internatlonal Group17 Cardinal Health18 CVS/Caremark19 Wells Fargo20 Intl. Business Machines
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The Wal-Mart Saga “Wal-Mart was the largest company on the list in 2007 and 2008. ExxonMobil was in second place in 2007 and 2008, but overtook Wal-Mart in 2009. Wal-Mart once again regained the top spot in 2010and 2011. One should note that the revenue and profit numbers are for the year previous to the named year: therefore the 2010 list ranks companies by 2009 revenues.”
20111.Wal-Mart Stores2.Royal Dutch Shell3.Exxon Mobil4.BP5.Sinopec Group6.China National Petroleum7.State Grid8.Toyota Motor9.Japan Post Holdings10.Chevron
20091. Exxon Mobil2. Wal-Mart Stores 3. Chevron 4. ConocoPhillips 5. General Electric6. General Motors7. Ford Motor8. AT&T9. Hewlett-Packard10. Valero Energy
20101.Wal-Mart Stores 2.Royal Dutch Shell 3.Exxon Mobil 4.BP 5.Toyota Motor 6.Japan Post Holdings 7.Sinopec 8.State Grid 9.AXA 10.China National Petroleum
Top Global companies: Most Revenue Earners-From FORTUNE 500 List
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What is Marketing
• Oxford defines marketing as “the action or business of promoting and selling products or services, including market research and advertising.”
• The management process responsible for identifying, anticipating and satisfying customer requirements profitably – Institute of Marketing
• Marketing is a customer orientation, backed by marketing programs aimed at generating customer satisfaction, as the key to achieving organisational goals- - Philip Kotler
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Dr. Philip Kotler Defines Marketing
• Philip Kotler, one of the world’s leading authorities on marketing, and the S.C. Johnson Professor of International Marketing at the Kellogg Graduate School of Management, Northwestern University, includes the following three definitions of marketing in his classic textbook, Marketing Management: Analysis, Planning, Implementation and Control:
“1) Marketing is the process by which an organization relates creatively, productively, and profitably to the marketplace.
2) Marketing is the art of creating and satisfying customers at a profit. 3) Marketing is getting the right goods and services to the right people at the right
places at the right time at the right price with the right communications and promotion.”.
• Your thoughts on Dr. Kotler’s definition of marketing? Does this 1991 definition apply to current social media trends? Social media did not exist when he wrote this definition. It exists now. Traditional principles apply to the present as well as the future!
Stuart Atkins-Atkins Marketing SolutionsPhilip Kotler, Marketing Management: Analysis, Planning, Implementation, andControl, 7th ed. (Upper Saddle River, NJ: Prentice Hall, 1991), 31
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MARKETING - DEFINITION
Marketing is a social and managerial process by which individuals and groups obtain what they need and want through creating, offering, and exchanging products of value with others-
• December 3, 2011 • The Marketing Concept - Kotler, Marketing Article Series
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Two Perspectives of Marketing
“Business is about making money from satisfied customers. Without them there can be no long term future for any
commercial organisation” –John Eagan
‘I thought we were doing marketing. We have a corporate Vice President for marketing, a top-notch sales force, a
skilled advertising department and an elaborate marketing planning procedures. These fooled us. When the crunch came, I realized that we were not producing the cars that people wanted. We were not responding to new needs. Our marketing operation was nothing more
than a glorified sales department”-Lee Iococca
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Priorities for Marketing Improvement
• In what areas of marketing management would you most like your company to improve?
• Top Priority:____________
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A philosophical Definition of Marketing:
“Marketing is concerned with all the exhilerating big things and all the troublesome little things that must be done in every nook and cranny of the creative organisation in order to achieve the corporate purpose of holding the clients”
-Theodore Levitt-Guru of Marketing Criticism
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Today’s Winning Marketing Approaches
Lessons from the New Economy:Brands are NOT built on advertising, they are built on trust in the brand’s promise of value (Amazon)Demonstrate value: SciQuestDefend your price: AOLBuild bridges to the Old EconomyLeverage synergies: AOL-Time WarnerClick-and-Mortar: Toy’R’Us
Ref: Kotler
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Toyota’s Marketing Approach
• In 2010, Toyota Motor Corporation( TMC), was declared as the largest manufacturer of automobiles in the world in terms of production
• Japanese companies tend to have a different strategy when it comes to marketing, selling, and achieving The first difference which Toyota have form the rest is their outlook
• Therefore, if Toyota feels like launching something new it will probably do it
• Japanese, owing to their intelligence are (TMC makes better cars this way) also considerably fast with the art of imitation
• people are then drawn towards that particular product and they are not scared of becoming the initial buyers
• Toyota considers the buyer as the master while the company itself plays the role of the slave-serve the master what you think he needs
• Japanese companies waste less time, money, and space on marketing • The people in Toyota seem to worry more about the product then the
marketing of that product. • It has gained enough confidence from the public that its name should
be enough to convince an individual to buy a car from the great Toyota.
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Keys for Success
Customer Segment FocusBrand PositioningValue-Based PricingChannel Entry StrategiesLow Cost Product Innovation Strategies
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Goals of a Marketing System
• Marketing Affects everyone• Marketing is controversial• Maximise Consumption• Maximise Choice• Maximise Consumer satisfaction• Maximise Life Quality
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Marketing management
• Is the analysis, planning, implementation and control of programs designed to create, build and maintain mutually beneficial exchanges and relationships with target buyers for the purpose of achieving organisational objectives
• It is synonimous with demand management
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Production Orientation VS Marketing Orientation
• Business firms can be either ‘production oriented’ or’ marketing oriented’
• In general a PO firm tries to get customers to buy what the firm has produced AND the MO firm tries to sell what customers want
• Most often firms cannot be so clearly classified
Assignment: Try this exercise to identify whether the following firms are PO’s or MO’s.
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Selling VS Marketing
FOCUS MEANS END
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NEEDS INTEGRATED PRFITS THROUGH
MARKETING CUSTOMER
SATISFACTION
SELLING PROFITS
PRODUCTS AND THROUGH PROMOTING SALES
VOLUME
THE MARKETING CONCEPT
THE SELLING CONCEPT
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Modern Marketing Management- an example
1. ‘Obama for America’ presidential campaign story.
• His last Presidential Campaign Includes a thoroughly integrated modern marketing strategy
• A well managed campaign serves as a good marketing success too
Reference: ’Marketing Management’, 14th Edition, by Philip Kotler & Kevin Lane Keller
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Marketing Environment
• The market environment refers to factors and forces that affect a firm’s ability to build and maintain successful relationships with customersThree levels of the environment are:
• Micro (internal) environment - marketing forces within the company that affect its ability to serve its customers.
• Meso environment – the industry in which a company operates and the industry’s market(s).
• Macro (national) environment - larger societal forces that affect the microenvironment
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Internal Organizati
onal processes
Natural Environment
Demographic Environment
Economic Environmen
t
Social – Cultural
Environment
Political-Legal
Environment
Technological Environment
Macro Environmental Factors Influencing Business
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What is Strategic Marketing?
o The intent of marketing is simply to shorten the sales cycle
o Strategic Marketing is doing this, well, strategically. Many smaller or mid-size companies (and even big ones for that matter) recognize the need for marketing, but don’t understand what’s involved to put together a successful, strategic campaign
o Strategic Marketing calls for a more structured approach where we define what we’re trying to accomplish, measure and analyze the markets and media options and implement an integrated campaign that will help you capture the most value for your budgeted marketing dollars by achieving your defined objectives
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The Basic Thought Process of Strategic Marketing
• After you have defined your business objectives, ,the basic thought process should go something like this:
1. IDENTIFY your audience or market
2. Thoroughly UNDERSTAND your audience or market
3. SELECT the marketing mediums that your target is most engaged with
4. DEVELOP a messaging strategy to effectively communicate with your audience
5. EXECUTE a consistent, integrated campaign across your selected mediums
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Marketing Plan
The marketing plan is the central instrument for directing and coordinating the marketing effort.
Market Planning is the managerial process of developing and maintaining a viable fit between the organization’s objectives, skills and resources and its changing market opportunities.
The aim of strategic planning is to shape and reshape the company’s businesses and products so that they yield target profits and growth.
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Marketing Plan
The marketing plan operates at two levels. The strategic marketing plan develops the broad marketing objectives and strategies based on an analysis of target market and value proposition.
The tactical marketing plan outlines specific marketing tactics, including advertising, merchandising, pricing, channels, service and so on.
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The Strategic Planning, Implementation and Control Process
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ORGANISING
IMPLEMENTING
MEASURING RESULTS
DIAGNOSING RESULTS
TAKING CORRECTIVE
ACTION/S
CORPORATE PLANNING
DIVISIONAL PLANNING
SECTIONAL PLANNING
PRODUCT PLANNING
PLANNING IMPLEMENTING CONTROLLING
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Marketing and BusinessThere is only one valid definition of business purpose: to create a customer. It is the customer who determines what a business is. Hence the enterprise has only two basic functions: Marketingand Innovation. Marketing is the distinguishing, unique function of the business".(Peter F. Drucker, "Management – Tasks, Responsibilities, Practices", Heinemann, 1974.)
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Peter Drucker has mentioned the following questions to be asked for
setting corporate mission
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1.What is our business?
2.Who is the
customer?
5.What should
our business
be?
3.What is of value to
the customer?
4.What will our business
be?
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Assigning Resources to each SBU
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BCG / Growth-Share Matrix
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Ansoff has proposed Product/ Market Expansion Grid for the same
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Current Markets
New Markets
Current Products New Products
1. Market Penetration Strategy
3. Product Development Strategy
2. Market-development strategy
4. Diversification strategy
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Steps in Marketing Plan
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Designing Business Mission
Analysis of the Market situation
Formulation of Marketing Strategies
Preparing Action Programs and Budgets
Developing Control Procedures
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SWOT Analysis
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•Strength•Technological skills•Leading Brands•Distribution Channels•Customer Loyalty/Relationship•Quality of Product/Service•Economies of Scales
•Weaknesses•Absence of Important skills•Weak Brands•Illogical Distribution •Low customer Retention•Unreliable product/se
•Opportunities•New Distribution Channels•Changing customer tastes•Liberalisation of Geographical Markets•Technological advances•Changes in govt. policies•Lower personal taxes
•Threats•Changing customer tastes•Closing of geographical market•Technological advances•Changes in govt. policies•Tax increases•Change in population age structure
Internal Factors
External Factors
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Stages of Development in Marketing OrganisationStage I – Simple Sales Department
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PRESIDENT
SALES VICE PRESIBENT
SALES FORCEOTHER MARKETING FUNCTIONS
(hired from outside}
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Stages of Development in Marketing Organisation
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PRESIDENT
SALES VICE PRESIDENT
SALES FORCE
MARKETING DIRECTOR OTHER MARKETING
FUNCTIONS(internal staff & external support)
Stage II- Sales Department with ancillary Marketing Functions
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Stages of Development in Marketing Organisation Stage III – Separate Marketing
Department
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PRESIDENT
SALES VICE PRESIDENT MARKETING VICE PRESIDENT
SALES FORCEOTHER MARKETING
FUNCTIONS
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Stages of Development in Marketing Organisation Stages IV & V – Modern / Effective Marketing
Company
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EXECUTIVE VICE PRESIDENT
MARKETING & SALES
PRESIDENT
OTHER MARKETING FUNCTIONS
MARKETING VICE PRESIDENT
SALES FORCE
SALES VICE PRESIDENT
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Stages of Development in Marketing
Organisation Stage VI – Process and Outcome Based Company
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CROSS DISCIPLINARY TEAM WITH PROCESS LEADERS
MARKETING DEPARTMENT
MARKETING PERSONNEL
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Understanding:
•Customers
•Markets
•Competitors
•opportunities
Resources
Identifying:
• Target markets
• Customers
CUSTOMER
SATISFACTION
SURVEY
MARKET
MONITORING
The Marketing Process
THE OFFER
Product
Price
Place
Promotion
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Types of Marketing Organisations
• Functional Organization–The most common form of marketing organization consists of functional specialists reporting to the marketing vice-president, who coordinates their activities
• Product oriented- In large companies with multiple products, individual managers look after each brand, product or product-line. In such organizations, product managers develop and implement a complete strategy and marketing program for specific products, brands or product lines.
• Market Oriented(Geographic Organisation)-Most of the companies that sell across the country or internationally often use a geographic or market-oriented or territory-oriented organization. In such an organization, marketing and sales people are assigned to specific territories, geographic locations, countries, regions or market segments.
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Functional Organisation
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Marketing VP
Mktg. AdminMgr.
Advertising & Sales
Promotion Mgr.
Sales Mgr
Mktg Research
Mgr
New Products
Mgr
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Product Oriented Organisation
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GENERAL MANAGER
MANUFACTURING MARKETING FINANCE
PUBLIC RELATIONS & CORPORATE
COMMUNICATIONS
MARKETING RESEARCH
PRODUCT MANAGEMENT SUPPORT
PRODUCT MANAGER 3
PRODUCT MANGER 2
PRODUCT MGR 1
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Market Oriented Organisation
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GM
MNFG MKTG FIN PR & CC
MGR REGION
1
MGR REGION
2
MGRREGION
3
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Product vs Market
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Men’s Wear
Women’s Wear
Home Furnishings
Industrial Markets
Radzi
Rahul
Ravin
Rayon
Market Managers
Product Managers
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BUSINESS PURPOSE
The Marketing strategy Process
INDUSTRIAL ANALYSIS CORE STRATEGY COMPANY
ANALYSIS
MARKAT TARGET COMPETITIVE POSITIONING
DIFFERENTIAL ADVANTAGE
CONTROL IMPLEMENTATION ORGANIZATION
MARKETING MIX
Corporate Strategy
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The Holistic Marketing Concept - Concept Summary
Holistic marketing recognizes that there are many variables and activities related to these variables that matter in marketing and therefore a broad integrative perspective is often necessary.Kotler and Keller highlighted four components of holistic marketing.Relationship marketingIntegrated marketingInternal marketingSocial responsibility marketing.
Marketing Management, 14th Edition, Philip Kotler - Book Information, Review, Concept and Chapter
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Catalyst for GLOMAC
PLAN- Malaysia’s Glomac Bhd is expected to be more than RM500mil strong, buoyed by demand in its three major townships, compared to RM400mil in 2011.
. The sales of its township development in Sungai Buluh, Rawang and sri ir Saujana in Johore did very well.
. About 97% of the of the Reflection Resiednces in Mutiara Damansara launched in April have been taken up.
. ‘We have been expanding our land our land bank quite robustly in the last 18 months’ said Iskandar, its Group CEO. ‘We will be launching the SG Buluh development by year end’. “’We will also be looking at developing our land in Sepang, 4.5 Km to International Airport’ he added.
STRATEGY-On its strategies, Iskandar revealed thatGlomac is keen to build landed property as there is good demand for it currently. ‘We are also interested in acquiring more land in the Greater Kuala Lumpur area with the right prices” he said further.
Source: STAR Biz, 20 June, 2012
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Managing the Marketing Mix
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The Marketing Environment
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Marketing Mix
• Marketing mix (Product, Price, Place, Promotion)
• When marketing their products firms need to create a successful mix of:– the right product– sold at the right price– in the right place– using the most suitable promotion
• Case Study-Mall Mania In Malaysia
Read more: http://businesscasestudies.co.uk/business-theory/marketing/marketing-mix-price-place-promotion-product.html#ixzz1xs22sOK8
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There could be also 7P’s• Once you've developed your marketing strategy, there is a "Seven
P
Formula" you should use to continually evaluate and re-evaluate
your business activities (generally it’s 4P’s)
These seven are:
• product, price, promotion, place, packaging, positioning & people
• Take charge of your marketing efforts and beat the competition with this simple formula..
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Marketing Mix• Marketing Mix or the 4P’s of Marketing are the variables that marketing
managers can control In order to best satisfy customers in the target market. The Marketing Mix can be diagramatically portrayed AS:
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PLACEPRODUCT
PRICE PROMOTION
TARGET MARKET
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Domestic vs International Marketing Mix
• Qestion: • Consider the marketing mix. How does the marketing mix
differ in the domestic and international environments? ?• How is it the same? Should international marketing managers
standardize the marketing mix? Why or why not? • Answer: • Differences : Vast differences. Are they literate or not? Is there
broadcast radio/tv or not? Is there a newspaper or a shaman? Free press or government controlled access? I mean, come on. Is this even a legitimate question? In the US, the marketing mix differs from town to town in the same state. You think it's the same globally? What are you smoking?
• Similarities : We are all human. We all want the same thing: something for nothing, or as close to that as we can get. But that has nothing to do with the marketing mix.
• Conclusion: Marketing is primarily based on available media. Different markets have different media strengths and weaknesses
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Marketing Mix
To create the right marketing mix, businesses have to meet the following conditions: The product has to have the right features - for example, it must look
good and work well. The price must be right. Consumer will need to buy in large numbers
to produce a healthy profit. The goods must be in the right place at the right time. Making sure
that the goods arrive when and where they are wanted is an important operation.
The target group needs to be made aware of the existence and availability of the product through promotion. Successful promotion helps a firm to spread costs over a larger output
Read more: http://businesscasestudies.co.uk/business-theory/marketing/marketing-mix-price-place-promotion-product.html#ixzz1xs2VtqVB
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Elements of the global marketing mix
• The “Four P’s” of marketing: product, price, placement, and promotion are all affected as a company moves through the five evolutionary phases to become a global company.
• Ultimately, at the global marketing level, a company trying to speak with one voice is faced with many challenges when creating a worldwide marketing plan.
• Unless a company holds the same position against its competition in all markets (market leader, low cost, etc.) it is impossible to launch identical marketing plans worldwide.
• Ref:Nisant Chakram(Marketing Management)
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Elements of the global marketing mix –Coco ColaProductA global company is one that can create a single product and only have to tweak elements for different markets. For example, Coca-Cola uses two formulas (one with sugar, one with corn syrup) for all markets. The product packaging in every country incorporates the contour bottle design and the dynamic ribbon in some way, shape, or form. However, the bottle can also include the country’s native language and is the same size as other beverage bottles or cans in that same country. Price Price will always vary from market to market. Price is affected by many variables: cost of product development (produced locally or imported), cost of ingredients, cost of delivery (transportation, tariffs, etc.), and much more. Additionally, the product’s position in relation to the competition influences the ultimate profit margin. Whether this product is considered the high-end, expensive choice, the economical, low-cost choice, or something in-between helps determine the price point PlacementHow the product is distributed is also a country-by-country decision influenced by how the competition is being offered to the target market. Using Coca-Cola as an example again, not all cultures use vending machines. In the United States, beverages are sold by the pallet via warehouse stores. In India, this is not an option. Placement decisions must also consider the product’s position in the market place. For example, a high-end product would not want to be distributed via a “dollar store” in the United States. Conversely, a product promoted as the low-cost option in France would find limited success in a pricey boutique
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Elements of the global marketing mix Promotion
. After product research, development and creation, promotion (specifically advertising) is generally the largest line item in a global company’s marketing budget. At this stage of a company’s development, integrated marketing is the goal.
. The global corporation seeks to reduce costs, minimize redundancies in personnel and work, maximize speed of implementation, and to speak with one voice. If the goal of a global company is to send the same message worldwide, then delivering that message in a relevant, engaging, and cost-effective way is the challenge.
. Effective global advertising techniques do exist. The key is testing advertising ideas using a marketing research system proven to provide results that can be compared across countries. The ability to identify which elements or moments of an ad are contributing to that success is how economies of scale are maximized.
. Market research measures such as Flow of Attention, Flow of Emotion and branding moments provide insights into what is working in an ad in any country because the measures are based on visual, not verbal, elements of the ad
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Creating a Winning Marketing MixA JD Sports case study
INTRODUCTION
By focusing on the needs of consumers, an organisation creates a business that can outperform its competitors. Being closer to consumers and providing exactly what they want is known as market orientation. A market-orientated business carries out research to find the needs and wants of consumers. It then uses the findings to design products and marketing strategies to satisfy these needs...
This marketing mix case study describes how JD (part of the JD Sports Fashion PLC Group of companies), a large and well-known retailer, manages the balance of its marketing mix around its consumers' needs in order to achieve business growth
Read more: http://businesscasestudies.co.uk/jd-sports/#ixzz1xs4JtYBw
http://businesscasestudies.co.uk/jd-sports/creating-a-winning-marketing-mix/#ixzz1xs0vI9Hv
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The 4Ps
The 4Ps Address the Consumer
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The contents of 4PsPRODUCTbrandpackagingwarrantiesservicefeatures
PRICEcredit termspayment methodsdiscountsinstallmentscommissions
PLACEchannelslocationstransportdeliverystocks
PROMOTIONadvertisingsales promotionpublicitysellingmedia
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Creating a winning marketing mix. A JD Sports case study
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What is a product?
• “a product is anything that can be offered to a market for attention, acquisition, use or consumption that might satisfy a want or need.It includes physical objects, services, persons. places, organisations and ideas.’’- Philip Kotler, ‘Principles of Marketing’
A JD Sports case study: Product
Case Highlight: Flying into aviation history: Singapore Airlines scores another first with the Airbus A380
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5 PRODUCT or SERVICE QuestionsAsk yourself the following five questions regarding your product or service:
• 1. For each product or service you offer, do you know which stage of the product life cycle they fit?
• 2. Are there any changes you can make to mature and declining products that may allow new life?
• 3. For mature products or services, are there new markets or segments open for expansion (geography, demographics, and so forth)?
• 4. Plug in product life cycle awareness to new or future products you may be planning to release.
• 5. Are there price changes needed for your products or services based on their current PLC stage?
Your product, price, place, and promotional strategies also apply differently,depending on how young or how mature your product is. Don’t just manage aproduct, but plan it’s life. Like an investment, it may need some thoughtful guidance JD Sports case study: Introduction
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Core Benefit of Service
CoreProduct
THREE LEVELS OF PRODUCT
Augmented Product(Installation , delivery and credit, after sales service, warranty)
Tangible Product(packaging, style , features, brand quality)
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What’s Product Life Cycle?
To say that a product has a life cycle is to assert three things:Products have a limited life, and thus every product has life cycleProduct sales pass through distinct stages, each posing different challenges, opportunities, and problems to the seller,Products require different marketing, financing, manufacturing, purchasing, and human resource strategies in each life cycle stage
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Stage Characteristics
1. Market introduction stage
1.costs are very high2.slow sales volumes to start3.little or no competition4.demand has to be created5.customers have to be prompted to try the product6.makes no money at this stage
2. Growth stage
1.costs reduced due to economies of scale2.sales volume increases significantly3.profitability begins to rise4.public awareness increases5.competition begins to increase with a few new players in establishing market6.increased competition leads to price decreases
3. Maturity stage
1.costs are lowered as a result of production volumes increasing and experience curve effects2.sales volume peaks and market saturation is reached3.increase in competitors entering the market4.prices tend to drop due to the proliferation of competing products5.brand differentiation and feature diversification is emphasized to maintain or increase market share6.Industrial profits go down
4. Saturation and decline stage
1.costs become counter-optimal2.sales volume decline3.prices, profitability diminish4.profit becomes more a challenge of production/distribution efficiency than increased sales
The four main stages of a product's life cycle and the accompanying characteristics are:
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Factors Introduction Growth Maturity
Decline/Saturation
Sales Low High High Low
Investment Cost Very High
High(Lower than intro stage)
Low Low
Competition
Low or no competition
High Very High Low
Advertising Very High High High Low
Profit Low High High Low
Limitations of PLC
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Introduction Growth Maturity Decline Saturation
$sales
Time
Product Life Cycle
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ADOPTION OF NEW PRODUCTS
Number of Customers
Time
Innovators Early Adopter Early Majority Late Majority Laggards
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MARKETING ACTIVITIES AND PRODUCT LIFE CYCLES LEVEL OF INDUSTRY’S
MANUFACTURING CAPACITY
SATURATIONSPARE
INTRODUCTION
GROWTH
MATURITY
RECYCLE
DECLINE
MARKETING EMPHASIS
Product Quality
AdvertisingSelling
Product Development
Sales Promotion Pricing
Moves
Market Segmentation
Market development
Sales Promotion
Pricing Moves
Cost Control
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Designing products
New product Development Strategy: Primary Decision Idea Generation Idea Screening Concept Development Testing Marketing Strategy Development Business Analysis Product Development, and Market Testing
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JD Sports case study: Product
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Designing products
Product Life Cycle Strategies: Preliminary discussion Introduction stage Growth stage Maturity Stage
Case Study 2: Decline Stage Apple iPhone versus HTC Touch: Which brand of touch-screen phone will the Asian consumer ‘bite into’?
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The Three Levels of a Product-revisit
Core Benefit or Service
CORE BENEFIT of SERVICE
TANGIBLE PRODUCTBrand namePackagingFeatures StylingQuality of components
AUGMENTED PRODUCT(INTANGIBLE)Delivery and creditInstallationAfter sales servicewarranty
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Classical Shape of Product Life Cycle Curve
INTRODUCTION GROWTH MATURITY DECLINE
TIME
O UTPUT
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Market development
capacity
Build up
Filling the backlogs
Excess capacity
Normal growth market(survival of the fittest)
Replacement market(mature)
Sales
Saturation
Typical profitability
Relative intensity of marketing effort
Time
Capacity Marketing effort Profitability Yearly sales
Price war
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The Product Life Cycle Curve May Have More Than One Shape
1.The high learning product life cycle
2.The missing link and other low learning substantive product life cycles
3.The fad
3.1.The fad With a significant residual market
4.The instant bust
5.The market speciality
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The Product Life Cycle Curve May Have More Than One Shape
.The pyramid cycle 7.The aborted introduction
9.The fashion cycle
Re-growth periods
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Six Steps in the New Product development Process
STEP 1
STEP 2
STEP 3
STEP 4
STEP 5
STEP 6
IDEA ACQUITITION
INITIAL SCREENING
BUSINESS ANALYSIS
PRODUCT DEVELOPMENT
MARKET TESTING
INTRODUCTION
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Brand Equity
Definition:Brand equity is a phrase used in the marketing industry to try to describe the value of having a well-known brand name
Case 3:A sauce "on its course" - The Lee Kum Kee brand and its longevity as a family business through building strong brand recognition
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What is PRICE?
• PRICE is the value placed on what is exchanged.
• PRICE is not always money paid• The profit factor can be determined
mathematically(P*Q-TC)• PRICE is the only variable in the
marketing mix that can be adjusted quickly and easily
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Pricing Objectives
• ‘Pricing objectives’ is the overall goals that describe what the firm wants to achieve through its pricing efforts
• The objectives must be consistent with the company’s overall mission and purpose
• First the company has to decide ways to accomplish with its particular product. If the company has selected its target market and market positioning carefully, then its marketing mix strategy, including price, will follow.
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Additional Pricing Strategies
• Company survival• Maximum Current Profit• Maximum Current Revenue• Product-Quality Leadership• Maximum Market Skimming• Maximum Sales Growth
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Factors affecting Pricing Decisions
PRICING DECISIONS
ORGANISATIONAL & MARKETING OBJECTIVES
PRICING OBJECTIVES COSTS
OTHER MARKETING MIX VARIABLES
CHANNEL MEMBER EXPECTATIONS
BUYER’S PERCEPTIONS
COMPETITIONLEGAL & REGULATORY ISSUES
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Price Guidelines
Don’t overestimate the importance of price
Value for money Is price a barometer of Quality Beware of dealing with the lowest
bidder If you deal with the lowest bidder it is
wise to add something for the risk you run. And if you do that you will have enough to pay something better
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Pricing Options
Psychological Pricing Company Pricing Policies Geographical Pricing Discounts Promotional Pricing Product Bundling Pricing Optional Feature Pricing Two part pricing16/6/2012
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Pricing Options
Marginal cost Price limit
‘too Low’ Price Limit
Average Price Per Unit
Going Rate Price
‘Too High’ Price Limit
Discretionary Range for the Company
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Strategic Pricing Policies
EITHERSkimming - high initial price moving
downexperience curve at
slower rate
ORPenetration - low initial price, fast rate of
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Circumstances Favouring Skimming
Demand is Likely to be Price Inelastic There are Likely to be different
PRICE-MARKET segments, Thereby Appealing to Those Buyers First Who Have A Higher Range of Acceptable Prices
Little is Known About the Costs of Producing and Marketing the Product
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Circumstances favouring Penetration
Demand is Likely to be Price Elastic Competitors are Likely to Enter the
Market Quickly There are no Distinct and Separate
PRICE-MARKET Segments There is a Possibility of Large Savings
in Production and marketing Costs if a large Sales Volume can be Generated(the experience factor)
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Price Determinants
CUSTOMERSCOMPETITION
COSTS
The Three C’s
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What is PLACE?
Marketing experts know that the best product in the world will never make an impact in the business world if no one can locate and obtain it (Delaney, 1994).
So the location of your business is PLACE• Place is the location of business
A JD Sports case study: Place
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Distribution Channels
Channels FlowsLogistics
SupplierWholesaler
AgentDistributer
RetailerCustomer
InformationProductFinance
Communication
Information ProcessingProduct Availability
Service DeliveryAccount Management
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Evolving Distribution strategies
PRODUCER
DISTRIBUTERS
DIRECT MARKET
INGDEALERS AGENTSDIRECT
SALES
LICENSINGPRIVATE
LABLERETAIL
OUTLETSBROKERS
JOINT DISTRIBU
TION
COMPUTER TO
COMPUTER
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Distribution Analysis
• Is the desired market access being achieved?• How are the individual distribution channels
evolving?• Are outlets giving appropriate service?• Does the strategy give competitive advantage?• Are distributers regularly assessed?• Are individual distributers becoming too
powerful?• Is competition among distributers becoming too
strong?
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The Key Elements of Place
Channels of Distribution Types of Intermediary Criteria for Selection of distribution
Channels Finance, Price and Profit Margin in
Distribution Motivation of Intermediaries The Elements of a Physical
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What is PROMOTION
It is fair and accurate to say that promotion is one of the pillars of success The success of the promotional message is evidenced by the cross-generational loyalty of customers and many other factors in companiesPROMOTION is just selling at the right place and right time JD Sports case study: Promotion.
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Promotional Mix
Awareness
Unawareness
Comprehension
Conviction
Action
Satisfaction
Advertising Public Relations
Brochures Direct Mail
After Sales Service
Sales Promotion
Personal Selling
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Promotion Mix
Personal Selling
Sales Promotion
Publicity
Advertising
Fast Moving Consumer
Customer Durable
Fast moving Industrial
Industrial durable
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Communications process
SENDER RECEIVERMESSAGESENDER
CIRCULAR MODELRESPONSE
RECEIVER
STIMULUS
SENDER
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COMMUNICATIONS STRATEGY
• E.g. What shall we say?• How shall we say it?• What should they think?• What should they do Decisions Interdependent Many Constraints
•Why(objectives)•Who(target)•What(Copy platform)•Where(media)•How(creative platform)
When(timing)How Much(budget)ScheduleResponseEvaluatory
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What channel of distribution will they use?
• Two types of channel of distribution methods are available.
Indirect distribution involves distributing your product by the use of an intermediary. For example a manufacturer selling to a wholesaler and then on to the retailer..
Direct distribution involves distributing direct from a manufacturer to the consumer. For example Dell Computers providing directly to its target customers.
The advantage of direct distribution is that it gives a manufacturer complete control over their product
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What channels of distribution will they use?
Above indirect distribution (left) and direct distribution (right)
Manufacturer
Wholesaler
Retailer
Consumer
Manufacturer
Consumer
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Distribution Strategies• Depending on the type of product being distributed there are three
common distribution strategies available:
• 1. Intensive distribution • 2. Exclusive distribution
• 3. Selective Distribution
• If a manufacturer decides to adopt an exclusive or selective strategy they should select a intermediary which has experience of handling similar products, credible and is known by the target audience
A JD Sports case study: Conclusion
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Distribution StrategiesDepending on the type of product being distributed there are three
common distribution strategies available:• 1.Intensive distribution : Used commonly to distribute low priced
or impulse purchase products eg chocolates, soft drinks. • 2. Exclusive distribution : Involves limiting distribution to a single
outlet. The product is usually highly priced, and requires the intermediary to place much detail in its sell. An example of would be the sale of vehicles through exclusive dealers
• 3. Selective Distribution : A small number of retail outlets are chosen to distribute the product. Selective distribution is common with products such as computers, televisions household appliances, where consumers are willing to shop around and where manufacturers want a large geographical spread.
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Marketing Management Philosophies
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The Philosophies of Marketing
Marketing concepts/marketing orientations:
The Production ConceptThe product ConceptThe Selling ConceptThe Marketing conceptThe Societal Marketing Concept
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The Production ConceptThe philosophy that consumers will favour the product that is available and highly affordable and that management should focus on improving production and distribution efficiency
The selling ConceptThe idea that consumers will not buy enough of the organisation’s products unless the organisation undertakes a large scale selling and promotion effort
The Product ConceptThe idea that consumers will favour products that offer the most quality performance and features and that the organisation should therefore devote its energy to making continuous product improvements
The Marketing ConceptThe marketing management philosophy which holds that achieving organisational goals depends on determining the wants and needs of the target markets and delivering the desired satisfactions more effectively and efficiently than competitors do
Marketing concepts
The Societal Marketing ConceptThe idea that the organisation should determine, the needs, wants and interests of the target marketnts and deliver the desired satisfactions mare effectively and efficiently than competitors in a way that maintains or improves the consumers’ and society’s well being
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Production Oriented VS Marketing Oriented
• A firm should focus all its efforts for satisfying customer needs
• In general, a production oriented firm tries to produce and sell what it can produce while a customer oriented firm produces and sells what the customer wants
• A total management commitment is:• Customer orientation• An integrated company effort• Profit rather than just sale
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Some tips that your business can follow
• Don’t promise something you can’t deliver• Ethical behaviour starts at the top level of
management…lead by example• Establish a written code of ethics that can
be followed• Unethical behaviour can tarnish a
company’s image and reputation. If a company is unethical, they may have to spend additional money to increase their reputation to an acceptable level
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Competitive Strategies within Product Policy
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Analysing the Marketing Environment
Market SegmentationTarget marketingPositioning
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Understanding The Market Environment
The Open marketThe Regulated marketThe Company Markets ‘’there are three types of companies: those
who make things happen; those who watch things happen; and those who wonder what happened”
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Competitive Analysis• What environmental factors are
affecting the organisation?• What of these have most impact now
and in the future?• You may analyse using the ‘PEST’
concept• Michael porters ‘five forces of
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The Components of a Competitor Analysis
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What drives the
future GOALS
Assumptions
Competitors response ProfileIs the competitor satisfied with its current position?What moves or strategy shifts is the competitor likely to make?Where is the competitor vulnerable?What will provoke the greatest and most effective retaliation by the competitor?
What the competitor
is doing and can doCURRENT STRATEGY
Capabilities
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Concept Check QuizDeveloping Marketing strategies and Plans1.The first phase of the value creation and delivery sequence is _________.
• communicating the value• planning the value• choosing the value• providing the value creating the value
2. Whereas core competencies tend to refer to areas of special technical and production expertise,
distinctive capabilities tend to describe _________. • distinctive labour practices• excellence in research capabilities• competitive advantages• excellence in broader business processes distinguishing features of the company from its competitors
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Concept Check QuizDeveloping Marketing strategies and Plans
3. The _________ is the central instrument for directing and coordinating the marketing
effort. • marketing plan• strategic marketing plan• tactical marketing plan mission statement• growth matrix
• 4. A company's organization consists of its _________. • staff; policies; commitment• structures; policies; corporate culture• staff; policies; corporate culture• structures; policies; competitive culture strategies; policies; corporate culture
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Concept Check QuizDeveloping Marketing strategies and Plans
5. SWOT analysis refers to an analysis of a company's _____ systems; • withholdings; operations; technology• strategic units; workers; opportunities; technology• systems; weaknesses; operations; threats strengths; weaknesses; opportunities; threats• strengths; weaknesses; opportunities; technology 6. The last section in a marketing plan should contain _________.• a situation analysis• an executive summary and table of contents implementation controls• a marketing strategy• financial projections
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Concept Check QuizDeveloping Marketing strategies and Plans
7.The traditional view of marketing is that the firm makes something and then sells it. True
False
8. Michael Porter proposed the value chain as a tool for identifying ways to create more customer value. True
False9. The value chain identifies nine strategically relevant activities. True
False10. Competitive advantage ultimately derives from how well the company has fitted its core competencies and distinctive
capabilities into tightly interlocking "activity systems.“ True
False
11. A marketing plan is a written document containing tactical guidelines for the marketing programs and financial allocations over the planning period.
TrueFalse
12. Value exploration is concerned with how a company can efficiently create more promising new value offerings. True
False
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Impact of IT on Marketing Mix
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Internet Marketing Types and Models
There are different types of internet marketingThere are also different business models
Thus, Internet Marketing may seem an easy and simple way to buy or sell different products as well as services
You should know that you can use a type depending on what you offer and what you want to achieve
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various types of internet marketing
• “display advertising” includes the use banners that are placed on a website of a third party
• SEM or “search engine marketing” increases the visibility of a site in the results of search engine via contextual advertising through unpaid or ‘natural’ search results.
• “Social media marketing” is the way of driving attention via various social networks such as Facebook.
• “email marketing” directly advertises a chosen message via e-mail to a certain group of people
• “referral marketing” entails that a product is promoted by word of mouth
• “Affiliate marketing” is when an affiliate is actually rewarded for each customer that he/she brings
• “inbound marketing” where you freely create and share the informative content to attract and make customers and convert them into regular buyers
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the Internet business models
• The “e-commerce” - business and consumers are directly sold the products
• The “lead-based websites” -a strategy where the value is made when sales leads are acquired from an organization’s website and services; also called ‘organic leads’
• The “affiliate marketing” model is similar to the “affiliate market” type of internet marketing whereby an entity develops a service or product which is then sold by other sellers for a certain profit
• “Local internet marketing” is also a strategy where usually a small company uses the Internet in order to establish and foster relationships that can be advantageous in the real world.
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the Internet business models
• Internet marketing has become the most popular way of buying or selling products and services via the Internet
• It is also called online marketing, web marketing, webvertising and e-marketing
• Not only does it include the exchange of products and services on the Internet, but it also includes the exchange that goes on via wireless media and e-mail
• ECRM or the so-called electronic customer relationship management and
• digital customer also fall into the category of internet marketing
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the benefits of selling and buying via the Internet
• the marketing is quite inexpensive • the whole process of researching, deciding and
purchasing goes on a lot more quickly • the marketers on the Internet can measure the
needed statistics quite easily and also with not a lot of money
• there are many different methods that advertisers may use
Thus, the offerings and messages that will be presented to theaudience can be carefully chosen according to the results of theabovementioned analysis
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some diadvantagous features of the internet marketing
• scams that we are all familiar with • there is no factor of human touch • the potential consumers are only
influenced by the advertisements and blogs or websites
• there are many products which are called “empty boxes” and which actually have nothing in there
• you are not really sure what you are buying
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Perfect Internet Marketing Strategy
• Becoming a part of internet marketing requires a lot of skills as well as knowledge concerning trading, people relations and, of course, some computer software
• Supposing you have already mastered all of these create your own strategy of promoting your products or services
• You will acquire a lot of customers and make them regular ones as well
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10 Steps to a Perfect Internet Marketing Strategy
• good development strategy• acquire the top ranking in some of the
major search engines ; find and practice good techniques of SEO – search engine optimization
• use e-mail marketing in an effective way • your marketing niche should be dominated
by different programs• request an analysis of the market from a
coach or consultant for internet marketing
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10 Steps to a Perfect Internet Marketing Strategy
• have a design that is effective and yet not too tacky
• be careful and create a productive and responsive e-mail list
• publishing articles or appearing in news stories, will also improve your popularity and you will gain some more points
• facilitating giveaways and • interact with your customers and blog often
through your own website
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Microsoft’s Strategic Game is Exemplary
• Business and Marketing Strategy of Microsoft They like to keep the marketing strategy of Microsoft up-to
date with the demands of the time Variety and addition are two things that are extremely
important and have always been in the marketing strategy of Microsoft
Microsoft's vision is to make a successful business strategy that, leads to a successful business
Microsoft does its best to create a corporate culture, which gives a broad business environment.
Microsoft is what you call a relationship that combines all the ideas, cultures, creativity, and different views together as a company.
They do their best to bring further, the innovation and creativity of people.
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The pillars of Microsoft’s global marketing strategy are:
• Microsoft is focused on building an employ channel, by hiring the world's greatest minds
• marketing strategy of Microsoft includes a bond with different schools and colleges, or professional organizations
• The biggest strength of Microsoft is that, they believe in building the best software out there.
• They are committed to their work, and to supplier diversitythat
• Microsoft provides their leaders with the very best cultural capability training and GD&I.
Combining all the right ingredients, gives them the right result, which is why they have been on the top, and maintained their status
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Market Research
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The Purpose of Market Research
‘search for an analysis of information relevant to the identification of any problem in the field of marketing’-Green
‘the systematic and objective problem analysis, model building and the fact finding for the purposes of improved decision making and control in the marketing of goods and services’ -Kotler
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MARKETING RESEARCH TO ASSIST IN BALANCING THE BUSINESS
SUPPLIER MARKET RESEARCH BUYER
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Marketing Research
and Measurem
ent
Company Resources
GoodwillSkillsKnow-howPatentPeopleMaterialsMoney
Company programs
OrganizationMarketing
ManufacturingProcurement
PersonnelFinance
ResearchDevelopment
FORCESENVIRONMENT
CONOMIC, POLITICAL, SOCIAL, LEGISLATIVE etc.
COMPETITIVE, TECHNOLOGICAL etc.
MARKETING RESEARCH IN ASSISTING TO BALANCE THE OPERATION
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Main Elements of Marketing Research
Market size, segmentation and trends Competitor shares, strengths and
weaknesses Product specification and trends Pricing Channels of distribution Structure and trends of retailing Effectiveness of promotion, advertising
and image building
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Main techniques of marketing Research
• Literature survey• Telephone data gathering• Structured (personal) interviewing• Interactive (group) discussions• Market modeling
• BUT FIRST: What are the right questions to ask?
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CONTINUOUS SPECIAL PROJECTS
MARKET INTELLIGENCE SYSTEM
KNOW YOUR CUSTOMERS
KNOW YOUR MARKETS
KNOW YOUR COMPETITORS
KNOW YOUR RESOURCES
KNOW YOUR OBJECTIVES
MARKETING RESEARCH
CONTRIBUTE TO THE MARKETING STRATEGY
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Why & Where of Marketing Research
WHY do marketing research? Marketing research is a management tool. Its
purpose is to aid in the decision making process It is needed to:
– Produce information– Provide options– Test viability– Monitor results
WHERE is marketing research used? Setting objectives Problem solving Helping the business to grow
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Only if you KNOW the Answers!
1. Who are your potential customers?2. Where are they?3. How big is the total estimated market?4. What share do you hope to obtain?5. Are there similar products already on the
market?6. Who are your competitors?7. How do their products compare with yours?8. What advantage has your product?
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Only if you KNOW the Answers!
9. What share of the market do your competitors have?10. Can any competitor respond quickly?11.What is the estimated frequency of purchase?12.What are seasonal fluctuations in demand?13.What is the best time of year to introduce product?14.What are the most/least attractive product features?15.Do you have existing products whose demand will be
affected?16.What are present and estimated future trends in
demand?
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SETTING OBJECTIVES PROBLEM SOLVING HELPING THE BUSINESS TO GROW
ESTABLISH YOUR MARKET PROFILE
IDENTIFY PROBLEM IDENTIFY EXISTING AND POTENTIAL CUSTOMER GROUP
SEGMENT AND TARGET POTENTIAL GROWTH SECTORS
LIST ALL POSSIBLE HYPOTHESIS
PREPARE CUSTOMER PROFILES FROM EXISTING INFORMATION
SET RESEARCH
OBJECTIVES
Research ObjectivesResearch objectives should be set with possible actions and decisions in mind; ask yourself:-what information do I need? -how will I use the research data?
EVALUATE THE NEED FOR
ADDITIONAL MARKET DATA
HIGHLIGHT RELEVANT
HYPOTHESISPRODUCE LIST OF QUESTIONS
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TYPES OF RESEARCH• Desk research
– Study of public information1. Provides an economic background2. Assesses market size and trends3. Analyses market structure4. Obtains data on companies5. Obtains data on products and services
• Field research– Collecting information directly from the market1. Customers’ attitudes and perceptions of companies
and products and services2. Awareness of a company/brand3. Awareness of an advertising campaign4. Reaction to a potential action by a supplier, e.g. a
price rise, product improvement
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Problems with Marketing Research
Accuracy of information collectedTimescalesCost and ResourcesFlexibilityAbility to brief outside consultantsIn-house research may not be objectiveResearch for research’s sake ASSUMPTION: RESEARCH=ANSWERS=RESULTS
Ability to analyse and interpret findings
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Global Marketing
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Why Global Marketing is Imperative
Saturation of Domestic Markets: Domestic market saturation in the industrialized parts of the world and marketing opportunities overseas are evident in global marketing.
Global Competition: Competition around the world and proliferation of the Internet are on the rise.
Need for Global Cooperation: Global competition brings global cooperation.
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Why Global Marketing is Imperative (contd.)
Internet revolution: The Internet and electronic commerce (e-commerce) are bringing major structural changes to the way companies operate worldwide.
The term “global” epitomizes both the competitive pressure and expanding market opportunities.
Whether a company operates domestically or across national boundaries, it can no longer avoid competitive pressures from around the world
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Globalization of Markets: Convergence and DivergenceInternational trade consists of exports and imports.International business includes international trade and foreign production.Extensive international penetration of companies is called global reach.International trade and foreign production activities are managed on a global basis.Growth of Multinational Corporations (MNCs) and intra-firm trade is a major aspect of global markets
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Globalization of Markets: Convergence and Divergence (contd.) International trade versus international business: o International trade consists of exports and imports.o International business includes international business trade and foreign production.Who manages international trade? o Intrafirm trade: Trade between MNCs and their affiliates.
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Evolution of Global Marketing
What is marketing? • Marketing involves the planning and execution of the conception, pricing, promotion, and distribution of ideas, products, and services.• Marketing involves customer satisfaction and their current and future needs.• Marketing is much more than selling and involves the entire company.Within marketing strategies, companies are always under competitive pressure to move forward both reactively and proactively. These concepts invariably apply in all markets.
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Evolution of Global Marketing (contd.)
Five stages in the evolution of global marketing
1. Domestic Marketing (domestic focus; home country customers; ethnocentric orientation). 2. Export Marketing (indirect vs. direct exporting; country choice, exports; ethnocentric orientation; home country customers). 3. International Marketing (markets in many countries; polycentric orientation; use of multidomestic marketing when customer needs are different across national markets).
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Evolution of Global Marketing (contd.)
4. Multinational Marketing (many markets; consolidation on regional basis; regiocentric orientation; standardization within regions).
5. Global Marketing (international, multinational & geocentric; company’s willingness to adopt a global perspective; global products with local variations).
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Evolution of Global Marketing (contd.)
Global Marketing: Global marketing refers to marketing activities that emphasize the following:Standardization effortsCoordination across markets.Global integration.
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Evolution of Global Marketing (contd.) Global marketing does not necessarily mean that products can be developed anywhere on a global scale.The economics, geography, climate, and culture affect how companies develop certain products.The Internet adds a new dimension to global marketing.E-commerce retailers gain substantial savings by selling online.
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Good Marketing is No Accident!-Kotler
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