Transcript marketing strategy

Strategic Marketing Planning and
Market Orientation
Chapter 1
Slides developed by:
Peter Yannopoulos
3/21/2017
© 2006 by Nelson, a division of Thomson Canada Limited
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Marketing Strategy
Marketing strategy is about
satisfying valuable customers
in a superior way
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Marketing is about …..
Choosing a certain course of action and
rejecting other alternatives after careful
consideration
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The objective of marketing is…
To focus on those marketing
strategies that are more in line
with the organizational goals
and capabilities
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Components of Marketing Strategy
Market
segment
strategy
Promotion
strategy
Components
of Marketing
Strategy
Distribution
strategy
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Positioning
strategy
Product
strategy
Pricing
strategy
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The Strategic Marketing Planning
Corporate Vision, Mission,
and Goals
Corporate Strategy
Market Definition
Situational Analysis
Business-Level Strategy
Market Segmentation and
Target Marketing
Strategic Positioning
Product
Strategy
Pricing
Strategy
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Distribution
Strategy
Promotion
Strategy
Implementation and
Control
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Corporate Vision
A mental image of a desirable
future state of an organization
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Properties of Effective Corporate
Visions
Informed
Grounded
in reality
Effective
Corporate
Visions
Intent
to win
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Shared
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Corporate Mission
It identifies what the firm stands for
and its operating philosophy
It is a multi-dimensional concept that
consists of several components
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Components of Corporate Mission
 It reflects the values of the
organization
 It reflects the true purpose of the
business
 It includes the policies and operational
standards of the organization
 It includes the firm’s competitive
position and competitive advantage
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Competing on the Edge
It involves taking action, observing
what happens, and adopting the
course of action that seems to work
best
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Deliberate Strategies
Strategies that are the result of a
formal planning process
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Emergent Strategies
Strategies that occur from
responses to customer requests,
manufacturing problems,
competitive threats, and
technological advances
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Market Orientation
Customer
Orientation
Market
Orientation
Competitor
Orientation
Interfunctional
Coordination
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Customer Orientation
 Intimate knowledge of customer needs
 Strong customer commitment
 Creation of superior customer value
 Superior market sensing capabilities
 Develop customer relationships with
valuable customers
 Segment markets and choose the most
attractive segments
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Competitor Orientation
 Know direct and indirect competitors
 Monitor competitor activity
 Regularly analyze competitor strategies
 Benchmark performance against
competitors
 Respond rapidly to competitor actions
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Interfunctional Coordination
Regularly collect market information
Market information is shared among
functions
All functions contribute to meeting
customer needs
There is a strong coordination of all
functions
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Some Strategic Advantages of Market
Orientation
Encourages behaviour needed to create
superior customer value
Helps design a superior marketing
strategy to guide marketing actions
Outperform competitors
Create loyal customers
Charge higher prices
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Strategic Interdependence
 The outcome of a firm’s strategy depends on
the strategy it chooses but also on the
strategy chosen by its rivals
 Firms must be aware of the possible moves
and countermoves of competition and adjust
their marketing plans to reflect such moves
 The process of strategic interaction forces
firms to continually improve the quality of
their products and lower prices
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Major Influences on Marketing
Strategy Formulation
Globalization
Major
Influences on
Marketing
Strategy
Marketing
Convergence
Triple Bottom
Line
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Triple Bottom Line
Social
Financial
Triple
Bottom
Line
Environmental
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