Transcript Chap 3

Chapter 3
Strategy
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What to do—strategic
How to do it—tactical
Long term vision
Led by a slogan
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Microsoft:
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Starbucks
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Everyday low prices
Morgan Stanley
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A cup at a time
Wal-Mart
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anywhere anything
what do you want to do today
We serve one client at a time
Disney Land
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The happiest place on earth
Strategy (Cont.)
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Good company
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Unconsciously capable
Good strategy
A Good Strategy Should Be
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Feasible
Directional
Easy to understand
Business Strategy v.s. Marketing Strategy
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Business strategy
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What to do from business point of view
Marketing strategy
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What to do to support business strategy
Business Strategy Linked to Marketing Strategy
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Goal alignment
Resources alignment
Activity alignment
Implementation alignment
Steps to Develop Marketing Strategy
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Segmentation—meaningful and actionable based on
demographics
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Targeting—based on profitability, cost to serve, growth
potential
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Xbox
Male young adults from 18 to 29
Female young adults from 18 to 29
Male young adults only or a few segments
Positioning—product to be perceived as
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Style, delivery: Starbucks, life style
Happiness, fun: Disney Land
Status vs Car: Mercedes
Comparison: Hertz—we work harder
Purchase vs Informational web: cars.com, ford.com
18-30
M
Hobby
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F
MU
Repeating
buyers
First time
31-45
MA
MA
Mustang (MU)
Matrix (MA)
Victoria (V)
MA
46+
M
F
MU
MU
MA
M
F
V
V
Pure play vs. Brick & Mortar
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Products
Transaction
Delivery
Digital vs. Physical
Digital vs. Physical
Digital vs. Physical
online
15-25
26-35
B&M
36+
15-25
Male
Male
Female
Female
26-35
36+