Transcript Marketing

Marketing: An Introduction
Strategic Planning and the Marketing
Process
•Chapter Two
•Lecture Slides
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Marketing: An Introduction
Looking Ahead
• After studying this chapter, you should
be able to:
• Explain company-wide strategic planning and its four
steps
• Discuss how to design business portfolios and
develop growth strategies
• Explain functional planning strategies and assess
marketing’s role in strategic planning
• Describe the marketing process and the forces
that influence it
• List the marketing management functions,
including the elements of a marketing plan
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Marketing: An Introduction
Strategic Planning
• Strategic planning: the process of developing and
maintaining a strategic fit between the organization’s goals
and capabilities and its changing marketing opportunities.
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Defining a clear company mission,
Setting supporting objectives,
Designing a sound business portfolio, and
Coordinating functional strategies
• Mission statement: a statement of the
organization’s purpose-what it wants to
accomplish in the larger environment.
– Have been product-oriented
– Should be market oriented
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Marketing: An Introduction
The Business Portfolio
• Business portfolio: the collection of businesses and
products that make up the company
• Portfolio analysis: a tool by which management
identifies and evaluates the various businesses making
up the company
• Strategic business unit: a unit of the company
that has a separate mission and objectives and that can
be planned independently from other company
businesses
• BCG Growth-share matrix: a portfolio-planning
method that evaluates a company’s strategic business
units in terms of their market growth rate and relative
market share
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Marketing: An Introduction
The BCG Growth-Share Matrix
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Figure 2.2
Marketing: An Introduction
The Product-Market Expansion Grid
• A portfolio-planning tool for identifying company growth
opportunities through market penetration, market
development product development, or diversification
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Existing
Products
New
Products
Existing
Markets
Market
Penetration
Product
Development
New
Markets
Market
Development
Diversification
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Figure 2-3
Marketing: An Introduction
The Value Chain
• Value chain: the series of departments which carry out
value-creating activities to design, produce, market, deliver,
and support a firm’s products
• Value delivery network: the
network made up of the company,
suppliers, distributors, and
ultimately, customers who
“partner” with each other to
improve the performance of the
entire system.
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Marketing: An Introduction
The Marketing Process
• The marketing
process
consists of
– analyzing
marketing
opportunities
– selecting target
markets
– developing the
marketing mix
– managing the
marketing effort.
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Figure 2-4
Marketing: An Introduction
Segmentation, Targeting, & Positioning
• Market segmentation: dividing a market into distinct
groups with distinct needs, characteristics, or behaviour who
might require separate products or marketing mixes
• Market segment: a group of consumers who respond in
a similar way to a given set of marketing efforts
• Market targeting: the process of evaluating each
market segment’s attractiveness and selecting one or more
segments to enter
• Market positioning: arranging for a product to occupy
a clear, distinctive, and desirable place relative to competing
products in the minds of target consumers
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Marketing: An Introduction
The Marketing Mix
• Marketing mix: the set of controllable tactical marketing
tools-product, price, place, and promotion- that the firm blends
to produce the response it wants in the target market
Product
Variety
Design
Features
Brand name
Packaging
Services
Promotion
Advertising
Personal Selling
Sales Promotion
Public relations
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Price
Target
customers
Intended
positioning
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List price
Discounts
Allowances
Payment period
Credit terms
Place
Channels
Coverage
Assortments
Locations
Inventory
Logistics
Figure 2-5
Marketing: An Introduction
The 4 P’s & Connectedness
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Product
Customer
Solution
Price
Customer
Cost
Place
Convenience
Promotion
Communication
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Figure 2-3
Marketing: An Introduction
Managing the Marketing Effort
• Marketing strategy: the marketing logic by which the
business unit hopes to achieve its marketing objectives.
Analysis
Planning
Develop
strategic
plans
Implementation
Control
Carry out
the plans
Measure results
Evaluate results
Develop
marketing
plans
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Take corrective
action
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Figure 2-6
Marketing: An Introduction
A Marketing Plan
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•
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Executive summary
Current marketing situation
Threat and opportunity analysis
Objectives and issues
Marketing strategy
Action program
Budgets
Controls
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Table 2-2
Marketing: An Introduction
Implementation & Organization
• Marketing implementation: the process that turns
marketing strategies and plans into marketing actions in
order to accomplish strategic marketing objectives.
• Ways to organize a marketing department:
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Functional
Geographic
Product management
Market/Customer management
Some combination of the above
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Marketing: An Introduction
Marketing Control
• Marketing control: the process of
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Setting goals
Measuring performance
Evaluating performance
Taking corrective action
• Marketing audit: a comprehensive, systematic,
independent, and periodic examination of a company’s
environment, objectives, strategies, and activities to determine
problem areas and opportunities and to recommend a plan of
action to improve the company’s marketing performance
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Marketing: An Introduction
Looking Back
• Company-wide
strategic planning
• Business portfolios and
growth strategies
• Functional planning
strategies
• The marketing process
• Marketing management
functions
• A marketing plan
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