Ch 15 Marketing

8/12/2019 Ch 15 Marketing

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Marketing Strategy ImplementationAnd Control

Mumraiz Ahmed

Strategic Marketing


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15-2

Marketing strategy implementation and control

* The strategic marketing planning process

* Implementing the strategic marketing plan

* Strategic marketing evaluation and control* Marketing performance measurement

* Global issues for planning, implementation

and control


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15-3

Marketing strategy implementation and control

* Fiat - strategic turnaround in auto industry

* Debts, losses, market share falling,reputation for low quality, diversification

* Recovery strategy of radical restructuring,dismantling management and bureaucracy

* Marketing, operations and R&D overhauled -small car focus

* Range of strategic relationships established


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15-4

The strategic marketing planning process

* The marketing plan guides

implementation

* Contents of the marketing plan* Managing the planning process


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15-5

Strategy and planning relationships

MARKETING STRATEGY

AnnualMarketing

Planning

Implementation

Control and Evaluation

Revision

Annual

MarketingPlanning

Annual

MarketingPlanning

Implementation

Control and Evaluation

Revision


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MARKETING PLAN OUTLINEI. Strategic Situation Summary

Summarize the key points from your situation analysis (market

analysis, segments, industry/competition) in order to recount the

major events and provide information to better understand the

strategies outlined in the marketing plan.

II. Market-Targets and Objectives

The market target may be defined demographically (keycharacteristics only), geographically, or in social/economic terms. Each market target should

have needs and wants that differ to

some degree from other targets. These differences may be with

respect to types of products purchased, use situation, frequency

of purchase, and other variations that indicate a need to alter the

positioning strategy to fit the needs and wants of each target.

An objective is a quantified goal identifying what is expectedwhen. It specifies the end results expected. The objectives should

be written for each target market. Objectives should also be

included for the following program components: (1) product,

(2) price, (3) distribution, (4) promotion (salesforce, advertising,

sales promotion, and public relations), and (5) technical services.


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III. Positioning Statements

Write statements that describe how you want each market

target to perceive each product relative to competition. State the

core concept used to position the product (brand) in the eyes and

mind of the targeted buyer. The positioning statement should

describe: (1) What criteria or benefits the customer considers when

buying a product along with the level of importance, (2) What we

offer that differentiates our product from competition, and (3) The

limitations of competitive products.

MARKETING PLAN OUTLINE


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A. Product StrategyIdentify how each product fits the market target. Other issues

that may be addressed would be new product suggestions,

adjustments in the mix of existing products, and product

deletion candidates.

B. Price Strategy

The overall pricing strategy (I.e., competitive, premium-priced,

etc.) should be identified along with a cost/benefit analysis if

applicable. Identify what role you want price to play, i.e.,

increase share, maintenance, etc.

IV. Market Mix Strategy for Each Market Target


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C. Distribution Strategy

Describe specific distribution strategies for each market

target. Issues to be addressed are intensity of distribution

(market coverage), how distribution will be accomplished, and

assistance provided to distributors. The role of the sales force

in distribution strategy should also be considered.

D. Promotion Strategy

Promotion strategy is used to initiate and maintain a flow of

communication between the company and the market target.

To assist in developing the communications program, the

attributes or benefits of our product should be identified for

each market target. How our product differs from competition

(competitive advantage) should be listed. The sales forcesresponsibilities in fulfilling the market plan must be integrated

into the promotion strategy. Strategies should be listed for

(1) personal selling, (2) advertising, (3) sales promotion, and

(4) public relations.

IV. Market Mix Strategy for Each Market Target


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E. Marketing Research

Describe the market research problem and the kind of

information needed. Include a statement which addresses

why this information is needed. The specific market

research strategies can be written once the above two

steps have been followed.

V. Coordination with Other Business Functions

Indicate other departments/functions that have

responsibilities for implementing the marketing plan.

VI. Sales Forecasts and Budgets

VII. Contingency Plans

Indicate how your plans should be modified if events

should occur that are different from those assumed

in the plan.


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Dimensions of Planning Process

MarketingPlanning

Process

Analytical

Process

Dimension

Behavioral

Process

Dimension

Organizational

Process

Dimension

Techniques

Procedures

Systems

Planning Models

Managerial

perceptions

Participation

Strategic

assumptions

Structure

InformationCulture

Process

Consistency


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Implementing the strategic marketing plan (1)

* Implementation process

* Structural issues

* Behavioral issues

* Building implementation effectiveness

* Organizational design

* Incentives

* Communications

* Internal marketing

* Comprehensive approach to improving

implementation (balance scorecard)

1. Financial Perspective2. Customer3. Internal Business

Processes4. Learning & Growth


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Implementation process

IMPLEMENTATIONPROCESS

Activities to

be implemented

How implementationwill be doneResponsibility forimplementation

Time and location

of implementation


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Improving

Implementation

Skilled

Implementers

Incentives

Organizational

Design

Effective

Communications

Improving Implementation

Internal

Marketing


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Internal Marketing

Strategy

Plan

ExternalMarketing

Program

InternalMarketing

Program

Internal MarketingProgram:

Targeted at key

groups in the

company, alliance

partner companies,

and other influencers

External MarketingProgram

Targeted at key

customers, segments

and niches, and other

external influencers


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BALANCED

SCORECARDMANAGEMENT

CONTROL

SYSTEM

Financial

Measures

Internal

Business

Process

Measures

Customer

Measures

Learningand

Innovation

Measures

Comprehensive Approach to Improving Implementation


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Implementing the strategic marketing plan (2)

* Internal strategy-organization fit

* Organizational stretch

* The role of external organization

Degree to which Structures, Capabilities, Systems,Processes, and resource allocation may require adjustmentto deliver the strategy

Strategic alliance partners, Marketing consultants,advertizing & public relation firms, channel members, andother organizations participating in the Marketing effort


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Strategic marketing evaluation and control (1)

* Customer relationship management

* Overview of control and evaluation activities

* Find new opportunities/avoid threats* Keep performance in line with

expectations

* Solve specific problems


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Find New

Opportunities

or Avoid

ThreatsSolve

Specific

Problems

Keep

Performance

on Target

Evaluation Activities


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Evaluation and control

Conduct

strategic

marketing

audit

Select performance

criteria and

choose relevant

marketing metrics

Obtain and

analyze

information

Assess

performance and

take necessary

action


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Strategic marketing evaluation and control (2)

* The strategic marketing audit

* Results provide basis for selecting

performance criteria to assess actual

performance against lans


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Strategic Marketing Audit

Corporate Mission and Objectives

Business Composition and Strategies

Marketing Strategy (for each planning unit)

Marketing Program Activities

Implementation and Management


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15-23

Marketing performance assessment (1)

* The importance of marketing metrics

* The use of marketing metrics

* Types of marketing metrics

* Selecting relevant metrics

* Designing a management dashboard


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15-24

Marketing metrics (A)

* Marketing metrics focusing on operations

* Competitive and customer metrics

* Profitability metrics

* Product and portfolio metrics

* Customer profitability metrics

* Sales and channel metrics

* Pricing metrics

* Promotion metrics

* Advertising, media and web metrics

* Financial metrics


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Marketing metrics (B)

* Brand equity metrics

* Familiarity

* Penetration

* What they think about the brand

* What they feel

* Loyalty

* Availability

* Innovation metrics

* Strategy* Culture

* Outcomes


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15-26

Marketing metrics (C)

* Internal market metrics* Awareness of corporate goals

* Perceived caliber of employer

* Relative employee satisfaction

* Commitment to corporate goals

* Employee retention

* Perceived resource adequacy

* Appetite for learning

* Freedom to fail

* Customer-brand empathy

* Internal process metrics

* E.g., internal communications


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15-27

Marketing performance assessment (2)

* Interpreting performance measurement results

* Opportunities and performance gaps

* Problem/opportunity definition

* Interpreting information

* Determining normal and abnormal variability

* Deciding what actions to take


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Global issues for planning, implementation and control

* Global marketing planning

* Additional complexity

* Simplifying assumptions

* Limited information availability* Accommodate international strategy variability

* Implementation globally

* Importance of relationships between domesticand international executives

* Performance measurement and control globally

* International markets may require differentmetrics


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Questions

Ch 15 Marketing

Documents

Transcript of Ch 15 Marketing