Mastering Marketing Mastering Marketing CHAPTER TWO CHAPTER TWO Marketing Strategy Planning.
Transcript of Mastering Marketing Mastering Marketing CHAPTER TWO CHAPTER TWO Marketing Strategy Planning.
Mastering Marketing
CHAPTER TWOCHAPTER TWO
Marketing Strategy Planning
CHAPTER TWOCHAPTER TWO
Marketing Strategy Planning
Mastering Marketing
1. Understand what a marketing manager does.
2. Know what marketing strategy planning is--and why it will be the focus of the book.
3. Understand target marketing.4. Be familiar with the four Ps in a
marketing mix.5. Know the difference between a marketing
strategy, a marketing plan, and a marketing program.
When we finish this lecture you should
Mastering Marketing
6. Be familiar with the text’s framework for marketing strategy planning—and why it involves a process of narrowing down from broad opportunities to the most attractive marketing strategy.
7. Know four broad types of marketing opportunities that help in identifying new strategies.
8. Understand why strategies for opportunities in international markets should be considered.
When we finish this lecture you should
Mastering Marketing
The Management Job in Marketing
Implement Marketing Plan(s) and Program
Control Marketing Plan(s) and Program
Implement Marketing Plan(s) and Program
Whole-CompanyStrategic
ManagementPlanning
MarketingPlanning
Mastering Marketing
What is Marketing Strategy Planning?Exhibit 2-2
Themarketing mix
C
Mastering Marketing
Selecting a Market-Oriented Strategy Is Target MarketingExhibit 2-3
Production-oriented manager sees everyone as basically similar and practices “mass marketing”
Marketing-oriented manager sees everyone as different and practices “target marketing”
Mastering Marketing
An Application of Target Marketing
Mastering Marketing
Developing Marketing Mixes for Target MarketsExhibit 2-4
Place
PromotionPrice
Product
C
Mastering Marketing
The Product Element of the Marketing Mix
Mastering Marketing
The Place Element of the Marketing MixExhibit 2-6
Examples of Channels of Distribution
AOL NissanDel
MonteProcter &Gamble
Wholesaler
Wholesaler
Retailer
Consumer
Wholesaler
RetailerRetailer
Mastering Marketing
AdvertisingAdvertising
PublicityPublicity
Personal Selling
Personal Selling
Telling andSelling
the Customer
Telling andSelling
the Customer
Personal Selling
Personal Selling AdvertisingAdvertising
PublicityPublicity
The Promotion Element of the Marketing Mix
Sales Promotion
Sales Promotion
Mastering Marketing
Price Flexibility
Price Flexibility
Price Changes Over the Life
Cycle
Price Changes Over the Life
Cycle
Price Flexibility
Price Flexibility
Price Changes Over the Life
Cycle
Price Changes Over the Life
Cycle
Pricing Objectives
Pricing Objectives
PriceSettingPrice
Setting Discounts and
Allowances
Discounts and
Allowances
Geographic Pricing Terms
Geographic Pricing Terms
Legal Environment
Legal Environment
Cost and Demand
Cost and Demand
Competition and
Substitutes
Competition and
Substitutes
Price Sensitivity
Price Sensitivity
Price of Other Products In
the Line
Price of Other Products In
the Line
Pricing Objectives
Pricing Objectives
Discounts and
Allowances
Discounts and
Allowances
Geographic Pricing Terms
Geographic Pricing Terms
Legal Environment
Legal Environment
Cost and Demand
Cost and Demand
Competition and
Substitutes
Competition and
Substitutes
Price Sensitivity
Price Sensitivity
The Price Element of the Marketing Mix
Mastering Marketing
Interactive Exercise: Marketing Mix
Product Place
PromotionPrice
C
Mastering Marketing
Selectionof TargetMarket
Selectionof TargetMarket
All Four Ps Contribute to the Whole
ProductProduct
PlacePlace
PromotionPromotion
PricePrice
Understanding the Target Market Leads to Good Strategies!Understanding the Target Market Leads to Good Strategies!
Mastering Marketing
Target MarketTarget Market
+
Marketing Mix
Marketing Mix
= Marketing Strategy
Marketing Strategy
+Other
Marketing Plans
Other Marketing
Plans
+Time-
Related Details
Time-Related Details
Marketing Plan
Marketing Plan=
Other Marketing
Plans
Other Marketing
Plans
Time-Related Details
Time-Related Details
Marketing Plan
Marketing Plan
Target MarketTarget Market
Marketing Mix
Marketing Mix
Marketing Strategy
Marketing Strategy
The Marketing Plan Guides Implementation and Control
A Firm’s Marketing Program
A Firm’s Marketing Program
=
Mastering Marketing
The Importance of Marketing Strategy Planning
Strategy Decisions Usually Determine Success and Failure
Strategy Decisions Usually Determine Success and Failure
• Timex had captured a large market share
• Low price, dependability, good ads, unconventional channels
• Stiff competition arose
• New product refinements
Mastering Marketing
Creative Strategy Planning Needed for Survival
2% 14% 14% 2%
(Well below average)
Poor Fair Good Exceptional
(Below average)
(Above average)
(Well above average)
Death-wish marketing
Best-practices marketing
68% (Average Marketing Program)
Failure
Mastering Marketing
Breakthrough OpportunitiesBreakthrough Opportunities
Avoid Hit-or-Miss Marketing
Competitive AdvantageCompetitive Advantage
What Are Attractive Opportunities?
Mastering Marketing
Marketing Strategy Planning Process Highlights OpportunitiesExhibit 2-10
External Market Environment
Mastering Marketing
DiversificationMarketdevelopment
Productdevelopment
Marketpenetration
Types of Opportunities to PursueExhibit 2-11
Present products New products
Presentmarkets
Newmarkets
Mastering Marketing
Market Penetration
Mastering Marketing
Product Development
Mastering Marketing
Interactive Exercise: Marketing Strategy
DiversificationMarketdevelopment
Productdevelopment
Marketpenetration
Present products New products
Presentmarkets
Newmarkets
Mastering Marketing
Early StartEarly Start Competitive Advantage
Competitive Advantage
Better Trends?
Better Trends?
Smaller World
Smaller WorldSmaller World
Smaller World
Competitive Advantage
Competitive Advantage
Better Trends?
Better Trends?
International Opportunities Should Be Considered
Mastering Marketing
Global Competitive Advantage
Mastering Marketing
• Marketing management process
• Strategic (management) planning
• Marketing strategy
• Target market
• Marketing mix
• Target marketing
• Mass marketing
• Channel of distribution
• Personal selling
• Mass selling
• Advertising
• Publicity
• Sales promotion
• Marketing plan
• Implementation
• Operational decisions
• Marketing program
• Breakthrough opportunities
• Competitive advantage
Key Terms
Mastering Marketing
• Differentiation
• S.W.O.T. analysis
• Market penetration
• Market development
• Product development
• Diversification
Key Terms