Marketing Management Task

Developing Marketing Management Strategies

Connecting With Customers

Building Strong Brands

Shaping the Market offerings

Delivering Value

Communicating Value

Creating Long Term Growth

Developing Marketing

Strategies and Plans

Objectives

1. How does marketing affect customer value?

2. How is strategic planning carried out at

different levels of the organization?

3. What does a marketing plan include?

Value

Perceived Benefits

Tangible +Intangible

Cost

Quality, Service and Price

Value creation and delivery

process

STP

The Value Chain

•The market Sensing Process

•New offering Realization Process

•Customer Acquisition process

•The fulfillment Management Process

Core Competencies Own and nurture the resources and competencies that make up

the essence of Business.

Core Competency refers to areas of special technical andproduction expertise, whereas distinctive capability describesexcellence in broader business processes. Market-drivenorganizations generally excel in three distinctive capabilities:market sensing, customer linking and channel bonding.

Source of Competitive Advantage

Application in wide variety of Markets

Difficult for Competitors to imitate

Examples

1. Addidas

2. Software industry in Pakistan and India

3. VIP Marketing

Role of Strategic Planning

Manage Company’s Business as investment Portfolio.

Asses Company Strength

1. Market Growth rate

2. Company Position

3. Fit In the Market

Establishing a Strategy

4 Levels

(Resource allocation) Corporate Level (Business to Start or

Eliminate)

Division Level

Business Unit Level

Product Level (Marketing Plan)

Corporate and division level Strategic

Planning Defining the corporate mission

Establishing strategic business units

Assigning resources to each Strategic Business Unit

Assessing growth opportunities

Mission

“What is our business”Employee, Managers and Customers

Limited Goals

Major Policies

Major Competitive Sphere

Long Term View

Short, Memorable, Meaningful

Establishing SBU Single Business or group of Business that can be planned

separately.

Own Set of Competitors

Manager: responsible for strategic planning and profit

performance.

Product Vs Industry Vs Market

Target Market Vs Strategic Marketing

Three Dimensions

Customer Groups

Customer Need

Technology

Assigning ResourcesWith or Without SBU

*Potential Growth Opportunity

Assessing Growth

Present Sales Vs Desired Sales

1. Intensive (P/G Matrix)

2. Integrative (Backward, Forward, Horizontal Integration)

3. Diversification (Concentric, Horizontal and Conglomerate)

Innovation in marketing is critical. Senior management should identify

and encourage fresh ideas from a youth perspective, from people new

to the field and organization, to gain an understanding and a new

approach to marketing.

Product Growth Matrix

Market Penetration

Product Development

Market Development

Diversification

Market Penetration1. Markets are not saturated

2. Usage rate can be increased

3. Correlations between sales and marketing expenditures is high

4. Economies of scale provide major competitive advantage

Market Development1. New channels are available

2. New untapped market exists

3. Excess production capacity

4. Excess capital and human resource

Product Development1. Successful products at maturity stage

2. Organization competes in high growth industry

3. Company has strong R&D

Diversification1. Value chain is common among different businesses

Business Unit Strategic

Planning

SWOT

Opportunity: area of buyer need or interest that a company

can profitably satisfy.

1. Short of Supplies

2. Supply something in superior way (Ask Customers)

3. Totally New Product

Threat: an external event that can effect the marketing

objectives/goals

Strength Vs Weakness

Goal Formulation: Developing specific goals for a short term is

known as Goal Formulation. They are specific with respect to

magnitude and time. Goals must be consistent and realistic and

could be a mix of various objectives.

SMART

Strategy Formulation: Strategy is a game plan for achieving

the goals. It consists of a Marketing Strategy, Technology

Strategy and a Sourcing Strategy.

1. Overall Cost Leadership

2. Differentiation

3. Focus

a) Product or service alliance

b) Promotional alliance

c) Logistics alliance

d) Pricing Collaboration

Product Planning The marketing plan is the central instrument for

directing and coordinating the marketing effort. Themarketing plan operates at two levels: strategicand tactical.

Components Of Marketing Plan:

1. Executive summary

2. Situation Analysis

3. Marketing Opportunity and Issues

4. Objectives

5. Marketing strategy

6. Target Market

7. Positioning

8. Marketing Mix

9. Review and Control

10. Marketing Organization

11. Contingency Plan