An Investigative, Diagnostic and Descriptive Toolkit for Profiling

Marketing Practices in

Pakistan

Exercise Objectives

• To determine and document the actual Marketing Practices being used by

Companies in Pakistan

• To determine the extent to which contemporary marketing theory is being used in the

Real world of the Pakistani marketplace

• To be able to conduct gap analysis and identify improvement opportunities which

would be of practical use to companies in the real world

• To provide thorough grounding in the principles of marketing management and their

real world implementation in the marketplace

• To enable students to act as a conduit for diffusion of innovation in the theory

and practice of marketing, thereby improving the marketing environment of Pakistan

• To give a competitive edge to IBA students by equipping them with a highly practical

Perspective on the science and art of marketing

Marketing Functions

Marketing Practices

in Pakistan

Sales &Sales Management

Product & BrandManagement

Marketing Communications

Marketing Research& Analysis

DistributionManagement

Retailing

Customer Services& CRM

FMCGConsumer DurablesCommoditiesServicesNon Profit

Market LeaderMarket FollowerMarket NicherCounterfeiters

GovernmentalNGOs

The Marketing Concept

Balloting will be conducted For assigning category

Marketing Research and Analysis

Determining requirements of information for taking annual, semi-annual and daily Marketing decisions

Sources of information

Any technology used to collect information

Methodology of information collection

Information dissemination within the organization

Utilization of information

Marketing Research and Analysis

How does the company scan the overall marketing environment

Impact of STEP analysis on the company’s business

How does the company scan the competitive environment

How are market segments identified

How are market segments identified for targeting

How is the market potential estimated and what are the identifiable ‘Factors’ for

Determining potential

What are the market drivers

Is any level of market modeling or simulation used

Do you see any potential for market modeling and simulation, elaboration required

What are the forecasting techniques being used

Product and Brand Management

What is the product development process. Each stage needs to be touched upon

Examples of the respective companies core, augmented and potential products

Examples of product lines with width and length

Examples of line stretching (Upwards, Downwards, Sideways, Pruning)

How does the company determine a suitable positioning strategy

Suggest various perceptual maps

How does this positioning strategy translate into tangible actions for the marketing Team

Product and Brand Management

How does the firm determine costs (CGS, Storage and Transportation, Selling andMarketing expenses, capital expenses etc.)

Hedging against foreign exchange fluctuations

Apart from product cost, what other environment related costs are loaded to the Product, especially the regulatory environment (Sales Tax, Excise etc.)

How does the firm determine prices

Examples of price lists; Trade , Wholesale and Retail

What are the pricing objectives of various products and product lines

How does the company measure and keep abreast of Gross Margins earned

Product and Brand Management

Examples of Pricing Strategies

What is the competitive pricing structure of the market under consideration

Examples of value propositions

Define the perceived value of the brand/brands under consideration

Define branding strategy of the firm

What does the brand/brands signify

How does the firm determine the brand persona, brand association, brand image, other branding elements and the branding value chain

How does the firm measure brand equity

Product and Brand Management

How does the firm measure the health of the brand on a continuous basis

What are corrective actions taken if brand erosion is detected or anticipated

Level of awareness about IPR and its manifestation in product and brand strategies

Marketing CommunicationsElements of the promotional mix used by the firm

Detailed synopsis of each element including:Planned activities in each elementObjectives of each activityImplementation of each activityMeasurement of results of each activityBudgeting for each activityRelative percentage of each activity in the overall promotional mix

Overall marketing budget as a percentage of sales

How does the form chose activities within the promotional mix

To what extent does the firm employ BTL techniques and why

How is the marketing communication function managed, which departments within the organization take part, how are they connected and how are commitments fulfilled (Interface among Marketing, Sales, Finance, Procurement etc.)

Marketing CommunicationsElements of the promotional mix used by the firm

Detailed synopsis of each element including:Planned activities in each elementObjectives of each activityImplementation of each activityMeasurement of results of each activityBudgeting for each activityRelative percentage of each activity in the overall promotional mix

Overall marketing budget as a percentage of sales

How does the form chose activities within the promotional mix

To what extent does the firm employ BTL techniques and why

How is the marketing communication function managed, which departments within the organization take part, how are they connected and how are commitments fulfilled (Interface among Marketing, Sales, Finance, Procurement etc.)

How does the company determine effectiveness of the overall marketing communications effort

Marketing CommunicationsIs there any direct contact between the firm and end customers

Is any direct marketing conducted, scope and details required

Is any tele marketing conducted, scope and details required

Scope of marketing communications through the internet

Existence of viral marketing, social media based marketing

Sales and Sales ManagementHow is the sales force organized

How are territories determined

How is the size of the sales force determined

How is the sales force selected and recruited

How are sales performance standards set

How is sales performance measured and monitored

What are the sales reporting systems in place

How is the sales force controlled

What is the motivational system in place and how is it implemented

How is sales force retention managed

What are the training and development measures for the sales force

Sales and Sales Management

Is sales force automation implemented and to what degree

How does the firm manage recoveries and through what systems

Is the sales force responsible for recoveries or not

What are the corrective actions taken if sales targets are not being met

Distribution Management

What is the distribution channel structure in place

How is distribution network designed

How are distributors selected and recruited

How are distributor incentives and performance rewards designed

What value does the firm add to the distributor operations and how

How are horizontal and vertical conflicts resolved

How does the firm keep abreast of customer satisfaction with distributor performance

How does the firm manage a multi-channel structure

How are promotional activities, especially BTL executed via distributors

What is the role of distributors in preventing parallel and grey markets

Retailing

What are the functions performed by the firms retailers

Describe the structure of the retail market for the firms products/services (CompanyOwned outlets, franchises, supermarkets etc.) Quantify the same.

How is merchandising organized and implemented

Role of in-store promotions and the firm-retailer relationship for the same

Use of technology in retailing

Reporting structure in place

Logistics system in place between firm, distributors and retailers

Organization for retailing in rural markets and BOP markets

Customer Services and CRM

Do the mission and vision statements embrace services in addition to products

Does the company possess a customer services philosophy

Is there a separate customer services department or function. Details required

What systems are in place for tracking customer satisfaction

What systems are in place for monitoring quality of services

What systems are in place for addressing customer complaints

Is differentiation in marketing enabled through service differentiation

Does the company have a customer retention program in place

What systems are in place for managing customer relationships

Use of technology and e-CRM in the firm

Customer Services and CRM

Are there any key accounts for the firm

How are key accounts managed

Does the company utilize any quantifiable measures of customer satisfaction

Resources

Marketing Management, Strategies and Programs, Guiltinan

Marketing Management, A South Asian Perspective, 13th Edition, Kotler et al.

Marketing: A Case Study Approach, Stokes

Market Based Management, Strategies for Growing Customer Value and Profitability, Roger J. Best

WARC

Compendium of Required Readings

Website of the Marketing Science Institute

Marketing Review Published by MAP

Marketing Gurus