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The Concept of Strategic

Marketing Plus 2000

delivered by
Jahja B Soenarjo
CCO DIREXION
Partner of Markplus
IMA President Chapter

Program Objectives :
The program describes the ultimate philosophy of
marketing comprising vision, mission, and value. In
addition, the evaluation of a company from the stage of
production-oriented-to customer-driven company will also
be explored. The course participants, moreover, will
understand the roles of various marketing elements in
driving the marketing strategy, marketing tactic, and
marketing value. The interrelationship and
interdependency of the marketing elements will also be
discussed.

Program Objectives :
1.
2.
3.
4.
5.
6.
7.
8.
9.

What is Strategic Marketing Plus 2000 ?


Why strategic Marketing Plus 2000 ?
The Ultimate Philosophy of Marketing.
The Marketing Plus Strategic Triangle.
The What Why How Strategic Circle.
The Competitive Setting.
The Company Evolution.
The Strategy Tactic Value 2000.
The What Why How Strategic Table.

1. WHAT IS STRATEGIC MARKETING PLUS 2000 ?


The Strategic Marketing Plus 2000 is a marketing conceptual framework.
It is a basis for:

Comparing the actual state of an organization with the competitive


setting. The process is also known as Competitive Audit.
Formulating an appropriate competitive marketing strategy based
on the results of the Competitive Audit. This process is also known
as Strategy Formulation.
Enhancing the organizations ability to compete with competitors, in
line with the formulated strategy. This is known as Capability
Enhancement.

1. WHY IS STRATEGIC MARKETING PLUS 2000 ?


From time to time, the concept of marketing has been redefined to adapt
to the competitive environment. Generally speaking, it can be assumed
that:

When there no competition, the competitive setting is not intense.


The function of marketing within a company, accordingly, is not
very significant.
As the competitive setting intensifies, marketing becomes very
important to company.
By the time the competitive setting is highly intense, the
competitive setting will be chaos and unpredictable. At this
moment, marketing has to be the heart and soul of every person
in the company.

3. THE ULTIMATE PHILOSOPHY OF MARKETING.


Vision:
Marketing has to be a strategic-business-concept, aimed to assure
sustainable-satisfaction to three main stakeholders, which are
customers, people in the organization, and shareholders.
Mission:
Marketing is in the business for being the soul, not just one part of the
body in an organization; therefore, everybody in organization is marketer.
Values:
o Brand, not product, is valuable to customer.
o Shareholders must treat their business, whatever it is, as a
service-business.

o Every person in the organization must belong to customersatisfying process, either directly or indirectly, and not to specific
function.

5. THE STRATEGIC MARKETING PLUS 2000 CIRCLE

6. THE COMPETITIVE SETTING

7. THE COMPANY EVOLUTION

8. THE STRATEGY TACTIC VALUE 2000


No
Marketing

Mass
Marketing

Segmented
Marketing

Niche
Marketing

Individualized
Marketing

Segmentation

Geographic

Demographics

Psychographics

Behavioral

Individualized

Targeting

Everyone

Suitable Ones

Chosen Ones

A Few Good Ones

Someone

Positioning

The Only One

The Better One

One Statement

Different Ones

One on One

Differentiation

Good for Company

Better than
Competitor

Preferred by
Customer

Specialized for
Niches

Customized for
Individuals

Marketing Mix

4A
Assortment
Affordable
Available
Announcement

4B
Best
Bargaining
Buffer-Stocking
Bombarding

4P
Product
Price
Place
Promotion

4V
Variety
Value
Venue
Voice

4C
Customer Solution
Cost
Convenience
Communication

Setting

Informing about
Product

Feature
Selling

Benefit
Selling

Solution
Selling

Interacting
For Success

Brand

Just a Name

Brand Awareness

Brand Association

Perceived Quality

Brand Loyalty

Service

One Business
Category

Value-Added
Business

Value-in-Use
Business

Customers
Satisfying Business

The Only Business


Category

Process

System & Procedure


Implementation

Interfunctional
Team Work

Functional
Streamlining

Total Delivery
Reengineering

Extended
Value Chain

VALUE

TACTIC

STRATEGY

Type of
Marketing

8. THE WHAT WHY HOW STRATEGIC TABLE


2C

2.5C

3C

3.5C

4C

WHAT
(Type of Information)

Production
Distribution

Product
Promotion

Market
Customer
Competitors

Niche Expectation
Mix Sensitively

Customer Value
Package Life Time
Value

WHY
(Type of Analysis)

Internal
Variance

Cost
Benefits

External
Competitive

Market Response

Customer
Value

HOW
(Quality Management)

OK

QC

QA

TQM

TQS

THE SEGMENTATION METHOD VARIABLES

Geographic

Sample Characteristics

City size

Under 1,000,000; 1,000,000-2,000,000;


2,000,000 or over

Density

Urban, suburban, rural

Region

Java, Sumatera, Bali, Tokyo

State
Other :

Your Customers Characteristics

Demographic

Sample Characteristics

Age

Under 6, 6-11, 12-19, 20-34, 35-49, 50-64, 65+

Sex

Male, Female

Family size

1-2, 3-4, 5+

Family life cycle

Young single; young married no children; young


married youngest child under 6; young married
youngest child 6 or over, older married with
children, older married no children under 18,
older single, other

Expenditure

Rp. 700,00 or over;


Rp. 500,000-700,000;
Rp. 300,000-500,000;
Rp. 200,000-300,000;
Rp. 150,000-200,000;
Rp. 100,000-150,000;
Rp. 100,000 or under

Occupation

Professional and technical; managers, officials,


and proprietors; clerical, sales; crafts people,
foreman; operatives; farmers; retired; students,
housewives; unemployed

Education

SD; SLTP; SLTA; Perguruan Tinggi

Other :

Your Customers Characteristics

Psychographic

Sample Characteristics

Social class

lower lower, upper lower, working class,


middle class, upper middle, lower upper,
upper upper

Personality

Active, Impulsive, sociable, reliable,


predictable, family-oriented

Lifestyle

Survivor, Sustainers, Belongers,


Emulators, Achievers, I am me,
Experentials, societally, Conscious,
Integrateds

Other :

Your Customers Characteristics

Behavioral

Sample Characteristics

Occasions for use

Regular occasion, special occasion

User status

Nonuser, ex-user, potential user, firsttime user, regular user

Loyalty status

None, medium, strong, absolute

Others :

Your Customers Characteristics

CHARACTERISTICS OF EFFECTIVE SEGMENTATION


Effective Segmenting
Measurable
How precisely can you measure the size of the
segment?
How specifically can you assess the
purchasing power of the buyers in the
segments?
Substantial
Is this the largest homogenous group you can
pursue?
Can you broaden the segment yet stay within
the geographic, demographic and
psychographic criteria for the segment?
Accessible
Can your organizations marketing reach the
segment?
Actionable
Can your organization do what it takes to
attract and serve this market segment?
Winnable
Can you dominate the market profitably?

Segments:

Segments:

Segments:

THE SEGMENTATION 2000


Geographic

Demographics
Psychographics

Behavioral

Individualized

Closing Discussion

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