Strategic Marketing

Management
Key Learnings
Syndicate Meetings
Part 1- Marketing Dilemmas
Sections 1 -6
Summaries
Evolution of marketing the move from Producer market power
to Customer Market Power
Influence of technology
Access to knowledge of the consumer
Commoditized products
Introduction of service culture to differentiate
(Marketing Evolution Model Figure 1.1) pg 11

Section 1
Figure 1.2 production sales and marketing orientations
To understand this, need to ask the question about your
organisation strategy (Table 1.2) pg 20:
Market driver led by the market
Market driving leading the market
Section 2
Identify the difference between value as percieved by the
customer and that which is created by the organisation
- Customer-perceived value (Figure 2.1) affect positive or
negative perceptions of value
Figure 2.2 Value constellation
Value Chain opportunity in each stage of value chain
to add value
Ethical decision-making model Figure 2.4
Consideration moral awareness, moral judgement,
ethical (Org culture; Individual views)

Section 3
Role of marketing for Product and Service
B2B and B2C
Relationships between supplier & customer
Tangible vs Intangible
Section 4
Stakeholder Approach
Figure 4.3 (six market domains) different views of relationship
marketing; all serve to create value
Table 4.1 Situations where relationship marketing may not be
appropriate

Section 5 (Strategy and Tactics)
Figure 5.1 Hierarchy of Strategies
What strategy does organization implement? link marketing
strategy to Org strategy.
Strategy is a longer term view
Tactical / Operational approach short term specific actions
taken to operationalise the strategy; may adjust in light of what
competition does. changes in marketing mix 4ps (product,
price, place, promotion)
ANSOFF Matrix p92 to 96 Kotler textbook

Section 6
All about the Marketing Plan
Figure 6.1 Marketing Planning Cycle link to own organisation
process
Structure of the marketing plan
- Figure (6.2) Generic Strategies organisations follow
- Cost leadership
- Differentiation
- Focus

Structure of marketing plan
Analysis Corp Strategy
PESLIED
Key Issues
SWOT
O. ??
----------
Marketing Strategy
BCG Matrix
Segmentation
ANSOFF (Product Positioning)
Porters Model
Execution Tactical / Operational
Marketing Mix (7 p)


Part 2 Value Exploration
Sections 7 - 10
Section 7
Market research methods (Microenvironment &
Macroenvironment) Fg7.1 & 7.2 and gathering
Figure 7.3
Choose methods used to gather information
Reduce risk in decision making process
Marketing Information System (MIS) Figure 7.4
Section 8 Market Insight
Table 8.1 Micro (Checklist) / Table 8.2 (Macro) PESTLEID
Section 9
B2C
Internal Factors: Figure 9.2 Consumer Decision-making
model pg.107 - 110
External factors: Culture/Social/Family
Situation & Lifestyle VALS Model (Figure 9.3)
Internal Cognitions Psychological factors
B2B
Figure 9.6
Figure 9.8 transactional-relational continuum

Section 10
Competitor Insight
Recognise the importance of and relevance of competitor
- Table 10.1 - Understand the types of competition
- Analysis using Porters or PESTLEID (Table combining the two
Figure 10.1)
- Key Learning: help understand position in market, inputs into
marketing strategic tools, establish value
Detailed analysis of immediate competitors (Figure 10.2)
Understand Competition from market point view
(other orgs in similar important)
Understand customer point of view (other org
providing same goods & services)
Process to gather intelligence of competitors
Good practice to do benchmarking
Part 3 Value Creation
Section 11 - 16
Section 11
Segmentation Analysis dividing market into distinctive groups (specific
needs, characteristics and behaviours) which require different value
offerings
Geographic
Demographical
Psychographical
Behaviour
Product orientation and market orientation view
Benefits based segmentation customers perception of value;
approach is to determine whether organisations ability to deliver on that
value
Targeting focusing efforts on customer you idenditified as most
profitable; involves learning values, needs, wants. And focusing
efforts to satisfy these consumers SWOT used to fit strengths etc..to
these segments. Evaluate segments with BCG Matrix, ANSOFF, GE
and Porters
Positioning the unique place that your product/service or organisation
has in the mind of the consumer reltive to competition
Section 12 Brand Management
Effectively position and build strong brand presence in the
market
Apply theories to develop and manage an effective brand
portfolio
Brand is a valuable asset to org
Need to distinguish between brand and product good
mix of marketing activities
How does our brand add value to our product/service
(Figure 12.1)

Brand building
Establish some level brand loyalty
Brand Management Establish Relationships Consumption
Experience Brand Loyalty

Section 13
Process of Innovation and new product development
Innovation is in context a process new product development an ouput
Innovation ultimately drives economic growth
Competitive Impact - Disruptive Innovation Theory: Low-end and New-
market
Classification of technology innovation Figure 13.2
Service innovation framework Figure 13.3: enables organisations to
create discontinuous new services and create new markets rather than
incrementally improve existing ones where your novelty of your org
exists
Figure 13.1 is it new to the market or new to the company degree of
novelty
Process of New Product Development (NPD)
Best known models for NPD Linear or relay race (pg 169)
Trott (2005) Snowball model knowledge developed over time used in
NPD
Portfolio Management how to manage organisations portfolio
Section 14 Pricing
Role of pricing impacts:
Sales volume & market share
Demand
Signals quality
Affects the lunch of new products
Key concepts of pricing (Table 14.1)
Pricing strategy 8 step process Pg 181 183
4 types of central pricing strategies
Price skimming
Price leadership
Penetration
Follow the leader

Section 15: Channel management
Its focus is the means by which the good meet the end
customer
Channel network performs 4 key functions
Demand generation
Demand fulfillment
After-sales service
Information or market feedback
Analysis of your value chain (fig 15.1) fit needs to align
with your channel strategy selection (fig 15.2)
Factors to consider when selecting a channel a channel
(pg 190)
Conventional ( e.g. tiger brand) & Vertical marketing
(e.g. Woolworths) channel compared (Fig 15.3)
Section 16: Integrated Marketing (IMC)
5 strategic dimension of a successful IMC
approach (Pg 198)
The aim is understand how & why consumers
respond to some marketing communications
messages more positively than others
(consistent marketing communication)
Section 17: relationship management
A long term (existing) relationship consumers
are more profitable than finding new consumers
Transaction VS relationships marketing table
17.1
Fig 17.3 identification of key group or (6 market
network diagram) segments: Establish where
you are in your existing relationships & where
you want to be.
Fig 17.6 customer management model
4 sub process for CRM Fig 17.7 PG 218 - 220
Section 18: Managing customer service
SERVQUAL: Mechanism to measure intangible
variables of service
Fig 18.1 service quality gap model

Section 19: Engaging People (fig 19.1 PG 230
service profit chain model) Employee
satisfaction has a positive effect on customer
satisfaction and revenue
Dependent on the role of leadership to drive
employee satisfaction in terms of e.g. Charisma,
contingent reward (pg: 231)

Section 20: Managing key accounts
B2B: The problem is that every account is
a key/strategic account (Max/optimal of
20-30 accounts per firm). Focus on their
large accounts.
The biggest revenue earners are not
necessary your biggest clients
Key attributes of a successful KAM(Pg
238)
Section 21: Value based marketing
evaluation
Use of ROI to review impact on marketing
activities & decisions Fig 21.1 PG 246

SECTION 22: Customer lifetime value (CLV):
Monetary value of customer lifetime value focus
on long term considerations rather than short
term profits (focus for marketing activities).
RFM technique
Section 23: Marketing Metrics
Table 23.1 PG 253
Table 23.2 PG 253
Key metrics to use PG 255 259
ROMI: e.g. how a marketing campaign
builds brand equity, therefore linked to
superior market performance