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English forSalesandMarketingYanTaiUniversity Slide0 Chapter1 DefiningMarketingfortheTwenty FirstCentury Slide1 Objectives Understandtheneweconomy Learnthetasksofmarketing Becomefamiliarwiththemajorconceptsandtoolsofmarketing Understandtheorientationsexhibitedbycompanies Slide2 Objectives Learnhowcompaniesandmarketersarerespondingtonewchallenges Slide3 TheNewEconomy Consumerbenefitsfromthedigitalrevolutioninclude Increasedbuyingpower Greatervarietyofgoodsandservices Increasedinformation Enhancedshoppingconvenience Greateropportunitiestocompareproductinformationwithothers Slide4 TheNewEconomy Firmbenefitsfromthedigitalrevolutioninclude Newpromotionalmedium Accesstoricherresearchdata Enhancedemployeeandcustomercommunication Abilitytocustomizepromotions Slide5 MarketingTasks Marketingpracticesmaypassthroughthreestages EntrepreneurialmarketingFormulatedmarketingIntrepreneurialmarketingAsmarketingbecomesmoreformulated creativityisinhibited Slide6 WhatCanBeMarketed GoodsServicesExperiencesEventsPersons PlacesPropertiesOrganizationsInformationIdeas Slide7 MarketingDefined Kotler ssocialdefinition Marketingisasocietalprocessbywhichindividualsandgroupsobtainwhattheyneedandwantthroughcreating offering andfreelyexchangingproductsandservicesofvaluewithothers Slide8 MarketingDefined TheAMAmanagerialdefinition Marketingistheprocessofplanningandexecutingtheconception pricing promotion anddistributionofideas goods andservicestocreateexchangesthatsatisfyindividualandorganizationalobjectives Slide9 CoreMarketingConcepts TargetmarketsandmarketsegmentationMarketplace market space metamarketsMarketers prospectsNeeds wants demandsProductofferingandbrandValueandsatisfaction ExchangeandtransactionsRelationshipandnetworksMarketingchannelsSupplychainCompetitionMarketingenvironmentMarketingprogram Slide10 CoreMarketingConcepts Targetmarkets segmentationDifferencesinneeds behavior demographicsorpsychographicsareusedtoidentifysegments Thesegmentservedbythefirmiscalledthetargetmarket Themarketofferingiscustomizedtotheneedsofthetargetmarket Slide11 CoreMarketingConcepts Shoppingcantakeplaceina Marketplace physicalentity Lowe s Marketspace virtualentity Amazon Metamarketsrefertocomplementarygoodsandservicesthatarerelatedinthemindsofconsumers Marketersseekresponsesfromprospects Slide12 CoreMarketingConcepts Needsdescribebasichumanrequirementssuchasfood air water clothing shelter recreation education andentertainment Needsbecomewantswhentheyaredirectedtospecificobjectsthatmightsatisfytheneed Fastfood Demandsarewantsforspecificproductsbackedbyanabilitytopay Slide13 CoreMarketingConcepts AProductisanyofferingthatcansatisfyaneedorwant whileabrandisaspecificofferingfromaknownsource Whenofferingsdelivervalueandsatisfactiontothebuyer theyaresuccessful Slide14 EnhancingValue Marketerscanenhancethevalueofanofferingtothecustomerby Raisingbenefits Reducingcosts Raisingbenefitswhileloweringcosts Raisingbenefitsbymorethantheincreaseincosts Loweringbenefitsbylessthanthereductionincosts Slide15 CoreMarketingConcepts Exchangeinvolvesobtainingadesiredproductfromsomeonebyofferingsomethinginreturn Fiveconditionsmustbesatisfiedforexchangetooccur Transactioninvolvesatleasttwothingsofvalue agreed uponconditions atimeofagreement andaplaceofagreement Slide16 CoreMarketingConcepts Relationshipmarketingaimstobuildlong termmutuallysatisfyingrelationswithkeyparties whichultimatelyresultsinmarketingnetworkbetweenthecompanyanditssupportingstakeholders Slide17 CoreMarketingConcepts MarketingChannelsCommunicationchannelsDistributionchannelsServicechannels Delivermessagestoandreceivemessagesfromtargetbuyers Includestraditionalmedia non verbalcommunication andstoreatmospherics Slide18 CoreMarketingConcepts MarketingChannelsCommunicationchannelsDistributionchannelsServicechannels Displayordeliverthephysicalproductsorservicestothebuyer user Slide19 CoreMarketingConcepts MarketingChannelsCommunicationchannelsDistributionchannelsServicechannels Carryouttransactionswithpotentialbuyersbyfacilitatingthetransaction Slide20 CoreMarketingConcepts Asupplychainstretchesfromrawmaterialstocomponentstofinalproductsthatarecarriedtofinalbuyers Eachcompanycapturesonlyacertainpercentageofthetotalvaluegeneratedbythesupplychain Slide21 CoreMarketingConcepts Fourlevelsofcompetitioncanbedistinguishedbythelevelofproductsubstitutability BrandcompetitionIndustrycompetitionFormcompetitionGenericcompetition Slide22 CoreMarketingConcepts Thefollowingforcesinthebroadenvironmenthaveamajorimpactonthetaskenvironment DemographicsEconomicsNaturalenvironmentTechnologicalenvironmentPolitical legalenvironmentSocial culturalenvironment Slide23 CoreMarketingConcepts Themarketingprogramisdevelopedtoachievethecompany sobjectives Marketingmixdecisionsinclude Product providescustomersolution Price representsthecustomer scost Place customerconvenienceiskey Promotion communicateswithcustomer Slide24 CompanyOrientations Theorientationorphilosophyofthefirmtypicallyguidesmarketingefforts Severalcompetingorientationsexist ProductionconceptProductconceptSellingconceptMarketingconceptCustomerconceptSocietalmarketingconcept Slide25 TheMarketingConcept Achievingorganizationalgoalsrequiresthatcompanybemoreeffectivethancompetitorsincreating delivering andcommunicatingcustomervalue Fourpillarsofthemarketingconcept TargetmarketCustomerneedsIntegratedmarketingProfitability Slide26 ChangesintheMarketplace Globalization technologicaladvances andderegulationhavecreatedmanychallenges CustomersBrandmanufacturersStore basedretailersBothcompaniesandmarketershavebeenforcedtorespondandadjust Slide27 Chapter2 AdaptingMarketingtotheNewEconomy Slide28 Objectives Identifythemajorforcesdrivingtheneweconomy Understandhowbusinessandmarketingpracticesarechangingasaresultoftheneweconomy Slide29 Objectives ExplorehowtheInternethaschangedthewaymarketersusecustomerdatabases Understandhowmarketerspracticecustomerrelationshipmanagement Slide30 DriversoftheNewEconomy DigitalizationandconnectivityTheInternet intranets extranetsarekeyDisintermediationandreintermediationCustomizationandcustomerizationIndustryconvergence Slide31 ChangesinBusinessPractices OldEconomyProductunitorganizationProfitabletransactionsFinancialscorecardStockholdersMarketingdoesthemarketing NewEconomyCustomersegmentorganizationLifetimevalueofcustomerMarketingscorecardStakeholdersEveryonedoesthemarketing Slide32 ChangesinBusinessPractices OldEconomyBuildbrandsviaadvertisingCustomeracquisitionNocustomersatisfactionmeasurementOverpromise underdeliver NewEconomyBuildbrandsviaperformanceCustomerretentionMeasurecustomersatisfactionandretentionratesUnderdeliver overpromise Slide33 HowMarketingPracticesareChanging E BusinessSettingupwebsitesCustomerrelationshipmarketing Slide34 HowMarketingPracticesareChanging E business Businesspracticesarechanging E businessuseselectronicmeansandplatformstoconductbusiness E commercewebsitesfacilitatetheonlinesaleofproductsandservices E purchasingfromonlinesuppliers E marketingeffortsincludethosethatinform communicate promote andsellproductsandservicesovertheInternet Slide35 HowMarketingPracticesareChanging E business InternetDomainsB2CB2BC2CC2B B2C Business to ConsumerBenefitsinclude greaterorderingconvenience lowercost easierinformationandpricegathering Slide36 HowMarketingPracticesareChanging E business InternetDomainsB2CB2BC2CC2B B2B Business to BusinessVolumeis10 15 higherthanB2C Benefitsinclude lowercostsviaB2Bauctions buyingalliances greateraccesstoinformation Slide37 HowMarketingPracticesareChanging E business InternetDomainsB2CB2BC2CC2B C2C Consumer to ConsumerTransactionsoccurviaonlinetradingsitessuchaseBay Consumersarecreatingonlineproductinformationvianewsgroupandchatroomdialogues Slide38 HowMarketingPracticesareChanging E business InternetDomainsB2CB2BC2CC2B C2B Consumer to BusinessFacilitatecommunicationbetweencustomerandbusinesses Slide39 HowMarketingPracticesareChanging E business BrickandclickfirmshaveoftenfacedchannelconflictissuesBrickandclickfirmstendtobemoresuccessfulthanpureclicke tailercompetitorsbecause CustomeracquisitioncostsarelowerResources knowledge customerbase supplierrelationshipsaresuperior Slide40 HowMarketingPracticesareChanging WebSiteDesign ContextContentCommunity CommunicationConnectionCommerce Customization TheSeven C s ofWebSiteDesign Slide41 HowMarketingPracticesareChanging WebSiteDesign PlacingAdsandPromotionsOnlineBanneradsSponsorshipsMicrositeInterstitialsBrowseradsAlliancesandaffiliateprograms Slide42 HowMarketingPracticesareChanging WebSiteDesign AdvertisingincomeSponsorshipincomeAllianceincomeMembershipandsubscriptionincomeProfileincome ProductandservicesalesincomeTransactioncommissionsandfeesMarketresearch informationReferralincome Drevenueandprofitmodels Slide43 HowMarketingPracticesareChanging CRM CustomerRelationshipMarketing CRM allowscompaniesto Deliverreal timecustomerserviceCustomizemarketofferings products services media andmessages Slide44 HowMarketingPracticesareChanging CRM EffectiveCustomerRelationshipMarketingrequires ReducingcustomerdefectionratesExtendingthelifeofthecustomerrelationshipEnhancingcustomersales profitpotentialMakinglow profitcustomersMOREprofitableorterminatingthemFocusingonhighvaluecustomers Slide45 HowMarketingPracticesareChanging CRM CRMLeadstoOne on OneMarketingFourStepsforOne to OneMarketingDon tgoaftereveryone carefullyidentifyyourprospectsandcustomers Groupcustomersbytheirneedsandtheirvaluetothecompany aggressivelypursuethemostvaluablecustomers Buildstrongerrelationshipswithcustomersviaindividualinteraction Customizemessages services andproductsforeachcustomer Slide46 HowMarketingPracticesareChanging CRM CustomerDatabasesandDatabaseMarketingarethekeytoEffectiveCRMDatabaseusesinclude BestprospectidentificationMatchingofferstocustomersDeepeningcustomerloyaltyReactivatingcustomerpurchasingAvoidingseriousmistakes Slide47 Chapter3 BuildingCustomerSatisfaction Value andRetention Slide48 Objectives Understandhowcompaniesdelivercustomervalueandsatisfaction Identifythefactorsthatmakeahighperformancebusiness Understandhowcompaniesattractandretaincustomers Slide49 Objectives Realizehowcompaniescanimprovebothcustomerandcompanyprofitability Understandhowcompaniescandelivertotalquality Slide50 CustomerValue Customersseektomaximizevaluebyestimatingwhichoffer product firm deliversthemostvalue CPV forminganexpectationofvalueandactinguponit purchase evaluatingtheirusageexperienceagainsttheexpectationsSatisfactionresultswhenexpectationsareequaledorsurpassed Slide51 CustomerPerceivedValue Perceptionofdeliveredvalueisafunctionof TotalcustomercostsTotalcustomervalueFirmsatadisadvantagemust Reduceperceptionsofcostsorenhanceperceptionsofvalue Slide52 CustomerSatisfaction Satisfactionisdefinedas aperson sfeelingsofpleasureordisappointmentresultingfromcomparingaproduct sperceivedperformance oroutcome inrelationtohisorherexpectations Slide53 CustomerSatisfaction Tomaximizesatisfaction Don texaggeratetheproduct service scapabilitiesinadvertisingorothercommunicationsDissatisfactionwillresultFTCmaybecomeinvolvedDon tsetexpectationstoolowMarketsizewillbelimited Slide54 HighPerformanceBusinesses KeystoSuccessStakeholdersProcessesResourcesOrganization IdentifyseveralstakeholdergroupsforyourUniversityHowmighttheneedsofthesegroupsconflictwitheachother Slide55 HighPerformanceBusinesses KeystoSuccessStakeholdersProcessesResourcesOrganization NewproductdevelopmentCustomerattractionandretentionOrderfulfillmentReengineeringworkflowsBuildingcrossfunctionalteams Slide56 HighPerformanceBusinesses KeystoSuccessStakeholdersProcessesResourcesOrganization Resourcesincludelabor materials machines energy andinformationOutsourcingvs ownership Ownandnurturecorecompetencies Slide57 HighPerformanceBusinesses KeystoSuccessStakeholdersProcessesResourcesOrganization Organizationreferstotheorganization spolicies structures andcorporatecultureCorporateculture sharedexperiences stories beliefs andnormswithinanorganization Slide58 CoreBusinessPractices MarketSensingCustomerAcquisitionCustomerRelationshipManagementFulfillmentManagementNewOfferingRealization Slide59 CustomerRetention Reducingcustomerchurn defection ishighlydesirableDefineandmeasureretentionrateIdentifycausesofattritionEstimateprofitlostfromcustomerdefection customerlifetimevalue Estimatecosttoreducedefection takeappropriateaction Slide60 DriversofCustomerEquity BrandEquityRelationshipEquityValueEquity Slide61 StrongCustomerBonds KeystoSuccessAddingFinancialBenefitsAddingSocialBenefitsAddingStructuralTies FrequencyprogramsClubmemberships Slide62 StrongCustomerBonds KeystoSuccessAddingFinancialBenefitsAddingSocialBenefitsAddingStructuralTies Personalizecustomerrelationships Slide63 StrongCustomerBonds KeystoSuccessAddingFinancialBenefitsAddingSocialBenefitsAddingStructuralTie Createlong termcontractsChargelessforongoingpurchasesLinkproducttolong termservice Slide64 20 80 30Rule Halfofyourprofitislostservingthebottom30 ofyourcustomerbase 20 ofyourcustomers Generate80 ofyourprofit 30 80 20 Slide65 Chapter4 WinningMarketsThroughStrategicPlanning Implementation andControl Slide66 Objectives Understandhowstrategicplanningiscarriedoutatthecorporate division andbusinessunitlevels Learnthemajorstepsinthemarketingprocess Slide67 Objectives Learnwhattypeofcontentamarketingplanincludes Understandhowcompaniescaneffectivelymanagethemarketingprocess Slide68 NatureofStrategicPlanning StrategicplanningrequiresactionsinthreekeyareasStrategicplanningtakesplaceatthecorporate division businessunitandproductlevelsMarketingplansoperateatstrategicandtacticallevels Slide69 CorporateandDivisionStrategicPlanning Planningactivitiesinclude DefiningtheCorporateMissionEstablishingStrategicBusinessUnits SBUs andAssigningResourcestoSBUsPlanningNewBusinesses DownsizingOlderBusinesses Slide70 CorporateandDivisionStrategicPlanning IndustryscopeProductsandapplicationsscopeCompetencescope VerticalscopeMarket segmentscopeGeographicalscope Missionstatementsdefinethecompany smajorcompetitivescopes Slide71 CorporateandDivisionStrategicPlanning StrategicBusinessUnitssharethreecharacteristics SinglebusinessorcollectionofbusinesseswhichcanbemanagedseparatelyHasownsetofcompetitorsHasmanagerresponsibleforstrategicplanningandprofits Slide72 CorporateandDivisionStrategicPlanning SBUsaretreatedasinvestmentportfolios Resourcesareallocatedby TheBCGGrowth ShareMatrixStarsCashCowsQuestionMarksDogsTheGeneralElectricMarket AttractivenessModel Slide73 CorporateandDivisionStrategicPlanning PlanningNewBusinessesandDownsizingOldBusinessesInvolvestakingadvantageofoneormoreofthefollowing IntensivegrowthIntegrativegrowthDiversificationgrowthHarvestingordivestingoldbusinesses Slide74 BusinessStrategicPlanning BusinessMissionSWOTAnalysis InternalSWOTAnalysis ExternalGoalFormulation StrategyFormulationProgramFormulationImplementationFeedbackandControl PlanningInvolvesEightSteps Slide75 StrategicBusinessPlanning SWOTAnalysisOpportunitiesandthreatsstemmingfromtheexternalenvironmentInternalstrengthsandweaknesses MonitoringkeyforcesfortrendsForeachtrend conductanMOA MarketingOpportunityAnalysis Slide76 StrategicBusinessPlanning SWOTAnalysisOpportunitiesandthreatsstemmingfromtheexternalenvironmentInternalstrengthsandweaknesses Brandawareness image reputationDistribution pricing customerloyalty productbenefitsFinance R D manufacturing Slide77 BusinessStrategicPlanning Effectivegoalsshouldbeformulatedsothattheyare ArrangedhierarchicallyfrombroadertomorespecificobjectivesStatedinquantitativetermsRealisticConsistentwitheachotherandthecompanymission Slide78 BusinessStrategicPlanning Strategydictatesthegameplanforachievinggoals Porter sgenericstrategiesofferastartingpointforstrategicthinking OverallcostleadershipDifferentiationFocus Slide79 BusinessStrategicPlanning Programformulationandimplementationinvolves DevelopingsupportingprogramsEstimatingimplementationcostsCarefullymanagingthedetailssogreatstrategyisn truinedbypoorimplementationFeedbackandcontroliscrucial Slide80 TheMarketingProcess TwoViewsoftheValueDeliveryProcess TraditionalphysicalprocesssequenceMaketheproduct SelltheproductValuecreationanddeliverysequenceChoosethevalue Providethevalue Communicatethevalue Slide81 TheMarketingProcess StepsintheMarketingProcess AnalyzingmarketopportunitiesDevelopingmarketingstrategiesPlanningmarketingprogramsManagingthemarketingeffort Slide82 TheMarketingProcess ExecutivesummaryandTOCCurrentsituationOpportunityandissueanalysisObjectives MarketingstrategyActionprogramsFinancialprojectionsControls MarketingPlanContents Slide83 ManagingTheMarketingProcess MarketingDepartmentscanbeorganizedby FunctionGeographicareaProductsorbrandsCustomersormarketsCorporatedivisionsGlobalaspects Slide84 ManagingTheMarketingProcess BuildingaCompanywideMarketingOrientationRequires CommitmentfromtopmanagementTrainingprograms employeeempowermentRecognitionsandrewardsprogramsModernmarketingplanningsystemProcess outcomefocus Slide85 ManagingTheMarketingProcess InjectingmorecreativityintotheorganizationcanbebeneficialSuccessfullyimplementingprogramsrequiresfoursetsofskills DiagnosticskillsIdentificationofcompanylevelImplementationskillsEvaluationskills Slide86 ManagingTheMarketingProcess TypesofControlAnnualplanProfitabilityEfficiencyStrategic ResponsibilityoftopandmiddlemanagementExamineswhetherplannedresultsareachieved Slide87 ManagingTheMarketingProcess Fivetoolsareusedtoevaluateannualplanperformance SalesanalysisMarket shareanalysisMarketingexpense to salesanalysisFinancialanalysisMarket basedscorecardanalysis Slide88 ManagingTheMarketingProcess TypesofControlAnnualplanProfitabilityEfficiencyStrategic ResponsibilityofmarketingcontrollerExamineswherethecompanyismakingandlosingmoney Slide89 ManagingTheMarketingProcess TypesofControlAnnualplanProfitabilityEfficiencyStrategic Responsibilityofline staffand ormarketingcontrollerEvaluatesandattemptstoimprovespendingefficiencyofmarketingexpenditures Slide90 ManagingTheMarketingProcess TypesofControlAnnualplanProfitabilityEfficiencyStrategic Responsibilityoftopmanagementandmarketi
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