Leslie Bland Exam 1 Marketing Management

Marketing

identifying and meeting human and social needs in a way that harmonizes with the goals of the organization. It is about creating, communicating, delivering and exchanging services that have value to customers, clients, partners and society at large. Filling needs and then telling potential customers about them in a compelling way.

Marketing Management

the process of choosing target markets and getting, keeping and growing customers through creating, delivering and communicating superior customer value.

Holistic Marketing

Marketing needs to be more holistic and less departmental in order to succeed

Internal Marketing

the task of hiring, training, and motivating able employees who want to serve customers well

Integrated Marketing

coordinates all marketing activities and marketing programs and directs them toward creating, communicating, and delivering consistent value and a consistent message for consumers, such that "the whole is greater than the sum of its parts."

relationship marketing

customer, employees, marketing partners (channels, suppliers, distributors, dealers, agencies), and financial community members (shareholders, investors, analysts). Building relationships with each of these groups is an important network that will give you the ability to activate them as needed in order to achieve your marketing and company goals.

Performance Marketing

top marketers increasingly go beyond sales revenue to examine the marketing scorecard and interpret what is happening with market share, customer loss rate, customer satisfaction, product quality, and other measures. They are also considering the legal, ethical, social, and environmental effects of marketing activities and programs.

Production Concept

consumers prefer products that are widely available and inexpensive. Companies focus on high production efficiencies, low costs, and mass distribution.

Product Concept

consumers prefer products with the highest quality, best performance or most innovative features. Sometimes believing that a better product will sell itself.

Selling Concept

consumers and businesses, if left alone, won't buy enough of the company's product. Practiced most with unsought goods like insurance and cemetery plots.

Marketing Concept

customer-centered, sense and respond focus. The job of marketing is not to find the right customers for your products but to develop the right products for your customers.

Market-Value Concept

the market-value concept implies that every functional area should be actively focused on creating value for customers, the company, and its collaborators. It is not just marketing that should be focused on the customer.

Solutions Oriented Marketing

Marketing is thought of differently in many organizations, but any department that is focused on solving challenges and meeting the goals of the larger company will always be a valued team. Solving the Challenges facing your organization and Meeting the Goals set by your organization

Levels of Planning and Management

•Corporate: Disney

•Business Unit: Parks, Theatrical, Consumer Products, TV, Home Entertainment

•Specific Market Offers: Movie release, new product launch, New location opening

4 Planning Activities Within

•Corporate Mission

•Corporate Culture

•Strategic Business Units

•Assigning Resources

Corporate Mission

A clear, concise, and enduring statement of the reasons for an organization's existence

Good mission statements

•Focus on a limited number of specific goals

•Stress the company's major policies and values

•Define the major markets that the company aims to serve

•Takes a long-term view

•Short, memorable, and as meaningful as possible

Corporate Goals

Corporate goals:

3-5 year goals that will set the company up for the future

Business Unit:

how does this business unit contribute to the over-arching corporate goals? Likely for 1 year

Department :

as the marketing department, how do we contribute to the goals of our business unit? Quaterly and annual

Individual contributor:

how do I contribute to the goals of my team / department? Quarterly and annual

What's the difference between a Strategy and a Tactic?

Strategy involves choosing a well-defined market in which the company will compete and determining the value it intends to create in this market. Tactics, also called the marketing mix, make the company's strategy come alive: They define the key aspects of the offering developed to create value in a given market. A marketing strategy incorporates 2 key components: the target market and the value proposition

Why is strategy important?

You have to consider all layers

Identifying the Target Market

Target customers are in the center, with collaborators, competitors, and the company in the middle and the context on the outside. The central placement of target customers in the 5-C framework reflects their defining role in the market. The other three market entities—the company, its collaborators, and its competitors—work to create value for the target customers. Forming the outer layer of the 5C framework is the market context, which defines the environment in which customers, the company, collaborators, and competitors operate.

Product

a marketable commodity that aims to create value for target customers. Products can be tangible (like food, apparel, and furniture) or intangible (like music and software). Purchase of a product gives customers ownership rights to the acquired good.

Price

The price is the monetary charge that customers and collaborators incur to receive the benefits provided by the company’s offering

Service

aims to create value for its customers, but it does so without entitling them to ownership. Examples of services include appliance repairs, movie rental, medical procedures, and tax preparation. At times, the same offering can be positioned as a product or a service. This occurs, for example, when a software program can be offered as a product that gives purchasers the rights to a copy of the program, or as a service that allows customers to lease the program and temporarily receive its benefits.

Brand

to identify the products and services produced by the company and differentiate them from those of the competition, in the process creating unique value over and above the product and service aspects of the offering. The Rolls-Royce brand identifies the cars manufactured by BMW subsidiary Rolls-Royce to differentiate these cars from those made by Bentley, Maserati, and Bugatti, as well as to evoke a distinct emotional reaction from its customers, who use the Rolls-Royce brand to call attention to their wealth and socioeconomic status.

Incentives

targeted tools designed to enhance the value of the offering by reducing its costs or increasing its benefits. Incentives are typically offered in the form of volume discounts, price reductions, coupons, rebates, premiums, bonus offerings, contests, and monetary and recognition rewards.

Communication

apprises target customers, collaborators, and the company stakeholders of the specifics of the offering and where to acquire it. This is your advertising, social media, PR campaigns

Distribution

encompasses the channel(s) used to deliver the offering to target customers and company collaborators.

G-STIC

Goal

Strategy

Tactics

Implementation

Control

Goal

goal describes the company’s ultimate criterion for success; it specifies the end result that the company plans to achieve. The two components of the goal are its focus, which defines the metric (such as net income) used to quantify the intended result of the company’s actions, and the performance benchmarks that signal movement toward the goal and define the time frame for achieving the goal

Strategy

strategy provides the basis for the company’s business model by delineating the company’s target market and describing the offering’s value proposition in this market.

Tactics

carry out the strategy by defining the key attributes of the company’s offering. These seven tactics—product, service, brand, price, incentives, communication, and distribution—are the tools used to create value in the company’s chosen market.

Implementation

Implementation consists of the processes involved in readying the company’s offering for sale. Implementation includes developing the offering and deploying the offering in the target market.

Control

measures the success of the company’s activities over time by monitoring the company’s performance and the changes in the market environment in which the company operates.

Marketing Plan

The ultimate goal of the marketing plan is to guide a company's actions.

Enneagram

•Increases insight into your actions

•Increases sense of self and understanding of others

•Improve workplace relations

•Fewer conflicts and more collaboration

Volkswagen

Volkswagon lied on a test and it ruined their brand image. They saved their company by creating a commercial/ ad admitting they messed up.

Kodack

Kodack wasn't able to adapt to changing times or technology they were being stuck in their ways which led them to bankruptcy.

Why video

Talks about how you should relay your marketing message. Most companies advertise their products in the "what, how and why" order, the why video says you should say why, how and what in that order. people don't buy what you do they buy why you do it.

Developing a Value Proposition

By clearly articulating its value proposition and positioning, companies can deliver high customer value and satisfaction, which lead to high repeat purchases and ultimately to greater company profitability

Customer Value

Benefits the Customer Gets

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Costs they assume for the different choices

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Customer Value Proposition

Strong Brands - Points of Difference

•Apple - Design, ease of use, irreverent attitude

•Nike - Performance, innovative technology, winning

•Southwest Airlines - Value, reliability, fun personality

Desirable to consumer

Desirable to consumer - has to be seen as personally relevant and needs a reason to believe why the brand can deliver the benefit.

Mountain Dew is focused on energy, reason to believe - highest caffeine of other soft drinks

Deliverable by the Company

Deliverable by the company - the company must have the resources and be committed to delivering on the positioning to maintain credibility and profitability. Can they maintain the positioning? Fashion is fickle and its harder to maintain a superior image versus automotive companies focused on continuing to improve safety features as a major focus.

Differentiating from Competitors

Differentiating from competitors - customers have to see the brand association as distinctive and better to relevant competitors. Splenda over took Sweet N Low and Equal with a new formula, Monster overtook Redbull with a full line - based on your desired energy state.

Creating a Sustainable Competitive Advantage

is a company's ability to perform in one or more ways that competitors cannot or will not match

Differentiate on an Existing Attribute

Differentiating on an existing attribute - Your superior product offering like highest quality, Zappo's customer service, and dollar shave clubs online subscription model. At their launches they were unique and different than anything on the market. While this is the most intuitive way to differentiate, it is difficult to achieve because products become more similar as they develop - TV's for instance - as technology improves, tvs become more similar and it is difficult to differentiate the superior product.

Positioning as Storytelling

Rather than outlining specific attributes or benefits, some marketing experts describe positioning a brand as telling a narrative or story. Consumers like the richness and imagination they can derive from thinking of the story behind a product or service.

This is how your target consumer connects with your brand, relates to it, and understands your why. It is how we've communicated important information for centuries - song and story. It is something anyone can remember.