Principles of Marketing
2-2
Chapter Outline
Strategic Planning
2-4
Steps in Strategic Planning
Companywide Strategic
Planning: Defining Marketing’s
Role
2-5
Market-oriented mission
i.e. eBay
Product-oriented (what company does):
we hold online auction
2-6
Companywide Strategic
Planning: Defining Marketing’s
Role
2-7
Companywide Strategic
Planning: Defining Marketing’s
Role
2-8
Companywide Strategic
Planning: Defining Marketing’s
Role
Steps in Analyzing the Current Business Portfolio
2-9
Companywide Strategic
Planning: Defining Marketing’s
Role
2-10
i.e. Strategic business unit
(SBU)
By division:
• Airconditioning
• TV LCD
• Printer
• Laptop
• Compressor
• Telecommunication
• Semiconductor
Companywide Strategic
Planning: Defining Marketing’s
Role
2-11
Companywide Strategic
Planning: Defining Marketing’s
Role
Analyzing the Current Business Portfolio
The Boston Group Approach
2-12
The Boston Group Approach
Companywide Strategic
Planning: Defining
Marketing’s Role
2-13
Companywide Strategic
Planning: Defining
Marketing’s Role
2-14
The Boston Group Approach –
Example Samsung
Relative Market Share
Stars Question Marks
Airconditioni Compressor
ng
TV LCD
Printer Telecommunicati
Laptop on
Companywide Strategic
Planning: Defining Marketing’s
Role
2-16
Companywide Strategic
Planning: Defining
Marketing’s Role
Developing Strategies for Growth and Downsizing
2-17
Product/market expansion grid
Companywide Strategic
Planning: Defining Marketing’s
Role
Developing Strategies for Growth and Downsizing
2-18
Companywide Strategic Planning
Defining Marketing’s Role
2-20
Steps in Strategic Planning
Planning Marketing: Partnering
to Build Customer
Relationships
Partner Relationship Management
2-21
Planning Marketing: Partnering
to Build Customer
Relationships
Partnering with Other Company Departments
2-22
Planning Marketing: Partnering
to Build Customer
Relationships
Partnering with Others in the Marketing System
Value delivery network is made up of
the company, suppliers, distributors,
and ultimately customers who partner
with each other to improve
performance of the entire system
2-23
i.e. Value Delivery Network
Each actor added value within the Supply Chain. Company wants to
make partnerships with them useful to deliver a great value to final
consumers
Suppliers
Manufacturer
Wholesalers
Indirect
Distribution Direct
Retailers Distribution
Consumers
Marketing Strategy and the
Marketing Mix
Marketing Strategy
2-24
Marketing Strategy and the
Marketing Mix
2-25
Marketing Strategy and the
Marketing Mix
get
r
Ta
1-14-1
Marketing Strategy and the
Marketing Mix
2-27
i.e. Market Positioning
Marketing Strategy and the
Marketing Mix
2-28
Marketing Strategy and the
Marketing Mix
Developing an Integrated Marketing Mix
The four Ps
• Product
• Price
• Place
• Promotion
2-29
Marketing Strategy and the
Marketing Mix
2-30
Marketing Strategy and the
Marketing Mix
Developing an Integrated Marketing Mix
The four Ps
2-32
Managing the Marketing Effort
2-33
Managing the Marketing Effort
Managing the Marketing Effort
Marketing Analysis
2-35
Managing the Marketing Effort
Marketing Analysis
2-36
i.e. SWOT Analysis
Managing the Marketing Effort
Market Planning
2-37
Managing the Marketing Effort
Market Planning
Sections of a marketing plan include:
• Executive summary
• Current marketing situation
• Threats and opportunities
• Objective and issues
• Action programs
• Budgets
• Controls
2-38
Managing the Marketing Effort
Marketing Implementation
2-39
Managing the Marketing Effort
• Functional
• Geographic
• Product
• Market or customer management
2-40
Managing the Marketing Effort
Marketing Department Organization
2-41
Managing the Marketing Effort
Marketing Department Organization
2-42
Managing the Marketing Effort
Marketing Department Organization
2-43
Managing the Marketing Effort
2-44
Managing the Marketing Effort
Marketing Control
2-45
Managing the Marketing Effort
Marketing Control
2-46
Managing the Marketing Effort
Marketing Control
2-47
Measuring and Managing Return
on Marketing Investment
Return on Marketing Investment (ROI)
2-48
Measuring and Managing Return
on Marketing Investment
Customer-Centered Measures
• Customer acquisition
• Customer retention
• Customer lifetime value
2-49