Introduction to strategic marketing MKT2009
L1
How business plans, develop and implement strategic marketing plans. (Module focus)
What is strategy?
Introduced as ‘a plan of attacking for winning the battle’, ‘a plan for beating the opposition’.
“Strategy is making trade-offs in competing. The essence of strategy is choosing what not to
do. Without trade-offs, there would be no need for choice and thus no need for strategy”
(Porter 1998)
Purpose:
Set future direction for org
Create value to (and with) customers
How it can perform better than competition
What products and in which markets the firm will invest its resources
Strategy vs tactics
Strategy long term, broad
Tactics short term, narrow and specific
SWOT, Porters 5 forces (strategic planning tools)
What is Marketing?
“Basic function of marketing is to attract and retain customers at a profit” (Jobber and Fahy
2009)
“A social and managerial process by which individuals and groups obtain what they need
and want through creating and exchanging products and value with others” (Kotler et al
1999)
The Marketing Process
,(Picture on slide)
“Market orientation is the firm’s organizational culture” (Filieri 2005)
Strategic marketing Analysis vs Action
(Picture on slide)
Key elements of MO
Inter-functional coordination – How often do different departments of an organisation meet
to share information about customers
Competitors orientation - SWOT, Porters 5 forces, Benchmarking, Speed of response to
customers.
Distributors orientation – Help achieve their goals by providing technical assistance, regular
satisfaction level measurements, Regular compatibility of strategy with the objectives of our
distributors.
Response customers’ orientation – Frequent interaction with customers on how to serve
better, frequent satisfaction measurement, perceived brand image, speed of response to
emerging needs.
Proactive customers orientation – What products will be required in the future, search for
areas where customers find it hard to express their needs, discover needs out customers are
unaware they have.
Influencers or prescriber’s orientation – identified key external influencers who recommend
products, influence and role played by influencers, how do key influencers perceive the
company?
L2 – Extrernal and internal environmental analysis
Marketing audit –
How a business understands how it relates to their environment.
How it can respond using tangible and intangible resources.
“it is the means by which a company can identify its own strengths and weaknesses as they
relate to external opportunities and threats” (McDonald 1989)
,PESTLE
The marketing environment includes the actors and forces outside marketing that affect
marketing management’s ability to build and maintain successful relationships with
customers
The Pestle model helps in identifying the external factors (outside the organization) that are
not within the short-term control of the management
Helps in identifying threats and opportunities and find a fit between them
Social –
High migration from Muslim countries - Products tailored to suit them – examples
include halal meet products
Companies now have to focus on pensions and healthcare programmes for their
employees
Rise of single parent families
Rise in divorce rates
Rise of dual-income families -> increase in
women working outside of the home has led
to increased demand for ready-meals, convenience products, childcare & disposable
items
For organisations this has meant more supportive policies regarding parental leave, flexible
working hours and childcare
, Technology –
Technology affects organisations in 3 ways
1. Technological innovation
2. Production techniques used by organisations
3. Technology affects how an organisation is managed and how communication
takes place in the organisation
68% of consumers interact with businesses on Facebook to receive
offers/competitions
Many sports viewers have expressed frustration towards the current cost of
viewing live sport, with most live sports being aired on pay-tv (Mintel, 2017).
Political Economic Social Technology Legal Environment
Political Interest rates Income Levels of Legislative Sustainability
stability distribution
government structures legislation
Inflation rates and
Regime investment Demographic industrial Anti-trust Green issues
orientation levels s (population R&D laws
s growth rate, expenditure Energy
GDP trends new born Trade supply
Governmen rate...) Product life policies
t stability Unemploymen cycles Pollution
t rate and Labour & Employmen levels
Governmen trends Social Internet, t legislation
t agenda mobility web 2.0 and Environment
Investment web 3.0 Foreign al concerns
Governmen levels Lifestyle trade and
t policies changes Big data regulation Environment
Exchange analytics al groups
Pressure rates Attitudes to techniques Taxation
groups work and (both
leisure Rates of corporate
Trade technologic and
union Educational al consumer)
power levels obsolescenc
e
Fashion and
Fads New
discoveries
L1
How business plans, develop and implement strategic marketing plans. (Module focus)
What is strategy?
Introduced as ‘a plan of attacking for winning the battle’, ‘a plan for beating the opposition’.
“Strategy is making trade-offs in competing. The essence of strategy is choosing what not to
do. Without trade-offs, there would be no need for choice and thus no need for strategy”
(Porter 1998)
Purpose:
Set future direction for org
Create value to (and with) customers
How it can perform better than competition
What products and in which markets the firm will invest its resources
Strategy vs tactics
Strategy long term, broad
Tactics short term, narrow and specific
SWOT, Porters 5 forces (strategic planning tools)
What is Marketing?
“Basic function of marketing is to attract and retain customers at a profit” (Jobber and Fahy
2009)
“A social and managerial process by which individuals and groups obtain what they need
and want through creating and exchanging products and value with others” (Kotler et al
1999)
The Marketing Process
,(Picture on slide)
“Market orientation is the firm’s organizational culture” (Filieri 2005)
Strategic marketing Analysis vs Action
(Picture on slide)
Key elements of MO
Inter-functional coordination – How often do different departments of an organisation meet
to share information about customers
Competitors orientation - SWOT, Porters 5 forces, Benchmarking, Speed of response to
customers.
Distributors orientation – Help achieve their goals by providing technical assistance, regular
satisfaction level measurements, Regular compatibility of strategy with the objectives of our
distributors.
Response customers’ orientation – Frequent interaction with customers on how to serve
better, frequent satisfaction measurement, perceived brand image, speed of response to
emerging needs.
Proactive customers orientation – What products will be required in the future, search for
areas where customers find it hard to express their needs, discover needs out customers are
unaware they have.
Influencers or prescriber’s orientation – identified key external influencers who recommend
products, influence and role played by influencers, how do key influencers perceive the
company?
L2 – Extrernal and internal environmental analysis
Marketing audit –
How a business understands how it relates to their environment.
How it can respond using tangible and intangible resources.
“it is the means by which a company can identify its own strengths and weaknesses as they
relate to external opportunities and threats” (McDonald 1989)
,PESTLE
The marketing environment includes the actors and forces outside marketing that affect
marketing management’s ability to build and maintain successful relationships with
customers
The Pestle model helps in identifying the external factors (outside the organization) that are
not within the short-term control of the management
Helps in identifying threats and opportunities and find a fit between them
Social –
High migration from Muslim countries - Products tailored to suit them – examples
include halal meet products
Companies now have to focus on pensions and healthcare programmes for their
employees
Rise of single parent families
Rise in divorce rates
Rise of dual-income families -> increase in
women working outside of the home has led
to increased demand for ready-meals, convenience products, childcare & disposable
items
For organisations this has meant more supportive policies regarding parental leave, flexible
working hours and childcare
, Technology –
Technology affects organisations in 3 ways
1. Technological innovation
2. Production techniques used by organisations
3. Technology affects how an organisation is managed and how communication
takes place in the organisation
68% of consumers interact with businesses on Facebook to receive
offers/competitions
Many sports viewers have expressed frustration towards the current cost of
viewing live sport, with most live sports being aired on pay-tv (Mintel, 2017).
Political Economic Social Technology Legal Environment
Political Interest rates Income Levels of Legislative Sustainability
stability distribution
government structures legislation
Inflation rates and
Regime investment Demographic industrial Anti-trust Green issues
orientation levels s (population R&D laws
s growth rate, expenditure Energy
GDP trends new born Trade supply
Governmen rate...) Product life policies
t stability Unemploymen cycles Pollution
t rate and Labour & Employmen levels
Governmen trends Social Internet, t legislation
t agenda mobility web 2.0 and Environment
Investment web 3.0 Foreign al concerns
Governmen levels Lifestyle trade and
t policies changes Big data regulation Environment
Exchange analytics al groups
Pressure rates Attitudes to techniques Taxation
groups work and (both
leisure Rates of corporate
Trade technologic and
union Educational al consumer)
power levels obsolescenc
e
Fashion and
Fads New
discoveries
