,Marketing 354
Table of Contents
Chapter 1: Defining Marketing for New Realities .............................................................. 1
Types of markets ..................................................................................................................... 1
New marketing realities ........................................................................................................... 2
Market forces .................................................................................................................................................2
Market outcomes ...........................................................................................................................................2
Holistic marketing ...........................................................................................................................................2
Role of marketing in the organisation ....................................................................................... 3
Organising the marketing department ...........................................................................................................3
Chief Marketing Officer role in the organisation ...........................................................................................3
The customer-oriented organisation......................................................................................... 4
Building a customer-oriented organisation....................................................................................................5
The market-driven company .................................................................................................... 5
Demand states ......................................................................................................................... 5
Chapter 2: Marketing Planning and Management ............................................................ 5
Developing market offerings .................................................................................................... 6
Marketing tactics ............................................................................................................................................7
Planning and managing market offerings .................................................................................. 8
The G-STIC model ...........................................................................................................................................8
Chapter 3: Analysing Consumer Markets .......................................................................... 9
Consumer behaviour ................................................................................................................ 9
Consumer characteristics ...............................................................................................................................9
Consumer psychology ............................................................................................................ 10
Motivation ................................................................................................................................................... 10
Perception ................................................................................................................................................... 10
Emotions ...................................................................................................................................................... 11
Memory ....................................................................................................................................................... 11
Buying decision process ......................................................................................................... 11
Information search ...................................................................................................................................... 11
Evaluation of alternatives ............................................................................................................................ 11
Purchase decision ........................................................................................................................................ 12
Post-purchase behaviour............................................................................................................................. 12
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,Marketing 354
Intervening factors ................................................................................................................. 12
Perceived risk............................................................................................................................................... 12
Chapter 5: Conduct Marketing Research .........................................................................13
Marketing research process ................................................................................................... 13
Measuring market demand .................................................................................................... 13
Forecasting market demand........................................................................................................................ 13
Measure productivity ............................................................................................................. 14
Chapter 6: Identify Market Segments and Target Customers ...........................................14
Strategic targeting ................................................................................................................. 14
Target compatibility .................................................................................................................................... 14
Target attractiveness ................................................................................................................................... 15
Tactical targeting ................................................................................................................... 15
Define customer profile ............................................................................................................................... 15
Align customer value and customer profile ................................................................................................ 16
Bringing segments to life ............................................................................................................................. 16
Segmentation ........................................................................................................................ 16
Segmenting business markets ................................................................................................ 17
Chapter 7: Value Proposition and Positioning ..................................................................17
Develop a value proposition and positioning .......................................................................... 17
Points-of-parity and points-of-difference ................................................................................ 18
Points-of-parity (POPs) ................................................................................................................................ 18
Points-of-difference (PODs)......................................................................................................................... 18
POPs vs. PODs .............................................................................................................................................. 18
Competitive advantage .......................................................................................................... 19
Sustainable competitive advantage ............................................................................................................ 19
Strategies for creating a sustainable competitive advantage ..................................................................... 19
Communicating positioning .................................................................................................... 19
Creating a positioning statement ................................................................................................................ 19
Communicate category membership .......................................................................................................... 19
Storytelling................................................................................................................................................... 20
Chapter 8: Designing and managing products .................................................................20
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, Marketing 354
Product classification ............................................................................................................. 20
Product differentiation........................................................................................................... 20
Product design ....................................................................................................................... 21
Product portfolio and product lines ........................................................................................ 21
Lengthening a product line .......................................................................................................................... 21
Product levels ........................................................................................................................ 22
Packaging and labelling .......................................................................................................... 22
Types of packaging ...................................................................................................................................... 22
Packaging objectives.................................................................................................................................... 23
Chapter 10: Building Strong Brands .................................................................................23
Role of brands ....................................................................................................................... 23
For consumers ............................................................................................................................................. 23
For firms ....................................................................................................................................................... 24
Brand equity .......................................................................................................................... 24
Gauging brand equity .................................................................................................................................. 24
Brand power .......................................................................................................................... 24
Measuring brand power .............................................................................................................................. 25
Designing the brand ............................................................................................................... 25
Choosing brand elements ............................................................................................................................ 25
Secondary sources of brand knowledge .................................................................................. 26
Brand portfolio ...................................................................................................................... 26
Managing portfolios .................................................................................................................................... 26
Chapter 11: Managing Price and promotional strategy....................................................27
Understanding pricing ............................................................................................................ 27
Consumer psychology and pricing........................................................................................... 27
Setting the price..................................................................................................................... 27
Product mix pricing ...................................................................................................................................... 30
Price changes ......................................................................................................................... 31
Responding to price changes....................................................................................................................... 31
Responding to competitors’ prices.............................................................................................................. 31
iv
Table of Contents
Chapter 1: Defining Marketing for New Realities .............................................................. 1
Types of markets ..................................................................................................................... 1
New marketing realities ........................................................................................................... 2
Market forces .................................................................................................................................................2
Market outcomes ...........................................................................................................................................2
Holistic marketing ...........................................................................................................................................2
Role of marketing in the organisation ....................................................................................... 3
Organising the marketing department ...........................................................................................................3
Chief Marketing Officer role in the organisation ...........................................................................................3
The customer-oriented organisation......................................................................................... 4
Building a customer-oriented organisation....................................................................................................5
The market-driven company .................................................................................................... 5
Demand states ......................................................................................................................... 5
Chapter 2: Marketing Planning and Management ............................................................ 5
Developing market offerings .................................................................................................... 6
Marketing tactics ............................................................................................................................................7
Planning and managing market offerings .................................................................................. 8
The G-STIC model ...........................................................................................................................................8
Chapter 3: Analysing Consumer Markets .......................................................................... 9
Consumer behaviour ................................................................................................................ 9
Consumer characteristics ...............................................................................................................................9
Consumer psychology ............................................................................................................ 10
Motivation ................................................................................................................................................... 10
Perception ................................................................................................................................................... 10
Emotions ...................................................................................................................................................... 11
Memory ....................................................................................................................................................... 11
Buying decision process ......................................................................................................... 11
Information search ...................................................................................................................................... 11
Evaluation of alternatives ............................................................................................................................ 11
Purchase decision ........................................................................................................................................ 12
Post-purchase behaviour............................................................................................................................. 12
ii
,Marketing 354
Intervening factors ................................................................................................................. 12
Perceived risk............................................................................................................................................... 12
Chapter 5: Conduct Marketing Research .........................................................................13
Marketing research process ................................................................................................... 13
Measuring market demand .................................................................................................... 13
Forecasting market demand........................................................................................................................ 13
Measure productivity ............................................................................................................. 14
Chapter 6: Identify Market Segments and Target Customers ...........................................14
Strategic targeting ................................................................................................................. 14
Target compatibility .................................................................................................................................... 14
Target attractiveness ................................................................................................................................... 15
Tactical targeting ................................................................................................................... 15
Define customer profile ............................................................................................................................... 15
Align customer value and customer profile ................................................................................................ 16
Bringing segments to life ............................................................................................................................. 16
Segmentation ........................................................................................................................ 16
Segmenting business markets ................................................................................................ 17
Chapter 7: Value Proposition and Positioning ..................................................................17
Develop a value proposition and positioning .......................................................................... 17
Points-of-parity and points-of-difference ................................................................................ 18
Points-of-parity (POPs) ................................................................................................................................ 18
Points-of-difference (PODs)......................................................................................................................... 18
POPs vs. PODs .............................................................................................................................................. 18
Competitive advantage .......................................................................................................... 19
Sustainable competitive advantage ............................................................................................................ 19
Strategies for creating a sustainable competitive advantage ..................................................................... 19
Communicating positioning .................................................................................................... 19
Creating a positioning statement ................................................................................................................ 19
Communicate category membership .......................................................................................................... 19
Storytelling................................................................................................................................................... 20
Chapter 8: Designing and managing products .................................................................20
iii
, Marketing 354
Product classification ............................................................................................................. 20
Product differentiation........................................................................................................... 20
Product design ....................................................................................................................... 21
Product portfolio and product lines ........................................................................................ 21
Lengthening a product line .......................................................................................................................... 21
Product levels ........................................................................................................................ 22
Packaging and labelling .......................................................................................................... 22
Types of packaging ...................................................................................................................................... 22
Packaging objectives.................................................................................................................................... 23
Chapter 10: Building Strong Brands .................................................................................23
Role of brands ....................................................................................................................... 23
For consumers ............................................................................................................................................. 23
For firms ....................................................................................................................................................... 24
Brand equity .......................................................................................................................... 24
Gauging brand equity .................................................................................................................................. 24
Brand power .......................................................................................................................... 24
Measuring brand power .............................................................................................................................. 25
Designing the brand ............................................................................................................... 25
Choosing brand elements ............................................................................................................................ 25
Secondary sources of brand knowledge .................................................................................. 26
Brand portfolio ...................................................................................................................... 26
Managing portfolios .................................................................................................................................... 26
Chapter 11: Managing Price and promotional strategy....................................................27
Understanding pricing ............................................................................................................ 27
Consumer psychology and pricing........................................................................................... 27
Setting the price..................................................................................................................... 27
Product mix pricing ...................................................................................................................................... 30
Price changes ......................................................................................................................... 31
Responding to price changes....................................................................................................................... 31
Responding to competitors’ prices.............................................................................................................. 31
iv
