Marketing - Summary

Table of Contents
THE MARKETING FUNCTION ............................................................................................................................2
ROLE OF MARKETING AS PART OF THE OVERALL BUSINESS STRATEGY ............................................................2
STRATEGIC ROLE OF MARKETING ...........................................................................................................................2
FORMULATING THE MARKETING STARTEGY ..................................................................................................3
STEP 1: THE OVERALL MARKET SCOPE IS INVESTIGATED BY PERFORMING AN ENVIRONMENTAL SCAN: ......................................4
A INDUSTRY ANALYSIS ..............................................................................................................................5
B COMPETITOR ANALYSIS .........................................................................................................................5
THE SECOND ASPECTS OF THE ENVIRONMENTAL SCAN= THE INTERNAL ANALYSIS .........................................6
THE SEVEN PS ..................................................................................................................................................8
PRODUCT .....................................................................................................................................................8
LIFESTYLE .................................................................................................................................................9
PACKAGING .............................................................................................................................................9
PRICE .......................................................................................................................................................9
PLACE ........................................................................................................................................................ 10
PROMOTION .............................................................................................................................................. 11
A ADVERTISING: ..................................................................................................................................... 12
B PERSONAL SELLING: ............................................................................................................................ 13
C SALES PROMOTION ............................................................................................................................. 13
D PUBLICITY ........................................................................................................................................... 13
PEOPLE ...................................................................................................................................................... 13
PHYSICAL EVIDENCE ................................................................................................................................... 13
PROCESS .................................................................................................................................................... 14

ADVANTAGES OF A STRONG BRAND..............................................................................................................16
FROM THE CONSUMER PERSPECTIVE: ................................................................................................................... 16
FROM THE MARKETING PERSPECTIVE: ................................................................................................................... 16

,Chapter 7
THE MARKETING FUNCTION
Marketing can be defined as the on-going activities of the business to reach the target
market [LSM] and the methods the business utilizes to connect and engage with its target
market.

The purpose of this engagement [with the target market] is to convince the market of the
value of the products and/or services [of the business] , with the aim of selling these
products or services and making a profit.


ROLE OF MARKETING AS PART OF THE OVERALL BUSINESS STRATEGY


Strategic role of marketing
Before we can understand the strategic role of marketing, it is important to recognize that
strategic planning drives the overall performance of the business. Strategic planning
involves:

Formulating a vision for the business
Translating this vision [expectations of what the business may become] into a
mission statement to describe what needs to be done TODAY, to achieve the vision
for the FUTURE. The setting objectives, strategies and their implementation are set
out below:




Important: The “brand” is the perception of the business. Everything, the
business does, will have an impact on the perception [brand] of the
business.




This strategic role of marketing can be summarized as follow: creating and
supporting a strong and positive brand identity in the market through a well-
planned and well-implemented marketing strategy.

, VISION
STRATEGIC PLANNING MISSION
FORMULATING THE MARKETING STRATEGY




IDENTIFY THE OVERALL MARKET SCOPE
MARKETING STRATEGY [ENVIRONMENTAL SCAN]
DETERMINE THE USP
DETERMINE THE MARKETING BUDGET




MARKETING OF THE PRODUCT/ SERVICE OFFERING
[MARKETING MIX->7Ps OF MARKETING]
IMPLEMENTING
EVALUATE TE EFFECTIVENESS OF BOTH THE STRATEGY
MARKETING STRATEGY AND ITS IMPLEMENTATION




FORMULATING THE MARKETING STARTEGY
When planning the marketing strategy, 3 basic, but different approaches emerge:

Some businesses focus all their energy on marketing the overall brand of the
business, while spending little time and effort on marketing individual
products/services. LG home appliances, is an example in this category.
Other businesses may choose to focus their marketing efforts on marketing the
product/service offering, while not spending too much time on the overall brand of
the business.
One of the most powerful tools of marketing communication is to create a
“marketing buzz” around the product/service. This means the business wants
consumers to talk about its product/service. The stronger the awareness of the
product/service in the mind of the consumer, the more likely it is that the brand
name will be used for future reference and hopefully this will translate into more
sales.
Engaging with customers via marketing gives the business the opportunity to listen
to the customer’s feedback [both good and bad] and helps the business to build a
stronger brand. [product/service]