,© 2019 University of South Africa
All rights reserved
Printed and published by the
University of South Africa
Muckleneuk, Pretoria
MNM3709/1/2020–2024
70665834
InDesign
Shatterstock.com images used.
MNB_Style
,CONTENTS
Page
PREFACE viii
LEARNING UNIT 1: Overview of strategic marketing 1
1.1 INTRODUCTION 1
1.2 WHAT IS MEANT BY STRATEGY? 2
1.3 STRATEGY LEVELS 2
1.4 THE NATURE OF STRATEGIC MARKETING 3
1.4.1 Tasks of strategic marketing 3
1.4.2 Strategic business units (SBUs) 4
1.5 STRATEGIC MARKETING AND MARKETING MANAGEMENT 4
CONCLUSION 4
REFERENCES 5
LEARNING UNIT 2: Analysis of the external marketing or business environment 6
2.1 INTRODUCTION 7
2.2 CHARACTERISTICS OF THE EXTERNAL ENVIRONMENT 7
2.2.1 The ever-changing nature of the external environment 7
2.2.2 The impact of external forces on the external environment 7
2.2.3 The overwhelming state of external variables 7
2.3 SUBDIVISIONS OF THE EXTERNAL ENVIRONMENT 8
2.3.1 Technological environment 8
2.3.2 Economic environment 8
2.3.3 Social and cultural environment 8
2.3.4 Demographics 9
2.3.5 International environment 9
2.3.6 Legal/government environment 9
2.4 SWOT ANALYSIS OF THE EXTERNAL ENVIRONMENT 9
2.5 PREDICTING THE FUTURE OF THE EXTERNAL ENVIRONMENT 10
2.6 IDENTIFYING INFLUENTIAL EXTERNAL FORCES 10
2.7 PROACTIVE AND REACTIVE RESPONSE STRATEGIES 12
2.8 RISK ANALYSIS 13
CONCLUSION 13
REFERENCES 14
LEARNING UNIT 3: Customer analysis 16
3.1 INTRODUCTION 17
3.2 WHAT IS RELATIONSHIP MARKETING? 17
3.3 WHAT IS CUSTOMER RELATIONSHIP MANAGEMENT? 17
(iii) MNM3709/1/2020–2023
, 3.4 GUIDELINES FOR SUCCESSFUL RELATIONSHIP MARKETING AND CUSTOMER
RELATIONSHIP MANAGEMENT 18
3.4.1 Relationship marketing 18
3.4.2 Customer relationship management 18
3.5 GETTING TO KNOW CURRENT AND FUTURE CUSTOMERS 18
3.5.1 Information on existing customers 18
3.5.2 Information on future customers 19
3.6 UNDERSTANDING CUSTOMERS BETTER THROUGH A FOCUSED CUSTOMER
ANALYSIS PROCESS 19
3.7 CUSTOMER SEGMENTATION 20
3.7.1 What is customer segmentation? 20
3.7.2 The basis for customer segmentation 21
3.8 EVALUATING THE ATTRACTIVENESS OF A MARKET SEGMENT 21
3.9 PLANNING FOR BETTER RELATIONSHIPS 22
3.9.1 Activities to build customer loyalty and commitment 22
3.9.2 Activities required to conduct customer research to improve customer satisfaction 22
3.10 CUSTOMER MARKET INFORMATION AND KNOWLEDGE RESOURCES 22
3.10.1 Primary research 22
3.10.2 Qualitative and quantitative research 22
3.11 CUSTOMER VALUE-CREATION PROCESS 23
3.11.1 Customer satisfaction as a necessary precursor of customer relationships 23
3.11.2 The individual customer approach 23
3.12 SETTING YOURSELF APART BY RENDERING SUPPORTING SERVICES 23
3.12.1 The customer relationship management process 24
3.13 CUSTOMER LOYALTY MANAGEMENT 24
3.13.1 The key aspect of CRM when establishing customer loyalty 24
3.13.2 Loyalty marketing strategies 24
3.13.3 The service encounter – the interaction between providers and customers 24
3.13.4 CRM goals and loyalty 25
3.13.5 Segmentation of customer loyalty 25
3.13.6 Potential benefits of customer loyalty 25
CONCLUSION 25
REFERENCES 27
LEARNING UNIT 4: Market analysis 29
4.1 INTRODUCTION 30
4.2 STEPS OF MARKET ANALYSIS 30
4.2.1 Define the relevant market 30
4.2.2 Analyse the primary demand 30
4.2.3 Analyse the selective demand within the relevant market 30
4.2.4 Define market segments 31
4.2.5 Identify potential target markets 31
4.3 DIMENSIONS OF MARKET ANALYSIS 31
4.3.1 Current and emerging submarkets 32
4.3.2 Actual market, potential market and submarket size 32
(iv)
All rights reserved
Printed and published by the
University of South Africa
Muckleneuk, Pretoria
MNM3709/1/2020–2024
70665834
InDesign
Shatterstock.com images used.
MNB_Style
,CONTENTS
Page
PREFACE viii
LEARNING UNIT 1: Overview of strategic marketing 1
1.1 INTRODUCTION 1
1.2 WHAT IS MEANT BY STRATEGY? 2
1.3 STRATEGY LEVELS 2
1.4 THE NATURE OF STRATEGIC MARKETING 3
1.4.1 Tasks of strategic marketing 3
1.4.2 Strategic business units (SBUs) 4
1.5 STRATEGIC MARKETING AND MARKETING MANAGEMENT 4
CONCLUSION 4
REFERENCES 5
LEARNING UNIT 2: Analysis of the external marketing or business environment 6
2.1 INTRODUCTION 7
2.2 CHARACTERISTICS OF THE EXTERNAL ENVIRONMENT 7
2.2.1 The ever-changing nature of the external environment 7
2.2.2 The impact of external forces on the external environment 7
2.2.3 The overwhelming state of external variables 7
2.3 SUBDIVISIONS OF THE EXTERNAL ENVIRONMENT 8
2.3.1 Technological environment 8
2.3.2 Economic environment 8
2.3.3 Social and cultural environment 8
2.3.4 Demographics 9
2.3.5 International environment 9
2.3.6 Legal/government environment 9
2.4 SWOT ANALYSIS OF THE EXTERNAL ENVIRONMENT 9
2.5 PREDICTING THE FUTURE OF THE EXTERNAL ENVIRONMENT 10
2.6 IDENTIFYING INFLUENTIAL EXTERNAL FORCES 10
2.7 PROACTIVE AND REACTIVE RESPONSE STRATEGIES 12
2.8 RISK ANALYSIS 13
CONCLUSION 13
REFERENCES 14
LEARNING UNIT 3: Customer analysis 16
3.1 INTRODUCTION 17
3.2 WHAT IS RELATIONSHIP MARKETING? 17
3.3 WHAT IS CUSTOMER RELATIONSHIP MANAGEMENT? 17
(iii) MNM3709/1/2020–2023
, 3.4 GUIDELINES FOR SUCCESSFUL RELATIONSHIP MARKETING AND CUSTOMER
RELATIONSHIP MANAGEMENT 18
3.4.1 Relationship marketing 18
3.4.2 Customer relationship management 18
3.5 GETTING TO KNOW CURRENT AND FUTURE CUSTOMERS 18
3.5.1 Information on existing customers 18
3.5.2 Information on future customers 19
3.6 UNDERSTANDING CUSTOMERS BETTER THROUGH A FOCUSED CUSTOMER
ANALYSIS PROCESS 19
3.7 CUSTOMER SEGMENTATION 20
3.7.1 What is customer segmentation? 20
3.7.2 The basis for customer segmentation 21
3.8 EVALUATING THE ATTRACTIVENESS OF A MARKET SEGMENT 21
3.9 PLANNING FOR BETTER RELATIONSHIPS 22
3.9.1 Activities to build customer loyalty and commitment 22
3.9.2 Activities required to conduct customer research to improve customer satisfaction 22
3.10 CUSTOMER MARKET INFORMATION AND KNOWLEDGE RESOURCES 22
3.10.1 Primary research 22
3.10.2 Qualitative and quantitative research 22
3.11 CUSTOMER VALUE-CREATION PROCESS 23
3.11.1 Customer satisfaction as a necessary precursor of customer relationships 23
3.11.2 The individual customer approach 23
3.12 SETTING YOURSELF APART BY RENDERING SUPPORTING SERVICES 23
3.12.1 The customer relationship management process 24
3.13 CUSTOMER LOYALTY MANAGEMENT 24
3.13.1 The key aspect of CRM when establishing customer loyalty 24
3.13.2 Loyalty marketing strategies 24
3.13.3 The service encounter – the interaction between providers and customers 24
3.13.4 CRM goals and loyalty 25
3.13.5 Segmentation of customer loyalty 25
3.13.6 Potential benefits of customer loyalty 25
CONCLUSION 25
REFERENCES 27
LEARNING UNIT 4: Market analysis 29
4.1 INTRODUCTION 30
4.2 STEPS OF MARKET ANALYSIS 30
4.2.1 Define the relevant market 30
4.2.2 Analyse the primary demand 30
4.2.3 Analyse the selective demand within the relevant market 30
4.2.4 Define market segments 31
4.2.5 Identify potential target markets 31
4.3 DIMENSIONS OF MARKET ANALYSIS 31
4.3.1 Current and emerging submarkets 32
4.3.2 Actual market, potential market and submarket size 32
(iv)
