MARKETING
MANAGEMENT 3 – IMM
GRADUATE SCHOOL
K MELVILLE
,Table of Contents
UNIT 1: OVERVIEW OF STRATEGIC MARKETING..................................................................................... 11
Glossary ........................................................................................................................................... 11
Introduction: The Importance of Strategy ...................................................................................... 13
What is meant by strategy?............................................................................................................. 13
Strategy Plan................................................................................................................................................................................................ 13
Strategy Ploy ................................................................................................................................................................................................ 14
Strategy Pattern.......................................................................................................................................................................................... 14
Strategy (as a) Position ........................................................................................................................................................................... 14
Strategy (as a) Perspective..................................................................................................................................................................... 15
Strategy Levels in Organisations ..................................................................................................... 15
Corporate Strategy..................................................................................................................................................................................... 15
Business Strategy ...................................................................................................................................................................................... 16
Functional Strategy ................................................................................................................................................................................... 16
The Nature of Strategic Marketing .................................................................................................. 17
Task 1: Giving Strategic Direction......................................................................................................................................................... 17
Task 2: Deciding on the Market Scope ............................................................................................................................................... 17
Task 3: Designing the Market Offering...............................................................................................................................................18
Task 4: Evaluating and Controlling the Performance ...................................................................................................................18
Strategic Marketing and Marketing Management .......................................................................... 19
Differences between Strategic Marketing and Marketing Management ............................................................................ 20
Emergent Strategic Perspectives (2015 – 2025) .............................................................................. 20
Strategic agility and adaptability in strategy ................................................................................................................................ 20
Digital Transformation as a Core Strategic Driver........................................................................... 22
Stakeholder Capitalism and Purpose-driven Strategy .................................................................................................................23
Business Ecosystems and Platform Strategies.............................................................................................................................. 25
Sustainability and ESG Integration in Strategy ............................................................................... 27
Conclusion ....................................................................................................................................... 29
UNIT 2: EXTERNAL (MACRO) BUSINESS ENVIRONMENT ....................................................................... 30
Glossary ........................................................................................................................................... 30
Introduction .................................................................................................................................... 31
Introduction:............................................................................................................................................................................................... 31
The Importance of Environmental Analysis .................................................................................... 32
Characteristics of the macro external environment ....................................................................................................................33
Tools for Environmental Analysis.................................................................................................... 33
PESTLE analysis ...........................................................................................................................................................................................33
Other Analytical Approaches: Trend Analysis and Scenario Planning ...................................................................................33
Components of the External Macroenvironment ............................................................................ 34
Political Environment .............................................................................................................................................................................. 35
Environmental (ecological) Environment......................................................................................................................................... 35
The Additional ‘E’ in PESTLE + E Framework: Ethics and ESG in External Analysis ........................................................... 37
1
, Current Macroenvironmental Trends (Global and Africa) ............................................................... 38
Geopolitical realignment and trade conflicts.................................................................................. 39
Economic instability and cost-of-living pressures .......................................................................... 39
Urbanisation and infrastructure pressure ...................................................................................... 39
Demographic shifts and youthful markets ..................................................................................... 39
Green transformation and climate stress ....................................................................................... 39
Digital acceleration and data governance ....................................................................................... 39
Consumer shifts toward ethical and purpose-driven brands.......................................................... 39
Identifying Influential External Forces ........................................................................................... 40
Responding to the External Environment ....................................................................................... 41
Conclusion ....................................................................................................................................... 42
UNIT 3: COMPETITOR ANALYSIS............................................................................................................ 43
Glossary ........................................................................................................................................... 43
Introduction to Competitor Analysis............................................................................................... 50
Introduction to competitor analysis: ............................................................................................................................................ 50
Purpose of competitor analysis............................................................................................................................................................ 51
Link to Environmental and Customer Analysis ............................................................................... 52
Key questions competitor analysis helps answer ........................................................................................................................ 52
Proactive versus reactive competitive behaviour ........................................................................................................................ 52
Identifying Competitors .................................................................................................................. 53
Defining industry boundaries: narrow versus broad perspectives......................................................................................... 53
The evolution towards business ecosystems and blurring boundaries ............................................................................... 53
Types of Competitors ............................................................................................................................................................................... 54
Competitor Profiling ........................................................................................................................ 55
Gather intelligence ................................................................................................................................................................................... 55
Ethical considerations in intelligence gathering ......................................................................................................................... 56
Transparency versus deception....................................................................................................... 56
Adhering to legal guidelines ........................................................................................................... 56
Respect for privacy .......................................................................................................................... 56
Fair competition .............................................................................................................................. 56
Voluntary participation and informed consent ............................................................................... 56
Anonymity and confidentiality ........................................................................................................ 57
Ethical Principles in CI ............................................................................................................................................................................. 57
Understanding Competitor Objectives, Strategies and Capabilities ............................................... 58
Competitor Objectives ............................................................................................................................................................................. 58
Competitor Strategies ............................................................................................................................................................................. 58
Competitor Capabilities .......................................................................................................................................................................... 58
Key Dimensions for Profiling ................................................................................................................................................................ 58
2
, Market share ................................................................................................................................... 59
Profitability...................................................................................................................................... 59
Resources ........................................................................................................................................ 59
Product lines ................................................................................................................................... 59
Brand strength ................................................................................................................................ 59
Competitor Analysis Models ........................................................................................................... 60
Porter’s Five Forces: Analysing Industry Structure....................................................................................................................... 60
A Representative Weighted Competitive Strength Assessment ............................................................................................. 61
Competitive Intelligence Online Tools ............................................................................................................................................... 61
Blue Ocean Strategy: Identifying Uncontested Market Space ........................................................ 62
SWOT Analysis (Competitor Focus): Assessing strengths, weaknesses and strategic intent ..................................... 63
Organisational Strategy and Competitive Intelligence Practices ................................................... 63
Role in Segmentation, Targeting and Positioning (STP) ............................................................................................................ 64
Impact on Pricing Strategy .............................................................................................................. 67
Impact on Communication Strategy................................................................................................ 68
Impact on Product Strategy ............................................................................................................ 69
Contemporary Trends and Technologies in Competitor Analysis ................................................... 70
Use AI and data analytics in monitoring competitor moves ................................................................................................... 70
Ethical and Legal Concerns around Data Use .................................................................................. 72
Competitor Decision-making pitfalls.................................................................................................................................................. 74
Conclusion ....................................................................................................................................... 74
UNIT 4: CUSTOMER ANALYSIS .............................................................................................................. 76
Glossary ........................................................................................................................................... 76
Introduction .................................................................................................................................... 77
Defining Customer Analysis ................................................................................................................................................................... 77
The Strategic Importance and Benefits of Customer Analysis for Business Success ..................... 78
Understanding Current Customers ................................................................................................. 80
Understanding Future Customers....................................................................................................................................................... 80
Understanding Customers better through a Focused Customer Analysis Process ........................ 81
Sources of Customer Information ................................................................................................... 83
Secondary data sources .......................................................................................................................................................................... 83
Internal and External Data Sources................................................................................................. 84
Internal Data Sources .............................................................................................................................................................................. 84
External Data Sources ............................................................................................................................................................................. 85
Primary Data Sources ...................................................................................................................... 85
Customer Analysis in the African context: real-world applications and nuances .......................... 86
Key trends and market dynamics in Africa ..................................................................................................................................... 86
Mobile-first economy ...................................................................................................................... 86
3
MANAGEMENT 3 – IMM
GRADUATE SCHOOL
K MELVILLE
,Table of Contents
UNIT 1: OVERVIEW OF STRATEGIC MARKETING..................................................................................... 11
Glossary ........................................................................................................................................... 11
Introduction: The Importance of Strategy ...................................................................................... 13
What is meant by strategy?............................................................................................................. 13
Strategy Plan................................................................................................................................................................................................ 13
Strategy Ploy ................................................................................................................................................................................................ 14
Strategy Pattern.......................................................................................................................................................................................... 14
Strategy (as a) Position ........................................................................................................................................................................... 14
Strategy (as a) Perspective..................................................................................................................................................................... 15
Strategy Levels in Organisations ..................................................................................................... 15
Corporate Strategy..................................................................................................................................................................................... 15
Business Strategy ...................................................................................................................................................................................... 16
Functional Strategy ................................................................................................................................................................................... 16
The Nature of Strategic Marketing .................................................................................................. 17
Task 1: Giving Strategic Direction......................................................................................................................................................... 17
Task 2: Deciding on the Market Scope ............................................................................................................................................... 17
Task 3: Designing the Market Offering...............................................................................................................................................18
Task 4: Evaluating and Controlling the Performance ...................................................................................................................18
Strategic Marketing and Marketing Management .......................................................................... 19
Differences between Strategic Marketing and Marketing Management ............................................................................ 20
Emergent Strategic Perspectives (2015 – 2025) .............................................................................. 20
Strategic agility and adaptability in strategy ................................................................................................................................ 20
Digital Transformation as a Core Strategic Driver........................................................................... 22
Stakeholder Capitalism and Purpose-driven Strategy .................................................................................................................23
Business Ecosystems and Platform Strategies.............................................................................................................................. 25
Sustainability and ESG Integration in Strategy ............................................................................... 27
Conclusion ....................................................................................................................................... 29
UNIT 2: EXTERNAL (MACRO) BUSINESS ENVIRONMENT ....................................................................... 30
Glossary ........................................................................................................................................... 30
Introduction .................................................................................................................................... 31
Introduction:............................................................................................................................................................................................... 31
The Importance of Environmental Analysis .................................................................................... 32
Characteristics of the macro external environment ....................................................................................................................33
Tools for Environmental Analysis.................................................................................................... 33
PESTLE analysis ...........................................................................................................................................................................................33
Other Analytical Approaches: Trend Analysis and Scenario Planning ...................................................................................33
Components of the External Macroenvironment ............................................................................ 34
Political Environment .............................................................................................................................................................................. 35
Environmental (ecological) Environment......................................................................................................................................... 35
The Additional ‘E’ in PESTLE + E Framework: Ethics and ESG in External Analysis ........................................................... 37
1
, Current Macroenvironmental Trends (Global and Africa) ............................................................... 38
Geopolitical realignment and trade conflicts.................................................................................. 39
Economic instability and cost-of-living pressures .......................................................................... 39
Urbanisation and infrastructure pressure ...................................................................................... 39
Demographic shifts and youthful markets ..................................................................................... 39
Green transformation and climate stress ....................................................................................... 39
Digital acceleration and data governance ....................................................................................... 39
Consumer shifts toward ethical and purpose-driven brands.......................................................... 39
Identifying Influential External Forces ........................................................................................... 40
Responding to the External Environment ....................................................................................... 41
Conclusion ....................................................................................................................................... 42
UNIT 3: COMPETITOR ANALYSIS............................................................................................................ 43
Glossary ........................................................................................................................................... 43
Introduction to Competitor Analysis............................................................................................... 50
Introduction to competitor analysis: ............................................................................................................................................ 50
Purpose of competitor analysis............................................................................................................................................................ 51
Link to Environmental and Customer Analysis ............................................................................... 52
Key questions competitor analysis helps answer ........................................................................................................................ 52
Proactive versus reactive competitive behaviour ........................................................................................................................ 52
Identifying Competitors .................................................................................................................. 53
Defining industry boundaries: narrow versus broad perspectives......................................................................................... 53
The evolution towards business ecosystems and blurring boundaries ............................................................................... 53
Types of Competitors ............................................................................................................................................................................... 54
Competitor Profiling ........................................................................................................................ 55
Gather intelligence ................................................................................................................................................................................... 55
Ethical considerations in intelligence gathering ......................................................................................................................... 56
Transparency versus deception....................................................................................................... 56
Adhering to legal guidelines ........................................................................................................... 56
Respect for privacy .......................................................................................................................... 56
Fair competition .............................................................................................................................. 56
Voluntary participation and informed consent ............................................................................... 56
Anonymity and confidentiality ........................................................................................................ 57
Ethical Principles in CI ............................................................................................................................................................................. 57
Understanding Competitor Objectives, Strategies and Capabilities ............................................... 58
Competitor Objectives ............................................................................................................................................................................. 58
Competitor Strategies ............................................................................................................................................................................. 58
Competitor Capabilities .......................................................................................................................................................................... 58
Key Dimensions for Profiling ................................................................................................................................................................ 58
2
, Market share ................................................................................................................................... 59
Profitability...................................................................................................................................... 59
Resources ........................................................................................................................................ 59
Product lines ................................................................................................................................... 59
Brand strength ................................................................................................................................ 59
Competitor Analysis Models ........................................................................................................... 60
Porter’s Five Forces: Analysing Industry Structure....................................................................................................................... 60
A Representative Weighted Competitive Strength Assessment ............................................................................................. 61
Competitive Intelligence Online Tools ............................................................................................................................................... 61
Blue Ocean Strategy: Identifying Uncontested Market Space ........................................................ 62
SWOT Analysis (Competitor Focus): Assessing strengths, weaknesses and strategic intent ..................................... 63
Organisational Strategy and Competitive Intelligence Practices ................................................... 63
Role in Segmentation, Targeting and Positioning (STP) ............................................................................................................ 64
Impact on Pricing Strategy .............................................................................................................. 67
Impact on Communication Strategy................................................................................................ 68
Impact on Product Strategy ............................................................................................................ 69
Contemporary Trends and Technologies in Competitor Analysis ................................................... 70
Use AI and data analytics in monitoring competitor moves ................................................................................................... 70
Ethical and Legal Concerns around Data Use .................................................................................. 72
Competitor Decision-making pitfalls.................................................................................................................................................. 74
Conclusion ....................................................................................................................................... 74
UNIT 4: CUSTOMER ANALYSIS .............................................................................................................. 76
Glossary ........................................................................................................................................... 76
Introduction .................................................................................................................................... 77
Defining Customer Analysis ................................................................................................................................................................... 77
The Strategic Importance and Benefits of Customer Analysis for Business Success ..................... 78
Understanding Current Customers ................................................................................................. 80
Understanding Future Customers....................................................................................................................................................... 80
Understanding Customers better through a Focused Customer Analysis Process ........................ 81
Sources of Customer Information ................................................................................................... 83
Secondary data sources .......................................................................................................................................................................... 83
Internal and External Data Sources................................................................................................. 84
Internal Data Sources .............................................................................................................................................................................. 84
External Data Sources ............................................................................................................................................................................. 85
Primary Data Sources ...................................................................................................................... 85
Customer Analysis in the African context: real-world applications and nuances .......................... 86
Key trends and market dynamics in Africa ..................................................................................................................................... 86
Mobile-first economy ...................................................................................................................... 86
3
