Marketing Strategy Literature
Literature Marketing Strategy exam 22/10
Palmatier & Shridhar chapter:
1, 2 (EXCEPT FOR: p. 46, 48-49, 58-59 Discriminant analysis), 3 (EXCEPT FOR: p. 90-92), 4, 5 (ONLY:
p. 162-164), 6, 7 (EXCEPT FOR:214-215)
Tutorial 2: Segmentation, Targeting, Positioning & Customer Heterogeneity
• Anderson, J.C., Narus, J., & Rossum, van R. (2006), "Customer Value Propositions in
Business Markets," Harvard Business Review, 84(3), 90-99.
• Yankelovich, D., & Meer, D. (2006). “Rediscovering Market Segmentation,” Harvard
Business Review, 84(2), 122-131
Tutorial 3: Customer Management
• Haenlein, M. (2017), “How to Date Your Clients in the 21st Century: Challenges in
Managing Customer Relationships in Today's World,” Business Horizons, 60(5),
577-586.
• Zeithaml, V.A., R.T. Rust & K.N. Lemon (2001), “The Customer Pyramid: Creating and
Serving Profitable Customers,” California Management Review, 43(4), 117-142.
Case:
Mason, C.H. (2003), “Tuscan Lifestyles: Assessing Customer Lifetime
Value,” Journal of Interactive Marketing, 17(4), 54-60.
Fader, P.S., B.G.S. Hardie & K. Jerath (2007), “Estimating CLV using
aggregated data: The Tuscan Lifestyles case revisited,” Journal of
Interactive Marketing, 21(3), 55-71
Tutorial 4: Sustaining Competitive Advantage: Price and Promotion
• Felix, R., Rauschnabel, P. A., & Hinsch, C. (2017), “Elements of strategic social media
marketing: A holistic framework,” Journal of Business Research, 70,
118-126.
• Tafesse, W., & Kitchen, P. J. (2017), “IMC–an integrative review,” International Journal of
Advertising, 36(2), 210-226.
• Bertini, M. & L. Wathieu (2010), “How to Stop Customers from Fixating on Price,”
Harvard Business Review, 88(5), 84-91.
Tutorial 5: Sustaining Competitive Advantage: Product & Place
• Brynjolfsson, E., Y.J. Hu & M.S. Rahman (2013), “Competing in the Age of Omnichannel
Retailing,” MIT Sloan Management Review, 54(4), 1-7.
• Kerin, R.A, P.R. Varadarajan & R.A. Peterson (1992), “First-Mover Advantage: A
Synthesis, Conceptual Framework, and Research Propositions,” Journal of Marketing,
56(4), 33-52.
• Lee, Z. W., Chan, T. K., Chong, A. Y. L., & Thadani, D. R. (2019), “Customer Engagement
Through Omnichannel Retailing: The Effects of Channel Integration Quality,” Industrial
Marketing Management, 77, 90-101
Tutorial 6: Critical Perspectives on Competitive Advantage
• McGrath, R. G. (2013), “Transient Advantage,” Harvard Business Review, 91(6),
Page 31 of 47 62-70.
• Lafley, A. G., & Martin, R. L. (2017), “Customer Loyalty is Overrated,” Harvard Business
Review, 95(1), 47-54.
All customers differ -> managing customer heterogeneity
,All customers change -> managing customer dynamics
All competitors react -> managing sustainable competitive advantage
All resources are limited -> managing resources trade-offs
,Marketing Strategy Chapter 1:
Marketing strategy: integrate new techniques into existing structures,
typically organizes around discrete chapters for each of the 4P’s of the
marketing mix (product, price, place and promotion).
Decisions and action focused on building a sustainable
differential advantage, relative to competitors, in the minds of
customers, to create stakeholders value
Marketing strategy most critical decisions must address the following first
principles. First principles: the fundamental concepts or assumptions on
which a theory system, or method is based
Marketing strategy most critical decisions must address the following first
principles: :
1. All customers differ -> managing customer heterogeneity
2. All customers change -> managing customer dynamics
3. All competitors react -> managing sustainable competitive
advantage
4. All resources are limited -> managing resources trade-offs
Each first principle or underlying assumption, when matches with its
associated marketing decision, is a Marketing Principle (MP)
Five key elements that have been identified as its conceptualizations:
1. Decisions and actions
2. Differential advantages over competitors
3. Sustainability
4. Ability to enhance firm performance
5. Customer perspective
Customers represent the fundamental unit of analysis for marketing
strategy, because each individual customer is an independent,
decision-making entity
The larger the company, the more likely the corporate level strategic plan
is distinct from any marketing strategy
How to define an entity marketing strategy:
- Who are your customers?
- What is the value for the customers?
- How are you building a differential advantage?
- What value do you earn from your customer?
- How will you sustain different advantage in the future?
, Corporate strategy: the
direction and scope of an
organization over the long term
Building powerful brand image or
strong relational bonds with
customers can have a strong
effect on average selling prices of
products
First principle #1 - All customers differ -> Managing customer
heterogeneity
= variation among customers in terms of their needs, desires and
behaviors, has been the death knell for many firms
How to manage customer heterogeneity?
1. Ignore customer heterogeneity offerings that help matching
customer needs
2. Offer a range of products to satisfy the needs of many different
segments
3. Embrace notion that customers will sacrifice desired products
attributes if the price is low enough
4. Select specific customer segment and target them by positioning its
offerings as the best solutions
Which approach/outputs to use:
- STP approach: segmentation (divide into groups), targeting
(focusing on one group) and positioning
Often combined with:
- Customer centric approach: recognizes the long-term value of its
core customer segment and puts it at the center of all manor
processes and decisions
Or:
- Positioning statement: 3 key questions in a single statement that
firms can use to direct their internal and external marketing mix
activities: who should the firm target? The needs and benefits are
being fulfilled? What are the relative advantages of this offering
versus competitive offerings?
Conclusion MP#1: process of converting customer, company, and
competitor (3Cs) input into a representation of the firm’s environment
through industry segmentation, target segments & positioning statement
Literature Marketing Strategy exam 22/10
Palmatier & Shridhar chapter:
1, 2 (EXCEPT FOR: p. 46, 48-49, 58-59 Discriminant analysis), 3 (EXCEPT FOR: p. 90-92), 4, 5 (ONLY:
p. 162-164), 6, 7 (EXCEPT FOR:214-215)
Tutorial 2: Segmentation, Targeting, Positioning & Customer Heterogeneity
• Anderson, J.C., Narus, J., & Rossum, van R. (2006), "Customer Value Propositions in
Business Markets," Harvard Business Review, 84(3), 90-99.
• Yankelovich, D., & Meer, D. (2006). “Rediscovering Market Segmentation,” Harvard
Business Review, 84(2), 122-131
Tutorial 3: Customer Management
• Haenlein, M. (2017), “How to Date Your Clients in the 21st Century: Challenges in
Managing Customer Relationships in Today's World,” Business Horizons, 60(5),
577-586.
• Zeithaml, V.A., R.T. Rust & K.N. Lemon (2001), “The Customer Pyramid: Creating and
Serving Profitable Customers,” California Management Review, 43(4), 117-142.
Case:
Mason, C.H. (2003), “Tuscan Lifestyles: Assessing Customer Lifetime
Value,” Journal of Interactive Marketing, 17(4), 54-60.
Fader, P.S., B.G.S. Hardie & K. Jerath (2007), “Estimating CLV using
aggregated data: The Tuscan Lifestyles case revisited,” Journal of
Interactive Marketing, 21(3), 55-71
Tutorial 4: Sustaining Competitive Advantage: Price and Promotion
• Felix, R., Rauschnabel, P. A., & Hinsch, C. (2017), “Elements of strategic social media
marketing: A holistic framework,” Journal of Business Research, 70,
118-126.
• Tafesse, W., & Kitchen, P. J. (2017), “IMC–an integrative review,” International Journal of
Advertising, 36(2), 210-226.
• Bertini, M. & L. Wathieu (2010), “How to Stop Customers from Fixating on Price,”
Harvard Business Review, 88(5), 84-91.
Tutorial 5: Sustaining Competitive Advantage: Product & Place
• Brynjolfsson, E., Y.J. Hu & M.S. Rahman (2013), “Competing in the Age of Omnichannel
Retailing,” MIT Sloan Management Review, 54(4), 1-7.
• Kerin, R.A, P.R. Varadarajan & R.A. Peterson (1992), “First-Mover Advantage: A
Synthesis, Conceptual Framework, and Research Propositions,” Journal of Marketing,
56(4), 33-52.
• Lee, Z. W., Chan, T. K., Chong, A. Y. L., & Thadani, D. R. (2019), “Customer Engagement
Through Omnichannel Retailing: The Effects of Channel Integration Quality,” Industrial
Marketing Management, 77, 90-101
Tutorial 6: Critical Perspectives on Competitive Advantage
• McGrath, R. G. (2013), “Transient Advantage,” Harvard Business Review, 91(6),
Page 31 of 47 62-70.
• Lafley, A. G., & Martin, R. L. (2017), “Customer Loyalty is Overrated,” Harvard Business
Review, 95(1), 47-54.
All customers differ -> managing customer heterogeneity
,All customers change -> managing customer dynamics
All competitors react -> managing sustainable competitive advantage
All resources are limited -> managing resources trade-offs
,Marketing Strategy Chapter 1:
Marketing strategy: integrate new techniques into existing structures,
typically organizes around discrete chapters for each of the 4P’s of the
marketing mix (product, price, place and promotion).
Decisions and action focused on building a sustainable
differential advantage, relative to competitors, in the minds of
customers, to create stakeholders value
Marketing strategy most critical decisions must address the following first
principles. First principles: the fundamental concepts or assumptions on
which a theory system, or method is based
Marketing strategy most critical decisions must address the following first
principles: :
1. All customers differ -> managing customer heterogeneity
2. All customers change -> managing customer dynamics
3. All competitors react -> managing sustainable competitive
advantage
4. All resources are limited -> managing resources trade-offs
Each first principle or underlying assumption, when matches with its
associated marketing decision, is a Marketing Principle (MP)
Five key elements that have been identified as its conceptualizations:
1. Decisions and actions
2. Differential advantages over competitors
3. Sustainability
4. Ability to enhance firm performance
5. Customer perspective
Customers represent the fundamental unit of analysis for marketing
strategy, because each individual customer is an independent,
decision-making entity
The larger the company, the more likely the corporate level strategic plan
is distinct from any marketing strategy
How to define an entity marketing strategy:
- Who are your customers?
- What is the value for the customers?
- How are you building a differential advantage?
- What value do you earn from your customer?
- How will you sustain different advantage in the future?
, Corporate strategy: the
direction and scope of an
organization over the long term
Building powerful brand image or
strong relational bonds with
customers can have a strong
effect on average selling prices of
products
First principle #1 - All customers differ -> Managing customer
heterogeneity
= variation among customers in terms of their needs, desires and
behaviors, has been the death knell for many firms
How to manage customer heterogeneity?
1. Ignore customer heterogeneity offerings that help matching
customer needs
2. Offer a range of products to satisfy the needs of many different
segments
3. Embrace notion that customers will sacrifice desired products
attributes if the price is low enough
4. Select specific customer segment and target them by positioning its
offerings as the best solutions
Which approach/outputs to use:
- STP approach: segmentation (divide into groups), targeting
(focusing on one group) and positioning
Often combined with:
- Customer centric approach: recognizes the long-term value of its
core customer segment and puts it at the center of all manor
processes and decisions
Or:
- Positioning statement: 3 key questions in a single statement that
firms can use to direct their internal and external marketing mix
activities: who should the firm target? The needs and benefits are
being fulfilled? What are the relative advantages of this offering
versus competitive offerings?
Conclusion MP#1: process of converting customer, company, and
competitor (3Cs) input into a representation of the firm’s environment
through industry segmentation, target segments & positioning statement
