MANAGING A HOLISTIC MARKETING ORGANIZATION FOR THELONG RUN. | CHAPTER23 703 TABLE 23.9 Cedar Poor Good Excellont Product arven Market riven Market diving ‘Mass-market oriented Sogment-orented Niche oriented and customer-oiented Product oer ‘Augmented product offer Customer solutions offer ‘Average product quay Better than average Legendary ‘Average service quality Bottr than average Legendary End-produc oriented Core: product oriented (Core-competency oianted Function oriented Process oriented Outcome oriented Reacting to competitors Benchmarking compettors Leaptrogging competitors Supoler exploitation ‘Supplier preference Supplier parnerstip Dealer expotation Dealer support Dealer partnership Price arven Quality driven Value driven ‘Average speed Better than average Legendary Hierarchy Network Teamwork Vertically integrated Hattoned organization Strategie alianoos Stockholder driven ‘Stakeholder driven Societally driven marketing memo ACCC mT ry ‘A pumber of “doa sin signal thatthe marking program sn trovbl, Hore ae 10 day sins, the sigs, and some solitons. Deadly Sin #1: The company is not sufficiently market focused and customer driven. ‘Signs: Tare s evidence of poor detcaton of markt sagmants, por proizaton of market segmants, no markt sgment managers, employees who thnk itis the joo of marketing and sls to serve customers, no ain program to create a custome cure, anda incentives to Vette customer especialy Wel Solytons: Use mare avanced segmentation techniques, prize segments, specialize the sas force, develop a ler hirarcty of company value, fos- ter more “customer consciousness" in employees and comgany agents and make it easy for customers t each the company and respond qucky to ary commuriaton, Deadly Sin #2: The company does not fully understand its target customers. ‘Signs: Tho tat sty of customarss toe years of; customers are not buying your product they once dt competitors products ar sling bet; and theres a hgh lve of customer retums and complaints Salutons: Do more sonicated consumer research, uve more anelyical echniques, estab customer and dealer panes use customer rlabonsipsot- ware, and do dala mining. Deadly Sin #3: The company needs to better define and monitor its competitors. ‘Signs: The company focuses on near competors, misses dstant competitors and disruptive technologies, and has na sytem for gatheting and dsributing compete inleligance. Solytons: Establish an ofce for compat inligenc, hire compet’ paoplo, watch fo tochology that might atfect tho company, and prepare orgs Ike those of compat, (Continued)704 PARTS | CONDUCTING MARKETING RESPONSIBLY FOR LONG-TERM SUCCESS Deadly Sin #4: The company does not properly manage relationships with stakeholders. ‘Signs: Employes, dealers, nd iestrs ae not happy and good suoplirs donot come, ‘Solon: Move om zeo-sum finking to postive sum finn, and doa beter job of managing emplyees, surplerretaon, esrb, doles, and mesos Deadly Sin #5: The company is not good at finding new opportunities. ‘Signs: The comoary has nl deified any exciting new opportunites or yeas, andthe new ideas the company has aunched have lagey fated ‘Solutions: Set wo a system or simulatg the Now of naw ideas Deadly Sin #6: The company's markating planning process Is deficient. ‘Signs: The martin plan format doesnot hae the right components, ther is no way to estimate the Mania implcaions of ciorent sates, and there is mo contingancy planing Salons: Esabish a standard format inclang stuatonal anal, SWOT, major sues, jects, state, acts, budpels, and cont; ask marae wha changes hey woud maki they mee gen 20 percent moe oss budget ant an annual marketing aad program wih prizes fr best plans and perfomance Deadly Sin #7: Product and service policies need tightening. ‘Signs: There ae too many products and many ae lasing money; th coma i ying avay too many serves; and the company is poor at crss-sling prodvets and sarin, ‘Solutons: Establish a sytem to tack weak products and fico cop ther afer and price services a leant ees; and improve processes fo cress sling nd useing. Deadly Sin #8: The company's brand-building and communications skills are weak. ‘Signs: The target mare doesnot know much about te company the brand snot een as stint the comoanyalcaes its budget to the same markt ing tos in about the same proparton each year and here te evaluation ofthe RO inact of markating communications and actos Solutions: inrovebrand-buking stalgis and measurement of esl; sil money in eflectve marketing insumens; and require marketers lo estimate tha ROL impact nanos of funding requests Deadly Sin #9: The company is not organized for effective and efficient marketing. Slo: Staff lacks 2st century markting sis and there ee bad vibes batwsen marketngisals and other departments. Soluons: Appoint tong leader and bul new sli in the marketing department, and imoroe elatonships between marketing and other departments. Deadly Sin #10: The company has not made maximum use of technology. ‘Signs: Thre is eidence of minimal use ofthe Inlet, an outdatad sles automaton system, no mark automation, no decision-support models, and no marketing deshooars Soluons: Use te neat more, grove the sles automaton system, apply makel automaton to routine decisions, and desig formal makeing desison ‘modo and marketing dashocads ‘Soure: i Kal, Tn Deal Matting Sis Sign and Soon ban, WW 2004 © Pin Kai “To accomplish these changes and become truly holistic, marketers need a new set of skills and competencies in: + Customer relationship management (CRM) + Partner relationship management (PRM) + Database marketing and data mining Contact center management and telemarketing Digital marketing and social media Public relations marketing (including event and sponsorship marketing) Brand: building and brand-astet mangement Experiential marketing + Integrated marketing communications + Profitability analysis by segment, customer, and channel ‘The benefits of successful 21st-century marketing are many, but they will come only with hard work, insight, and inspiration, New rules and practices are emerging, and i isan exciting time. The words of 19th-century US. author Ralph Waldo Emerson have perhaps never been more true: “This time like allies is a good one, ifwe but know what to do with it”