Professional Documents
Culture Documents
Part 1: Designing Customer-Oriented Marketing Strategies
Part 1: Designing Customer-Oriented Marketing Strategies
Copyright 2006 by South-Western, a division of Thomson Learning, Inc. All rights reserved.
Chapter 2
Strategic Planning and the Marketing Process
Copyright 2006 by South-Western, a division of Thomson Learning, Inc. All rights reserved.
Chapter Objectives
1. Distinguish between strategic planning and tactical planning. 2. Explain how marketing plans differ at various levels in an organization. 3. Identify the steps in the marketing planning process. 4. Describe successful planning tools and techniques, including Porters Five Forces model, first and second mover strategies, SWOT analysis, and the strategic window. 5. Identify the basic elements of a marketing strategy. 6. Describe the environmental characteristics that influence strategy decisions. 7. Describe the methods for marketing planning, including business portfolio analysis and the BCG matrix.
Copyright 2006 by South-Western, a division of Thomson Learning, Inc. All rights reserved.
2-3
Copyright 2006 by South-Western, a division of Thomson Learning, Inc. All rights reserved.
2-4
Copyright 2006 by South-Western, a division of Thomson Learning, Inc. All rights reserved.
2-5
Strategic Planning versus Tactical Planning Top management Greater proportions of their time engaged in planning Usually focus their planning activities on long-range strategic issues Middle level managers Focus on operational planning; creating and implementing tactical plans Supervisors Developing the specific programs to meet goals in their areas of responsibility
Copyright 2006 by South-Western, a division of Thomson Learning, Inc. All rights reserved.
2-6
Copyright 2006 by South-Western, a division of Thomson Learning, Inc. All rights reserved.
2-7
Defining the Mission of the Organization Mission: the essential purpose that differentiates one company from others The mission statement specifies the organizations overall goals and operational scope and provides general guidelines for future management actions
Copyright 2006 by South-Western, a division of Thomson Learning, Inc. All rights reserved.
2-8
Determine Organizational Objectives An organization lays out its basic objectives, or goals, in its mission statement These objectives in turn guide development of supporting marketing objectives and plans Well-developed objectives should state specific, quantitative intentions along with deadlines for achieving them
Copyright 2006 by South-Western, a division of Thomson Learning, Inc. All rights reserved.
2-9
Assessing Organizational Resources and Evaluating Environmental Risks and Opportunities This step involves a back-and-forth assessment of strengths, risks, and available opportunities.
Copyright 2006 by South-Western, a division of Thomson Learning, Inc. All rights reserved.
2-10
Formulating, Implementing, and Monitoring a Marketing Strategy Marketing strategy: a firms overall program for selecting and satisfying a target market A marketing strategy is aimed at satisfying consumers in the selected target market through a careful balance of the elements of the marketing mix each of which represents a subset of the overall marketing strategy
Copyright 2006 by South-Western, a division of Thomson Learning, Inc. All rights reserved.
2-11
Copyright 2006 by South-Western, a division of Thomson Learning, Inc. All rights reserved.
2-12
2-13
First Mover and Second Mover Strategies First mover strategy: Theory advocating that the company that is first to offer a product in a marketplace will be the longterm market winner.
Second mover strategy: Theory that advocates observing closely the innovations of first movers and then introducing new products that improve on the original offering to gain advantage in the marketplace.
Copyright 2006 by South-Western, a division of Thomson Learning, Inc. All rights reserved.
2-14
SWOT is an acronym for strengths, weaknesses, opportunities, and threats A SWOT analysis is a method of studying organizational resources and capabilities to assess the firms strengths and weaknesses and scanning its environment to identify opportunities and threats
Copyright 2006 by South-Western, a division of Thomson Learning, Inc. All rights reserved.
2-15
SWOT Analysis
Copyright 2006 by South-Western, a division of Thomson Learning, Inc. All rights reserved.
2-16
The Strategic Window A limited period with an optimal fit between the key requirements of a market and the particular competencies of a firm
Copyright 2006 by South-Western, a division of Thomson Learning, Inc. All rights reserved.
2-17
Copyright 2006 by South-Western, a division of Thomson Learning, Inc. All rights reserved.
2-18
Target Market Group of people toward whom the firm decides to direct its marketing efforts
Copyright 2006 by South-Western, a division of Thomson Learning, Inc. All rights reserved.
2-19
Marketing Mix Variables Product Strategy What goods or services to offer Customer service Package design Brand names Trademarks Warranties Product Life Cycle Positioning New-product development
Copyright 2006 by South-Western, a division of Thomson Learning, Inc. All rights reserved.
2-20
Marketing Mix Variables Distribution Strategy Planning that ensures that consumers find their products in the proper quantities at the right times and places. Modes of transportation Warehousing Inventory control Order processing Marketing channels
Copyright 2006 by South-Western, a division of Thomson Learning, Inc. All rights reserved.
2-21
Marketing Mix Variables Promotional Strategy Blending together the various elements of promotion to communicate most effectively with the target market Informing, persuading, and influencing a consumers purchase decision. IMC
Copyright 2006 by South-Western, a division of Thomson Learning, Inc. All rights reserved.
2-22
Marketing Mix Variables Pricing Strategy Deals with the methods of setting profitable and justifiable prices
Copyright 2006 by South-Western, a division of Thomson Learning, Inc. All rights reserved.
2-23
The Marketing Environment Competitive Political Legal Economic Technological Social Cultural Rule of three
Copyright 2006 by South-Western, a division of Thomson Learning, Inc. All rights reserved.
2-24
Copyright 2006 by South-Western, a division of Thomson Learning, Inc. All rights reserved.
2-25
The BCG Matrix Market Share/ Market Growth Matrix: a marketing planning tool that classifies a firms SBUs or products according to industry growth rates and market shares relative to competing products Stars Cash Cows Dogs Question Marks
Copyright 2006 by South-Western, a division of Thomson Learning, Inc. All rights reserved.
2-26
Copyright 2006 by South-Western, a division of Thomson Learning, Inc. All rights reserved.
2-27