essentials of marketing
TRANSCRIPT
Marketing Plan Template
Consumers Competitors Company Collaborators
Positioning
ProductPricePlacePromotion
Step 1: Marketing Analysis 4C’s
Step 2: Positioning
Step 3: The Marketing Mix – The 4P’s
Positioning
● Target Segment● Point of Difference● Frame of Reference
● Who is buying your product and for what purpose?● Positioning may change over time.
○ Customer perceptions○ Customer wants○ Competition
Who am I going after?Why should they buy the product?Who am I stealing the business from?
Lifetime Value of Customer (LTVC)
●Why Customers are profitable over time?○Premium price○Referrals○ Increased purchases○Base profit
● Develop a buyer decision making model – which product , which seller ?
● Identify the rate limiting steps
The greatest danger to a company is the inability to retain customers
Profit Strategy Checklist
● Increase Unit Volume○ Increase primary demand (Develop new products, Target new segments)○ Manage brand Switching (keep customers loyal, Steal new customers from
competition)○ Increase purchases by current customers ( Increase usage rate, trade-ups and
complements selling.
● Increase prices○ Increase Value for the customer ( Higher benefits , lower transaction costs)○ Decrease price Sensitivity ( Communicate quality , target upscale segments)
● Decrease Costs○ Decrease Fixed costs ( less advt. expenses , R&D )○ Decrease Variable Costs ( Improve negotiations with
suppliers/resellers)
Branding
●Important to invest in brand●Go where you are strongest.●Regularly measure and manage brand
value●Have the brand value on your balance
sheet.
Relationship with CustomersWhere does network Solutions want to be ?
Intense
Superficial
Functional/Objective Symbolic/Emotional
● Master/Slave
● Best Friends
● WorkMates ● Drinking Buddies
● Committed
Partnerships
Effect of Transgressions on Brand Personality
● Expectations are higher for Sincere brands.● In the absence of transgressions Sincere brands have Higher Trust over
time.● Post recovery of Trust and Expectations after transgression is higher for
Exciting brands.What should companies do ?
● Repair identified deficiencies● Balance introduction vs. growth vs.
maintenance● Develop committed partnerships vs casual
friendships
Brands Communities
● Emergence of brand communities○ Specialized non-geographic bound community based on a set
of social relationships among admirers of a brand● Customer to customer communities
○ Customers are brand missionaries○ Customer communities are more forgiving of transgressions
● Risks of brand Communities○ Communities may not like company decisions○ Marketers have no control over community○ Competitors can snoop on communities.○ Nurturing brand communities is time consuming
Customer Analysis
● Conjoint analysis● Cluster analysis.( Attributes , Attribute levels, Part-
worth's )
● Define segments● Approaches to segments● Margins , size and ability to reach markets● Comparative advantages
Channel Strategies
●Trends:○Emergence of new channels
■ Cars sold on the internet○Wholesalers changing roles
■ Do a variety of other functions like sales etc.○Consolidating from regional to national.
■ Globalization
3 changes to implement
●Positioning of product for both the company and competitors.
●Change pricing and promotion strategy.●Critical incident management.