Marketing Strategy Planning PDF

Marketing Strategy Planning 2 1 2 The Walt Disney Company AB...

Marketing Strategy Planning 2 1 2 The Walt Disney Company ABC, plus 10 other TV stations, 72 radio stations, 13 international channels 19 Cable networks (AE, ESPN, History); TV production companies, movie companies, distribution company (Miramax, Walt Disney Pics); 5 publishing groups; 5 music labels 19 internet groups (NFL, NBA, ESPN, NASCAR); Disney interactive Disney consumer products – cookies, cereal, toys, clothes, books, games, home furnishing. 550 Disney store Disney has acquired dozens of companies over the past 3 two decades. 4 3 4  Outline What is marketing strategy? Become familiar with some of the most popular A campaign to win in a competitive situation, taking marketing strategic frameworks. into account own resources, the competition’s resources and the nature of the market to obtain a Recognize the significance of SWOT analysis. sustainable competitive advantage. Familiar with Product-Market Expansion Grid. It means deliberately choosing a different set of activities to deliver a unique mix of value to the target market. 5 6 5 6 Strategy is the creation of a unique and valuable position, Two components of marketing strategy involving a different set of activities. – Target market selection (STP) – Selection of marketing mix variables Target market: Group of people toward whom the firm decides Serving few needs of many customers. to direct its marketing Serving broad needs of few customers efforts. The Serving broad needs of many customers in a narrow market. marketing mix The Marketing Mix TARGET Strategy requires you to make trade-offs in MARKET competing—to choose what not to do. 7 8 7 8  Product-Oriented and Marketing-Oriented A Marketing Strategy Managers TARGET MARKET Product-oriented manager sees everyone Marketing-oriented manager sees as basically similar and practices “mass everyone as different and practices marketing” “target marketing” 9 10 9 10 The Product Element of the Marketing Mix Distribution Channels for Consumer Products Manufacturer or producer Geico Toyota Sara Lee Nestle´ Wholesaler Wholesaler Wholesaler Retailer Retailer Retailer 11 Consumer 12 11 12  The Promotion Element of the Marketing Mix The Price Element of the Marketing Mix Personal Mass Pricing Price Selling Selling Objectives Flexibility Telling and Selling the Customer Price Price over Competition the Life Setting Cycle Sales Geographic Discounts Promotion and Pricing Terms Allowances 13 14 13 14 All Four Ps Contribute to the Whole Elements of a Firm’s Marketing Program To whom What resources: budget plan Product Target Benchmark and Expected results Market Control: who, timeline, contingent plan = Marketing Feasibility: P&L analysis Place Selection + Strategy of Target Marketing Marketing Market Mix + = Plan Promotion Time- A Firm’s Related + = Marketing Details Program Other Price Marketing Plans Understanding the Target Market Leads to Good Strategies! 15 16 15 16  Customer Lifetime Value Customer Lifetime Value Relationships That Develop + Who purchase = Lifetime value Satisfied more over time of customers Customers Customer Lifetime Value (CLV): the value of the entire stream of purchases a consumer would make over his/her lifetime. CLV=-AC+ M+ M*R+M*R*R+…= M*[R/(1-R)]-AC CLV=250*[0.6/(1-0.6)]-125=250 17 18 17 18 Overview of Marketing Strategy Planning Process SWOT: Strengths and Weaknesses Understand identity in marketplace External Market Environment Customers – Is the company Innovative or conservative? Segmentation S. Offensive or defensive? and Targeting W. Leaders, followers, quick followers, also-rans, or Company TARGET O. MARKET barely-in-the-games? Differentiation T. and Positioning – Companies may behave differently in different industries Competitors – Company approach may vary with product lifecycle 19 20 19 20  SWOT: Opportunities and Threats SWOT Examples Consider opportunities and threats in SWOT analysis marketplace e.g., New competitors, economy declines, changes in https://www.bplans.com/business-planning/how-to-write/marketing- regulations, etc. sales/swot-analysis/ https://upmetrics.co/blog/5-top-brands-swot-analysis-examples 21 22 21 22 Porter’s Strategies Product-Market Expansion Grid Companies can dominate in 1 of 3 ways Present products New products – Cost leadership Produce more efficiently than competition Present Market Product markets penetration development – Differentiation Distinguish one’s products as unique New Market Diversification – Focused markets development Do one thing very well – Niche markets 23 24 23 24  Market Penetration Market Penetration 25 26 Product Development Market Development Apple Company's products iPhone and Wearables, Macbook Air, Macbook Pro, iMac, Mac Mini, Custom Mac; iPad iPod Pro, iPad Air, iPad Mini and iPad, also Apple Airpods, Watch, TV also all accessories. 27 28 27 28  Diversification Product-Market Expansion Grid Present products New products Present Market Product markets penetration development New Market Diversification markets development 29 30 29 30 Mini-case: From Artistic Roots, Blu Managerial Recap Dot Styles Marketing Strategy Become familiar with some of the most popular strategic frameworks. Recognize the significance of SWOT analysis. Familiar with Product-Market Expansion Grid 31 31 32  Mini-case: From Artistic Roots, Blu Dot Styles Marketing Strategy 33 33 34 Mini-case: From Artistic Roots, Blu Dot Styles Marketing Strategy 1. What would a SWOT analysis of Blue Dot reveal to a marketing professional? 2. What are Blue Dot’s strategic goals? 3. Is Blue Dot’s strategy one of cost leadership, differentiation, or focus? Explain your answer. 35