MKTG-350 Entrepreneurial Marketing Lecture Deck 2 PDF

MKTG-350 , Entrepreneurial Marketing Lecture Deck 2 John Rodman September 5, 2024 Housekeeping Team assignments and pairs First case 9/19 Brad Neff – Rolling Thunder Power Washing Review his web site Be prepared with questions about his business and hi...

MKTG-350 , Entrepreneurial Marketing Lecture Deck 2 John Rodman September 5, 2024 Housekeeping Team assignments and pairs First case 9/19 Brad Neff – Rolling Thunder Power Washing Review his web site Be prepared with questions about his business and his marketing tactics to date Class interview on 9/19 Entrepreneurship in Real Life Working with your teammates, find an entrepreneur or small business that you can share details about Could be an interview with an entrepreneur Tied to class terms and concepts Starting 11/14 Traditional versus Entrepreneurial Marketing Traditional Marketing Entrepreneurial Marketing A reactive stance with Attempts to influence or respect to the external redefine aspects of the Market external environment Marketing strives to lead customers, creating new Marketing tends to follow markets customers and serve Focal point is new value existing markets creation for the customer Focal point is efficient through relationships, management of the alliances, resource marketing mix management Traditional versus Entrepreneurial Marketing Traditional Marketing Entrepreneurial Marketing Risk is to be minimized Risk is necessary and marketing’s job is to manage the firm’s risk profile in a calculated fashion While acknowledging the Marketing is an objective, value of science and learning, dispassionate science recognition is given to the roles of passion, zeal and commitment in successful marketing programs Psychology of challenging Reliance on proven formulas commonly shared assumptions and established metrics Traditional versus Entrepreneurial Marketing Traditional Marketing Entrepreneurial Marketing Marketing supports the Marketing is the home of the innovation efforts of other entrepreneurial process in the functional areas of the firm, organization most notably R&D Marketing is a functional silo Marketing is a cross-disciplinary and inter-functional pursuit Promotion and customer The relevant investment or communication receive the resources in different areas of greatest amount of attention the marketing mix(s) are from marketers context specific Traditional versus Entrepreneurial Marketing Traditional Marketing Entrepreneurial Marketing Scarcity mentality, zero-sum Opportunity is pursued game perspective on resources regardless of resources controlled: philosophy of resource leveraging is paramount Heavy dependency on survey Skeptical use of conventional research research, employment of alternative methods Marketing facilitates Marketing facilitates speed, transactions and control change, adaptability, agility  Six elements of Entrepreneurial Marketing Customer Intensity - Focuses on enthusiasm, passion, zeal and belief in marketing that helps to make the company successful Continuous Innovation – Continuously generate new creative ideas and convert them into new or adapted products/services or processes Strategic flexibility – The firm should have the willingness to continuously review and adjust its strategies, action plans, methods of resource allocation, structure, culture and management systems srich, Robert and Ramadani, Veland. (2018) Entrepreneurial Marketing, A Practical Managerial Approach. Ed  Six elements of Entrepreneurial Marketing Calculated risk taking – Always thinking about new opportunities. Entrepreneurs take calculated risks, but some can be fatal to the future of the company Proactiveness – Entrepreneurs are generally aware of the importance of the external environment, but don’t take it as a given. They perceive it as a horizon of possibilities. They try to redefine the elements of the external environment to reduce uncertainty srich, Robert and Ramadani, Veland. (2018) Entrepreneurial Marketing, A Practical Managerial Approach. Ed  Six elements of Entrepreneurial Marketing Resource leverage – Most entrepreneur’s ambitions usually exceed their resources; they are forced to use their resources in the best possible way. They leverage their resources, possibly using them longer that others have used them. They use resources that others might not even think of as resources. They will often leverage other company’s resources to fulfill their goals. They will blend one resource with another to create a new resource for their use. srich, Robert and Ramadani, Veland. (2018) Entrepreneurial Marketing, A Practical Managerial Approach. Ed The Seven Steps in the Marketing Process Identify and Understand customer needs Develop products, services and experiences to meet those needs Price the products, services and experiences effectively Inform customers that these products, services or experiences exist Deliver the products, services, or experiences efficiently and conveniently for the customer Ensure customer satisfaction during and after the exchange process Build long-term relationships with the customers Why Marketing in New Ventures is Different The entrepreneur must use marketing to identify new products, services or experiences to market to new customers and not simply use it to sell existing products and services to existing customers Must use marketing to obtain their first customer, not just from their existing base Build a new and compelling brand, not just simply managing the existing brand Must use marketing to establish effecting marketing channels or distribution for the new product Establishing new retail price points for the new product Using marketing to persuade new customer to try the new product Must leverage marketing efforts in startup phase due to resource scarcity Forces in the Entrepreneurial Marketing Environment Social Forces – Population, Generational Cohorts, Culture and Cultural Shifts Economic – Value, Target Market, Ability to buy Technological Forces – Internet, IoT, Edge Computing Competitive Forces – There is always competition, how do you differentiate Regulatory Forces – Will your product be threatened by future regulation or will changes in regulation open opportunities for your product Class Exercise – Working in your assigned teams Assume Apple Watch How was the Apple Watch impacted by an environmental scan of the U.S. and how might it be impacted in the new term by and environmental scan? Use Figure 1.3 in text Two Time Periods: 2014-2015 When launched: What would this scan have looked like for Apple prior to launch? What has environment been for this product since launch? Post 2023 What does an environmental scan look like today for this product?  Marketing Research Typically collected by the entrepreneur or an external consultant or supplier Market research begins with a definition of objectives or purpose Many entrepreneurs lack the knowledge or experience and often do not even know what they want to accomplish in the research study. Balancing the cost of the information and the value it brings to making good decisions Actually, its value to the decision at hand srich, Robert and Ramadani, Veland. (2018) Entrepreneurial Marketing, A Practical Managerial Approach. Ed Secondary Data Facts and figures already recorded prior to the project Internal data from inside the firm Research from other projects the firm has pursued Sales data Customer surveys or other customer data External data from outside the firm Census data Trade association studies Trade publications Open-source data from internet sources  Primary Data Gathering data from Primary Sources Observation – customer research Networking Interviewing or surveying – Outbound calls, surveys Observations in social media Research Design Experimentation – Controlled experiments that simulate real- world marketing situations Observation – Personal interviews, telephone interviews, mail surveys or focus groups srich, Robert and Ramadani, Veland. (2018) Entrepreneurial Marketing, A Practical Managerial Approach. Ed  Primary Data Sample Design – determining who will be sampled Consumers, stores, salespeople, manufacturers, representatives or buyers Time frame Users and/or nonusers Try to survey non-overlapping elements of the population Questionnaire Design Dichotomous – Easy to answer Multiple choice Preference Rating Ranking Open-ended questions srich, Robert and Ramadani, Veland. (2018) Entrepreneurial Marketing, A Practical Managerial Approach. Ed  Goal of Data Analysis To provide information to solve the problem or help make the right decision Should provide meaningful information for leadership to make a decision The development of appropriate conclusions and recommendations Was the information valued enough to be used or considered in the marketing decision Conclusions and recommendations be written in clear, concise manner and accompanied by the needed support material srich, Robert and Ramadani, Veland. (2018) Entrepreneurial Marketing, A Practical Managerial Approach. Ed  Entrepreneurial Market Identification – B2C Self-Concept How the consumer view themselves Success in selling to many consumers People’s needs, aspirations and self-concept affect their buying decisions Culture Cultural view are acquired based on environmental and relationships Entrepreneurs need to be sensitive in cultural changes Many cultures srich, Robert and Ramadani, Veland. (2018) Entrepreneurial Marketing, A Practical Managerial Approach. Ed  Entrepreneurial Market Identification – B2C Subcultures Nationality Religion Race Geographic region Social Class Upper-Class Middle-Class Lower-Class Other breakdowns srich, Robert and Ramadani, Veland. (2018) Entrepreneurial Marketing, A Practical Managerial Approach. Ed  Entrepreneurial Market Identification – B2C Reference Group Influencers Famous people Athletes Group references – Church, parent groups, neighbors Aspirational groups srich, Robert and Ramadani, Veland. (2018) Entrepreneurial Marketing, A Practical Managerial Approach. Ed  Buying Process Need Arousal Information Search Evaluation Purchase Decision Post-purchase Behavior srich, Robert and Ramadani, Veland. (2018) Entrepreneurial Marketing, A Practical Managerial Approach. Ed Other Research Techniques Focus groups – VOC Fuzzy Front End – (FFE) – Designed to identify elusive customer tastes or trends, that might make customers very happy or what frustrates them Lead Users –Early adapters or a product or service Observation – Watching prospective customers interact with a product or service in a controlled environment Ethnographic research – Watching prospective customers in their natural environment – at home, work or in a car Surveys Mail (snail or email) – inexpensive, no way to follow-up, poor response, slow collection of information Telephone – moderately expensive, some follow-up, refusal rates increasing, good speed of collection Personal Interview – Most expensive, F2F with ability to probe, little anonymity, good speed of collection Online – Very expensive, can go back and ask questions, good response rate, very good speed of collection To get the most out of surveys You have to talk to the right customer You have to ask the right questions The respondent has to understand the questions The respondent must know the answers to the questions The respondent must actually answer the questions The respondent must answer the questions truthfully The entrepreneur must understand the answers provided Social Media as a Marketing Research Tool Used to listen to customers Used to monitor competitors Used to track trends Used for real time quick research Used to broaden the scope of marketing research Used to engage customers and prospects Used for cost effective research With regards to Rolling Suds, for your project, which of these sources of data would be helpful to you? What types of information would come from these sources? What other sources might you want to look at?