Digital Marketing Strategy, Implementation and Practice PDF

DIGITAL MARKETING STRATEGY, IMPLEMENTATION AND PRACTICE Seventh Edition Part 1 Digital marketing fundamentals Chapter 1 Introducing Traditional Marketing Copy...

DIGITAL MARKETING STRATEGY, IMPLEMENTATION AND PRACTICE Seventh Edition Part 1 Digital marketing fundamentals Chapter 1 Introducing Traditional Marketing Copyright © 2019, 2016, 2012 Pearson Education, Inc. All Rights Reserved Chapter 1 – Introducing Digital Marketing Main Topics: Marketing Definitions: What is Marketing Marketing Importance and trends Marketing Philosophy: Creating value What gets Marketed & What Marketers Do Marketing–Oriented Organization Marketing Process: Matching Process Marketing Environment (Macro & Micro) Marketing MIX Marketing services Marketing Audit & Marketing Environment Marketing Activities: Segmentation, Targeting & Positioning Copyright © 2019, 2016, 2012 Pearson Education, Inc. All Rights Reserved  Introduction  Marketing is a process that matches the wants & needs of customers with an organization's ability to meet them by providing appropriate goods & services  Does this through exchange of value between the organization & customer  Provides important interface between the organization & its customers  Principally focuses on generating revenue Copyright © 2019, 2016, 2012 Pearson Education, Inc. All Rights Reserved  Marketing Trends Three key trends that have triggered the increased of marketing are:  Increasing Competition  Increasing consumer choice & consumer power  Technology & access to information Source: Smart Insights (2017) Copyright © 2019, 2016, 2012 Pearson Education, Inc. All Rights Reserved  Marketing: APhilosophy  According to Philip Kotler: In the 21st century marketing must be understood not in the old sense of making a sale - ”telling & selling” but in the new sense of creating value throughinteracting & working with the customer. A marketing philosophy is achieved through a balanced, planned & integrated use of the marketing mix. Copyright © 2019, 2016, 2012 Pearson Education, Inc. All Rights Reserved  Definition of marketing  Marketing is a “social and managerial process by which individuals and groups obtain what they need and want through creating and exchanging products and value with others.” Kotler  Exchange of value is an important concept Copyright © 2019, 2016, 2012 Pearson Education, Inc. All Rights Reserved  What gets Marketed?  Goods Places  Services Properties  Events Organizations  Experiences Information  People Ideas Source: With permission – Chiefmartec.com Copyright © 2019, 2016, 2012 Pearson Education, Inc. All Rights Reserved  What do Marketers do?  Basic activities that marketers engage in are:  Segmenting the market  Targeting the various segments  Creating & communicating value Copyright © 2019, 2016, 2012 Pearson Education, Inc. All Rights Reserved  Characteristics of Marketing-Oriented Organization Customer Satisfaction is a central focus Products are defined by customer needs Marketing is integrated across the organization Marketing Intelligence is valued, captured & shared Copyright © 2019, 2016, 2012 Pearson Education, Inc. All Rights Reserved Marketing as a matching process Copyright © 2019, 2016, 2012 Pearson Education, Inc. All Rights Reserved  Marketing as a matching process  The Marketing Environment  Economic  Political  Socio-cultural  Technological  Legal  Natural environmental  Suppliers & competitors Copyright © 2019, 2016, 2012 Pearson Education, Inc. All Rights Reserved  The Marketing Mix Source: Altimeter Consulting (2014) Copyright © 2019, 2016, 2012 Pearson Education, Inc. All Rights Reserved The Marketing Mix Copyright © 2019, 2016, 2012 Pearson Education, Inc. All Rights Reserved  MARKETING GOODS Goods Marketing relates to selling physical products. Durable goods are physical goods used over an extended time.  Nondurable goods are consumable products made from materials other than metal, wood, and hard plastics. Copyright © 2019, 2016, 2012 Pearson Education, Inc. All Rights Reserved  MARKETING SERVICES Services Marketing includes rented-goods services, owned-goods services, and nongoods services. Rented-Goods Services: leasing auto, hotel room, office space, wedding items Owned Goods Services: auto or computer repairs, lawn care & home care Non-goods Services: personal advice, tutor, legal, and accounting Source: Smart Insights (2010) Copyright © 2019, 2016, 2012 Pearson Education, Inc. All Rights Reserved  Marketing Microenvironment Immediate forces of industries & markets in which the organization operates. Key components include: – Organization itself – Value chain partners & market intermediaries – Customers – Competitors – Public (Stakeholders who are not directly involved) Source: Chaffey and Smith (2017) Copyright © 2019, 2016, 2012 Pearson Education, Inc. All Rights Reserved Marketing Environment Copyright © 2019, 2016, 2012 Pearson Education, Inc. All Rights Reserved  The Marketing Planning Process Marketing Planning is simply a series of coordinated activities, that when carried out well, result in setting objectives & formulating strategies for achieving them that will help the organization achieve its corporate goals & fulfill its mission & purpose Copyright © 2019, 2016, 2012 Pearson Education, Inc. All Rights Reserved  Marketing Audits This requires analysis of three key environments: – Macro environment (with a PEST analysis) – Micro environment (with an industry analysis, like Porter’s Five Forces) – The Organization or The SBU itself (with a SWOT analysis applied to each “P”) Source: Smart Insights (2015a) Copyright © 2019, 2016, 2012 Pearson Education, Inc. All Rights Reserved What are the tools for a MarketingAudit? PEST analysis to analyze the Macro environment Porter’s Five Forces to analyze the industry SWOT analysis to analyze the organization (or SBU), and to make a strategic summary. Copyright © 2019, 2016, 2012 Pearson Education, Inc. All Rights Reserved  PORTER’S FIVE FORCES Is there anything that can replace us? (think of computer memory!) Who makes touch- screen glass? Copyright © 2019, 2016, 2012 Pearson Education, Inc. All Rights Reserved  Marketing Basic Activities The basic activities marketers engage in are: Copyright © 2019, 2016, 2012 Pearson Education, Inc. All Rights Reserved  Market Segmentation Represents an effort to identify and categorize groups of customers and countries according to common characteristics Copyright © 2019, 2016, 2012 Pearson Education, Inc. All Rights Reserved 4 Ways of Segmenting Consumer Markets Copyright © 2019, 2016, 2012 Pearson Education, Inc. All Rights Reserved  Market Targeting The process of evaluating segments and focusing marketing efforts on a country, region, or group of people that has significant potential to respond Copyright © 2019, 2016, 2012 Pearson Education, Inc. All Rights Reserved  Positioning Locating a brand in consumers’ minds over and against competitors in terms of attributes and benefits that the brand does and does not offer Attribute or Benefit Quality and Price Use or User Competition Copyright © 2019, 2016, 2012 Pearson Education, Inc. All Rights Reserved Consumer Behavior Copyright © 2019, 2016, 2012 Pearson Education, Inc. All Rights Reserved  Consumer Buying Decision Roles In any purchase or ‘buying or choosing’ decision there may be up to 5 different roles involved: Initiators Influencers Deciders Buyers Users Copyright © 2019, 2016, 2012 Pearson Education, Inc. All Rights Reserved