Transcription
Chapter 5Analyzing the marketingenvironment
A couple of things Group project teams– Deadline to form teams is this week Deadline to request alternative toresearch studies2
ReviewSo what have we learned thus far? Mission statement (organization’s “purpose”) drives your marketingstrategy. Marketing tactics (HOW you execute) your MARKETING MIX (4P’s) Product Price Promo PlacementYes, a great PRODUCT is vitally important to running a great business but PRICE sensitivity by your customers, for example, may drive certaindecisions about how you optimize your PRODUCT. So the 4P’s should beconsidered holistically.Digital Marketing – an increasingly important component of yourmarketing mixEthics - Ethical decisions are not always black and white3
Today Outline how the company, competitors, andcorporate partners affect marketing strategy Explain why marketers must consider theirmacroenvironment when they makedecisions Describe the differences among the variousgenerational cohorts Identify various social trends that affectmarketing4
Netflix evolution over timeNetflix revolutionized how we watch movies andTV x2007Today5
The big oductPromotionCapturingvaluePriceCustomer acquisitionCreatingvalueCustomer retentionPROFIT6
The big luePromotionCapturingvaluePriceCustomer acquisitionMarketinganalysis(understandingyour business)Customer retentionPROFIT7
Marketing analysisSWOTImmediate etinganalysis(understandingyour business)8
Marketing analysisSWOTImmediate etinganalysis(understandingyour business)Macroenvironmental factorsCulture, demographics, social trends, tech. advances,economic situation, political/regulatory situation9
Company capabilitiesCORE COMPETENCY(what the company does well) Existing knowledge, facilities,patents, capabilities etc.applied toNew markets, new products,improving existing offerings,maintaining your competitiveadvantage, etc.10
Company capabilitiesCORE COMPETENCY(what the company does well) Existing knowledge, facilities,patents, capabilities, data,etc.applied toNew markets, new products,improving existing offerings,maintaining your competitiveadvantage, etc.11
Competitors Identify your competitors You must know theirstrengths & weaknesses(SWOT) Proactive rather thanreactive strategy– Gather publicly-availableinformation about yourcompetition– But avoid illegal actions!12
Competitors Identify your competitors You must know theirstrengths & weaknesses(SWOT) Proactive rather thanreactive strategy– Gather publicly-availableinformation about yourcompetition.– But avoid illegal actions! Figure out how tokeep consumersengaged with yourbrand (loyalty) Coca Cola Super BowlAd example– https://www.youtube.com/watch?v gvp28D6m7iQ13
Corporate Partners Firms are part of alliances Align with competitors, suppliers, etc. For example: have you partnered with the rightfirms for effective management of your logisticssystems? E.g., have the right stock -- more about this inchapters 15-1614
Macroenvironmental factors:Culture Culture15
Macroenvironmental factors:Culture CultureCan Emerging Markets Tilt Global Product Design?Impacts of Chinese Colorism on Hollywood CastingsWe investigate whether the economic rise of emerging marketsmay have begun to impact the typical “one-size-fits-all” designof many international product categories. Focusing on Hollywoodfilms, and exploiting a recent relaxation of China’s foreign filmimportation policy, we provide evidence suggesting that theseimpacts may exist and be non-negligible. In particular, we showthat the Chinese society’s aesthetic preference for lighter skincan be linked to the more frequent casting of pale-skinned starsin films targeting the Chinese market. Implications for thedesign of international products are drawn.https://mpra.ub.uni-muenchen.de/82040/1/MPRA paper 82040.pdf16
Macroenvironmental factors:DemographicsProvides an easily understood snapshotof the typical consumer in a specific target market(Millennials)How do these generations differ?17
Macroenvironmental factors:Social TrendsHealth and WellnessConcernsGreener consumersPrivacy concerns18
Macroenvironmental factors:Social TrendsHealth and WellnessConcernsMcDonald - https://www.youtube.com/watch?v -c-OTfRgJtY19
Macroenvironmental factors:Social trendsGreener consumershttps://www.youtube.com/watch?v r0iDlFVkRLE20
Macroenvironmental factors:Social trendsConsumers are becoming concerned about howfirms use their data Firms are making a lot of effort to be astransparent as possible about data usage, e.g.,FacebookPrivacy concerns21
Macroenvironmental factors:Technological Advances Technology hasimpacted everyaspect ofmarketing– New products– New forms ofcommunication– New retail channels22
Macroenvironmental factors:EconomicsForeign currencyfluctuationsCombined with inflationand interest rates affectfirms’ ability to marketgoods and services23
Macroenvironmental factors:Policy and Regulations Competitive practice and trade legislation Lately we have seen many companiesbeing targeted by policymakers– Airbnb– Uber24
Recap Marketing analysis– Immediate environment Company, Competitors, and Corporate partners– Key macroenvironmental factors Culture, demographics, social issues, technologicaladvances, economic situation, andpolitical/regulatory environment. Some social trends shaping consumervalues and shopping behavior– Health, Green, Privacy25
Question1. What are the components of theimmediate environment?2. Name three macroenvironmental factors26
analysis (understanding your business) Creating value Capturing value. 8 Marketing analysis Company Competition Corporate partners Marketing analysis (understanding your business) Immediate environment SWOT. 9 Marketing analysis Company Competition Corporate partners Marketing analysis . Coca Cola Super Bowl Ad example - https://www .
