adbms marketing evaluation and control.ppt

7/29/2019 adbms marketing evaluation and control.ppt

1/51

Marketing Evaluation and Control


2/51

Five Components of Marketing

Management

a. Research

b. Implementation

c. Control

d. Evaluation

e. Planning


3/51

Methods of Organizing a Marketing

Department

a. Marketing and promotional mixelements

b. Facilities or services

c. Geographyd. Customer groupings

e. A combination of two of theabove four criteria


4/51

Marketing Implementation

is the process that converts plans into

assignments, which after successful

achievement accomplishes the plans

stated objectives


5/51

Marketing Implementation

marketing programs Diagnostic skills

Identification of company level

Implementation skills Evaluation skills


6/51

Definition of Marketing Control

Steps that an organizationtakes to ensure that itsmarketing plans are

successful.


7/51

Marketing Control

iBudget

Profitability

Efficiency (Productivity)

Strategic


8/51

Budget Control

Measurement of results against

monthly/quarterly budgets (goals)

Reasons for deviations (variances)

Remedial steps to be taken to close the gapsbetween performance and goals

Review performance in the next

month/quarter and assess results


9/51

Benchmarks for Efficiency against last year

against budget

against targets

% growths

% variances

% market share


10/51

Profitability Control

80 : 20 rule

Product rationalisation

Customer rationalisation

Costing Analysis


11/51

Efficiency Control

Sales force efficiency

Advertising efficiency

Sales promotion efficiency

Distribution efficiency


12/51

No. of calls per salesperson per day

Average revenue per sales call

Average cost per call

Average call time per call

No. of new customers per period

Sales force cost per unit sales

Sales force Efficiency


13/51

Advertising Efficiency CPT

Before and after measure ofattitude towards the product

No. of enquiries per ad

Cost per enquiry


14/51

Sales Promotion

Efficiency% sales sold on promotion

Display cost per sales rupee% coupons redeemed

No. of enquiries resulting from a

demonstration


15/51

Distribution Efficiency Time taken to execute orders

% order executed

service levels


16/51

Other Control Measures

Marketing Effectiveness Review- customer philosophy, integrated marketing

organization, adequate marketing information,strategic orientation and operational efficiency

Marketing Audit- comprehensive , systematic, independent and

periodic review of a companys business

environment, objectives, strategies and

activities with an idea to identify areas ofweaknesses and recommend a plan of actionto improve on such areas.


17/51

Control Process for the

Marketing Plan

a.Setting standards

based on plansb.Measuring performance

against standards

Correcting deviationsfrom standards and

plans


18/51

Marketing Expense Sales Force

Advertising

Sales Promotion

Market

Research

Sales

Administration

Public Relations

Direct

Marketing


19/51

Definition of Marketing Evaluation

Techniques used after the

marketing plan period toanalyze success in achievingindividual marketing objectives

and to more broadly assess theentire organizations marketingefforts


20/51

Marketing Evaluation Techniques

Sales analysis

Market-share analysis

Marketing cost andprofitability analysis

Efficiency ratios

Marketing-effectivenessrating review

Marketing audit


21/51

21

Evaluation and ControlFinancial Analysis


22/51

22

Evaluation and Control Strategic control

The Marketing Effectiveness Review

The Marketing Audit Marketing audits four

characteristics:

Comprehensive

Systematic

Independent

Periodic


23/51

Marketing AuditMarketing audit is a comprehensive,

systematic, independent, and periodic

examination of a companysor businessunitsmarketing environment, objectives,strategies, and activities with a view todetermining problem areas and

opportunities and recommending a plan ofaction to improve the companys marketing

performance Philip Kotler


24/51

When and how

often

Who will do

the Audit

Presentingresukts to the

management

Areas

to be audited

Developing

Audit Forms

Implementing

the audit

The

AuditProcess


25/51

The Marketing Audit Process (2)

The audit is conducted bycompany specialists, companydivision or department managers,

or outside specialists.2. It may be done at the end of a

calendar year, or the annual

reporting year, or when doing aphysical inventory.


26/51

A horizontal audit studies theoverall performance of a .firm,

emphasizing the interrelationshipof variables. A vertical audit isan in-depth analysis of one

aspect of a firms marketingstrategy.

4. Audit forms list the topics tobe examined and the exactinformation required to evaluate

each topic.


27/51

5. Implementation decisionsinclude: the timing and duration,employee awareness, when and

how audit is performed, and howthe audit report will be prepared.

6. Findings andrecommendations are given tomanagement.


28/51

Characteristics of Marketing

Audit

ComprehensiveMust cover all marketing areas

Systematic

Sequential diagnostic steps

Independent

Internal & external auditors

Periodic

Performed at regular intervals


29/51

Marketing Audit Procedure

Marketing environment audit

Marketing strategy audit

Marketing organization audit

Marketing system audit

Marketing productivity audit

Marketing function audit Marketing excellence review

Ethical and social responsibility review


30/51

30

Marketing and Society: SocialResponsibility and Marketing

Ethics


31/51

Ethics and Morals

Ethics

Morals

The moral principles or

values that generally govern

the conduct of an individual.

The rules people

develop as a result of

cultural values


32/51

Ethical Behavior in

Business

Ethical? Legal?

9


33/51

Ethical Development

LevelsPreconventional

Morality

ConventionalMorality

PostconventionalMorality

MoreMature

MoreSelfish


34/51

Morality and Business

EthicsPreconventionalMorality

Childlike level

Based on what will be punished

or rewarded

Self-centered, calculating, selfish

9


35/51


EthicsConventionalMorality

Moves toward the expectations of

society

Concerned over legality and the opinion

of others

When in Rome, do as the Romans

9


36/51


EthicsPostconventionalMorality

Morality of the mature adult

Concern about how they judge

themselves

Concern if it is right in the long run

9


37/51

Code of Ethics

A guideline to helpmarketing managers and

other employees make

better decisions.

9


38/51

Creating Ethical Guidelines

Help identify acceptable business practices

Help control behaviour internally

Reduce confusion in decision making

Facilitate discussion about right and wrong

9


39/51

Unethical Practices9


40/51

Corporate Social Responsibility

Ethical

Do what is right.

LegalObey the Law.

EconomicBe profitable.

PhilanthropicBe a good citizen.

10


41/51

Corporate Social Responsibility (CSR)

Sustainability

Must have a healthy society to sustain business.

Pyramid of CSR

Economic

Be profitable. Must survive.

Legal

Obey the law.

Ethical

Do what is right, just and fair. Avoid harm.

Philanthropic

Good corporate citizen.

Contribute resources to community.


42/51

42

Deceptive

Pricing

Falsely Advertising Factory orWholesale Prices, Large

ReductionFrom Phony High List Price

DeceptivePackagingExaggerating Package Contents,Not Filling Package to the Top,

Using Misleading Labeling

DeceptivePromotion

Overstating he ProductsFeatures, Luring Customers to

the Store for Out-of-StockBargains, etc.

Marketings Impact on Individual Consumers: Deceptive

Practices

t


43/51

43

Marketings Impact on Individual Consumers

High-Pressure Selling

Some products such

as cars and jewelry

are said to be sold, not

bought.

Such tactics damage

marketers long-run

relationship withcustomers.

Shoddy or Unsafe

Products

products are notmade well.

products deliver

little benefit. Concerns

product safety.


44/51

44

Planned

ObsolescenceHold back

attractive

functionalfeatures.

May break,

wear, rust, orrot sooner than

should.

Poor Service toDisadvantaged

Consumers

May pay morefor inferior

goods.

F l t d h


45/51

Production

of too fewsocial good

Too much Political

power

False wants and much

materialism

Cultural

polution

Marketings

Impact

onSociet

asawhol


46/51

46

UnfairCompetitive

MarketingPractices

Marketings Impact on Other

Businesses

MarketingPracticesCreate

Barriers to

Entry

Acquisitions

ofCompetitors


47/51

47

Buyers

Rights

Sellers

Rights

Consumerism is an Organized Movement of Citizensand Government Agencies to Improve the Rights and

Power of Buyers in Relation to Sellers.

Consumerism


48/51

48

The Right Not to Buy a Product Offered for Sale

The Right to Expect the Product to be Safe

The Right to Expect the Product to Perform as Claimed

The Right to Be Protected Against Questionable Products

The Right to Be Heard About Quality of Life Issues

The Right to Be Well Informed About the Product

ConsumerismBuyers Rights


49/51

49

Marketing Ethics

Distributor Relations Advertising Standards

Customer Service

Pricing

Product

Development

General Ethical

Standards

Companies Need to Develop Corporate MarketingEthics Policies Broad Guidelines That Everyone inthe Organization Must Follow and Should Address:


50/51

50

Decided by theFree Market and

Legal System

Responsibility ofIndividual

CompaniesAnd Managers

Marketing Ethicsprinciples That Should Guide Companies and

Marketing Managers On Issues of Ethics and SocialResponsibility:


51/51

adbms marketing evaluation and control.ppt

Documents

Transcript of adbms marketing evaluation and control.ppt