Introduction to Piercy
description
Transcript of Introduction to Piercy
INTRODUCTIONTO PIERCY
MARKETING IS WINNING In peace there's nothing so becomes a man
As modest stillness and humility:But when the blast of war blows in our ears,Then imitate the action of the tiger;Stiffen the sinews, summon up the blood,Disguise fair nature with hard-favour'd rage;Then lend the eye a terrible aspect;Let pry through the portage of the headLike the brass cannon; let the brow o'erwhelm itAs fearfully as doth a galled rockO'erhang and jutty his confounded base,Swill'd with the wild and wasteful ocean.Now set the teeth and stretch the nostril wide,Hold hard the breath and bend up every spiritTo his full height. On, on, you noblest English.
Agenda The process of going to market Customer value What managers need to know Challenges for the 21st century manager The strategic pathway
The strategic pathway
Marketsensingandlearningstrategy
Strategicmarketchoicesandtargets
Customervaluestrategyand positioning
Strategicrelationshipsandnetworks
Strategic thinking andthinking strategically
Strategictransformationand strategyimplementation
Ten steps of the strategic marketing planning process (McDonald 2007)
1 Mission
2 Corporate Objectives
7 Marketing objectives and strategies
3 Marketing Audit
4 Market overview
5 SWOT analysis
6 Assumptions
8 Estimate expected results and identify alternative plans and mixes
9 Budget
10 First year detailed implementation programme
Phase OneGoal Setting
Phase TwoSituation Review
Phase ThreeStrategy Formulation
Phase FourResource allocationand Monitoring
Measurementand review
The strategic pathway
Marketsensingandlearningstrategy
Strategicmarketchoicesandtargets
Customervaluestrategyand positioning
Strategicrelationshipsandnetworks
Strategic thinking andthinking strategically
Strategictransformationand strategyimplementation
CUSTOMER VALUE
The process of going to market
Processes that define valuee.g., market knowledge andlearning, CRM, research, intelligence
Processes that create valuee.g., new product development, innovation,brand development, strategic relationships
Processes that deliver valuee.g., channels, supply chain,customer service
Customervalue
ResourcesCapabilities
Strategic relationships
CreativityInnovation
Reinvention
Importance of Customer value
Consumer value plays a crucial role at the heart of all marketing activity (Holbrook, 1999 p. 1)
Source: Holbrook, M. B., 1999 Consumer Value A framework for analysis and research. Abingdon: Routledge
Customer perceived value definition
… perceived value is the consumer's overall assessment of the utility of a product based on perceptions of what is received and what is given. Though what is received varies across consumers (i.e. some may want volume, others high quality, still others convenience) and what is given varies (i.e. some are concerned only with money expended, others with time and effort), value represents a trade-off of the salient give and get components.
Source: Zeithaml, V. A., 1998 Consumer Perceptions of Price, Quality, and Value: A Means-End Model and Synthesis of Evidence Journal of Marketing 52 (July): 2-22
Choose a product or service you use and list your perceived benefits and sacrifices
Benefits Convenience Quality Prestige/status Price
Sacrifice Money Search costs Psychic costs
Customer perceived value
Perceived BenefitsCustomer –perceived value = ______________
Perceived Sacrifice
Benefits = attributes of core product/service and supporting services, perceived quality and price
Sacrifice = customer costs involved in purchasing, such as time, travel, repairing faulty work, etc. – NOT just price
Source:Monroe, K. B., 1991 Pricing – Making Profitable Decisions, McGraw-Hill, New York, NY. Quoted in Ravald, A. and Gronroos, C., The value concept and relationship marketing European Journal of Marketing Vol 30 No 2 1996 p 19 - 30
ValueCustomer value is a customer’s perceived preference for and evaluation of those product attributes, attribute performances, and consequences arising from use that facilitate (or block) achieving the customer’s goals and purposes in use situations.
Source: Woodruff, R. B., 1997 Customer Value: The Next Source for Competitive AdvantageJournal of the Academy of Marketing Science Vol 25 No. 2, pages 139 - 153
What managers need to know
The process of going to market, not “marketing” in the traditional sense: understanding customers and superior value building marketing strategy to deliver a
robust value proposition to customers achieving implementation by driving the
things that matter through the corporate environment
21st Century challenges
New business models
Innovation Business agility Crisis survival Siege Global recession
Aggressive investment
Globalization Virtuality Paradox Corporate Social
Responsibility Strategy
21st Century distractions
New business models
Innovation Business agility Crisis survival Siege Global recession
Aggressive investment
Globalization Virtuality Paradox Corporate Social
Responsibility Strategy
21st Century tools
New business models
Innovation Business agility Crisis survival Siege Global recession
Aggressive investment
Globalization Virtuality Paradox Corporate Social
Responsibility Strategy
The strategic pathway
Marketsensingandlearningstrategy
Strategicmarketchoicesandtargets
Customervaluestrategyand positioning
Strategicrelationshipsandnetworks
Strategic thinking andthinking strategically
Strategictransformationand strategyimplementation
MARKETING MANAGEMENT
A BETTER MOUSETRAP
MARKETING MANAGEMENT
If I were going to Dublin, I wouldn’t start from here
But we ARE hereAnd we are going to….
AN ANECDOTE Great market for boots They don’t wear boots