Strategic Marketing

1
Strategic Marketing

• Marketing for Engineers
• ELE 41EMT ELE 31MEL

Lecture 2 3 March 2004
2
Corporate Managers

• Corporate managers are responsible for the entire
  organisations
• production,
• personnel,
• finance, and
• marketing.
• Corporate managers provide the strategic
  directions for every aspect of the organisations
  operations.
• Corporate managers realise that advertising,
  pricing, distribution, and personal selling are
  marketing activities - not marketing.

3
Remember from last lecture
Marketing is the process of planning and
executing the conception, pricing, promotion, and
distribution of ideas, goods, and services to
create exchanges that will satisfy individual and
organisational objectives. The American
Marketing Association
4
Marketing at the Top Level

• Corporate managers realise that marketing is a
  philosophy rather than a series of marketing
  activities
• Remember from last lecture that marketing
  activities include selling, advertising, and
  retailing.
• Marketing is a process that may require the
  resources of the entire organisation
• A major function of corporate managers is to
  ensure that all business functions work together
  to achieve marketing success

5
Marketing Management
Marketing management is the process of planning,
executing, and controlling marketing activities.
Plan
Control
Execute
6
to succeed, you must have a strategy
7
Strategy

• The art of war.
• The art of moving troops, ships, aircraft, etc.
  into favourable positions.
• A plan of action or policy in business or
  politics.

Oxford Dictionary
8
Words used in Marketing

• Marketers often use words like
• Strategy
• Tactics
• Campaigns
• Manoeuvre

9
What is a Marketing Strategy

• A marketing strategy is a plan identifying
• What marketing Goals and Objectives will be
  pursued, and
• How will they be achieved within the time
  available.
• Tactics are specific actions that are intended
  for implement strategies.

10
The Timing Factor

• Timing is a very crucial factor for the success
  of any marketing effort.
• Get your products/services to market before your
  competitors,
• Release the products/services at the right time
  when it is required by the market (customers),
• Consider the life of the product/service,
• Timing must fit with the overall business
  strategic plan.

11
Example of Strategy

• McDonalds basic strategy is to have clean
  family-type restaurants that offer friendly
  service, high quality food, and good value.
• Offering Happy Meals for children at reasonable
  prices is a tactic used to implement this
  strategy.

12
One More Example

• A company that manufactures electronic components
  may adopt a strategy of adhering to standards,
  high reliability, good documentation, a lot of
  application notes, etc.
• Offering free components to the engineering
  students may be a tactic used to implement this
  strategy.

13
The Strategic Marketing Process
PLANNING STAGES 1. Identify and evaluate
opportunities 2. Analysing market segments and
selecting target markets 3. Planning a market
position and developing a marketing mix
strategy 4. Preparing a formal marketing plan
5. Executing the plan.
6. Controlling efforts and evaluating the results.
14
SWOT
External
Key Opportunities
Key Threats
Internal
Key Strengths
Most Likely
Possible
Key Weaknesses
Possible
Unlikely
15
Situation Analysis
Organisations internal Strengths Weaknesses
Conduct situation analysis in light
of organisational goals
Threats Opportunities in the environment
Consider a Situation Analysis for companies you
are familiar with e.g. QANTAS, TELSTRA.
16
Matching Opportunities to Organisations
Organisations desired position
Plans
Evaluate strategic gap
Organisations actual position
17
Marketing Management

• As previously mentioned, Marketing Management is
  the process of
• Planning,
• Executing, and
• Controlling
• the marketing activities in order to to attain
  the marketing Goals and Objectives effectively,
  efficiently and on time.

18
Planning Process

• Planning is the process of
• Envisioning the future,
• Establishing goals and objectives, and
• Designing organisational, marketing strategies
  and tactics to be implemented in the future.

19
Strategic Planning

• Strategic Planning (Corporate Strategic Planning)
  is a long-term planning process dealing with the
  organisations primary goals and objectives.

20
Levels of Administration
Corporation
Top Management
Hotel Division
Airline Division
Rent-a-Car Division
Middle Management
Sales
Advertising Sales Promotion
Product Price Planning
Other activities
Marketing Research
Operational Management
21
Strategic Corporate Goal

• Broad organisational goal that is related to the
  long-term future.
• The organisations primary strategic corporate
  goal is identified in its organisational Mission
  Statement.

22
Focus of Planning
Level of Management
Focus of Planning
Basic Marketing Questions
Top Management
Corporate Plans
What is our organisational mission? How do we
organise our business
Middle Management
Strategic Business Unit
What is our competitive strategy for growth? What
is our competitive advantage?
Operational Management
Operational plans for tactical execution
How can we best support the competitive
strategy? What are our schedules for
weekly operations?
23
Market/Product Mix
Markets
Existing
New
Market Penetration
Market Development
Existing
products
Diversification
Product Development
New
Consider QANTAS/Jetstar and TELSTRA/Fairfax
24
Thank you for your attention