6. Ways of disaggregate marketing:
CRM(Consumer relationship
management)
direct marketing
one-to-one marketing
information based marketing
Using customized
publications,email,direct mail,websites
and call centres based on consumer
information
7. What are brands good for in an era of
disaggregation?
Examining three core areas of brand
management to find the answer:
The Consumer Relationship
The Channel Relationship
The Organisation of Brand
Management
8. The Consumer Relationship
Relationships arises when a brand
repeatedly and consistently fulfills
its stated promises
Relationships built through one-
way mass communications tend
to be shallow
Disaggreagation offers companies
possibility of strong relationships
with consumers
9. For e.g. Krafts Foods Inc. has developed a
disaggregate marketing plan
10. This programme highlighted two central
facts of disintegration :
Consumer's focus will shift from product
brand to trusted umbrella brand1
As it shifts towards umbrella brand ,tactical
activities are implemented with tageted
consumers or segements rather than at the
brand level.
2
11. It publish a quarterly food magazine along with call
centres,email,website and even cooking schools
The
magazines
contain food-
related
articles,recipe
s,editorials
and ads.
13. The Channel Relationship
Brands cannot directly deal with
consumers,they need retailers
to be the contact b/w them
In today's world,brand's marketing budgets
spent on retailer's listing fees,facing
fees,trade promotions and co-operative
advertising is twice the money spent on
brand's marketing to the end consumer
Disaggregation provides
manufacturers with a new
medium to influence consumer
decisions that is independent of
the retailer
14. Manufacturers must act quickly because:
consumer prefer few
relationships to many1
retailers are not sitting
idle in this game2
15. Recent retailers efforts have been aimed at :
creating brand awareness and
differentiation
promoting profitable private label
lines across a wide range of
products
building store loyalty
16. However,retailers argue that the economics
of disaggregation favor them
• Retailers spread cost of marketing over a great variety of
products
• It allows retailer to achieve a fier level of segmentation
• But once retailers began to use disaggregate consumer
data to drive traffic,brands were seen as a coarse and
expensive mechanism for achieving traffic volume
• The risk for manufacturers is that the consumer's
relationship will be with the retailer's umbrella brand
17. Conclusion
Manufacturers are realizing their
brand's chances of survival will
be better if they become an
essential element of the
retailer's value proposition to
particular consumer segment
The brand is percieved no
longer as the focal point of the
marketing
18. The Brand Management Organisation
• From a long time,brand management
systems have become the foundation of
marketing departments of many industries
• Brand-management organiztions are
adopting consumer-level disaggregation
initiatives.
• The focus of marketing efforts remains the
brands,not the consumers
24. But it is not sufficient...
..to address the oppurtunities addressed by
disaggregation,managers have to:
focus on customer
profitability not on
brand-level
profitability
bonuses should be tied to
segment profitailty
not on market share
customer pull v/s trade push
team coordination to tackle
market oppurtunities
25. Brands are the ideal and natural ally of
mass production
26. Whereas assembly lines reduced the
cost of building products,
brands reduced the cost of building markets
27. From packaged consumer goods,brands
are now helping in services and business-
to-business settings
28. Despite of retailer concentration,media
fragmentation,niche marketingand the
advent of internet,brands have endured
and continued to flourish
29. Brands are an excellent
means of developing and
communicating a
differentiated value
proposition in the market
30. Covered points:
# Difference between aggregate and
disaggregate marketing
# Disaggragate is better and efficient
than aggreagte marketing
# As the traditional source of brand power
is aggregating marketing, what
are brands good for?
