5. Marketing - Simple Model
Model of a simplified marketing system and connection between provider
and market
Communication to Market / Information
Provider Market
Delivery of Product / service
Overall market
Provider of the
product or service Transaction of customers and
interested parties
Payments
Feedback to provider / information
6. Marketing - Perspectives
Differentiation of 3 perspectives: The entrepreneurial approach (philosophy),
instrumentation (technology) and management concept
Marketing
Philosophy Technology Management
Orientation of Orientation of Orientation of
the marketing to the marketing to the marketing to
the most optimal the most optimal the most optimal
satisfaction of effect of marketing process development,
all customer instruments analysis, planning,
requirements steering and
controlling of all
marketing activities
7. Development Phases of Marketing
Development phases in the last 100 years
Sales and Market and Customer /
Production
distribution competition individual
orientation
orientation orientation orientation
market oriented company
management (marketing management)
customer relationship
management (CRM)
marketing implementation
marketing implementation marketing mix
marketing mix marketing mix product policy
product policy product policy price policy
price policy price policy communication policy
advertisement communication policy communication policy distribution policy
sales sales distribution policy distribution policy mix extension
1900 - 1920 approx. 1920 - 1950 approx. 1950 - 1980 approx. 1980 - 1990 since 1990
8. Development of Marketing
Steps of development of Marketing
Product orientation Market orientation Environment orientation Network orientation
Pure production due to Specialization on individual Response to environmental, Web 2.0, social networks,
popular demand needs and market political, technological or Word of Mouth
(eg postwar period) segmentation societal changes
2020 2021 2022 2023 2024 2025 2026
Sales orientation Competition Dialog orientation
Change from the Production orientation Interactive design of
to distribution communication through the
Emphasis on unique
internet, e-mails
selling points (USP)
9. Marketing Pyramid
Pyramid with (higher-ranked) marketing objectives on the top
Marketing
objectives
Marketing
strategies
Marketing instruments
Product- and Price and Communication Distribution
program policy condition policy policy policy
10. Marketing - Classical vs. Alternative Marketing
Overview of some marketing tools
Classical Marketing Alternative Marketing
Guerilla marketing Viral marketing
Public relations
Search engines
Outside advertisement /
Billboard advertisement Mobile marketing
Direct marketing
Radio / TV / Movies
Sales promotion
Print media Product placement
Fairs / Exhibitions
Classical advertisement
Event marketing
Sponsoring
11. Marketing Objects
Differentiation according to different marketing objects and approaches
Marketing object
Consumer goods - Investment goods - Service
1 marketing 2 marketing 3 marketing
marketing of marketing of marketing for
products for products for immaterial goods and
private usage occupational use service performance
Non-Profit- Social Destination Trade
4 marketing 5 marketing 6 marketing 7 marketing
marketing for marketing of a marketing of an marketing of a
organizations without social idea explicit region trade and sales company
gainful intent (no organization) (tourism) (retail)
12. Marketing - Sales Markets
Differentiation according to 3 sales markets and the participating partners
Marketing
B - to - B B - to - C C - to - C
Business-to-Business- Business-to-Customer- Customer-to-
Marketing Marketing Customer-Marketing
(company customer) (private customer business)
Marketing of one Marketing of a Marketing of a private
company to another company household to another
company to a private house old private household
(i.e. production machines) (consumption goods) (i.e. private sales on ebay)
13. Characterization of Markets - Types of Goods
Types of assets and their usage situations
Consumer Goods Capital Goods Services
Consumer goods (e.g. food) Are used by production companies Immaterial benefits,
and durables (e.g. cars) satisfy to produce further goods. Buyers often incurred only at the time
immediate needs, and are directly are usually establishments or of consumption. The customer is
put into use by the buyers public companies. part of the performance / service.
(consumers).
Single, clear identifiable Services for customer with
Mass-Market (B2C)
customer (B2B) a high use of resources
14. Market Segmentation
Scientific level of consideration
Market
Market Capture Segmentation
Market Processing
Explanatory
Segments-
models Acquisition of Information Selection of
Specific use of
of purchase information processing segments
instruments
pattern
Consumer-oriented approach
Method-oriented approach Management-oriented approach
15. Market Segmentation
Objectives, methods, strategies of market segmentation
Lead Structure Approaches of
Market Segmentation
behavior-oriented
Reasons/
Meaning OBJECTIVES method-oriented STRATEGIES
management-oriented
Quantitative Qualitative
16. Market Definition
Hierarchy representation for the preparation of a market analysis of companies
with a broad range of products or services
Overall Market
Strategic
management
Definition Market 1 Market 2 Market 3
of markets (Description) (Description) (Description)
Strategic
business units SBU 1 SBU 2 SBU 3
Marketing
Segment A Segment B Segment C
Sub Market A
Sub Market B
Sub Market C
18. Situation Analysis - Search Fields
Search fields for the identification of potential chances and risks
Environment analysis Market analysis
Frame conditions:
political
social Competitor
technological
economical
ecological
Company
Stakeholder: Supplier Customer
analysis
employees
investors
unions
etc. Substitute
products
19. Market Analysis - Strategic Situation Analysis
Analysis of market participants, political and legal situation and social,
technological, geographical and economical aspects
Own Relevant Supplier, Sales mediator Legal, social and natural
organization competitor and potential customers environment
Potential analysis Competition analysis Market analysis Environment analysis
Strengths and weaknesses analysis Opportunities and threats analysis
SWOT Analysis
Interpretation of data of strategic situation analysis are the foundation
of the following marketing decisions
20. Marketing - Situation Analysis
Check list with basic questions to clarify the initial situation
What is the market where the company operates and
1 how can it be defined and narrowed?
Who is involved in the sales process?
2 What determines the behavior of these groups?
3 Which competitors are currently operating on the market?
Do public interest groups or any external stakeholders have an
4 impact on your company policy?
What is the actual-situation of the company?
5 What are your strengths and weaknesses?
21. Market Analysis - Company Analysis
Corporate philosophy (1/6)
Corporate policy Corporate vision Corporate idea
Insert description and notes in Insert description and notes in Insert description and notes in
key words. key words. key words.
22. Market Analysis - Company Analysis
Corporate philosophy (2/6)
Corporate identity Corporate culture Corporate objectives
Insert description and notes in Insert description and notes in Insert description and notes in
key words. key words. key words.
23. Market Analysis - Company Analysis
Corporate potentials (3/6)
Development Marketing Production
-research/ development -marketing concept -technology
-know how -standards -capacity
-patent -brands -productivity
-development status
Insert description and notes in Insert description and notes in
Insert description and notes in
key words. key words.
key words.
24. Market Analysis - Company Analysis
Corporate potentials (4/6)
Procurement Financing Company
- procurement systems -capital requirements -organization
- supplier relationship - investment intensity -value chain
- purchasing power
Insert description and notes in Insert description and notes in Insert description and notes in
key words. key words. key words.
25. Market Analysis - Company Analysis
Corporate resources (5/6)
Material resources Financial resources Employees
- installations - liquidity -staff situation
- interior -reserves - education
-equipment -possibilities to raise capital - staff development
Managers IT-equipment Other
- quality of leadership - sort Insert description and notes in
- business experience - actuality key words.
- age structure - complexity
26. Market Analysis - Company Analysis
Company position on the market (6/6)
Markets Advantages Product mix Cost- Price
-overall and partial - product and - revenue - price per piece- market
- market share performance advantages - profitability price relations
-market and sales profile - innovations - age profile - value chain
- protection against
replicates
Insert description and Insert description and
notes in key words. Insert description and Insert description and
notes in key words. notes in key words. notes in key words.
27. Potential Analysis
Inspection of the position of own company on the market according to the
following factors
TV campaign Documentary Capital Employees
brand image of positioning of company, capital resources, number of employees,
company, market share of provider of creditworthiness structure,
separate product brands qualification
product brands and motivation
Location Sales Partner Customer
location quality, distribution relation to number of customers,
infrastructure, organization cooperation customer potential,
business locations, and distribution customer retention
distribution in target area partners (loyalty vs. fluctuation)
28. Market Analysis - Strengths and Weakness
Strengths and weaknesses profile
Own company Other Company
Weakness Strength
Criteria
-3 -2 -1 +1 +2 +3
Product range (quantity)
Product range (quality)
Price
Service (general)
Availability by phone
Customer satisfaction
Supplier satisfaction
…
29. Competition Analysis
Example
Characteristic
high low
1 2 3 4 5 6 7 8 9
Quality
Price
Performance
Usage
Image
Environment-friendliness
Design
Additional functions
Your product Competitor’s product
30. Marketing - Representation of Market Volume
Representation of market volume and its development as a diagram
Market potential
Number of possible customer Sales volume or sales of a
or amount if all customers provider / company
are prepared to buy (at the given price)
Market volume Market share
Market capcity
Total number of possible customer Actual sales or sales for
or max. amount of products that can be used all vendors at the market
consumed / (if price does not matter)
Market volume
Saturation = x 100%
Market potential
31. Characterization of Markets - Sizes
Relationship between market potential, market volume and market share
to assess the market attractiveness
Relative Market Share A
Market Share =
Market Volume Company A Market Share B Market Share
Total sales or a turnover Market share of a company and the ratio
of an industry including of sales / turnover of the company to the
all competitors market volume
Relative
Market Share
Ratio of Market share of
a company to the market
share of the strongest
Market Potential competitor
Capacity of the market up to market saturation
32. Market - Description/ Term Definition
Terms to describe markets
Market potential: Market volume:
equates to the absorption capacity of the realized / scheduled sales or revenue for a
market (market capacity) or the volume similar product for example for one year.
of the possible deductable amounts of one Clearly more specific than the market
product at a certain market. potential.
Market potential
Market- Sales / Revenue Absolute Relative
exhaustion volume of the company market share market share
Market volume
Market exhaustion: Relative market share:
percentage value that indicates to what Absolute market share: indicator of market position by
degree the possible customer of a product market share, that the company has relating their own sales to the sales
would consume it. (Market limit used as a realized on a certain market of its largest competitor in the
gauge for future market growth) (sales or revenue) industry.
33. Market Analysis - Environment Analysis
Placeholder for your own Subheadline
Calculation
Colleague
gen.
FTL
+/2 Dep. 4
Lead Customer
+/2 gen.
Engineer
Dep. 1 +/3
+/2 DB
+/2
Construction o/0.5
+/2 Design
Intranet
engineer k/0.5
Design +/3 Dep. 4
engineer o/1
Dep. 4 o/1 o/1
Internet
+/3
Customer Supplier
+/1 gen.
Design /0 Quality of connection
engineer +/1 + perfect
Dep. 4
Attempt o normal
K critical
Customer
Feedback
Reference
The text demonstrates how Frequency of connection
Calculation
your own text will look when 3 intensive
2 medium
you replace the placeholder 1 low
with your own text. 0 nonexistent
34. Opportunities - Threats-Analysis
Analysis about the company’s opinion on environmental changes and where
adjustments need to be done
Criteria Opportunities Threats
Marktsituation
Market structure x
Market potential/ market volume x
Customer structure x
Competitor x
Environment / Frame conditions
Laws / Taxes x
Society x
Ecology x
Technological Development x
Strength
Product range x
Prices x
Organization / Management x
Cash Flow x
Weaknesses
Locations x
Marketing performance x
Innovation ability x
Financial resources x
35. Chance-Risk-Analysis
Chances and Risks with possible development outside the company and their
influence on marketing strategy and business planning
Opportunities Threats
new product development in own company development of a new product by the competitor
own innovations innovations of the competitor
new target groups and buyer levels development of new competitors
opening new markets in other countries development of new competitive suppliers in other countries
increasing demand development of over-production
recovery of the overall economy weakening of the overall economy
loosening or changing of relevant laws limited measures and legislative processes
currency exchange revenues on foreign markets through exchange rate losses on foreign markets through negative changes
positive change of exchange rates of the exchange rate
technological development / change of base technologies
36. Strength and Weaknesses Analysis
Analysis of internal Company Resources
Relevance
Sector Success Factor Notes
1 2 3 4 5
Range of service
Pricing
Image
Market share
Market growth
Sales development
Distribution
Sales network
Advertising
Marketing and Complaint management
Sales Adherence to schedules
Customer structure
Order processing
Sensitivity to economic situations
Customer service
Market cultivation
Sales representatives
Market research
Sales planning
Customer loyalty
38. Gap Analysis
Revenue targets and their development in the course of time
Target value i.e. revenue
Strategic gap
Development limit
New business
Potential
Operative gap
core business
Core business
Present Planning horizon time
39. ABC-Analysis
ABC Analysis is methodology that gives a quickly and simple review of
assortments of products in retail, wholesale or manufacturing businesses
Turnover / Value in %
100%
80%
60% A B C
40%
20%
Range of Products / Quantity in %
0%
0% 20% 40% 60% 80% 100%
41. Quality and Price Positioning
Relative positioning of different product categories
high
Brand article
Relative quality
No-names Trademarks
low
low Relative price high
42. Seller / Buyer's Market - Features
Comparison and limits of the characteristics of the seller and buyer's market
Activities of supplier Activities of demander
Features Seller‘s Market Buyer‘s Market
Economic
Scaricity economy Affluent societies
development stage
Ratio of supply Demand> Supply Supply> Demand
(Excess demand) (Surplus)
and demand Demand more active than provider Providers more active than buyers
Bottleneck area
Procurement and / or production Turn over
of company
Primary efforts Rational extension of procurement Awakening of demand and creation
of company and production capacity of preferences for their own
43. Market Attractiveness - Competition Advantage
Portfolio 1/3
Analysis of portfolio categories according to the criteria lists
Evaluation of market attractiveness
Coefficients Coefficients
Criteria Weigh. 0 0,1 0,2…0,8 0,9 Index Criteria Weigh. 0 0,1 0,2…0,8 0,9 Index
1 1
1. Market growth 3. Energy / Accommodation
2. Market quality - interference of accommodation
- Profitability of the branch
- influence of profitability through
- Tolerance for price policy price incensement
- Technological level - existence of alternatives
- Protectability of know how 4. Environment situation
- Intensity of investments
- Economic dependency
- Intensity / structure of competition
- Inflation effects
- Number / structure of potential
consumer - Dependency on legislation
- Entry barriers - Dependency on public
- Distribution requirements - Risk of public interference
- Variability of competition
conditions - Pollution of nature
- Substitution possibilities TOTAL 1,0
44. Market Attractiveness - Competition Advantage
Portfolio 2/3
Analysis of portfolio categories according to the criteria lists
Evaluation of market attractiveness
Coefficients Coefficients
Criteria Weigh. 0 0,1 0,2…0,8 0,9 Index Criteria Weigh. 0 0,1 0,2…0,8 0,9 Index
1 1
1. Rel. market position - Pot. increase of productivity
- Market share - Environmental friendly production
- Size and financial power -Delivery conditions
- Growth rate - Sustain market share with given
supply conditions
- Profitability
- Cost situation with energy and raw
- Risk material supply
- Market potential 3. Relative R&D potential
2. Rel. product potential - Status of research
- Process efficiency - Development compared to market
position
- Cost advantage
- Innovation potential
- Innovation ability
4. Rel. employee qualification
- License relations
- Professionalism and culture
- Adaptability
- Innovation climate
- Sustain market share with
capacity - Quality of management systems
- Location advantage TOTAL 1,0
45. Market Attractiveness - Competition Advantage
Portfolio 3/3
Display of portfolio graphic according to results of prior criteria lists
low medium high
Investment and
growths strategies
A
high
Market attractiveness
Selective strategies
medium
B
Absorption and
divestment strategies
C
low
Relative competition advantage
46. Market Segmentation
Different types and levels of market segmentation
Segmentation
Undifferentiated marketing Differentiated marketing Concentrates marketing Micro marketing
Mass Product variety Segment Nische
Individual marketing
marketing marketing marketing marketing
Products, distribution and Prices, distribution and High degree of market High specialization and It’s the highest degree of
advertisements are advertisement measures coverage serves multiple or concentration on special segmentation and external
designed the same for all are developed for different many different sub sub markets or clearly opposite to mass
customers. target groups. markets. defined customer groups. marketing.
Difference between Orientation according to Further sub divisions: Niche providers are highly Segmentation of market
separate segments are target groups creates specialized and pursuit a down to the individual
being ignored and the better approaches for the 1. Concentration to only secure market position in customer by increasing
market is served with one determination of market one segment procurement. individualization tendency
offer. chances. 2. Selective specialization and technical progress.
3. Product specification
4. Market specialization Customized mass
5. Complete segment production
coverage (Mass customization /
One-to-One-marketing)
Broad target group Narrow target group
approach approach
47. Segmenting-Targeting-Positioning (STP-Model)
Three steps to target group oriented marketing
Market segmentation Target market determination Positioning
Determination of Development of assesment Development of a lasting
1 segmentation variables/
segmentation of Market
guidelines for the determination of
attractiveness. Finally the selection
competition position and
determination of tasks and
and concentration on one or more performance program for selected
Development of segments. target segments.
2 resulted
segment profile
Estimation of
3 attractiveness of each
Segment
4 Selection of target
segments
Zoning of market in clear
defined target groups / Customer
groups with own products and
marketing-mix.
5 Development of possible
positioning concepts
Selection and
6 Communication of
positioning concept
Time
48. Segmenting-Targeting-Positioning (STP-Model)
Three steps in the process of market segmentation
Segmentation Targeting Positionierung
Determination of segment
variables Analysis of estimation Designing of a possible
of attractiveness of positioning concept
Definition and segmentation of each segment
the market Selection and
Selection of target communication of
Development and description of segments positioning concept
resulting segment profiles
49. Customer Segmentation
Differentiation and description of target groups
Customer segment X
Characteristics: Feature A
…
…
…
Core motive:
Customer segment Y
Characteristics :
…
… Feature B
…
Core motive:
Individual
Customer segment Z
Characteristics :
…
…
…
Core motive:
50. Market Entry Barriers
Institutional and behavior dependent market entry barriers
Market entry barriers
Behavior dependent market
Institutional market entry barriers entry barriers
Tariff barriers Non-tariff barriers Market side barriers Company side barriers
Tolls Import quotes Demand behavior Information availability
Psychological distance
Capital flows limitations Language / culture
of management
Minimum /maximum prices Distribution systems
Administrative
Local content regulations
constrains
Norms / standards
Self limitations
51. Values and Lifestyles (VALS)
System of lifestyle-typology of consumer
VALS Typology
Values and Lifestyles (VALS)
Extroverts Notleidende Introverts
Achievers Sustainers Socially-Conscious
Emulators Survivors Experimentals
Belongers I-am-me s
52. Competitive Advantage
Representation of the thre influencial factors customers, organization
and competition
Expectation on the
product and benefit
Competitive
advantage
53. Market Research - Process Scheme
Separation of market research process in five phases
Definition Phase Data Collection Phase Documentation Phase
Dokumentations-
Problem definition and Presentation of results
phase
development of survey Research report distributer
Präsentation der Ergebnisse
targets Topic of research Forschungsbericht Verteiler
D1 D2 D3 D4 D5
Designphase Data analysis phase Marketing
Fixation of target groups Evaluation of data decision
Selection of research methods Interpretation Recommendations
and instruments Prognosis that influence
Organization (time/cost) decisions
Sources for data
54. Sales Orientation vs. Marketing Orientation
Comparison
The sales orientation
Initial point Main focus on Measure Target
existing existing advertisement, profit through
production products sales promotions high revenue
The marketing orientation
Initial point Main focus on Measure Target
long term profit
actual customer integrated expectation through
the markets
requirements marketing approach sustainable satisfaction
of customers
55. Competition Strategies
Differentiation between cost leadership, time leadership and quality leadership
Cost leadership Time leadership Quality leadership
Causing lower costs than Choice of time of market Determination and
competitor i.e. though entry. implementation of technical
production of large amounts Previous development time, improvements and product
and low priced procurements. handling time and production improvements with the target
Mostly this doesn’t require a time are important here. to always provide the best
large market share. quality on the market.
56. Competitive Advantage - 5 Principles
A competitive advantage over the competition is a superior performance
or property
A distinction is made between five principles:
Principle of Opportunity Perceptual Concentration Consistency
survival principle principle principle principle
At least one strategic Creating competitive Only competitive At least one strategic Focus on strategic
competition advantage advantages through advantages that the competitive advantage competitive benefits
must be present important competitive customer subjectively must be present which are most
(long term). parameters. perceives count (not (long term). important for
(the more the greater technical advantages). the customer.
the chance)
57. Competitive Advantage - Advantage Matrix
Representation of the relationship of competitive advantages and quantities
Volume has no /or
Volume has great advantages
small advantages
Many Niche business Special business
competitive
advantages (Restaurants, consultants) (Journals, instruments)
Only a few Patt-business
competitive Volume business
advantages (Basic materials chemistry, standard
(PC's, IC's)
possible paper)
58. Competition Strategies
Representation of coherences between competitive advantages and amounts
+
Cost leader Benefit leader
Profitability
- ? +
-
Cost leader and benefit leader require singularity characteristics
otherwise they lose their leading positions.
60. Competition - Driving Forces
The five driving forces of sector competition (according to Porter)
Potentially new
competitors
Threat of new
competitors
Bargaining power
of suppliers Competitors in the
industry
Suppliers Buyer
Rivalry among existing
companies Bargaining power
of buyers
Threat of substitution
products or services
Substitution
products
65. Marketing 4P‘s
Enter your subheadline here
4Ps
Product Price Promotion Place
Main usage Conditions Advertisement Strategic distribution/ sales
Physical
Side usage Rebate Sales
distribution/logistics
Additional usage Discount Sponsoring Location
Brand Leasing Sales promotion
Content Event
Quality PPR
Packaging
66. Marketing Mix - 7P Classical instruments
Classical and new instruments New instruments
Product policy
„product“
Process policy Price policy
„process“ „price“
Distribution policy Equipment policy
„place“ „physical facilities“
Personnel policy Communication policy
„personnel“ „promotion“
67. Marketing Mix
Example with individual factors
Brand name
Slogan Logo
Product design /
ad campaign packaging
Brochure /
Corporate design
Sales Training
Brochures / Product
Press conference
presentation
Reseller discount Businesspaper
Give-Aways Website
68. Marketing Mix (4P‘s)
Components of the marketing mix
Product policy Price policy Communication policy Distribution policy
Product innovations Price Media advertisement Distribution systems
Product improvements Price deductions Sales promotion Sales organs
Product differentiation Rebates and discounts Direct marketing Logistic systems
Marking Delivery conditions Public relations
Naming Payment conditions Sponsoring
Service performance Personal communication
Assortment planning Fairs and exhibitions
Packaging Multi-media communication
Employee communication
Marketing mix
Sub-markets and customer groups
69. Service marketing (from 4P’s to 7P’s)
Comparison of 4P´s and 7P´s
4 P‘s of the classical 7 P‘s of the
consumption goods marketing service marketing
advertisement product
product
positioning employees
advertisement price
positioning physical
price facilities
process
management
70. AIDA- Model
Step model in 4 phases (Phases could variy)
A I D A
Attention Interest Desire Action
Attract the The customer is The desire for The cusomer
customer‘s interested in the the product is probably
attention product awakened purchases
71. AIDA - Action Principle
The stage model includes four phases the Customer goes through in order to
make the purchase decision
Physical reaction Action
(economical) The customer buys the product
The desire for the product
Desire
is awakened (demand)
Psychological reaction
(pre- economical) The customer is interested in
Interest the product
Attention of the customer
Attention for the product is excited
73. Diamond-Model - National Competitive Advantages
Thesis to assess the competitive abilities of states in terms of individual industries
(according to Porter)
Coincidence Strategy, structure and
competition
Factual conditions Demand conditions
Related and supporting
industries Government
74. Porter‘s Five Forces Analysis
Enter your subheadline here
New Competitors
Threat of new competition
Competition on relevant
Bargening power Bargening prower
market = rivalry among
of supplier competitors of customer
Substitution products
= threat of substitution
75. Five Forces
Five (+1) competitive forces according to Porter (supplement through stakeholder)
Potentially new competitors Potential further stakeholder
threat through new competitors Potential bargaining power and the
ability to intervene in the industry
events
Competitors/
rivalry between
industry suppliers
Suppliers Customer
bargaining strength of bargaining power of customers
suppliers
Substitute products
threat through substitute products or services
76. S-Curve Concept - Life Cycle
Representation of the life cycle of technology in the course of time
Basic technology
Pace setting
technology
time
development phase growth maturity age phases
Life cycle of a technology
78. Differentiation - Strategic Marketing
Position of the strategic marketing between strategic management and marketing
management
79. Conception Phases of Marketing
Enter your subheadline here
Situation Analysis
1
Marketing Control 7 2 Marketing Objectives
Implementation /
6 Customer 3 Marketing Strategy
Realization
Marketing Instruments/ 5 4 SBU-Planning
Marketing-Mix (Strategic Business Units)
80. Marketing - Communication Policy
Ten-step model of marketing communication
Measure effect Step 10
Apply communication measures
Step 9
Pre- test, Control of effect, return result to step 7, to apply
Step 8
Return result at 5-9
improvements
Plan separate communication measures Improvements
Step 7
and corrections
Budgeting and media selection (selecting advertising media) Step 6
Step 5 Develop communication strategy
Step 4 Define communication targets and target groups
Step 3 Derive marketing
targets
Step 2 Agree on company objectives
Step 1 Situation analysis and prognosis for the company
81. Four Codes of Brand Communication
Communication model that implies that there are three more codes next to
language responsible for concrete meaning
Meaning
Language History Symbols Sensorics
Style Tell stories Protagonists Sensorial experience
Rhetoric Show episodes Figures Stimulation of senses
Wording Places of action Noises / colors
Shapes / haptics
Only the interaction of these four Codes makes the brand
communication sustainably successful
82. Core Competences / Product Pyramid
Core competences as a base of the product pyramid, which are not easily adapted
by other companies and therefor improve the benefit of the end product
End product
Core product
Core competences
BASE
are
valuable rare difficult to not sub- strength-
immitate stitutable ened the
more they
are used
83. Marketing Strategy - Influencial Factors
Influencial factors
Organizational Attitude to
objectives and change and risk
resources
Marketing
Strategy
Competitor Market structure
strategies and opportunities
84. Marketing Strategy
Marketing as market-oriented business management / business strategy
Procurement Strategy
Research and Business Strategy Production Strategy
Development Strategy Quality Strategy
Human Resources Strategy
85. Elements of Marketing Concept
Connection between the separate elements and their logical process structure
Wishes, requirements Offer of products
and demands and services
Elements
Markets Customer benefit and
customer satisfaction
Exchange, transactions and relations
86. Market Areal Strategy
Determination of geographic coverage
Market areal strategies
Inter- Multi-
Local Regional National Global
national national
Process of geographic expansion
87. Market Simulation Strategies - Stuck in the Middle
Placeholder for own Subheadline
Performance II: Preference strategy
IV: Advantage high
strategy Outpacing strategy
Outpacing
strategy
„Stuck-in-the-Middle“
low high
Price
Security
distance
I: Over reaching strategy
III: Price /
Amount strategy
low
88. Marketing Strategy - Strategic Triangle
Integrated marketing strategies include the strategic triangle of company,
customer and competitor
Customer
Competitve advantage
Own
Competition
Company
89. Marketing Strategy - Strategic Pentagon
According to Ohmae 1992
Customer
Government Currency
Company Competitor
90. Innovation - Demand Pull and Technology Push
Interplay between both strategies
Company Market
91. Media Strategy - Dimensions
Analysis and visualization of the six most important parameter of media strategy
Percentage of the
reached target group
Range
Design of advertising Frequency of addressing the
(for instance: color) and their target persons
placement Impact Contacts
Dominance Intensity
Size, formats, advertising and The number of applied media
spot lengths (Media mix)
Repetition
Frequency and timely intervals
of the contacts
92. Marketing Strategies
Strategies according to individualization degree and customer relation
Level of individualization of a product
Customized Marketing Individual Marketing
high
individualization customer individual
of product market development
Mass-Marketing Relationship Marketing
low
standardized Individualization of
market development customer relationship
low high Individualization degree
of customer relationship
93. Strategic Marketing
Questions and Marketing
Where? How? When?
What is the central When will the company
In which market is the
orientation of the become active on
company active?
marketing strategy? the market?
Concentration of company's Conscious selection of markets Determination of market entry
activities on particularly attractive and definition of future strategies time in compliance of the previous
and promising markets with long-term orientation development and production effort
94. Marketing Orientations
Orientation of the company on the turnover market
Starting Point Medium Objectives
“ Produce as much
Expansion /
rationalization of Profit on increased
Products/ Performance
production and
procurement
volume
as you can. ”
Production orientation (seller‘s market)
Products/ Performance
Sales-political Profit on accordant “ Write off what
instruments volume
you‘ve produced. ”
Sales orientation (saturation tendency)
Market-
research Bundle of Profit on long-term
Customer wishes marketing satisfaction of “ Produce what you
measures customers
can write off. ”
Market orientation (buyer‘s market)
95. Cost Leadership
The strategy of a company to reach sustainable competitive advantage be low
costs is differentiated in 8 methods
Economies of scale Economies of scope Experience effects
Economies of learning Product design Process design
Residual effects
Capacity utilization Input-Costs the operational
effectiveness
Cost leadership
96. Differentiation Strategy
The strategy of a company to differentiate themselves positively from the
competition from the customer’s point of view is separated in 6 different methods
Price Image Support
Design Quality Not differentiated
Differentiation Strategy
97. Market Field Strategies according to Ansoff
Ansoff-matrix with the representation of product-market-strategies
Markets
Products/ Existing New
Performance
Market penetration Market development
Market presence Internationalisation
Existing
Market suppression Market segmentation
Product development Diversification
Product innovation Vertical diversification
New
Product differentiation Horizontal diversification
Lateral diversification
98. Market Area Strategies
Basic principles for market areas / market development
International Strategies
Multinational market
International market
World market
National Strategies
Local market
Regional market
Cross regional market
National market
99. Marketing - STP-Strategies
Strategies of market davelopment
S T P
Segmenting Targeting Positioning
Market segmetation, Segment evaluation, Positioning versus Differentiation.
segmentation criteria to target market determination Establishment of a competition
divide the markets and target group position in each target segment.
into clearly defined determination. Selection of Selection and communication of
customer groups the most attractive market a concept
segments
100. Competition Strategies
Matrix for the devision and basic concept of competition strategies
Overall market
Differentiation strategy Cost leadership
• performance/quality • price/costs
Degree of competition
• uniqueness • standard product
Differentiation focus Cost focus
• specific need • limited need
• relatively price-inelastic • price elastic
Sub-market
Performance advantage Cost advantage
Competitive advantage
101. Competition Strategies
Matrix for the devision and basic concept of competition strategies
Overall market
Strategy of quality Strategy of aggressive
leadership cost leadership
Degree of competition
Strategy of selective Strategy of selective
Quality leadership Cost leadership
Sub-market
Performance advantage Cost advantage
Competitive advantage
102. Competition Strategies
Matrix for the devision and basic concept of competition strategies
Strategic
advantage Singularity from
Cost advantage
Strategic customers perspective
target object
Extensive
Industry wide differentiation cost leadership
Limitation to one segment Focusing
103. Market Field Strategies according to Ansoff
Ansoff-matrix with the representation of product-market-strategies
Product
Existing New
Market
Existing Market penetration Market development
New Product development Diversification
104. Norm Strategies - McKinsey/GE
Enter your subheadline here
Market-
attractiveness Specializing in few
Fight for the market
strength Maximum investments
leadership
high
Overcoming weaknesses Concentration on Invest
Usage of strength
Retreat when missing preservation of existing Develop
Strengthening of poorly strength
signs for continuous
performing areas
growth
Search for low risk High investments in
Defending of position
medium
expansion possibilities attractive segment Devest
Minimizing of investments Concentration of Defense against Develop
investments of attractive competitors
Rationalizing of internal and low risk areas
processes Increasing productivity
Defense of position in Realization of profit Selective action
Sales with increasing
most profitable area Concentration of most Profit priority
profits
low
Improvement of product attractive segments
Reduction of fixed costs
line Defense of existing
No investments
Minimizing investments strength
Competitive
strength
low medium high
105. Norm Strategies - McKinsey/GE
Matrix of norm strategies (threefold division of axis )
Keep
High Investment or retreat Investment
market leadership
Market attractiveness
Absorption and
Medium Transition Growth
gradual divestment
Absorption and gradual
Low Divestment Absorption
divestment
Low Medium High
Relative competitive advantages
106. Market Growth
Representation of market sizes, like market potential, market volume and market
growth in the course of time
Amount / Value Market Potential
6 Sales Volume Provider A
Sales Volume Provider B
5
Sales Volume Provider C
4 Sales Volume Provider D
3
2 Market Volume
1
0 Time
Period 1 Period 2 Period 3 Period 4
107. Outpacing-Strategie
Increase in profitability by maximizing quality (high customer benefit) and cost
reduction
high
Cost reduction
Target of
Offer differentiation
outpacing
Quality/
Customer benefit
Innovator
Follower
low
expensive cheap
Price / Costs
108. Innovation Strategies - Innovation Pentagram
A tool of innovation management
Motive: Which motive
targets the innovation?
Business system:
With what kind of Advantage: What kind of
business system advantages does the
is the innovation innovation provide?
implemented?
Timing: When are we Revenue model: How is the
applying these measures? revenue generated?
110. Internationalization Strategies
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Integration advantage
Global Transnational
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low
International Multinational
marketing marketing
low high
Differentiation advantage
112. Marketing Management - Process
Representation of the ideal type process of marketing management
Analysis phase Marketing situation analysis
Determination of market segments and marketing targets
Four classic phases
Definition of marketing strategy
Planning phase
Determination of marketing budget
Determination of marketing measures
Implementation phase Implementation of marketing measures
Control phase Control of marketing results
113. Marketing-Planning Process
Marketing as a process devided in the five steps of market analysis, marketing
objective, strategy, marketing instruments and success control
Market analysis Where are you?
(actual-condition) What is the initial situation?
Marketing targets
Wher do you want to be?
(establish objectives)
Marketing strategy How will you reach your objectives?
Marketing instruments Which instruments will be used?
Success control Analysis of the difference between target and result
114. Marketing Targets
Economic and non-economic objectives of a business
Economic marketing targets Non-economic marketing targets
Close connection to general Connecting to mental processes of
economic company objectives buyer (purchase behavior)
revenue / profitability customer retention
profit contribution / Return-on-Investment customer satisfaction
growth (revenue/sales/profit) name recognition
rationalizing attitude (image / sympathie)
capacities repurchase rate
security (risk distribution) level of distribution
market position /market share effects of knowledge
strength of purchase intention
115. Goal criteria − SMART
The 5 criteria that define a goal so that it can be used in project management
Specific Measurable Attainable Realistic Time-bound
Objectives have A goal It should be The objective The goal has to
to be specific achievement attractive for the needs to be set within a
and positively should be project team to achievable in a time frame.
described. measurable. reach the goal. realistic way.
116. Marketing Objectives - Target Pyramid
Placeholder for own Subheadline
Corporate Retention of the economic and legal independency, increasing
objectives
development of flexibility
Marketing Financial Increase in sales, improvement of
objectives target company image
Price Communication Distribution Preparation of contract conclusions
policy target target target
PR- objectives Exhibition objectives Advertisement Managing customer data, raise purchase
objectives interest, increasing popularity of brand
117. Marketing objctives / Hierarchical levels of objectives
Objective system in form of a hierarchy
Object of the company
Company objective
Function targets
Marketing targets are
function targets
Instrumental target
Levels of objectives and
marketing instruments
118. CR-Marketing - Target Hierarchy
Operative and strategic main and sub objectives
Company related
sub-objectives
- Positioning on the market
Corporate
- Employee loyalty
objectives - Employee motivation
- Innovation
Profit / Yield Customer related
sub-objectives
-Customer contribution margin
Marketing overall targets - Customer loyalty
Costs / Productivity /
Revenue / Sales
- Customer satisfaction
- Perceived performance quality
120. Marketing Plan
Process to create a marketing plan
Objectives and Indicators Strategy Implementation (Marketing
• Strategic and operational objectives Mix)
Financial objectives • Product and pricing policy
Market-and customer-related • Communication and distribution
objectives policy
3. Strategy
1. Analysis 4. Mix 5. Control
2. Target
Strategic Analysis Strategy Selection and Combination Success Control (progress and results)
• Market and environment • Competitive strategies • Effectiveness of marketing tools
analysis • Portfolio strategies • Performance of the people involved
• Customer and competitor • Positioning strategies • Profitability of the chosen
analysis • Innovation strategies products, markets and (customer
success estimation)