2011 Strategic Hypermarketing for the 21st century Filipino 092811

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Strategic Hypermarketing for the 21st Century Filipino to Allow them to Survive and Thrive the Disasters of Change

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2011 Strategic Hypermarketing for the 21st century Filipino 092811

  1. 1. Strategic Hyper Marketing for the21st Century Filipino (Survive and Thrivethe Disasters of Change)Prof. Remigio Joseph De Ungria Jr. Certified Digital MarketerAteneo Graduate School of Business
  2. 2. My strategic marketing perspective:17 of Ateneo’s 151 years
  3. 3. Since 1994, Active Engagement in…Industry by day, Academe at night
  4. 4. What will OUR story tell?A. Past natural disastersB. Major business disasters for last 24 yearsC. 4 Fearless PredictionsD. 4 Strategic Recommendations to Survive and ThriveE. 5 Concluding Notes
  5. 5. What will OUR story tell?A. Past natural disastersB. Major business disasters for last 24 yearsC. 4 Fearless PredictionsD. 4 Strategic Recommendations to Survive and ThriveE. 5 Concluding Notes
  6. 6. Everyday news report everyday disastersEarthquake Bad things thatTsunami happen to usFloodsViolent Crimes Bad= somethingClimate Change we don’t want 7
  7. 7. 4 Characteristics of a disaster:1. Worse off after it happens2. Often unexpected3. Life changes as we know it4. Affects us & our loved ones
  8. 8. 4 Characteristics of a disaster:1. Worse off after it happens2. Often unexpected3. Life changes as we know it4. Affects us & our loved ones 2012: The Movie The actual disaster was Greater, wider, faster than the prediction. But more survived than expected
  9. 9. How did Typhoons Ondoy and Pepeng affect you?Me- 2 feet of water- P15,000 damageA relative and 2 officemates- lost 200k to 2 M worth of property accumulated over many years; flooding of 2 days to 2 months
  10. 10. How did Typhoons Ondoy and Pepeng affect you?P 212 Billion to repair and rehabilitate- Dr. Yumul, PAG-ASA
  11. 11. Personal lessons from OndoyJust because it did not happen in the last 25 years, does not mean it won’t.Disasters happen when we least expect it & at worst possible time.Past performance does not guarantee future results (typical financial planning advise) 12
  12. 12. Remember Mt. Pinatubo?An inactive volcano for hundreds of yearsAfter its eruption 1. Ash clouds that caused global COOLING 2. Drove out the US bases 3. Instantly wiped out villages 4. Continued destruction years after
  13. 13. What will OUR story tell?A. Past natural disastersB. Major business disasters for last 24 yearsC. 4 Fearless PredictionsD. 4 Strategic Recommendations to Survive and ThriveE. 5 Concluding Notes
  14. 14. “Disasters” also happen in business..1. Lay-offs Why disasters?2. Downsizing3. Rightsizing Lost jobs4. Outsourcing5. Sub-contracting Lost income6. Regionalization Affected workers7. Globalization and their families8. Recession9. Deregulation 15
  15. 15. “Disasters” also happen in business..1. Lay-offs Why disasters?2. Downsizing3. Rightsizing Lost jobs4. Outsourcing What’s the Differenceincome Lost5. Sub-contracting Between6. Affected workers Regionalization A RECESSION And their families and7. Globalization A DEPRESSION?8. Recession9. Deregulation 16
  16. 16. “Disasters” also happen in business..1. Lay-offs Why disasters? RECESSION2. Downsizing Is when3. Rightsizing Your neighbor Lost jobs Loses his Job.4. Outsourcing5. Sub-contracting Lost income DEPRESSION?6. Regionalization Affected Is when workers I lose my Job.7. Globalization and their families8. Recession9. Deregulation 17
  17. 17. What I saw happen to Filipino companies 1994 to 20111. Shutdown/ sub-contracted2. Shutdown/ imported3. Downsized/ competed globally4. Sold to multinationals/ rightsized5. Shutdown/ regionalized6. New companies opened and thrived
  18. 18. Compare Top 10 corporations revenues/ profits in 10 years 1996 20061.NPC 75B/ 6B 1.San Miguel 250B/ 10B2.Meralco 58B/ 5B 2.Petron 213B/ 6B3.Petron 55B/ 4B 3.Meralco 190B/ 13B4.Shell 48B/ 3B 4.TI 170B/ 5B5.San Miguel 37B/ 6B 5.Shell 157B/ 4B6.Caltex 34B/ 1B 6.PASAR 81B/ 3B7.PAL 31B/ -3B 7.Chevron 77B/ 3B8.PLDT 29B/ 7B 8.PLDT 73B/ 24B9.Nestle 28B/ 2B 9.SMART 68B/ 22B10.Texas Ins 25B/ 0B 10.Nestle 67B/ 6B Source: Philippines Top 7000 Corporations
  19. 19. 2 Players dropped out of Top 70 & replaced by non-top 70 1996 2006 1.NPC 75B/ 6B 1.San Miguel 250B/ 10B 2.Meralco 58B/ 5B 2.Petron 213B/ 6B 3.Petron 55B/ 4B 3.Meralco 190B/ 13B 4.Shell 48B/ 3B 4.TI 170B/ 5B 5.San Miguel 37B/ 6B 5.Shell 157B/ 4B 6.Caltex 34B/ 1B 6.PASAR 81B/ 3B 7.PAL 31B/ -3B 7.Chevron 77B/ 3B 8.PLDT 29B/ 7B 8.PLDT 73B/ 24B 9.Nestle 28B/ 2B 9.SMART 68B/ 22B 10.Texas Ins 25B/ 0B 10.Nestle 67B/ 6BNPC and PAL dropped out of the Top 70 Corporations in 2006.SMART and PASAR were not part of the Top 70 Corporations in 1996.Source: Philippines Top 7000 Corporations
  20. 20. Double digit revenue growth butsingle digit profit increase
  21. 21. 3 of 8 Top Corporations had >50% decline in profit %Interestingly, Chevron which shutdown its refinerydoubled its profitability and beat Petron & ShellIn profits as % of revenues. (4% vs. 3%)
  22. 22. “Changes” in Top 10 Filipino Corporations (1996 vs. 2006)1. 20% fell off Top 10 & off of Top 70 – NPC (#1), PAL (#7)2. 30% had profits decreased by 50% – SMC, Petron, Shell,3. 10%: profits decreased despite double digit revenue growth – MERALCO4. Two newcomers came out of nowhere to land in Top 10 – SMART, PASAR
  23. 23. What I’ve learned from past1. Change will happen2. Cant stop change – Earthquake, flood – Globalization, Regionalization, Technology3. Can prepare for change4. Must convert threat to opportunity
  24. 24. 2 Things 21st Century Pinoys need to survive the future…1. Strategic Marketing Plan (5-20 year)2. Financial Plan (5 - 30 year)
  25. 25. What will OUR story tell?A. Past natural disastersB. Major business disasters for last 24 yearsC. 4 Fearless PredictionsD. 4 Strategic Recommendations to Survive and ThriveE. 5 Concluding Notes
  26. 26. 1st Fearless Predictions for the 21st Century Filipino Professional1. Basic concepts remain- Perry’s ChE handbook (first published, 1934; 8th edition 2007) • My father used a 1959 edition • I used a 1981 ed • My son will use a 2015 ed
  27. 27. 1st Fearless Predictions for the 21st Century Filipino Professional1. Basic concepts remain- Philip Kotler’s Marketing Management textbook • I used a 1993 edition • 1999: 10th edition • 2008: 13th edition 28
  28. 28. 2nd Fearless Predictions for the 21st Century Filipino professional2. Global competition will dictate where jobs will beLocal production only if strategic advantage exists in: • Supply • Operations • Proximitiy to Markets
  29. 29. 3rd Fearless Predictions for the 21st Century Filipino professional3. Filipinos will remain globally competitive. Will be hired:Less for knowledgeMore for skills & ability to think beyond what eye can see – Real value creation and contribution to business and shareholder value
  30. 30. 4th Fearless Predictions for the 21st Century Filipino professinoal4. Greater chance of success if you have a strategic marketing plan
  31. 31. What will OUR story tell?A. Past natural disastersB. Major business disasters for last 24 yearsC. 4 Fearless PredictionsD. 4 Strategic Recommendations to Survive and ThriveE. 5 Concluding Notes
  32. 32. This Is IT!Four Recommendations for the 21st Century Filipino (To Survive and Thrive the Typhoons of Change)
  33. 33. 1. Think and act like a brandYOUYour expertiseYour professional career
  34. 34. 12 Principles from Marketing Plan for Life Robert Michael Fried1. Define Business- Who Am I?2. Assess Market- Capitalize on Strength3. ID PTM- Discovering Real Me4. Launch Strategy- Find Niche & Risk5. Weather PLC- Innovate Continuously6. Balance Mix- Build My Brand
  35. 35. 12 Principles for a Marketing Plan for Life Robert Michael Fried7. Expand Reach- Create My Legacy8. Campaign Ad- Reawaken Creativity9. Plan Distribution- Share Time & Energy10.Achieve Sales- Reaching Goals11.Analyze P & L- Keep Score12.Seek Opportunities- Make Dreams Real
  36. 36. Understand the power of brandingLearn from world’s #1 brandworth $ 57 Billion
  37. 37. In 2011, Steve’s estimated value = 10% of AppleSteve Jobs, personal brand = $ 6B http://cdn.slashgear.com/wp-content/uploads/2009/01/steve-jobs-3g-iphone1.jpg
  38. 38. Hyper2: High Performance, Highly Personal BrandDrive your brand with personal vision! vCOACH Rule#1: There is no such thing as it’s only business or it’s only personal. Today, it’s both business & personal ! http://cdn.slashgear.com/wp-content/uploads/2009/01/steve-jobs-3g-iphone1.jpg
  39. 39. 2. Think and act strategicallyDevelop vision and mission statementsSet annual goals.Implement 5 to 20 year plans.Align often.
  40. 40. 3. Develop portable, flexible 7 relevant skills.Love your company and your product.But, realize they may not be around 5 or 10 years from now.Only the fittest survive
  41. 41. 4. Continuously learn.Windows- has live updatesMe- learned digital marketing (internet, mobile, email) in 2010… Had to do it; else be left behind
  42. 42. Check out my learning blog…www.josephdeungria.com
  43. 43. Register @http://ilearn2012.blogspot.com
  44. 44. Tell us what you want.Then ACT by responding to invitation
  45. 45. What will OUR story tell?A. Past natural disastersB. Major business disasters for last 24 yearsC. 4 Fearless PredictionsD. 4 Strategic Recommendations to Survive and ThriveE. 5 Concluding Notes
  46. 46. Concluding Notes-1 Great Changes are happeningThe 21st centuryhas produced great challengesAnd unprecedented opportunitiesFor the world class Filipino.
  47. 47. Concluding Notes-1Some new companies have emergedwinners by changing the game
  48. 48. Concluding Notes-2 Competition & Customers are more powerful!Today’s challenges of • Globalization • Deregulation • Technological AdvancementsHave exponentially – Increased COMPETITION and, – Empowered the CONSUMER
  49. 49. Concluding Notes-3 People have lost jobs…Many Filipino and Philippine based companiesWhere local professionals used to have lifetime careers have – Closed down – Downsized/ Rightsized – Sub-contracted – Transferred to regional centers
  50. 50. Concluding Notes-4 New opportunities emergedOn the other hand, new opportunitiesRequiring the superior, differentiated competencies of a world class FilipinoHave emerged in industries like – Food – Green Technology – Energy, Power – Internet – Biotechnology
  51. 51. Concluding Notes-5 Strategic MarketingIs a MUSTFor the success of the brandWith your NAME on it.
  52. 52. What did OUR Strategic Hypermarketing story tell?A. Past natural disastersB. Major business disasters for last 24 yearsC. 4 Fearless PredictionsD. 4 Strategic Recommendations to Survive and ThriveE. 5 Concluding Notes
  53. 53. Access this lecture 24/7 @ http://hypermarketing2.com Search “Strategic Marketing” on upper right box
  54. 54. Boost your hyper2 brand @ http://ilearn2012.blogspot.com Fill out the registration form for invites to learning sessions
  55. 55. Strategic HyperMarketing for the21st Century Filipino (Survive and Thrivethe Disasters of Change)Prof. Remigio Joseph De Ungria Jr. Certified Digital MarketerAteneo Graduate School of Business

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