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15-1
Chapter
Fifteen
Marketing
Strategy
Implementation
and Control
McGraw-Hill/Irwin © 2006 The McGraw-Hill Companies, Inc., All Rights Reserved.
15-2
Marketing Strategy
Implementation and
Control
 The marketing plan
 Implementing the plan
 Strategic evaluation and
control
 Performance criteria and
information needs
 Performance assessment
and action
15-3
The Marketing Plan
 How the marketing plan
guides implementation
 Contents of the marketing
plan
 Managing the planning
process
15-4
MARKET
TARGET(S)
OBJECTIVES
PROGRAM
POSITIONING
STRATEGY
Marketing Strategy Overview
15-5
Exhibit 15-1
Marketing Planning Relationships
MARKETING
STRATEGY
Annual
Marketing
Plan Implementation
Evaluation
Revision
Annual
Marketing
Plan
15-6
Contents of the
Marketing Plan
(Sonesta Hotels Example)
I Introduction
II Marketing Position
III The Product
IV Marketplace Overview
V The Competition
VI Marketing Data
VII Strategy by Market Segment
VIII Advertising
IX Public Relations
X Summary
15-7
Dimensions of
Planning Process
Marketing
Planning
Process
Analytical
Process
Dimension
Behavioral
Process
Dimension
Organizational
Process
Dimension
Techniques
Procedures
Systems
Planning Models
Managerial
perceptions
Participation
Strategic
assumptions
Structure
Information
Culture
Process
Consistency
15-8
Implementing the
Plan
 Implementation process
 Improving implementation
 Internal marketing
 A comprehensive approach to
improving implementation
 Internal strategy-structure Fit
 Developing a market orientation
 The role of external
organization
15-9
The Implementation Process
Activities
to be
implemented
How
implementation
will be done
Responsibility
for
implementation
Time and
location of
implementation
15-10
Improving
Implementation
Skilled
Implementers
Incentives
Organizational
Design
Effective
Communications
Improving Implementation
Internal
Marketing
15-11
Internal Marketing
Strategy
Plan
External
Marketing
Program
Internal
Marketing
Program
Internal Marketing
Program:
Targeted at key
groups in the
company, alliance
partner companies,
and other influencers
External Marketing
Program
Targeted at key
customers, segments
and niches, and other
external influencers
15-12
BALANCED
SCORECARD
MANAGEMENT
CONTROL
SYSTEM
Financial
Measures
Internal
Business
Process
Measures
Customer
Measures
Learning
and
Innovation
Measures
Comprehensive Approach to
Improving Implementation
15-13
Factors Affecting the Implementation
of Business and Marketing Strategies
Source: Harper W. Boyd, Jr., and Orville C. Walker, Jr., Marketing Management (Burr Ridge, IL: Richard D.
Irwin, 1990), 826.
Corporate
strategy
External
environment
Corporate-SBU
relationship
SBU’s
organization
structure;
interfunctional
coordination
processes
SBU’s
strategy
ManufacturingR & D Finance Marketing
policies and
strategies
Marketing
plans for
individual
product-market
entries
SBU’s
performance
15-14
Strategic
Evaluation and
Control
 Customer relationship
management (CRM)
 Overview of evaluation
activities
 The strategic marketing
audit
15-15
Data Mining and CRM
 Victoria’s Secret - Data
mining to improve inventory
decisions
 Music company - People over
62 buy rap music
 Wal-Mart - Data mining so
each store adapts
merchandizing to local
preferences
 AT&T - CRM data to identify
profitability of individual
customer and adapt service
levels
15-16
Find New
Opportunities
or Avoid
Threats
Solve
Specific
Problems
Keep
Performance
on Target
Evaluation Activities
15-17
Strategic Marketing Evaluation
and Control
Conduct strategic
marketing audit
Select performance
criteria, measures, and metrics
Obtain and
analyze information
Assess performance
and take necessary
action
15-18
Strategic Marketing
Audit
 Corporate Mission and
Objectives
 Business Composition and
Strategies
 Marketing Strategy (for each
planning unit)
 Marketing Program Activities
 Implementation and
Management
15-19
Performance
Criteria and
Information Needs
 Selecting performance
criteria and measures
 Marketing metrics
 Obtain and analyze
information
15-20
Marketing Metrics
External market metrics
Financial measures Sales value/volume
Marketing investment
Profit
Brand equity Relative satisfaction
Commitment
Relative perceived quality
Relative price
Availability
Internal Market metrics
Innovation health Strategy
and employee Culture
alignment and Outcomes
commitment
Source: Tim Ambler, Marketing and the Bottom-Line, 2nd
ed., Hemel Hempstead:
Prentice-Hall, 2003.
15-21
Performance
Assessment and
Action
 Opportunities and
performance gaps
 Determining normal and
abnormal variability
 Deciding what actions to take

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Chap015