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Adopting a New MO: Meeting Patron Needs and Transforming Libraries Through Market Orientation


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Adopting a New MO: Meeting Patron Needs and Transforming Libraries Through Market Orientation

  1. 1. Adopting a New MO: Meeting Patron Needs and Transforming Libraries through Market Orientation<br />Matthew P. CiszekPenn State University Libraries<br />ALCOP Conference – October 9, 2011<br />
  2. 2. Marketing Concept and Market Orientation<br />Central to the field of marketing is the marketing concept:<br />“The marketing concept advocates starting with customer needs/wants, deciding which needs to meet, and involving the entire organization in the process of satisfying customers” (Cravens and Piercy, 2006)<br />Market orientation is a measure of the adoption of the marketing concept by a firm or organization<br />Non-profit organizations must first develop a marketing culture – a set of shared values that support marketing activities – in order to ensure a market orientation<br />
  3. 3. What is Market Orientation?<br />“Gaining a sustainable competitive advantage by creating a consistently superior offering for customers” (Harrison and Shaw, 2004)<br />“Achieving business value through a clear understanding of the customers, the organization, and the wider business environment” (Sen, 2006)<br />“Adoption by an organization of a customer focus…starting with customer needs/wants, deciding which needs to meet, and involving the entire organization in the process of satisfying customers” (Parker, Kaufman-Scarborough, and Parker, 2007)<br />
  4. 4. MO as defined in Library and Information Studies<br />No universal definition of market orientation in the library literature<br />Confusion over the terms “market orientation” (strategic focus) and “marketing orientation” (promotional and activity based) in librarianship<br />Lack of understanding and development of the marketing concept in library and information organizations<br />
  5. 5. Marketing misconceptions<br />Library literature focuses heavily on the functional aspects of marketing – the how<br />No focus on marketing as a long-term strategic perspective<br />Only two of the “Four Ps” are explored<br />Product (collections and services) and Promotion (how we communicate and advertise)<br />Price (exchange of value) and Place (distribution)<br />No value is exchanged because no money is exchanged<br />Seen as an afterthought and not central to our core functions, collections, and services<br />
  6. 6. Market Orientation Models<br />Kohli and Jaworski (1990):<br />MO is measured by three sets of activities:<br />Organization-wide generation of market intelligence pertaining to current and future customer needs<br />Dissemination of the intelligence across departments<br />Organization-wide responsiveness to the intelligence<br />Activity focus with an operational outlook<br />
  7. 7. Market Orientation Models<br />Narver and Slater (1990):<br />Three components:<br />Customer orientation: Sufficient understanding of customers to be able to create superior value continuously <br />Competitor orientation: Understanding of the short-term strengths/weaknesses and long-tem capabilities/strategies of key competitors<br />Inter-functional coordination: Coordinated utilization of resources in creating superior value for customers<br />Strategic and cultural focus<br />
  8. 8. Development of MO in Libraries<br />Savard (1996)<br />Studied the market orientation of Quebec library managers<br />Importance of marketing in libraries was high<br />Libraries must move from a product-oriented focus to a customer-oriented one<br />Harrison and Shaw (2004)<br />Library staff attitudes and how these support or resist the adoption of a marketing culture<br />Marketing needs to be more strategic and holistic with buy-in from entire organization<br />Investigated public libraries in Australia<br />
  9. 9. Development of MO in Libraries<br />Ewers (2004)<br />Case study of the Queensland University of Technology in Australia<br />MO is more than “skin deep” – with a total focus on organization’s planning and operations<br />Sen (2006)<br />Two articles on health and arts libraries in the UK<br />Familiarity with MO and the value/relevance MO has as a strategic option for library managers<br />Library professionals gravitate toward the Narver/Slater model of MO<br />Libraries need to develop a focus on the competitive environment and dissemination of intelligence<br />
  10. 10. Development of MO in Libraries<br />Parker, Kaufman-Scarborough, and Parker (2007)<br />Library staff attitudes toward MO<br />Large sample of respondents (623) from NJLA<br />Library managers must make marketing a priority for MO to take place<br />Aharony (2009)<br />Explored relationship between library staff attitudes toward marketing and MO<br />Survey of 156 Israeli librarians<br />Link between personality traits and marketing, but all library staff should be exposed marketing concepts<br />
  11. 11. Development of MO in Libraries<br />Singh (2009)<br />Why are some libraries more market oriented than others?<br />Finnish academic and research libraries<br />MO of a library is a significant determinant of service performance<br />Stronger MO results in higher customer satisfaction<br />Developed a model of marketing approaches in different library cultures<br />
  12. 12. Marketing Approaches of Different Library Cultures (Singh, 2009)<br />Reactive<br />Library Focused<br />Customer Focused<br />Proactive<br />
  13. 13. Marketing culture and Libraries(Singh, 2009)<br />Slow Walkers<br />Marketing = disseminating information<br />Marketing does not have much to do with libraries<br />Reactive measures used to meet customer needs<br />Brisk Runners<br />Marketing = promotion<br />Building relationships with customers is most important<br />Some proactive measures taken<br />High Flyers<br />Marketing = identifying and meeting customer needs<br />Customer is at the center of all activities<br />Highly proactive and strategic organization<br />
  14. 14. How can MObenefit libraries?<br />An organization’s MO has been proven in the literature to have a positive effect on profitability and customer satisfaction<br />MO can be used as a means to investigate and develop new resources and services to meet customer needs<br />MO can also be used to compel libraries to monitor and respond to competition in the information services environment<br />Libraries with a higher degree of MO are better equipped at responding to environmental change<br />
  15. 15. How can MObenefit libraries?<br />Singh (2009) <br />Found a positive relationship between MO in libraries and the level of customer satisfaction<br />Libraries acquire the tools necessary for continuously improving library services and collections as a result of adopting a MO<br />Positive connection exists between marketing attitudes and behavior<br />Positive marketing attitude of library leadership is key for market oriented behavior in the library<br />
  16. 16. How can MObenefit libraries?<br />Aharony (2009) reports that adopting a MO can assist libraries in remaining competitive in the changing world of information providers<br />Sen (2006) argues that libraries must focus on the competitive environment in order to stay relevant<br />Sen (2006) suggests that the dissemination of competitive intelligence can allow libraries to more effectively target users and manage appropriate services and resources<br />Harrison and Shaw (2004) suggest that MO can compel library staff to perform routine marketing-related activities in order to gather intelligence on customer needs and competitors<br />
  17. 17. Case Study – Emory University (Elder, Forrest, & Thomas, 2005)<br />Organizational redesign of library into market councils, each focusing on a segment of users<br />“The market councils are responsible for ensuring that the library’s functional units and processes are aligned with the needs of a particular subset of users, by paying attention to the relationship between the library and the user, and by promoting the services and resources of the library.”<br />Library became more customer-driven as needs of users were being investigated and services and resources developed<br />Resulted in increased service to segment populations and better customer service<br />
  18. 18. Future research<br />Research on MO in library and information must be refined and replicated over time – much of the research at this time is exploratory<br />A scale to measure MO in libraries needs to be developed and applied replicating methodologies that have been used in other non-profit organizations<br />Additional research is necessary to understand the barriers to adopting MO in libraries and address areas of weakness in strategy, marketing, and management of library services<br />
  19. 19. Questions?<br />
  20. 20. Thank You!<br />Thank you for attending this presentation!<br />Slides and references handout are available at<br />Presenter can be contacted at<br />