The document discusses the evolution of marketing from the 1920s to the 2000s, focusing on how the customer orientation has changed over time. It also provides information on different types of marketing research studies that can be conducted at different stages of a product's life cycle. Finally, it discusses how to identify a company's target market and develop an effective market strategy.

1. Brand Equity Research
Scott Smith
Brigham Young University

2. Marketing Changes…
Marketing is a set of activities designed to satisfy
the needs and wants of a market (the customer)
through an exchange process.
x 1920’s $.50 /hr avg. wage Output doubled, but consumers had
inadequate income to buy.
x 1930’s - 40’s $.66/hr avg. wage... production made products cheaper so
consumers could buy.
x 1940’s customer was the retailer or wholesaler Sales
x Late 1940’s pent up demand, shortage, made old product better,
Chemicals, electronic advances
x 1960’s Customer Orientation
x 1970’s Competitor Orientation
x 1980’s Strategic Marketing Orientation
x 1990’s Streamlining, Optimizing Market Offerings
x 2000’s Global markets, Low Price, High Tech, Off Shore Production

3. Types of Research Studies by
Stage of Product Life Cycle
Preintroduction Introduction Growth Mature Decline
Product Satisfaction Store Audits: Product New users Price
Name/package Sales/share Performance New product elasticity
Product positioning Product stocking, Sales uses Cost
Advertising copy out-of-stock, Forecasting Line extensions reductions
Market response In-store Promotion, Product Competitors’
Prices Positioning activities
Product
Tracking: availability
Awareness, Trial,
Repeat buying

4. Product and Brand
Associations
Product
Country /
Attributes Intangibles
Geographic
Area
Customer Benefits
Competitors
Name
and Relative Price
Product Class Symbol
Life Style / Use / Application
Personality
User / Customer
Celebrity / Person

5. Brand Associations
Product Attributes Intangibles Customer Benefits
Crest-Decay Prevention Bayer - Fast Acting McDonalds - Reward
Michelin - Family Safety Cadillac - Quality Snickers - Reward
Vollvo - Durability Lexis - Luxury Rational: Thick, full body
Technological Leadership Psych: Look, feel good
Relative Price Use/Application User/Customer
Premium / Quality Campbells: lunch to meal Covergirl: Young, blonde
Hotels: Bell: Reach out and touch. Revlon: Sophisticated
Budget: Motel 6 Food usage: Mabelline: ??? to smart,
Economy,: Days in start day, between meals, Cadbury, Schweppes: For
Midrange: Courtyard, H.I. between meals with when your tastes grow up
Luxury: Marriott something, lunch, Miller Lite: “Heavy
Super luxury: Hyatt Reg. supper, dinner w/ guests, drinkers” Less filling
Luxurysuite: Embassy Suite evening, weekends
Celebrity/Person Life Style/Persnality Product Class
Mike: Michael Jordan Betty Crocker: Honest, Maxim - freeze dried
Reebok: dependable, friendly, Parkay - butter
Mr. Clean, Pillsbury Dough specialist... old and 70up Uncola
traditional, out of date
Competitors Country/Geog. Area
Avis - Hertz Benehana - Japan
Pontiac - VW Rabbit Stolichnaya - Russia

6. Compliance
Top Management Gap Quality as desired
Quality Plan by Customer
Involvement Gap Realization Gap
ACTUAL
Point of Value
QUALITY
View Gap Gap
RESULT
Planning Gap Perception Gap
Quality as perceived Quality as perceived
by Personnel by Customer
Comprehension Gap

7. Identifying Your Market
Strategy
x How to Segment the Market x Benefits that customers in each
x Define the Markets for the segment derive from the
Product product: Economics, Better
x Identify Scope and Dimensions Performance, Cost
of each Market: Size, x Reasons for buying the product
Profitability by segment: Features,
x Expected Segment Growth Awareness, Price, Advertising,
Promotion, Packaging, Display,
x Requirements for success in each Sales Assistance
market x Customer Attitudes by
x Market standing with Segment: Brand Awareness,
established customers in each Brand Image Mapping
segment: Share, Pattern of x Purchase and Use Habits
repeat business, Expansion of
customer’s product use, x Product’s Life Cycle Position
Reputation

8. AVERAGE SUBJECT CONFIGURATION & VECTORS
CORR. WITH SEMANTIC DIFFERENTIAL SCALES
1 SPORTY
0.9 FRESH
0.8 300 ZX MASCULINE
0.7 EXCITING
MUSTANG PORSCHE SWIFT
0.6
CORVETTE RELIABLE
0.5 BOLD
0.4 UNCONVENTIONAL
SPORTINESS
0.3 STRONG
0.2 ESCORT
0.1
0
-0.1 SOPHISTICATED
ELEGANT
-0.2 CHEVETTE COMPLEX
-0.3 JAGUAR
-0.4
-0.5 RENAULT
-0.6 MERCEDES
-0.7 LINCOLN CADILLAC
-0.8
-1.6 -1.2 -0.8 -0.4 0 0.4 0.8 1.2 1.6
LUXURIOUSNESS

9. PRODUCT QUALITY
Dimensions of Excellence
1. Performance. How well does a drug cure an ailment, or a piece of diagnostic
equipment diagnose? A physician operate?
2. Durability. How long will the lawn mower last...any corollaries in the
health care area? Treatments?
3. Conformance with Specifications. What are the inside dimensions?
Corollaries with health care area? Standard procedures?
4. Features. Does the airline flight offer movies? How Many? MD11 business
class (6 movies x 4) Amenities in hotel or hospital...do they differ for each
area of the hospital...pediatrics Vs. medical/surgical unit.
5. The Name. Is it a name that means quality? Cars/Planes/Leather/Jewelry?
6. Reliability. Will each visit result in the same satisfaction.
7. Serviceability. Is the service system efficient, competent, convenient?
8. Fit and Finish. Does the product look and feel like a quality product?

10. Achieving a Sustainable Competitive Advantage
x Achieve differentiation in the product delivery attributes:
Price, Quality, Aesthetics, Functionality, Availability, Consumer
Awareness, Visibility, Service
x Achieve differentiation on the key buying attributes:
1, 2, or 3 attributes may be critical... Others are marginal
Quality Product and Service
Name Recognition
x Achieve breadth of attraction and depth of preference
x Achieve Capability Gap
Business Systems Gap
Positioning Gaps: Reputation, Consumer Awareness, Capability
Regulatory / Legal Gap
Organizational / Managerial Gap