Students will be able to know about- Recent techniques and strategies in marketing, Rural marketing, Industrial marketing, Global marketing, consumerism, vertical and horizontal marketing

1. UNIT-V; Emerging
concepts in marketing
Pharma Marketing Management
By: Vishal Singh (Assistant Professor, KIPS Kanpur)

2. Objective
Students will get the knowledge of the following:
★ Vertical and Horizontal marketing
★ Rural Marketing
★ Consumerism
★ Industrial Marketing
★ Global Marketing

3. Vertical Marketing
➢ Vertical marketing involves targeting a specific industry or market
segment with specialized products or services.
➢ This approach focuses on understanding the unique needs and
preferences of a particular vertical and tailoring marketing strategies to
meet those requirements effectively.
➢ By focusing on a vertical, companies can develop specialized solutions
that address the unique challenges and requirements of that industry,
ultimately gaining a competitive advantage.

4. Vertical Marketing
For example, let's consider the software industry. Within this vertical, there
are various segments such as healthcare, finance, manufacturing, and
retail.
Each of these segments has distinct needs and regulations. A company
specializing in healthcare software might develop solutions tailored to
electronic health records (EHR), patient management, and telemedicine,
while a company targeting the finance sector might focus on risk
management, compliance, and trading platforms.

5. Vertical Marketing: Objectives
1. Efficient Distribution: By streamlining distribution channels and eliminating
redundancies, vertical marketing aims to reduce costs, minimize inventory
levels, and improve overall supply chain efficiency.
2. Market Expansion: Collaborating with distributors, retailers, and other
intermediaries allows businesses to reach new markets, target diverse
customer segments, and penetrate geographical areas that may have
been previously inaccessible.

6. Vertical Marketing: Objectives
3. Enhanced Customer Service: Vertical marketing enables businesses to
provide enhanced customer service and support throughout the entire
buying process by aligning with intermediaries who have direct contact
with customers.
4. Brand Consistency: By working closely with intermediaries, businesses can
ensure that their brand message, values, and positioning remain consistent,
regardless of where and how customers interact with their products or
services.
5. Supply Chain Optimization: By fostering collaboration and coordination
between different entities, businesses can streamline processes, reduce
lead times, and improve overall supply chain performance.

7. Vertical Marketing: advantages
● Cost Efficiency:
● Market Reach
● Improved Customer Experience
● Greater Control
● Faster Time-to-Market

8. Horizontal Marketing
➢ Horizontal marketing involves collaboration between businesses that offer
similar or complementary products or services but do not directly compete
with each other.
➢ This collaboration allows companies to leverage each other's strengths and
resources to reach a broader audience or achieve mutual goals.
➢ Horizontal marketing partnerships are mutually beneficial, allowing
participating companies to leverage each other's strengths, resources, and
customer bases to achieve common objectives.
➢ By collaborating with complementary businesses, companies can access new
markets, demographics, or geographic regions that may have been difficult
to penetrate independently.
➢ Sharing marketing expenses, distribution channels, or research and
development costs can lead to significant cost savings for all parties involved.

9. Horizontal Marketing: objectives
➢ Market Expansion: One of the primary objectives of horizontal marketing is to
expand market reach and penetration by tapping into new customer
segments or geographic markets. Collaborating with other businesses allows
companies to access each other's customer bases and leverage synergies to
reach a wider audience.
➢ Product Differentiation: by offering bundled solutions, value-added services, or
unique selling propositions. By partnering with complementary businesses,
companies can create more compelling offerings that meet the diverse
needs and preferences of customers.
➢ Cost Efficiency: Horizontal marketing initiatives can lead to cost savings by
sharing marketing expenses, leveraging economies of scale, and pooling
resources for joint promotional activities. By spreading costs across multiple
partners, companies can achieve greater efficiency and maximize return on
investment.

10. Horizontal Marketing: objectives
➢ Brand Awareness and Visibility: Collaborative marketing efforts enhance
brand awareness and visibility by leveraging the combined marketing reach
and resources of participating companies. Co-branded campaigns, joint
events, and cross-promotional activities help increase brand exposure and
strengthen brand recall among target audiences.
➢ Competitive Advantage: Horizontal marketing allows companies to gain a
competitive advantage by aligning with strategic partners, leveraging
complementary strengths, and offering comprehensive solutions that
competitors may find challenging to replicate. By working together,
companies can enhance their market position and outperform rivals in the
industry.

11. Horizontal Marketing: advantages
• Increased Market Share: by leveraging the combined strengths and resources of
multiple partners.
• Enhanced Customer Value: by offering integrated solutions, personalized
experiences, and enhanced service offerings that meet their evolving needs and
preferences.
• Synergy and Innovation: by encouraging collaboration, knowledge sharing, and
cross-pollination of ideas among partners. By working together, companies can
leverage each other's expertise, capabilities, and insights to drive innovation and
create new opportunities for growth.
• Risk Mitigation: Collaborative marketing initiatives help mitigate risks associated with
market volatility, changing consumer behavior, or competitive pressures by
diversifying revenue streams and sharing market insights and intelligence among
partners.
• Cost Savings: by sharing marketing expenses, leveraging economies of scale, and
pooling resources for joint promotional activities.

12. Rural Marketing
➢ Rural marketing refers to the process of promoting and selling products
and services in rural areas, typically characterized by low population
density, agricultural-based economies, and limited access to modern
infrastructure and amenities.
➢ It involves understanding the unique needs, preferences, and
challenges of rural consumers and tailoring marketing strategies
accordingly.

13. Characteristics of Rural Markets
➢ Low Population Density: Rural areas often have lower population densities
compared to urban centers, which can pose challenges in reaching a
dispersed consumer base.
➢ Agricultural Economy: Many rural communities rely on agriculture as the
primary source of income, influencing their purchasing power and
consumption patterns.
➢ Limited Infrastructure: Rural areas may have limited access to modern
infrastructure such as paved roads, electricity, telecommunications, and retail
outlets, which can affect distribution and communication channels.
➢ Unique Socio-Cultural Factors: Rural consumers may have distinct socio-cultural
values, traditions, and lifestyles that influence their buying behavior and
product preferences.

14. Strategies of rural marketing
➢ Localized Approach: Tailor marketing messages, product offerings, and
distribution channels to suit the specific needs and preferences of rural
consumers. This may involve offering smaller pack sizes, bundling products, or
providing after-sales service in local languages.
➢ Personalized Engagement: Build relationships with rural consumers through
personalized interactions, community engagement initiatives, and grassroots
marketing activities. This could include organizing local events, sponsoring
community programs, or partnering with local influencers and community
leaders.
➢ Affordability and Accessibility: Offer products and services at affordable price
points and ensure accessibility through an extensive distribution network,
including rural retail outlets, mobile vans, and door-to-door sales.

15. Strategies of rural marketing
➢ Education and Awareness: Educate rural consumers about the benefits and
usage of products through targeted communication campaigns,
demonstrations, and experiential marketing activities. Addressing
misconceptions and building trust are crucial in influencing purchase
decisions.
➢ Technology Adoption: Leverage technology, such as mobile phones and
internet connectivity, to reach rural consumers and provide access to
information, e-commerce platforms, and digital payment solutions. Mobile
marketing and social media can also be effective channels for engaging
with rural audiences.

16. Examples of rural marketing: initiatives
➢ HUL's Project Shakti: Hindustan Unilever Limited (HUL) implemented Project Shakti
in India, empowering rural women as direct-to-home sales agents for its
products. This initiative not only increased market penetration in rural areas but
also provided livelihood opportunities for women.
➢ Amul's Village Level Entrepreneur (VLE) Model: Amul, India's largest dairy
cooperative, established a network of Village Level Entrepreneurs (VLEs) to
distribute its dairy products in remote rural areas. This decentralized distribution
model has helped Amul reach even the most inaccessible rural markets.
➢ M-Pesa in Kenya: Safaricom's M-Pesa mobile money service revolutionized
financial inclusion in rural Kenya by enabling users to transfer money, pay bills,
and access financial services through their mobile phones. M-Pesa's success
demonstrates the potential of technology-driven solutions in rural marketing.

17. Consumerism
● Consumerism refers to the ideology that encourages the acquisition of
goods and services in ever-increasing amounts, often equating
consumption with personal well-being and societal progress.
● It is driven by a culture of materialism, where individuals prioritize the
purchase and ownership of products as a means of fulfilling needs,
desires, and aspirations.

18. Fundamentals of Consumerism
● Emphasis on Consumption: Consumerism promotes the idea that
happiness and fulfillment are derived from the acquisition and
consumption of material possessions, leading to a culture of excess and
overconsumption.
● Advertising and Marketing: Consumerism is fueled by advertising and
marketing strategies that create and perpetuate desires for products and
services. Advertisements often portray consumption as a pathway to
happiness, success, and social status, influencing consumer behavior and
purchasing decisions.
● Disposable Culture: Consumerism contributes to a culture of disposability,
where products are quickly discarded and replaced with newer versions,
leading to environmental concerns such as waste generation and resource

19. Fundamentals of Consumerism
● Debt and Financial Pressures: The pursuit of material possessions can
lead to excessive spending, debt accumulation, and financial
insecurity for individuals and households. Consumerism encourages
conspicuous consumption and status-seeking behaviors, often at the
expense of long-term financial well-being.
● Impact on Society and the Environment: Consumerism has significant
social and environmental consequences, including resource depletion,
pollution, climate change, and social inequality. The pursuit of endless
consumption can strain natural resources and exacerbate
socioeconomic disparities.

20. Critiques of Consumerism: good/bad
● Materialism Over Well-being: Critics argue that consumerism prioritizes
material possessions over genuine well-being and fulfillment, leading to
shallow and superficial values that neglect more meaningful aspects of
life, such as relationships, experiences, and personal growth.
● Environmental Degradation: The relentless pursuit of economic growth and
consumption has adverse environmental impacts, including deforestation,
habitat destruction, pollution, and climate change. Consumerism
contributes to unsustainable patterns of production and consumption that
harm ecosystems and threaten biodiversity.

21. Critiques of Consumerism: good/bad
● Social Inequality: Consumerism perpetuates social inequality by
promoting consumption as a marker of status and success. It
exacerbates disparities between affluent and marginalized communities,
as access to resources and opportunities is unevenly distributed based on
socioeconomic status.
● Cultural Homogenization: Global consumer culture can lead to cultural
homogenization, where diverse cultural identities and traditions are
overshadowed by standardized consumer preferences and mass-
produced goods. This can erode cultural diversity and local
distinctiveness.

22. Consumerism: alternatives
● Sustainable Consumption: Emphasizing sustainable consumption practices,
such as reducing waste, recycling, buying durable goods, and supporting
ethical and eco-friendly brands, can mitigate the negative environmental and
social impacts of consumerism.
● Minimalism: Minimalism advocates for living with less, focusing on quality over
quantity, and prioritizing experiences and relationships over material
possessions. It encourages intentional consumption and decluttering to
achieve greater personal fulfillment and reduce environmental footprint.
● Community and Sharing Economies: Community-based initiatives, such as
sharing economies, cooperatives, and local exchange systems, promote
collaborative consumption, resource sharing, and community resilience,
fostering social connections and reducing reliance on consumerism.

23. Industrial Marketing
➢ Industrial marketing, also known as business-to-business (B2B) marketing,
involves the sale of goods and services from one business to another for
use in manufacturing, production, or operations.
➢ Unlike consumer marketing, which targets individual consumers,
industrial marketing focuses on meeting the needs of organizations,
such as businesses, government agencies, and non-profit organizations.

24. Industrial Marketing: fundamentals
➢ Longer Sales Cycles: Industrial sales typically involve complex buying
processes and longer sales cycles compared to consumer sales. Decisions are
often made by a committee or team within the purchasing organization,
involving multiple stakeholders and extensive evaluations.
➢ Relationship-Based: Industrial marketing emphasizes building long-term
relationships with customers based on trust, reliability, and value-added
services. Suppliers often work closely with customers to understand their unique
requirements and provide customized solutions.
➢ Technical Expertise: Industrial products and services are often complex and
specialized, requiring a high level of technical expertise and knowledge.
Suppliers must demonstrate their understanding of customers' technical
specifications, applications, and industry requirements to effectively meet their
needs.

25. Industrial Marketing: fundamentals
➢ Customization and Solution Selling: Industrial buyers often seek customized
solutions tailored to their specific requirements and challenges. Suppliers must
offer flexible products, customization options, and value-added services to
address customers' unique needs and differentiate themselves from
competitors.
➢ After-Sales Support: Industrial customers place a high value on after-sales
support, including technical assistance, training, maintenance, and
troubleshooting. Suppliers must provide reliable post-purchase support to
ensure the successful implementation and utilization of their products and
services.

26. Industrial Marketing: objectives &
Importance
➢ Segmentation and Targeting: Identify and segment industrial markets based on
factors such as industry verticals, geographic locations, company size, and
purchasing behavior. Tailor marketing strategies and offerings to address the
specific needs and preferences of target segments.
➢ Value Proposition Development: Develop a compelling value proposition that
highlights the unique benefits, features, and value-added services offered by
your products or services. Clearly communicate how your offerings address
customers' pain points, improve efficiency, reduce costs, or enhance
productivity.
➢ Relationship Building: Invest in building strong relationships with key decision-
makers and influencers within target organizations. Engage in consultative
selling, provide expert advice and support, and demonstrate a commitment
to meeting customers' long-term needs and objectives.

27. Industrial Marketing: objectives &
Importance
➢ Content Marketing and Thought Leadership: Establish your company as a
thought leader and trusted advisor within your industry by sharing valuable
insights, expertise, and best practices through content marketing channels
such as blogs, whitepapers, webinars, and case studies.
➢ Channel Partnerships: Collaborate with channel partners, distributors, and
resellers to extend your reach and access new markets. Develop strong
partnerships based on mutual trust, transparency, and shared goals to
effectively distribute and promote your products or services.

28. Industrial Marketing: Examples
➢ Technical Seminars and Workshops: Hosting technical seminars, workshops,
and training sessions to educate customers about new technologies,
products, and industry trends.
➢ Customized Solutions: Offering customized solutions and engineering services
to address specific challenges or requirements faced by industrial customers.
➢ Supply Chain Integration: Partnering with customers to integrate supply chains,
optimize inventory management, and streamline procurement processes.
➢ Value-Added Services: Providing value-added services such as installation,
commissioning, maintenance, and technical support to enhance the overall
customer experience.
➢ Online Platforms: Developing online platforms and digital tools to facilitate
product selection, configuration, ordering, and customer support.

29. Global Marketing
➢ Global marketing refers to the process of promoting and selling
products or services on a worldwide scale, transcending national
boundaries and targeting diverse international markets.
➢ It involves developing marketing strategies and campaigns that take
into account the cultural, economic, political, and legal differences
across countries and regions.
➢ Global marketing is the strategic approach employed by companies to
navigate the complexities of operating in diverse cultural, economic,
and regulatory environments around the globe.

30. Global Marketing: fundamentals
➢ Market Research: Understanding the unique characteristics, preferences, and
behaviors of consumers in different countries is essential for effective global
marketing. Conducting thorough market research helps identify market
opportunities, assess competitive landscapes, and tailor marketing strategies to
target international audiences.
➢ Cultural Sensitivity: Global marketers must be sensitive to cultural nuances, norms,
values, and taboos to develop culturally relevant and resonant marketing
messages and campaigns that resonate with diverse audiences.
➢ Adaptation vs. Standardization: Global marketers face the challenge of
balancing the need for standardized branding and messaging across markets
with the necessity of adapting strategies to local preferences and market
conditions. Some elements of marketing, such as brand identity and core values,
may remain consistent globally, while others, such as product features, pricing,
and promotional tactics, may require customization.

31. Global Marketing: fundamentals
➢ Distribution Channels: Developing efficient and cost-effective distribution
channels is crucial for reaching international customers. Global marketers must
navigate logistical challenges, regulatory requirements, and cultural norms to
establish distribution networks that ensure timely delivery and availability of
products or services in target markets.
➢ Legal and Regulatory Compliance: Operating in multiple countries requires
compliance with a diverse array of laws, regulations, and trade policies. Global
marketers must stay abreast of legal and regulatory requirements governing
product labeling, advertising, taxation, intellectual property rights, and import-
export procedures to avoid legal pitfalls and maintain ethical standards

32. Global Marketing: benefits
➢ Market Expansion: Global marketing enables businesses to tap into new markets,
diversify revenue streams, and reduce dependence on domestic markets,
thereby mitigating risks associated with economic downturns or fluctuations in
local demand.
➢ Economies of Scale: Expanding operations globally can lead to economies of
scale in production, procurement, and distribution, resulting in cost efficiencies
and improved competitiveness.
➢ Brand Visibility and Recognition: Establishing a global presence enhances brand
visibility, recognition, and credibility, fostering trust and loyalty among
international consumers and stakeholders.
➢ Innovation and Knowledge Sharing: Operating in diverse international markets
facilitates knowledge sharing, cross-cultural collaboration, and innovation, as
companies gain exposure to new ideas, technologies, and business practices.

33. Global Marketing
➢ Cultural Differences: Cultural diversity poses challenges in developing marketing
strategies that resonate with diverse audiences while avoiding cultural
misinterpretations or offensive messaging.
➢ Logistical Complexity: Managing logistics, supply chains, and distribution
networks across multiple countries requires overcoming logistical challenges,
navigating trade barriers, and ensuring compliance with import-export
regulations.
➢ Political and Economic Instability: Political instability, economic volatility, and
currency fluctuations in foreign markets can impact business operations,
profitability, and investment decisions.
➢ Legal and Regulatory Hurdles: Adhering to complex and evolving legal and
regulatory frameworks in different countries requires dedicated resources and
expertise to ensure compliance and mitigate legal risks.

34. Thank You