1. Unit 7
Marketing Strategy

2. Assignment 1:Key terms Organizational objective Marketing mix
Financing
Grading
Standardization
New product development
Packaging
Labeling
Screening
Customer satisfaction
Commercialization
Target market
No-brand strategy
Blanket brand
Generic goods
企业目标
市场营销组合 融资
划分等级
标准化
新产品开发 包装
贴标签/标识/商标 筛选
客户满意度
商业化
目标市场
无品牌策略
统一品牌
非专利/普通产品

3. Key terms 分销渠道 Channel of distribution 提供充分服务的批发商
有限服务的批发商
延长信贷限期/ 提供信用贷款
零售商
大量生产制品
推动促销策略
拉引促销策略
夫妻店, 家庭经营的小零售店(小摊)
零售店/摊位
独资企业
合伙企业
专卖店
目录商店/邮购商品展示厅
营业推广
Channel of distribution
Full service wholesaler
Limited-service wholesaler
Extend credit
Retailer
High-volume product
Push promotion strategy
Pull promotion strategy
Mom and pop store
Retail outlet
Sole proprietorship
Partnership
Specialty store
Catalogue showroom
Sales promotion

4. Assignment 2: Questions based on text A
What is marketing? What major functions does marketing perform?
What are the elements of the marketing mix? Define each element.
What are the basic steps in the new-product development process?
What are the major pricing methods?
Provide an overview of the channel of distribution.
What is the primary difference between a push promotion strategy and a pull promotion strategy?

5. Group Presentation Business Proposal
I’m thinking about setting up my own business (English
training center, exporting company, restaurant, on-line
store…
Issues to ponder and include in your presentation
What(product)?
Price?
Where(place and distribution)?
How to attract customers(promotion) ?
Requirements:
6 groups
5-7 minutes for each presentation
Preview Unit 7 and apply 4P’s to your business proposal
Feasibility
Creativity

6. Read and find out
What is marketing? What major functions does marketing perform?
The process of planning and executing the conception, pricing, promotion, and distribution of ideas, goods, and services to create exchanges that satisfy individual and organizational objectives.

7. Read and find out
What are the elements of the marketing mix? Define each element.
Product
Price
Place(distribution)
Promotion

8. Read and find out
What are the basic steps in the new-product development process?
Idea generation
Screening
Business analysis
Product development
Test marketing
Commercialization

9. Read and find out What are the major pricing methods?
The major pricing decision is whether to assign a price above, below or about even with the competitors’. A firm must consider such factors as product cost and consumer demand.
Cost-based
Demand-based
Competitor-based
For new products:
Skimming
Penetration

10. Read and find out
Provide an overview of the channel of distribution(place strategy)?
Major marketing intermediaries:
Wholesalers (full-service vs limited service)
Retailers
By Operational structure: independent retailers vs chain stores
Independent retailers: sole-proprietorship vs partnership
By type: department store, specialty store, catalogue showroom, etc..

11. Marketing strategy Business strategy
Product
Price
Place
Promotion
Marketing strategy
Product Strategy
- Product development
- Branding
- Packaging
-Labeling
Price Strategy
Objectives
strategies
Place Strategy
Promotion Strategy
- Push vs. Pull
Integrate product, price, place, and promotion decisions, and coordinating and fitting those decisions into a firm’s overall business strategy.

12. Product Strategy Product New- Product development Branding Packaging
Marketing strategy
Product Strategy
- Product development
- Branding
- Packaging
-Labeling
Price Strategy
Objectives
strategies
Place Strategy
Promotion Strategy
- Push vs. Pull
Product
A good, a service, an idea, or any combination of the three that may be the subject of an exchange.
Crucial factors includes:
New-
Product
development
Branding
Packaging
Labeling

13. When you create a marketing plan for a product, you need to look at it the same way a potential buyer will.

14. Why should the consumer buy your product or service if it’s no different from your competitors? The answer is: They won’t!

15. Product development process
Idea generation
Marketing strategy
Product Strategy
- Product development
- Branding
- Packaging
-Labeling
Price Strategy
Objectives
strategies
Place Strategy
Promotion Strategy
- Push vs. Pull
Consumer research, employee suggestions, competitors
Screening
Commercial potential? Market exists? Profitable?
Analysis
Compatible with firm’s strengths and capabilities?
Prototype development
What will it look like?
Test marketing
Trial introduction in selected segments
Commercialization
If successful above, launch into the market

16. Branding strategy Family or blanket brand strategy
No –brand strategy
e.g. no-brand brand,无印良品(MUJI);
Marketing strategy
Product Strategy
- Product development
- Branding
- Packaging
-Labeling
Price Strategy
Objectives
strategies
Place Strategy
Promotion Strategy
- Push vs. Pull
Family or blanket brand strategy
统一品牌，是指一个企业 企业 无论其产品 产品 种类有多少，销售多广， 都使用一样名称、名词、标号或设计的品牌 品牌 。
Individual brand strategy
e.g. PROCTER & GAMBLE 宝洁
（佳洁士牙膏, 舒肤佳，潘婷，帮宝适纸尿片）

18. Successful Brand name Be simple and memorable Be available
Marketing strategy
Product Strategy
- Product development
- Branding
- Packaging
-Labeling
Price Strategy
Objectives
strategies
Place Strategy
Promotion Strategy
- Push vs. Pull
Be simple and memorable
Be available
Be appropriate
Be globally meaningful

19. Packaging as a marketing tool
The development of a container and a graphic design for a product.
Marketing strategy
Product Strategy
- Product development
- Branding
- Packaging
-Labeling
Price Strategy
Objectives
strategies
Place Strategy
Promotion Strategy
- Push vs. Pull
preserve, protect and provide utility.
What else?
insure uniformity
Labeling:
Presentation of information on a package product.
Brand name & symbols
The size and contents of the package
Directions for use
Safety precautions
Universal Product Code

20. Price Strategy Methods:
Cost-based pricing: the marketer sets prices by computing merchandise, service, and overhead costs, and then adding the desired profit to these figures.
Demand-based pricing: the marketer sets prices after researching consumer desires and ascertaining the range of prices acceptable to the target market. For example, if the firm finds that its customers will pay $10 for an item and it needs a $3 margin to cover profit and selling expenses, production costs must not exceed $7.
Competition-based pricing: the marketer sets prices in accordance with competitors. Prices may be below the market, at the market, or above the market, depending on customer loyalty, services provided, image, real or perceived differences between brands or stores, and the competitive environment. Competition-based pricing is applied by firms that face competitors selling similar items.
Marketing strategy
Product Strategy
- Product development
- Branding
- Packaging
-Labeling
Price Strategy
Objectives
strategies
Place Strategy
Promotion Strategy
- Push vs. Pull

21. Price Strategy For new products Skimming
Charging a high when first introduced
Penetration
Setting low price to attain a strong grip on a sizeable market share
More specified pricing strategies:
Odd/even pricing
Multiple-unit pricing
Prestige pricing
Price lining
Marketing strategy
Product Strategy
- Product development
- Branding
- Packaging
-Labeling
Price Strategy
Objectives
strategies
Place Strategy
Promotion Strategy
- Push vs. Pull

22. Place (Distribution) Strategy
To facilitate the flow of products to their ultimate purchasers; channels of distribution, paths or routes that direct products to consumers.
Focus on selecting the marketing intermediaries.
- wholesalers:
full-service wholesalers
limited-service wholesalers
- Retailers:
by operational structure:
Independent retailers: sole proprietary or partnership
Chain stores: common ownership and management
by types of store:
department store
specialty store
catalogue showroom
Marketing strategy
Product Strategy
- Product development
- Branding
- Packaging
-Labeling
Price Strategy
Objectives
strategies
Place Strategy
Promotion Strategy
- Push vs. Pull

23. Promotion strategy Promotion Promotion mix
The communications that an organization uses to inform, persuade, or remind a target market about its products, its services, or itself.
Promotion mix
The combination of tools used to promote a product.
These tools include:
Advertising
Personal selling
Sales promotion
Public relations
Marketing strategy
Product Strategy
- Product development
- Branding
- Packaging
-Labeling
Price Strategy
Objectives
strategies
Place Strategy
Promotion Strategy
- Push vs. Pull

24. Push strategy vs. Pull strategy2
Selling goods or services directly to the next intermediary in the channel of distribution;
Success depends on the effectiveness of sales force;
Appropriate for low-volume, high-value items(mainframe computers, construction equipments).
Marketing strategy
Product Strategy
- Product development
- Branding
- Packaging
-Labeling
Price Strategy
Objectives
strategies
Place Strategy
Promotion Strategy
- Push vs. Pull
Pull strategy
Promoting a product or service directly to the consumer
Through advertising and sales promotion
High-volume, low value products(laundry soap or chewing gum)

25. Push strategy vs. Pull strategy1
Convince retailers and wholesalers to market the products
Marketing strategy
Product Strategy
- Product development
- Branding
- Packaging
-Labeling
Price Strategy
Objectives
strategies
Place Strategy
Promotion Strategy
- Push vs. Pull
Wholesalers
Retailers
Pull
Convince consumers to ask intermediaries for the products
Consumers

26. 推或拉的策略 Push vs. Pull Strategy
Strategy Selected Depends on:
Type of Product-Market &
Product Life-Cycle Stage
Push Strategy
Pull Strategy
Strategy that Calls for Spending A Lot on Advertising and Consumer Promotion to Build Up (Pull) Consumer Demand.
Strategy that Calls for Using the Salesforce and Trade Promotion to Push the Product Through the Channels.

27. 推或拉的策略 Push Versus Pull Strategy
Producer
Intermediaries
Marketing
activities
End users
Demand
Push Strategy
Pull Strategy
Marketing activities

28. Language study: 分销渠道 Channel of distribution 市场概念 Market concept
新产品开发流程
以竞争为基础的定价
市场中间商
市场覆盖
独立零售店
商标策略
资源配置
利益最大化
Channel of distribution
Market concept
Development procedures of new products
Competition-based pricing
Market intermediaries
Market coverage
Independent retailer
Trademark tactics
Resources distribution
Profit maximization

29. Assignment: 1. Exercises of Unit 7 2. Preview Unit 8 3. SWOT

30. Extension: 1. Case study 2. SWOT analysis

31. Case study
Macdonald

32. Product ——We love to see u smile
Tangible Products
Intangible Products
Special Features

33. Tangible Products
Straight product extension

34. Tangible Products
Product adaptation

35. Tangible Products
Product invention

36. Intangible Products Wi-Fi Arch card Any time any where Mcdonald
24 hour-services
Drive-thru restaurant
Mc delivery
Special for kids
Toys
Free Gift
Happy Meals

37. Special Features Fast Convenient Not expensive Good environment
Clean
Warm
Happy
Diversity
麦当劳餐厅的设备先进便捷，保证顾客的排队不超过2分钟，服务人员上食品在1分钟内完成，服务员对一个顾客说的问候语总耗时保持在32秒…… 

38. Pricing Objective Foundation Strategy Profit Maximization
Market share Maximization
Meet or Follow Competition
Foundation
Cost
Area
Requirements
Price of Competitors
Strategy
Localize
Opposite-direction
Loss-leader(为招揽顾客而亏本出售的货物)

39. Place Channels Coverage Indirect delivery channel Logistics system
Producer->intermediate trader->consumers
Logistics system
High-tech food processors
Package suppliers
Procurement network consists of retail trader
Globally-spread system of transportation and sale
Accurate and rapid financial statistics
Advanced analysis software system
Coverage
Main cities->medium-sized cities->small cities

40. Place Station School Transport Shopping Center Exhibition Place
Locations
Shopping Center
Exhibition
Place
Station
School
Transport
Frozen Car
Chill Car
Normal-temperature car

41. Promotion-Pull strategy ——Gain from society, back to society
Advertising
Sales Promotions
Public Relationships

42. Advertising Forms Features TV Internet Newspapers Poster Billboard
On-vehicle
Features
Great quantity
Concentrated

43. Sales Promotions Forms Features Meal bounders
Latest toys, games and more fun
Birthday party
Coupon
Features
Variety
Humanity

44. Public Relationships Ronald McDonald House charity Features
Donation to education institute
Free/Cheap lodging
Children’s hospital
Voluntary social activities
Features
Active
Initiative

45. Extension
SWOT Analysis

46. SWOT模型含义介绍 (SWOT model describes the meaning)
Strengths(优势)
Weaknesses(劣势)
Opportunities
(机遇)
Strength-Opportunity strategies
(优势,机遇策略)
Weakness-Opportunity strategies
(弱点，机遇策略)
Threats
(威胁)
Strength-Threat strategies
(优势,威胁策略)
Weakness-Threat strategies
(弱点,威胁策略)

47. Strengths General aspects Competitive aspects Convenience
High-efficiency
Good location
Overseas market
Continually innovation
Competitive aspects
Clean environment and sweet atmosphere
Humanity
Brand recognition
24-hour service
High quality
Wifi
Complete logistics system
至于食品，顾客食用的饮料中的冰块一定要用经过净水器过滤后的水制成；如果一位顾客认为他的汉堡包凉了，餐厅会马上替他调换一份热的，因为按麦当劳的规定如果汉堡包超过了10分钟、炸薯条超过了7分钟还未售出，就必须丢弃，不允许再出售给顾客。而且外卖还备有各类消毒的食品包装，干净方便。
Humanity(4-6°C饮料效果最好，92cm柜台)
麦当劳所有连锁店的柜台高度都是92厘米，因为据科学测定不论高矮，人们在92厘米高的柜台前掏钱感觉最方便。而且柜台必须设在后门入口处，顾客可不经柜台到达餐桌，以免除不购物者的尴尬。 
Good location(在国外,麦当劳占据的总是最好的地段,先花钱买下来,再租给加盟者

48. Weaknesses Unhealthy Declining market share Lack of characteristics
Negative reports

49. Opportunities Increase the coverage of free wifi
Cooperation with other companies
Development of healthy food
Think global, act local
(compare with KFC)
Development of peripheral products(非核心的次要的产品)
Special zone for busy consumers
Sponsorship

50. Threats Powerfully existing competitors
Rapidly increase of substitutes
Consumers’ increasing sense of health
Increase of costs for materials
Continually increasing prices

51. SWOT分析步骤 (SWOT Analysis Steps)
将结果在SWOT分析图上定位( SWOT analysis of the results in the positioning map)
(Growth Strategy)
(Opportunities)
(Reverse type strategy)
(Northeast of the best)
(Internal weaknesses)
(Internal strengths)
(Defensive Strategy)
(A variety of business strategy)
(Threats)