1. Third Edition Roger A. Kerin Lau Geok Theng Steven W. Hartley
William Rudelius
Copyright © 2015 by McGraw-Hill Education. All rights reserved.

2. Copyright © 2015 by McGraw-Hill Education. All Rights Reserved.

3. LEARNING OBJECTIVES After reading Chapter 22, you should be able to:LO
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Explain how marketing managers
allocate resources.
Describe Porter’s generic business strategies synergy analysis planning frameworks. LO
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Explain what makes an effective marketing plan. LO
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22-2
Implementing Interactive & Multichannel Marketing

4. LEARNING OBJECTIVES After reading Chapter 22, you should be able to:LO
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Use a time-based agenda and an action item list to conduct a meeting.
Describe an organization’s marketing department and the role of a product manager. LO
22-5 LO
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Explain the use of marketing ROI, metric and dashboard in evaluating marketing programs.
22-3
Implementing Interactive & Multichannel Marketing

5. Searching for a Turnaround Strategy to Stem Losses
Acer
Searching for a Turnaround Strategy to Stem Losses
22-4
Opening Story - Acer

6. Marketing Basics: Doing What Works Finding and Using what Really Works
Strategy: Clearly stated and focused
Execution: Flawless operations
Kaizen
Culture: Performance-oriented
Structure: Fast, flexible, and flat LO
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Allocating Resources for Marketing

7. Marketing Basics: Allocating Resources Using Sales Response Functions
Maximizing incremental revenue minus incremental cost
A numerical example of resource allocation
Year 1
Year 4 LO
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22-6
Allocating Resources for Marketing

8. A sales response function shows the impact on sales at various levels of marketing effortLO
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Allocating Resources for Marketing

9. Marketing Basics: Allocating Resources Using Sales Response Functions
Allocating marketing resources in practice
Share points - Need estimates of:
Market share
Gross margin
Revenues
Cannibalization LO
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Allocating Resources for Marketing

10. The actions in the strategic marketing process are supported and directed by detailed reports, studies, and memos LO
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Allocating Resources for Marketing

11. Marketing Basics: Allocating Resources Using Sales Response Functions
Resource allocation and the strategic marketing process
Output report LO
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Allocating Resources for Marketing

12. The Strategic Marketing Process The Use of Marketing Metrics
“If You Don’t Where You’re Going, Any Road Will Get You There.”
Marketing metrics
Input metrics
Output metrics LO
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Allocating Resources for Marketing

13. The Strategic Marketing Process The Variety of Marketing Plans
Long-range marketing plans
Annual marketing plans LO
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Allocating Resources for Marketing

14. The Strategic Marketing Process Marketing Planning Frameworks
1. Porter’s generic business strategies
Cost leadership strategy
Differentiation strategy
Cost focus strategy
Differentiation focus strategy LO
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Three Marketing Planning Frameworks

15. Porter’s four generic business strategiesLO
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Three Marketing Planning Frameworks

16. Which of Porter’s Generic Business Strategy Is Each Using?
Daiso & The Toyota Yari
Which of Porter’s Generic Business Strategy Is Each Using? LO
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Three Marketing Planning Frameworks

17. The Strategic Marketing Process Market Product Synergies
Marketing synergy
R&D-manufacturing synergy LO
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Three Marketing Planning Frameworks

18. Planning the Strategic Marketing Process Market Product Synergies
Market-product concentration
Market specialization
Product specialization
Selective specialization
Full coverage LO
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Three Marketing Planning Frameworks

19. Market-product grids show alternative strategies for a lawnmower manufacturerLO
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Three Marketing Planning Frameworks

20. Where are the Synergies?
Marketing Matters
Where are the Synergies?
1. Where are the marketing synergies?
2. Where are the R&D-manufacturing synergies?
3. What is the ideal market-product grid for a merger? LO
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Three Marketing Planning Frameworks

21. The ideal merger for Great Lakes to obtain full market-product coverageLO
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Three Marketing Planning Frameworks

22. The Strategic Marketing Process Marketing Planning & Strategy Lessons
Guidelines for an effective marketing plan
Set measurable, achievable goals
Use a base of facts and assumptions
Utilize simple, but clear and specific plans
Have complete and feasible plans
Make plans controllable and flexible
Find the right person to implement the plan
Work towards consensus building
22-21 LO
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Components of an Effective Marketing Plan

23. The Strategic Marketing Process
Problems in Marketing Planning & Strategy
Marketing planning & strategy problems
Plans based on poor assumptions
Planners lost sight of customer needs
Too much time and effort on collecting data and writing plans
Line operating managers have no ownership in implementing plans LO
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Components of an Effective Marketing Plan

24. The Strategic Marketing Process Marketing Planning & Strategy Lessons
Global strategies
Reaching new global markets
New product ideas from
anyone, anywhere around the world LO
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Components of an Effective Marketing Plan

25. The Strategic Marketing Process Balancing Value and Values
Balancing value and values in strategic marketing plans
Value-based planning
Value-driven strategies
Recognize and incorporate disruptive innovation and long range marketing plans LO
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Components of an Effective Marketing Plan

26. Ask Disruptive Questions to Achieve Disruptive Innovation
Marketing Matters
Ask Disruptive Questions to Achieve Disruptive Innovation
1. Ask “What is” questions
2. Ask “What caused” questions
3. Ask “Why” and “Why not” questions
4. Ask “What if” questions LO
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Components of an Effective Marketing Plan

27. The Strategic Marketing Process
Is the Problem Strategy or Implementation?
When objectives are not achieved, where is the problem?
The strategy and strategic idea
The strategy and strategic idea
Implementation of the strategy – poor execution
Both LO
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Components of an Effective Marketing Plan

28. The Strategic Marketing Process
Is the Problem Strategy or Implementation? LO
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Components of an Effective Marketing Plan

29. Implementing the Strategic Marketing Process
Improving Implementation of Marketing Programs
Communicate goals and the means to achieve them
Have a program champion willing to act
Product or program champion
Akio Morita – the product champion
for Sony Walkman
Reward successful program implementation but do not punish failures LO
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Components of an Effective Marketing Plan

30. Implementing the Strategic Marketing Process
Improving Implementation of Marketing Programs
Take action and avoid paralysis of analysis
Make prompt decisions
Avoid paralysis due to too much analysis LO
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Components of an Effective Marketing Plan

31. Implementing the Strategic Marketing Process
Improving Implementation of Marketing Programs
Foster open communications to surface problems
Surface problems immediately
Get help—Don’t keep problems to yourself
QCCs or WITs LO
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Components of an Effective Marketing Plan

32. Implementing the Strategic Marketing Process
Improving Implementation of Marketing Programs
Schedule precise tasks, responsibilities, and deadlines
Action item list
Program schedules
Gantt chart LO
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Gantt Charts

33. Gantt chart for scheduling a term project that distinguishes sequential and concurrent tasksLO
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Gantt Charts

34. This organization of a strategic business unit in a typical consumer packaged goods firm shows two product or brand groups: biscuit mixes and refrigerated biscuits LO
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Organizing a Marketing Department / The Role of a Product Manager

35. Implementing the Strategic Marketing Process Organizing for Marketing
Evolving role of the Chief Marketing Officer (CMO)
Line verses staff positions
Divisional groupings
Functional groupings
Product line groupings
Geographical groupings
Market-based groupings
Matrix structure LO
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Organizing a Marketing Department / The Role of a Product Manager

36. Implementing the Strategic Marketing Process Organizing for Marketing
Key roles of the product or brand manager
Product or brand groups are the basic building blocks in the marketing department of many companies
Product or brand managers are responsible for planning, implementing and evaluating the annual marketing plans and long range plans.
May champion for products or brands but often do not have sufficient authority. LO
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Organizing a Marketing Department / The Role of a Product Manager

37. Evaluating the Strategic Marketing Process
Marketing Evaluation Process
Identifying deviations from goals
Acting on deviations from goals
Management by exception
Actual results exceed goals
Actual results fall short of goals LO
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Evaluating Marketing Programs: Sales, Profitability & ROI Analyses

38. The evaluation phase of the strategic marketing process ties results and actions to goals using marketing metrics and dashboards LO
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Evaluating Marketing Programs: Sales, Profitability & ROI Analyses

39. Evaluating the Strategic Marketing Process
Marketing Evaluation Process
“Hiring a milkshake” and digging beneath the numbers
Numbers can hide what’s really happening
With Services, Measuring Results That Lead to Actions Becomes More Intangible LO
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Evaluating Marketing Programs: Sales, Profitability & ROI Analyses

40. Evaluating the Strategic Marketing Process
Marketing Evaluation Process
Marketing ROI
Marketing metrics
Marketing dashboards LO
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Evaluating Marketing Programs: Sales, Profitability & ROI Analyses

41. Monitoring the Performance of Warm Delights Mini
Marketing Dashboard
Monitoring the Performance of Warm Delights Mini LO
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Evaluating Marketing Programs: Sales, Profitability & ROI Analyses

42. Monitoring the Performance of Warm Delights Mini
Marketing Dashboard
Monitoring the Performance of Warm Delights Mini LO
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Evaluating Marketing Programs: Sales, Profitability & ROI Analyses

43. Monitoring the Performance of Warm Delights Mini
Marketing Dashboard
Monitoring the Performance of Warm Delights Mini LO
22-6
22-42
Evaluating Marketing Programs: Sales, Profitability & ROI Analyses

44. Monitoring the Performance of Warm Delights Mini
Marketing Dashboard
Monitoring the Performance of Warm Delights Mini LO
22-6
22-43
Evaluating Marketing Programs: Sales, Profitability & ROI Analyses

45. Monitoring the Performance of Warm Delights Mini
Marketing Dashboard
Monitoring the Performance of Warm Delights Mini LO
22-6
22-44
Evaluating Marketing Programs: Sales, Profitability & ROI Analyses