Marketing Management Process

the process of 1. planning marketing activities, 2. directing the implementation of the plans, and 3. controlling these plans.

Strategic (management) Planning

the managerial process of developing and maintaining a match between an organization's resources and its market opportunities

- a top-management job; planning for marketing and also production, finance, human resources, and other areas.

Marketing strategy

specifies a target market and a related marketing mix

- a big picture of what a firm will do in some market

- two parts: target market and marketing mix

Target Market

a fairly homogeneous (similar) group of customers to whom a company wishes to appeal

Marketing Mix

the controllable variables the company puts together to satisfy this target group

- typical marketing mix includes some product, offered at a price, with some promotion to tell potential cusotomers about the product, and a way to reach the cusotmer's place

Target Marketing

says that a marketing mix is tailored to fit some specific target customers

- "rifle approach"

Mass Marketing

the typical production-oriented approach-vaguely aims at "everyone" with the same marketing mix

- assumes everyone is the same

- considers everyone to be a potential customer

- "shotgun approach"

Channel of Distribution

any series of firms (or individuals) that participate in the flow of products from producer to final user or consumer

- this can be very short ex) Geico

- this can be rather lengthy ex) Nestle

Personal Selling

involves direct spoken communication between sellers and potential customers

- may happen face-to-face, over the phone or via a videoconference/internet

Customer Service

a personal communication between a seller and a customer who wants the seller to resolve a problem with a purchase

- is often a key to building repeat business

- often this personal effort has to be blended with mass selling and sales promotion

Mass Selling

communicating with large numbers of customers at the same time

- may involve a wide variety of media, ranging from newspapers and billboards to the internet

Advertising

any paid form of nonpersonal presentation of ideas, goods, or services by an identified sponsor

- the main form of mass selling

Publicity

any unpaid form of nonpersonal presentation of ideas, goods, or services

- an important form of mass selling

Sales Promotion

refers to those promotion activites (other than adervtising, publicity and personal selling) that stimulate interest, trial, or purchase by final customers or other in the channel

- can involve coupons, point-of-purchase material, samples, signs, contests, events, catalogs, novelties, and circulars

Marketing Plan

a written statement of a marketing strategy and the time-related details for carring out the strategy

- spells out the the product, the target market, the promotion, the monetary cost, as well as the expected results

- should include control procedures to signal if something is going wrong

Implementation

putting marketing plans into operation - has to be done correctly to have your strategy work out as planned

Operational Decisions

marketing program

blends all of the firm's marketing plans into on "big" plan

Customer Equity

is the expected earnings stream of a firm's current and prospective customers over some period of time

- marketing strategy planners should help identify opportunities that will lead to an increase in the firm's customer equity

Breakthrough Opportunities

help innovators develop hard-to-copy marketing strategies that will be very profitable for a long time

Competitive Advantage

means that a firm has a marketing mix that the target market sees as better than a competitor's mix

- could result from cost cutting in produciton, innovative R&D, more effective purchasing of needed components, or financing for a new distribution facility

- also from a strong sales force, a well-known brand name, or good dealers

Differentiation

means that the marketing mix is distinct from and better than what is available from a competitor

- can be as simple as an improved product or faster delivery

S.W.O.T Analysis

identifies and lists the firm's strenghs and weaknesses and its opportunities and threats

Marketing Penetration

increase sales of firm's present products in its present markets

- probably through a more aggressive marketing mix

Marketing Development

trying to increase sales by selling present products in new markets

- may involve searching for new uses for a product

Product Development

offering new or improved products for present markets

- finding new ways to satify customer's needs that are already known

Diversification

means moving into totally different lines of business

- perhaps entirely unfamiliar products, markets, or even levels in the production-marketing system

- these opportunites can be very hard to evaluate and even misleading; involves the biggest risk