Wondershare EdrawMind
MindMap Gallery Marketing Management by Philip Kotler
- 184
- 1
Marketing Management by Philip Kotler
This is the most comprehensive book on marketing management, suitable for those who study marketing and those who are currently working as managers. very meaningful. There is a lot of theoretical knowledge in it from which you can get some marketing inspiration.
Edited at 2023-10-30 07:28:10
- bacteria
This is a mind map about bacteria, and its main contents include: overview, morphology, types, structure, reproduction, distribution, application, and expansion. The summary is comprehensive and meticulous, suitable as review materials.
- Plant asexual reproduction
This is a mind map about plant asexual reproduction, and its main contents include: concept, spore reproduction, vegetative reproduction, tissue culture, and buds. The summary is comprehensive and meticulous, suitable as review materials.
- Reproductive development of animals
This is a mind map about the reproductive development of animals, and its main contents include: insects, frogs, birds, sexual reproduction, and asexual reproduction. The summary is comprehensive and meticulous, suitable as review materials.
Marketing Management by Philip Kotler
- bacteria
This is a mind map about bacteria, and its main contents include: overview, morphology, types, structure, reproduction, distribution, application, and expansion. The summary is comprehensive and meticulous, suitable as review materials.
- Plant asexual reproduction
This is a mind map about plant asexual reproduction, and its main contents include: concept, spore reproduction, vegetative reproduction, tissue culture, and buds. The summary is comprehensive and meticulous, suitable as review materials.
- Reproductive development of animals
This is a mind map about the reproductive development of animals, and its main contents include: insects, frogs, birds, sexual reproduction, and asexual reproduction. The summary is comprehensive and meticulous, suitable as review materials.
- Recommended to you
- Outline
reading notes "Marketing Management" Beauty Philip Kotler
Part One Basic Principles of Marketing Management P2-65
Defining marketing for the new reality P2-36
Marketing and Marketing Management Concepts
What is marketing?
Social Definition: Identifying and meeting human and social needs in a manner consistent with organizational goals. (Social Role) Businesses and individuals transform human needs into profitable market opportunities.
Social definition: Marketing is an activity system and process that creates, communicates, delivers and exchanges products that are valuable to customers, clients, partners and society as a whole. Products have functional value. Has emotional value.
Marketing Management: The art and science of selecting target markets and acquiring, retaining and growing customers by creating, delivering and communicating superior customer value.
Role Definition: The need for sales will always exist, but the goal of marketing is to make sales redundant. (The purpose is to know and understand customers better, make products or services suitable for customers, and achieve self-sales.) - Peter Drucker
Marketing is about creating, communicating and delivering value to customers, and in a manner that benefits the company’s customers and partners An organizational function and set of processes for managing customer relationships. Marketing management is about selecting target markets and, by creating, Deliver and communicate superior customer value Come and acquire the art and science of retaining and growing customers.
Marketing what?
marketing penetration 10 categories of social fields
Product: physical product (occupies a dominant position in production and sales)
Services: Economic activity is concentrated in services, such as airlines, lawyers, doctors
Events: Promote time-sensitive events such as trade shows, art performances
Experience: carefully prepared and planned services and goods: such as Haidilao, Disney
People: Celebrity Benefits Artists, musicians and other professionals often receive marketing help, such as Li Jiaqi
Location: The government plays a key role in attracting tourists and residents, and factories contribute to economic improvement, such as Zibo Barbecue
Property: Intangible ownership rights such as real estate and financial assets, securities, etc. For example, real estate agency
Organizations: Museums, performing arts organizations, corporations, or nonprofits use influence to enhance their public image and compete for audiences and funding.
Information: Information can be disseminated, mainly through television, radio, newspapers, the Internet, commercial entities, etc.
Concept: Publicity by social influencers, such as political party promotion, gun control, tax reform, evaluation, health care and other social issues.
Marketing Exchange: (5 basic markets)
A "market" is a place where buyers and sellers gather to buy and sell goods.
Resource market, manufacturer market, consumer market, intermediary market, government market
If the demand for products and services is not enough to support corporate profits, financial operations, accounting and other businesses will no longer be important. The financial success of a business depends on his marketing skills.
Marketing value exchange: Marketing is about creating value for customers on the premise of profitability.
Marketing exchange: Marketing has little room for error: under the influence of the market environment, we must seize marketing strategies and market insight opportunities. The company keeps moving forward and continuously improves product value and strategy
Marketing Exchange: The Importance of Innovation. Senior leaders need to encourage and identify imaginative and overlooked groups to bring creativity.
The new marketing reality
Four major market forces
Including technology, globalization, physical environment, and social responsibility.
Technology: Technological development has enhanced new business models, such as Meituan, Amazon, changes in new retail technology, and Didi Taxi.
Globalization: Provides equal opportunities for competition. Work more coordinated. Cultural diversity. New models of innovation and product development emerge
Physical environment: climate change and changes in global health.
Social Responsibility: Take part of the responsibility for improving living conditions. Consider the long-term welfare of society.
Three major market results
new capabilities of consumers
Consumers use the Internet for shopping assistance
Consumers use the Internet to search, communicate and shop.
Consumers use social media to share opinions and express loyalty.
Consumers actively interact with businesses.
Consumers refuse to interpret ill-timed marketing messages.
Consumers can get more value from existing products.
The company’s new capabilities
Companies can use the Internet as a powerful information and sales channel, including customized services
Companies can collect more comprehensive and rich information about market consumers as well as potential consumers and competitors.
Companies can send targeted ads, coupons and information through social media mobile marketing to quickly reach consumers.
Companies can improve procurement, recruitment, training, and internal and external communication.
Companies can improve cost efficiency
new competitive environment
deregulation
Privatization
Retail Transformation
Eliminate the middleman.
private label
super brand
Four types of all-round marketing
Relationship Marketing
The purpose of relationship marketing: to establish mutually satisfying long-term relationships with key customers to obtain and maintain corporate business (e.g., new retail)
The key to relationship marketing: customers, employees, marketing partners (channel suppliers, distributors, dealers, agents) and the financial circle (shareholders, investors, analysts)
The results of relationship marketing: forming a marketing network and establishing mutually beneficial business relationships.
Integrated Marketing
Integrate all marketing activities and marketing plans to create communications and deliver consistent value and messaging to consumers so the whole is greater than the sum of its parts.
internal marketing
It refers to hiring, training and motivating capable employees who want to provide quality service to customers.
Marketing is successful when all departments work together to achieve customer goals.
Senior managers are required to be consistent vertically and departments be consistent horizontally.
Management involvement is central to integrated internal marketing.
performance marketing
Understand the financial and non-financial returns that marketing activities and programs bring to business and society.
Marketers must justify marketing not only from a financial and profit perspective, but also from a brand building and customer base growth perspective
The key to omni-channel marketing is to build on a wide range of interdependent Over the development, design and execution of marketing planning processes and activities. The all-round marketing concept believes that everything in the marketing process is important. And it often needs to be done from a broad, integrated perspective.
Five competing marketing concepts
production concept
The idea is that consumers prefer products that are easily available and cheap.
product concept
It is believed that consumers prefer good quality, performance and price or innovative products.
Selling ideas
I think this is a hard sell if there is no push. Focus on the transactional part of converting products into cash.
marketing concept
Believes that the key to achieving organizational goals is creating delivery and delivering best-in-class customer value to target groups more effectively than competitors. Focus on meeting customer needs through products and all matters related to creating, delivering and ultimately consuming the products.
market value concept
It is believed that there is a deep interrelation between the development, design and implementation of marketing planning processes and activities. Every functional department should actively write and focus on creating value for customers, the company and its partners.
The more accurately a company understands the market, the more likely it is that Take the concept of market value as its primary business philosophy.
How to Build an Organizational Marketing Department
Organize marketing department
functional organization
Including market research manager, product manager, service manager, communication manager, sales manager, public relations manager, brand manager. (Including marketing planning manager, marketing logistics manager, direct marketing manager, social media manager, digital marketing manager.)
territorial organization
Organize sales teams by region
Product or brand organization.
Companies that produce multiple products or own multiple brands develop a product organization.
market management organization
Companies usually develop diversified products and services for different target markets.
matrix organization
Multi-market, multi-product companies often adopt a matrix management organizational structure.
The choice of specific method depends on The market environment in which the company operates, Organizational structure and strategic goals.
Manage marketing department
CEO(Chief Executive Officer)
Let senior management understand the importance of customer focus.
Hiring strong marketing talent is also crucial. The CMO manages the marketing department. Respect and influence other members of top management.
Build a strong internal marketing training program. Improve your company's marketing skills.
Establish a reward system that is consistent with its strategic goal of creating market value by converting your satisfied customers into a customer base.
CMO(Chief Operating Officer)
COO Functions.
Members of top management. Usually reports to the CEO.
Senior operations managers responsible for various parts of marketing strategy, usually reporting to the CMO.
Oversees all marketing functions in the organization. Includes product development, brand management, communications, market research and data analysis, sales, promotions, distribution management, pricing and customer service.
Mastery of digital technology is a must. Must possess strong quantitative and qualitative skills. Must have an independent entrepreneurial attitude. but works closely with its department. Must capture the voice of the consumer while having a keen fundamental understanding of how marketing creates value.
Marketing ROI over the next decade will be the primary metric for measuring the effectiveness of their efforts.
The most important function is the ability to integrate the customer perspective into business decisions that impact any customer touchpoint.
Three drivers changing the CMO role
First, predictable market trends.
Second, the changing role of top management.
Third, there are uncertainties in economic and organizational design.
Five things a successful CEO needs to have.
Become a visionary for the future of your company.
Possess adaptive marketing capabilities.
Win the war for marketing talent.
Strengthen coordination with sales department.
Responsible for return on marketing spend
other department
How to build a customer-driven organization
Traditional customer centered organization
Consider customer construction to be the only real profit center.
Marketers play an intermediate role. Responsible for understanding customer needs and communicating them to the company's functional departments.
The marketing department has exclusive rights to interact with customers.
modern customer centered organization
The first priority is the customer.
Second is meeting employees with the intent to serve and satisfy customers.
Then there is the service manager. Support frontline work. provide better service.
Finally there is senior management. Hire and support excellent service managers with a development customer orientation.
Each level of management must be personally involved in understanding, engaging and serving customers
Customer-centric organizational characteristics.
low customer center
Product driven, mass market focus, process oriented, responsive to competitors, price driven, bureaucratic organization.
high customer center
Market-driven, focusing on individual customers, results-oriented, making competitors irrelevant, value-driven, and teamwork.
Transformation into a market-driven company.
Cultivate a company-wide passion for customers.
Organize around customer segments, not products.
Understand your customers through custom and quantitative research.
Organizations must be creative. Cultivate strategic innovation and imagination capabilities.
Employ a variety of tools, processes, skills and methods.
Create an inspiring workspace that helps inspire and nurture the imagination.
Companies must remain alert and ready to take advantage of form trends.
A customer-focused company, Must be market-oriented rather than product-oriented, Must meet the needs of customer objects, Rather than targeting the needs of the mass market, An effort must be made to render competition irrelevant, Rather than reacting to competitors' actions, To be successful, companies should focus on Serve customers by benefiting themselves and their collaborators, Deliver left and right value to target customers.
Marketing planning and management P37-68 (5.30)
How to identify company and business unit plans and manage key tasks Three levels (company, business unit, market-specific offering)
Define company mission
Mission Definition: A clear, concise and lasting statement of why the organization exists.
Company Mission: A long-term goal that provides common goal direction and opportunities for the company's employees and management. (❤️Core Goal)
Five questions that must be answered to define mission (Peter Drucker): What is our business? Who are our customers? What is valuable to customers? What will our business be? What should our business be?
Five characteristics of a great mission.
Focus on a limited number of specific goals.
Highlight the company's key strategies and values.
The primary markets that appraisal companies aim to serve.
Think long term
Keep it as short, memorable and meaningful as possible.
Establish company corporate culture
What is corporate culture?
The shared experiences, stories, beliefs, and norms that characterize an organization.
A customer-centric culture affects every aspect of an organization.
(Corporate values, principles and methods, vision and direction, mission - why does it exist?)
Establish strategic business units
It has three characteristics.
It is a single business or a collection of related businesses that can be separated from other businesses of the company.
It has its own competitors.
It has managers responsible for strategic planning and profit performance, who control most of the factors that affect profits.
strategic business portfolio
Specialized portfolio: refers to a relatively concentrated business unit composed of one or several product lines.
Diversified portfolio: refers to a business portfolio unit with multiple product lines and a wide range of varieties.
Define the purpose of the strategic business unit.
Develop a separate strategy for it and allocate appropriate funding.
Three aspects of how to build a business unit
Each business unit has a specific mission and is matched with unique resources
Each business unit needs to be collaborative.
There are two factors to consider when considering a business mix.
1. Opportunities presented by a specific industry or market (scale, growth, profitability)
2. The company's resources determine its ability to exploit developed opportunities. (strategic assets, core capabilities, profitability)
Boston matrix method Analyze and manage business units.
Star business share and growth rate are high, so investment should be increased to support development.
The Jinniu business has a high market share, low growth rate, and mature market.
The problem is that the business growth rate is high, the share is low, the opportunities are large, the prospects are good, and the marketing plan needs to be improved.
Sogou's business growth share is both low.
Allocate resources across business units
Allocation
Evaluate the competitive advantages of each strategic business and the attractiveness of the markets in which it operates.
Business portfolio model assessment indicators
ROI, market share and industry growth rate
Develop Market Offering Process
Two key components of a company’s business model.
Strategy: Select a clear market in which the company will compete and determine the value it attempts to create in this market.
Tactics: Also known as marketing mix makes a company's strategy concrete and primarily defines the key aspects of an offering developed to create value for a specific market. reflects the way this strategy has become a market reality.
Develop marketing strategy
Identify target market 【Marketing Basics】
5 Market Factors 5 C’s: Target market (internal)
① Target customers: individuals or organizations whose needs the company plans to meet.
B2C: Business to Consumer (The end user of a company’s products or services.)
B2B: business to business (company’s products or services are provided to other businesses)
②Competitors: Committed to meeting the same needs of the company's target customers.
Ask questions and examine competitors. 1: What is each competitor looking for in the market? 2: What drives each competitor’s behavior?
③Cooperators and companies: work together to create value for target customers.
Provide complementary resources to select partners to meet customer needs.
④Company: Develops and manages supply products or services for a given market.
manage specific products or services, Each business unit can be considered an independent company with its own business model.
⑤Environment: 5 factors of the external environment in which the company and its partners operate
Social and cultural environment
technical environment
regulatory environment
economic environment
physical environment
The key part of the target market is the choice of target customers, which determines all other aspects of the market. Includes clear competition Choose a collaborator Determine company resources needed to develop quality products for customers and the environment in which companies create market value. (Choosing the right target customers is the basis for building a successful business model.)
Five competitive forces. Michael Porter (Five Forces Framework) Industry (external)
Bargaining power of suppliers.
Buyer’s ability to negotiate.
Threat of new entrants.
Threat of substitutes
Competition among existing competitors.
Industry competitor positioning
Refining the value proposition 【3 V principle】
customer value
The three factors include ❶the needs of the target customers, ❷the benefits the customers receive, and the cost to them when purchasing the company's supplies. ❸Benefits and costs of competing supplies.
Partner value
Summarizing all the benefits and costs created by the supply for collaborators reflects the attractiveness of the supply to collaborators.
company value
The value of a craft, with all the benefits and costs associated with it, is closely related to the company's goals.
optimal value proposition
To balance the value of customers, collaborators and publicity. thereby achieving its strategic objectives.
Market Design Marketing Tactics
The difference between 7T and 4P
Marketing 7T
Product: tangible or intangible, creates value for customers, and is given ownership of the purchased product
Service: Create value for customers without giving customers ownership.
Brand: Identifies the products and services a company offers. Create unique value beyond the products and services themselves.
Price: The monetary cost of acquiring customers for a product.
Incentives: Increase the value of a product by reducing costs or increasing revenue.
Communication: telling customers how to obtain products through different forms
Distribution: The channels through which supplies are provided.
Optimize customer value in three dimensions
Design value (product, price, service, brand, incentives)
Communication Value (Communication)
Deliver value (distribution)
Marketing 4Ps
price
The price is still the price
product
Contains (products, services and brands.)
Promotion
Contains incentives (including price promotions, coupons, trade promotions, etc.)
Contains communications (including advertising, public relations, social media and personal selling.)
Place
Distribution replaces location
Build a market value map
Three key components. [Target market/price proposition/market offering. 】
Five target markets. [Customers, collaborators, companies, competitors, environment. 】
Seven key attributes. [Products, services, brands, prices, incentives, communication, distribution]
Marketing Plan
Explain the marketing plan development process
An action plan is the underpinning of a marketing plan that clarifies a company goal and develops a course of action to achieve that goal.
G-STIC Action Plan and Method
set a goal
Determine goal focus
Establish performance benchmarks.
strategize
Targeted market
value proposition
Make design tactics
Seven attributes that define a company's target market offerings
Implementation plan
An execution plan consists of three key components. (Development of company resources, development of supplies, and commercial deployment of supplies.)
Identification control
Evaluate performance
Monitor the environment
Three functions of a marketing plan.
The first is to describe the company's goals and specific courses of action.
The second is to tell stakeholders about the company’s goals and action plan.
The third is to convince the relevant decision-makers about the goals and the feasibility of the course of action we have identified, which is a marketing plan.
Describe key components of a viable marketing plan (Develop marketing plan)
executive Summary
What are the main aspects of a company's marketing plan?
Situation overview
Company (The company’s historical and cultural resources, products and ongoing activities.)
Market (What are the key aspects of the market in which the company competes?)
G-STIC Action Plan
exhibit
What are the details and evidence to support the company’s action plan?
How and when to develop a revised marketing plan
Update marketing plan (Responsive to changes in target market.)
Changes in the demographic purchasing power needs and preferences of target customers.
Changes in the competitive environment.
Changes among corporate collaborators.
Changes in the company, such as loss of strategic assets and capabilities.
Changes in the market environment, such as economic recession, development of new technologies, new revisions and revisions, introduction of regulations.
Conduct a marketing audit
Four Characteristics of Marketing Audit
Comprehensiveness
Systematic
impartiality
Regularity
Five key components.
target audit
tactical audit
strategic audit
Perform an audit
control audit
The main difference between a marketing audit and a marketing plan is that Marketing plans are future-oriented and formulate action plans that the company should take, A marketing audit examines a company's current and past performance to determine the right course for the future. , thus consolidating the company’s past, present and future.
Part 2 Understanding the Market P68-153
Analyze the consumer market
consumer behavior model
Identify key factors influencing consumer behavior
Marketing strategy
Including products, services, brand, price, incentives, communication, distribution.
marketing environment
Including economic, technical, legal, political, social, cultural, material
consumer characteristics
Including culture, society, and individuals.
consumer psychology
Including motivation, perception, emotion, and memory.
purchasing decision process
Including problem identification, information search, solution evaluation, purchase decision, and post-purchase behavior.
purchasing decision
Including product selection, brand selection, store selection, purchase quantity, purchase time, payment method, etc.
consumer characteristics
Explain the role of cultural, social and personal factors in consumer behavior.
cultural factors
Culture refers to the way of life of a group and the behavioral beliefs, values and symbols they accept. It usually does not need to be thought about, but is passed down from generation to generation through communication and imitation.
Culture is a fundamental determinant of individual needs and behavior.
The existence of social classes: members of each class have similar values, interests, and behaviors.
social factors
Social factors, reference groups including family, influence our buying behavior.
reference group
reference group
All groups that have a direct or indirect impact on an individual's beliefs, decisions, and behaviors.
The influence of parents, sisters on the formation of personal beliefs, value systems, behaviors, and the direct influence of an individual's spouse and children's daily purchasing decisions.
Reference groups include friends, neighbors, coworkers, religious and interest groups to which the individual belongs. Also includes aspirational groups and alienated groups
family
As the most influential primary reference group, families are the most important consumer purchasing organization in society.
The family of origin consists of parents, siblings. Attitudes toward religion, politics, and economics acquired from parents, and personal complaints about feelings of self-worth and love.
The regenerative family includes the individual's spouse and children's purchasing needs.
personal reason
Personal characteristics that influence purchasing decisions include age, different stages in the life cycle, career and financial status, personality and self-concept, lifestyle and values, etc.
personality and self-concept
Personality refers to a set of human psychological characteristics about what one wants to do.
Self-concept is how we think others view us.
values and lifestyle.
Consumers are guided by the principles of right and wrong in a value system.
Lifestyle is determined to some extent by consumers who are limited by money or time.
consumer psychology
Explain how consumers' needs, emotions, and memories influence the behavior of others.
consumer motivations
consumer demand
Maslow's hierarchy of needs model. (Physiological needs, safety needs, social needs, esteem needs, self-actualization needs.)
consumer motivations
The need to be stimulated to a sufficient intensity to drive us to action is motivation
perception
Perception is the process by which we choose to organize and interpret information input to create a meaningful picture of the world.
selective attention
Attention is the allocation of the ability to process stimulus information. Spontaneous attention is purposeful, and non-spontaneous attention occurs when our attention is attracted by something or some things.
selective distortion
The tendency to interpret information in a way that fits our existing concepts.
emotion
Emotions are physiological states that arise spontaneously, rather than from interesting efforts, and reflect positive or negative responses to internal or external stimuli.
memory
Memory is the brain's ability to record, store and retrieve information and events.
memory model
Divided into short-term memory and long-term memory.
Three types of long-term memory: episodic memory, semantic memory, and procedural memory.
memory process
memory encoding
Describe how and where information enters memory
memory retrieval
The way we retrieve information from memory, the retrieval method.
consumer purchasing decision process
Describe the key stages of the buying decision process.
Consumer behavior keywords: Who, when, where, how, why, and what to buy?
purchasing decision process
Problem identification
External stimuli trigger specific needs.
information search
Understand the types of information consumers receive at different times, locations, and searches.
Information Sources
❶Personal ❷Business ❸Public ❹Experiential
Search updates
Total set→Knowing set→Consideration set→Selection set→Choose
Case evaluation
Beliefs and attitudes.
A belief is a belief that something is true or true, whether or not it is actually true.
Attitude refers to a person's long-term positive or negative evaluation, emotional feelings and behavioral tendencies towards a certain phenomenon or concept.
information processing
First, consumers are always trying to satisfy some need.
Second, consumers seek some specific benefit from a product that provides a solution to that need.
Third, consumers view each product as a collection of attributes, each with a different ability to deliver desired benefits.
Fourth, the attributes of interest to buyers vary from product to product.
expected value model
Consumers form attitudes toward different brands through attribute evaluation procedures and reduce a set of beliefs about the superiority of various brands on various attributes.
purchasing decision
heuristic decision making
In the decision-making process, consumers more often use mental proximity than calculated considerations and the perceived importance of various product attributes within them.
consumer involvement
Tie the product to an engaging problem.
Relate the product to a personal situation.
Design ads to elicit emotional needs related to personal values and self-defense.
Add an important product feature.
interference factors
Others have strong opinions about our preferred options.
Our motivation to comply with the wishes of others.
Post-purchase behavior
After purchasing a product, product satisfaction, post-purchase behavior, and post-purchase product use and disposal.
Satisfaction depends on the degree of discrepancy between consumer expectations and perceived product performance.
Repeat purchases or cause complaints
It is important to monitor satisfaction, which reflects the value customers receive from a company's products.
Analyze business markets
Understand the corporate market.
organizational purchasing definition
It is a process by which a formal organization determines the need for purchased products and services, and then identifies, evaluates and selects alternative brands and suppliers.
Enterprise market definition
All organizations that acquire goods and services that are used to produce products or services that are sold, rented or supplied to other customers.
Enterprise market characteristics
The number of sellers is small, but the scale is large.
Suppliers have closer relationships with customers
Procurement is highly professional.
There are many factors affecting procurement.
Focus on more.
Demand is inelastic.
Fluctuating demand.
Buyers are geographically concentrated.
Purchase directly.
Understand corporate market purchasing decisions
Mainly explains the key aspects of the organization's procurement process.
Purchasing decision types
Directly repurchase.
Adjust repurchase
New purchase
Enterprise purchasing process
Know → Interest → Evaluate → Apply → Adopt.
Mass media is most important during the initial awareness stage.
Salespeople’s greatest influence during the interest stage
Technology sources are perhaps most important during the evaluation phase.
Selling online can be useful at all stages.
Buyers must determine product specifications, price caps, delivery terms and times, service terms, Payment terms, order quantities, acceptable suppliers and selected suppliers.
7 roles of corporate procurement
initiator
The people in the organization who are required to purchase the product include users or others.
user
People who use the product or service. Users initiate purchase suggestions and help determine product requirements.
influencer
People who influence purchasing decisions Often assists in determining specifications and provides information for evaluating alternatives. Technicians are very important influencers.
decision maker
The person who determines product requirements or suppliers.
Approver
A person who authorizes a decision maker or purchaser to make a purchase.
purchaser
A person with formal authority to select suppliers and arrange the terms of purchase. Buyers can help develop product specifications, but their primary job is to select suppliers and negotiate terms and prices. (Purchasers may include senior managers.)
gatekeeper
A person with the authority to prevent sellers or information from reaching members of the buying center.
How to build a purchasing center
Explain the role of purchasing center in an organization.
The nature of corporate procurement
Purchasing centers usually include participants with different interests, rights, statuses and positions that are not firm, and have different decision-making criteria.
Purchasing decisions are ultimately made by individuals rather than organizations. Individuals are driven by their own needs and cognitions, and always try to maximize the rewards they receive from the organization. And organizations need to formalize the procurement process and its results.
Characteristics and classification of business market transactions
Entrepreneurs don’t just purchase products, they solve two problems.
Economic and strategic issues of organizations.
own need for achievement and reward.
Promote through the purchasing center first. How to market to businesses
Corporate marketers must regularly review their assumptions about buying center participants.
Insights about customers and purchasing centers are critical.
Corporate marketers also have the discretion to consider other clients' customers or end-users, as appropriate.
Procurement management and corporate marketing programs.
Describe the stages of a business's market decision-making process.
8 processes of corporate procurement
①Identification of problems.
The procurement process begins when someone realizes that a problem or need can be met by purchasing goods or services.
Internal stimulus: New equipment and materials are needed to develop a new product, or a machine breaks down and requires new parts.
External Stimuli: New ideas from trade shows, ads or emails, calls from blog sales reps, and offers of high-quality products at low prices.
②Description of requirements
The purchaser will determine the general characteristics of the merchandise required and the quantity required. : The goal is to identify the company's specific needs and benefits it hopes to gain from the product.
③Product specifications
Product value analysis is a way to reduce costs. Investigate whether components can be redesigned, standardized or produced in a more cost-effective manner without compromising product performance. (The focus is on eliminating excessive costs. To win customers.)
④ Supplier search.
Directory website
vertical market
Professional auction company
Spot and trading markets.
private trading venue
Online procurement has several advantages. It reduces transaction costs for procurement and suppliers, shortens the time between order placement and delivery, The procurement system has been integrated and a more direct connection has been established with partners. The disadvantage is that it may weaken the loyalty of both parties and create potential security issues.
⑤Solicitation of proposals
Qualified suppliers are invited to submit written proposals and formal reports are invited after evaluation of these proposals.
Marketers must be good at researching, writing and presenting marketing proposals that describe value and benefits from the customer's perspective.
Oral presentations must inspire confidence and define the company's capabilities and resources to differentiate itself from the competition.
⑥Selection of suppliers.
Seek the maximum combination of benefits related to product cost, including the four aspects of economy, technology, service and society.
Buyers evaluate supplier attributes through price, reputation, reliability and agility.
Marketers must better understand how business buyers evaluate attribute selection and their relative importance. Just due to purchasing situation.
Attributes for selecting a supplier may be technical services, supplier flexibility and product reliability as well as supplier priority level.
⑦Contract negotiation
The buyer will negotiate the final order, including listing technical specifications, required quantities, estimated delivery time, return policy and warranty policy, etc.
⑧Performance evaluation
Three methods are used to regularly evaluate selected suppliers.
First, contact the end user and request an evaluation.
Second, suppliers are rated using a weighted scoring method based on multiple criteria.
Third, the total cost of defective products. To arrive at the adjusted procurement cost including price.
How to develop a corporate marketing plan for the corporate market
Explain how organizations develop marketing programs and attract and retain business customers.
The essence of corporate marketing
B2B marketers are using a host of marketing tools to attract and retain customers. They are strengthening their brands using technology and other communication tools to develop effective marketing programs. They also use system sales and value-added services to provide added value to customers.
Four aspects of corporate marketing to enhance value
Shift from offering products to offering solutions. (System Procurement → System Sales Transformation)
System sales are system contracting with a single supplier that meets all of the seller's maintenance, repair and operational MRO requirements.
Strengthen services
Adding high-quality services to products allows companies to provide greater value and create closer connections with customers.
Build a B2B brand.
Corporate marketing is increasingly aware of the importance of brands. The quality of branded products is more guaranteed, which makes corporate management feel at ease and more easily inclined to the company's interests to justify the purchase of mature brands.
Overcome price pressure.
Product life cycle costs are lower than those of competitors.
Improving productivity can help alleviate price pressures.
Cooperation can further help alleviate price pressures.
Lowering prices and increasing revenue are not the only ways for customers to overcome price pressure.
First, it can improve overall customer interests by improving the economic functions and psychological benefits of its products, service personnel, or image. Second, non-monetary costs for purchasers can be reduced by reducing the time, energy and psychological costs required to purchase products. Third, it can reduce the monetary cost of the product.
How to manage B2B relationships.
Describe how business marketers build and maintain relationships with customers.
Understand inter-firm relationships.
Understand customer and supplier relationships.
Four relationship forces that influence business partners. : ❶The availability of substitutes, ❷The importance of suppliers, ❸The complexity of supply ❹The dynamism of the supply market.
How to manage corporate credibility and reputation
Being sexual is a prerequisite to having a healthy long-term relationship. Sina is a business's willingness to rely on other business partners.
Trust factor. : The company provides comprehensive and honest information, employee incentives are consistent with customer needs, cooperates with customers, creates market value, and provides effective comparisons with competitive products.
Corporate credibility: refers to the extent to which customers trust a company to design and provide products and services that meet their needs and desires.
Three key factors for corporate reputation
❶Occupational expertise refers to a business’s ability to manufacture and sell products or provide services.
❷Corporate credibility reflects a company’s honesty, reliability and sensitivity to customer needs.
❸Company likability reflects the extent to which a company is viewed as likable, attractive, dynamic, and prestigious.
How to Manage Institutional Markets (Government Units)
The institutional market includes schools, hospitals, nursing homes, prisons, and other institutions that must provide goods and services to the populations they serve.
Government organizations are major buyers of goods and services. (Suppliers are typically required to provide bids, and contracts are often awarded to the lowest bidder, with some subsidies to suppliers who are distinguished by high quality or completing the contract on time.)
Different types of organizations have different needs priorities, procurement methods and time frames.
Suppliers must be prepared to adapt offers to the special needs and procedures of institutional and government markets.
Conduct marketing research
Basic theories of marketing research
What is marketing research?
Marketing managers use marketing tools to gain insight into market needs. They will entrust professional organizations to conduct marketing research to make decisions in order to solve specific problems and identify some opportunities.
What is the role of marketing research?
Assist marketing managers in decision-making: connect consumers, customers and the public with marketers with the help of information,
Used by businesses to identify and define marketing opportunities and problems
Propose, refine and evaluate marketing action methods to monitor marketing performance and improve understanding of marketing.
How to conduct marketing research?
Identify the information needed to solve the problem.
Design methods for information collection.
Management and real-time data collection process.
Analyze results
Report and publish research findings and their implications.
What are the characteristics of good marketing research?
three types
Integrated Services Research Corporation
Customized research company type
Professional project marketing research company.
Five Steps to Marketing Research
Define the problem
Ask good questions and discover opportunities
Such as: 1 Should we provide certain services? 2. Is this service available to some people or to everyone? 3How should this service be priced? 4. To what customer group should this service be provided?
How to translate business problems into concrete research objectives?
1Which types of customers respond strongly to this service? 2How many customers use this service at different prices? 3How many people choose us because of this service? 4What is the long-term value of this service? 5 How important is this service relative to other services?
Exploratory, identifying problems and proposing possible solutions
Descriptive, quantitative requirements
Causality, verifying causality
Prepare research plan.
Data Sources
Secondary data: data that already exists for the purpose for which it was collected
Raw data: newly collected data for a specific project for a specific purpose
merge both
Five promotion survey methods.
Observation method: Researchers collect new data by quietly observing customers as they shop and consume products.
Ethnographic research: Using concepts and tools from anthropology and other social sciences to gain a deeper understanding of how people live and work from a cultural perspective.
Focus group research method: Researchers combine demographic characteristics, psychological characteristics or other characteristics to carefully select 6 to 10 people to gather together to answer various detailed questions.
Survey method: Comprehensive questionnaire survey or on-site behavioral interception survey can be used. Question survey, telephone survey
Behavioral research: Customers scan data catalog purchases in stores and leave traces of purchasing behavior in customer databases.
Three research tools.
Questionnaire
Closed questions. : Dichotomous, multiple choice four, Likert scale, semantic differential scale, importance list, rating scale, purchase intention scale.
Open-ended questions: Completely unstructured. Word association, sentence completion, story completion, picture interpretation.
Qualitative measurement: word association, projective techniques, visualization, brand personification, ladder method
measuring equipment
Use equipment such as skin sensors, brainwave scanners, and body scanners to see consumer reactions.
collect information.
sampling plan
Sampling units, size, procedures
Contact information
Online, in person, by mail, email, by phone
data mining
Identify potential customers.
Decide which customers should receive specific offers.
Improve customer loyalty.
Reactivate the customer's purchase.
Avoid critical customer mistakes.
Analyze information
Tabulate data and develop comprehensive measures.
Refining research results. (Variables: mean and dispersion)
Analysis of data using some statistical techniques and decision-making models
Test the effects of different hypotheses and theories.
Make decisions
Market data by itself is not very useful.
Market data can provide insights
Develop a deeper understanding of manager issues.
Improve the cost-effectiveness of operations.
How marketing research measures market demand
A key concept in measuring market demand.
Market demand
The total purchase volume of a specific customer in a given marketing program in a specific time area and market environment.
Company needs
An estimate of a company's share of market demand during a specific period of time based on varying levels of marketing activity.
Company Sales Forecast
Derive the company's marketing forecast level based on selected marketing plans and assumed marketing environments
total market potential
The maximum sales possible for all companies in the industry within a certain period of time given the industry's marketing level and existing environmental conditions.
company sales potential
The sales limit of demand when a company increases its marketing activities relative to its competitors.
How to predict market demand?
Companies usually make macroeconomic forecasts, then industry forecasts, and finally company sales forecasts.
How does the company predict
Self-organized forecasts, forecasts from customer interviews and surveys, distributors, and external channel purchase forecasts.
Three kinds of basic information for prediction: what people say, what people do, and what people have done?
Forecast demand
Industry sales and market share.
Buyer intention survey.
Comprehensive opinion of the salesperson.
Expert opinion.
Analysis of past sales.
market testing method
How marketing research measures marketing productivity
Two ways to measure marketing productivity.
❶Marketing performance indicators to evaluate marketing effectiveness.
❷Marketing mix models that assess cause-and-effect relationships and measure how marketing activities impact performance.
Marketing Performance Metrics
It refers to a set of measurement methods that help marketers quantitatively compare and explain their performance.
short term results
Turnover, shareholder value, profit and loss
Brand equity changes
Customer awareness, customer attitude, customer behavior, market share, relative premium, number of customer complaints, Measurement of distribution and supply, total number of customers, perceived quality, customer loyalty and retention.
marketing mix model
More accurately assess the effectiveness of specific influence campaigns by analyzing data from a variety of sources.
shortcoming
Focus more on incremental growth. Not base sales or long-term results.
Important indicators of customer satisfaction, awareness and brand equity have limitations when incorporated into the marketing mix.
The marketing mix often does not consider metrics related to trading with competitors and promoting the sales team.
Marketing Dashboard
Organizational classes can collectively view interrelated performance drivers. (Reflect performance and issue early warning)
Four measurement paths
Customer Metric Path
Such as product cognitive preferences, videos suitable for repeated purchases, non-linear routes, etc.
unit indicator path
The number of units sold of a product or service.
Cash flow indicator path
Short-term returns on marketing spend.
Brand indicator path
Brand valuation and long-term impact.
Part 3 Marketing Strategic Planning P156-209
Identify market segments and target customers
Create customer value proposition and positioning
Part 4 Design Value P214-341
Product design and management
Service design and management
Build a strong brand
Manage prices and promotions
Part 5 Communicating Value P313-341
Manage marketing communications
Designing integrated marketing in the digital age
Personal Selling and Direct Marketing
Part Six Channel Value P346-484
Design and manage distribution channels
Manage retail
Part 7 Managing Growth P488-627
Drive company growth in competitive markets
Develop new market offerings
Build customer loyalty
Enter the global market
Social Responsibility Marketing
Marketing Insights
The Ten Deadly Sins of Marketing.
Fatal mistake one
It is not sufficiently market-centered and customer-driven.
Fatal error two
Not fully understanding its target customers.
Fatal mistake three
Companies need to better define and monitor their competitors.
Fatal mistake four
The company does not manage its relationships with stakeholders properly.
Fatal mistake five
Companies are not good at finding new opportunities.
Fatal mistake six
The company's marketing planning process was flawed.
Fatal mistake seven
Product and service policies need to be tightened.
Fatal mistake eight
The company's brand building and communication skills are weak.
Fatal mistake nine
The company does not organize effective and efficient marketing.
Fatal mistake ten
The company does not have the technology to leverage its largest projects.
Write a marketing plan template
behavioral decision theory
Six ways to get new ideas from customers.
Chasing the long tail
Start-up positioning
When “less is more”,
Improve the company's call center.
Draw a brand positioning target
Ethical Issues in Prescription Drug Pricing
Celebrity endorsements
Measuring social media ROI.
Key account management
Understand display phenomena.
Managing a retailer's price image.
Growth Strategies of Market Challengers
Understanding innovation adoption
Net Promoter Score and Customer Satisfaction.
Global cultural similarities and differences
Environmental issues in the water industry.