3. Marketing
• “The management process responsible for identifying , anticipating
and satisfying customer requirements profitably”
• Philip Kotler defines marketing as:
“Satisfying needs and wants through an exchange process”
• P.Tailor: “Marketing is not about providing products or services it is
essentially about providing changing benefits to the changing needs
and demands of the customer”
These needs are changing faster now than ever before.
• D. Aaker & E. Joachimsthsler in “Brand Leadership” – claim that
the classic brand management system in marketing is out-dated and
needs to be replaced by what they call the brand leadership
paradigm.
4. Marketers embrace new approaches
and philosophies
As a result of changes around the world in:
Economic conditions, Technology, Political-legal developments,
Sociocultural and Competitive environments
Kotler identifies 5 forces for these changes in marketing:
Digitalization and connectivity
Disintermediation and reintermediation
Customization and Customerization
Industry convergence
New customer and company capabilities
5. The Science of Branding according to Hill & Rifkin:
1. The CEO must own the marketing function
2. Keep the marketing department small
3. Get out of the office & meet customers face-to-face
4. Use market research cautiously
5. Hire only passionate missionaries
6. Love and respect your customers
7. Create a community of consumers
8. Rethink the marketing mix
9. Celebrate uncommon sense
10. Be true to the brand.
6. Types of Modern Marketing
• Experiential Marketing
Companies demonstrate the benefits of their products they must
create & sell consumers an enjoyable experience (BMW)
• One-to-One Marketing
Relationship marketing adds value by providing companies with
feedback directly from consumers.
It treats customers uniquely, by remembering specific dates or
requests for customers. (AVON)
• Permission Marketing
Is where consumers opt-in to receive messages from a company.
It is more effective than interruption marketing (TV or Newspaper
adds) because consumers are accustomed to them and it helps to
develop closer relationships with customers in the long-term.
7. On Friday one customer commented on the Target Facebook page.
She wrote: ''Dear Target, Could you possibly make a range of
clothing for girls 7-14 years that doesn't make them look like
tramps … You have lost me as a customer when buying apparel for
my daughter as I don't want her thinking shorts up her backside
are the norm or fashionable.''
• Target's Facebook page
was flooded, the post
received more than
44,000 likes with 2500
comments complaining
its clothing line for is
"age-inappropriate" and
designed for "little
hookers“
• Target removed the post
but it was not enough to
stop thousands of angry
parents calling on Target
to stop selling children's
clothing that makes
young girls look like
"tramps".
Target spokeswoman Lynn Semjaniv told the Punch:
Target is carefully meeting a need .
“Target’s childrenswear team incorporates an in-house design
function who identify the latest fashion trends from around the
world. We use contemporary trend forecasting to identify the
latest clothing styles, fits and colours for our range. We also
take into consideration the success of ranges from previous
seasons that have worked well.
“Over the past nine months, we have introduced customer
feedback into product development and invite customers in
various ways to touch, feel and share their suggestions on our
products before they are approved for sale in our stores. It is
important to us that customers have a wide variety of choice
when it comes to selecting products for their children.
8.
9. Implications of New Marketing Approaches
• From a Brand perspective Experienital Marketing, One-to-One Marketing &
Permission Marketing assist in building brand equity and consumer to brand
bonds.
• Traditional marketing approaches like “product, price, place & promotion” do not
completely meet these new marketing methods, because consumers are more
restricted in their purchasing power, location and time. (savvy consumers)
• These new marketing approaches are changing how companies devise products,
pricing, distribution strategies, and remain attentive to customers needs.
THE END
