BUS502: Strategic Marketing

Read this chapter, which introduces key concepts for the course. The chapter includes a definition of a marketing plan, the steps in the marketing process model based on the work of marketing expert Philip Kotler, and an outline of a comprehensive marketing plan. The marketing mix (product, price, place, and promotion or the 4 Ps), marketing research, and marketing strategies are discussed. As you read the chapter, think about the importance of a marketing plan for an organization and the significant planning process. You will learn more about the marketing planning process during the course.

Read this section to understand the development of the marketing strategy with a focus on the 4 Ps, where the identified target market is an influential factor. The chart on the last page of this section summarizes the marketing planning process with recognition of the connections between the corporate mission, corporate strategy, and marketing strategy. You may want to examine the chart again as you learn more about the topics.

Read this section to understand the SWOT analysis. SWOT is an acronym for strengths, weaknesses, opportunities, and threats. An organization's strengths and weaknesses are internal factors, and opportunities and threats are external factors. A SWOT analysis provides meaningful information about the current status of an organization and is among the information that supports the strategic planning process. This section includes a SWOT analysis of a fictional college. Describe the SWOT factors for the college which are within its control and could lead to strategic recommendations.

Read this section with additional information about the SWOT analysis. Organizational and individual examples of strengths, weaknesses, opportunities, and threats are provided. The analysis benefits an organization, but some potential risks are identified. Think about a major brand you are familiar with, such as Coca-Cola. How would you define the SWOT factors for this brand?

Watch this short video to learn about the PESTEL analysis, which may also be referred to as PESTLE analysis. PESTEL is political, economic, social, technological, environmental, and legal. This analysis identifies the broader environmental factors that affect or may affect an organization. Much like the SWOT analysis, the PESTEL analysis supports planning and strategic decision-making in an organization, including specific to marketing. What are the major PESTEL factors for Coca-Cola?

This chapter will reinforce what has been learned about the PESTEL analysis. More details and examples are provided about each aspect of PESTEL. What are the benefits of conducting SWOT and PESTEL analyses?

Read this chapter to learn the basics of the marketing mix. Examples are provided for each "P" of the marketing mix – product, price, promotion, and place. A marketer must define each P while determining the best combination of all 4 Ps to effectively reach a target market and ultimately create value for the customer and the company. Apply the 4 Ps to the Apple iPhone.

1. Product – How does the product address the needs and wants of a customer? What is unique about the product?
2. Price – How would you characterize the price? Are discounts available?
3. Place – Where can the customer buy the product? Would most customers be able to readily buy the iPhone when needed?
4. Promotion – How does the company communicate with customers about the product and its features and benefits? Does the customer communicate with the company and others about the product?

Watch this short video. The content reinforces what you know about the marketing mix through definitions and examples. Selected strategies and pitfalls are discussed. The speaker used an example of advising a client to increase only the price of a product, which led to increased sales for the company and no loss in customers. When would you determine that a company should change only one element of the marketing mix, such as price, without adjusting the other Ps?

Watch this video that includes definitions and examples of segmentation, targeting, and positioning with recognition of differentiation. Segmentation, targeting, and positioning (STP) is a marketing model used to:

1. Divide consumers into logical segments based on certain characteristics
2. Determine the target segment for an organization – the segment to which the organization can effectively appeal, meet its wants and needs, and profitably serve
3. Determine how the product or service should be positioned relative to similar products or services and in the minds of consumers.
4. The position may also be called a niche. Differentiation (D) builds upon positioning by distinguishing the product or service from competitive products based on product attributes or benefits. STP + D influence the 4 Ps and are among the key activities in strategic marketing planning. For the iPhone, how would you classify influential factors in market segmentation?

This chapter includes a definition of market segmentation and general strategies for segmentation and selecting a target market. An example of market segmentation is included based on the family life stage. How would you answer these questions if you were developing a marketing strategy for a new line of disposable diapers? Who should I be marketing to? Why them? How can I reach them most effectively?

Read this chapter to learn about common market segmentation options: geographic, demographic, psychographic, behavioral, and decision-maker. Examples are used to reinforce your understanding of each approach to segmentation. Segmentation begins with identifying all potential buyers of a product or service. This large group is then divided into segments based on one of the segmentation approaches. For any product or service, what are the disadvantages of a broadly defined segment, such as people 35 years and older who earn at least US$40,000 per year?

This chapter includes guidelines for market segmentation and target market selection. It is recognized that a company may use a concentration strategy, focusing on only one market segment, or a multi-segment strategy, focusing on two or more market segments. There is an example of family life stage segments with leisure activity information. Which one of the five segments most accurately describes you?

This chapter gives additional information about market segmentation and target markets. You should research to assess the market opportunity and the competitive environment. What should you do if there are limited potential customers or significant competitors?

Read this chapter about the relationship between targeting strategies and elements of the marketing mix. Key targeting strategies are defined:

• mass marketing (undifferentiated marketing);
• differentiated marketing;
• niche marketing; and
• micromarketing, which includes individual marketing and local marketing.
• An example demonstrates the connection between a targeting strategy and the marketing mix. The chapter uses Rolex as an example of niche or concentrated marketing. How would you justify the niche targeting strategy for Rolex watches? What product attributes and other factors validate this approach?

Read this chapter for definitions of and additional information about positioning and differentiation. Positioning is the process of determining the place of a product or service in the marketplace and in the minds of consumers when compared to alternative products or services. Differentiation builds upon positioning by defining product attributes and benefits to further distinguish a product or service from others and make it more appealing to the target segment. Think about a retail chain with which you are familiar. How does the retail chain's positioning and differentiation strategies compare to the 3 retail chains analyzed in the chapter, specifically Walmart, Target, and HBC?

Read this chapter for definitions of and additional information about positioning and differentiation. Positioning is the process of determining the place of a product or service in the marketplace and the minds of consumers when compared to alternative products or services. Differentiation builds upon positioning by defining product attributes and benefits to further distinguish a product or service from others and make it more appealing to the target segment. Think about a retail chain with which you are familiar. How do the retail chain's positioning and differentiation strategies compare to the three retail chains analyzed in the chapter: Walmart, Target, and HBC?

Read about implementing a positioning strategy for the marketing mix. There must be alignment between the positioning strategy and elements of the marketing mix to effectively reach the target segment and meet business goals. It is important to measure the impact of a positioning strategy. You may need a repositioning strategy if goals are not met. How would you categorize factors that indicate a positioning strategy is effective?

This chapter reinforces what has been learned about differentiation, a strategy that builds upon positioning. The concept of differentiation is defined, and examples are used to highlight key points. The advantages and disadvantages of a differentiation strategy are discussed. As you read this chapter, reflect on STP + D. If a fellow marketer asked you about the benefits of these activities, what would you say? Are there any challenges that you would share?

Read this chapter for an overview of the importance of ethics and social responsibility with two examples. Ethics and social responsibility are important in any field and organizational function, including marketing. They are important in marketing planning and must be apparent in all marketing activities. Marketers must recognize their ethical obligations to consumers regarding marketing research, consumer information, communications, products, and more. Doing the right thing creates value for the organization and the consumer. Think about how brands' ethics and social responsibility affect your purchasing decisions.

Read this chapter about common ethical issues associated with the marketing mix. Identified areas of concern include market research, market audience, advertising and promotion, delivery channels, and anti-competitive practices. Ethical marketing policies should guide activities. Marketing ethics can be an effective marketing tactic. What are your predictions about the results of unethical marketing practices?

This section summarizes major ethical concerns in marketing in 1985 compared to concerns in 2019. It is summarized that in 1985, bribery, fairness, honesty, and pricing were among the leading concerns. In 2019, the leading concerns were: deception; client data, storage, and privacy; product safety and sustainability; and market research. An environmental factor, technology, contributed to some concerns in 2019. There have been technological advancements over the years and notable growth in the number of digital marketing tools. Data collection, analysis, and storage more readily occur to support marketing efforts while presenting potential risks. Have you been notified that your customer information with a company may have been hacked? If so, how has that notice and any negative actions with your information affected your perception of the company? Has your product or service relationship with the organization changed?

Read this article about ethical matters in online data collection and advertising. The regulatory environment and marketing practices are examined. There is a discussion about the benefits and concerns of collecting and using consumer information. Think about your online activities. Do you know what information is collected about you and how it is used for marketing and other purposes?

This chapter is about social responsibility and how it relates to marketing planning. Coca-Cola is used as an example. Social responsibility is examined as part of Coca-Cola's corporate-level strategy and its marketing-specific strategy. To address a broader societal concern about childhood obesity, the company committed to well-being strategies to help fight obesity. These strategies affected the marketing mix, particularly product and promotion. Consider the analysis of Coca-Cola's commitment to CSR and socially responsible marketing presented in this chapter. Are there other strategies to consider, given current societal concerns?

Watch this video from 5:34 to 37:38. Sustainability has become a critical aspect of CSR. Strong brands are believed to be based on socially responsible values that benefit stakeholders, including consumers. LEGO, Ben and Jerry's, Glossier, and Lush are examples of brands that value CSR. What common characteristics among these and other brands reflect social responsibility in marketing?

Read this chapter to reinforce learning about socially responsible marketing. It is noted that socially responsible marketing responds to questionable marketing practices that adversely affect society. Economic criticisms of marketing are summarized in the article, specifically practices that result in higher prices for consumers and environmental concerns. Sustainable marketing principles are briefly summarized, including consumer-oriented marketing, customer-value marketing, innovative marketing, sense-of-mission marketing, and societal marketing. Think of an example of a product or service you purchase because of its socially responsible marketing.

Read this chapter to reinforce learning about socially responsible marketing. It is noted that socially responsible marketing responds to questionable marketing practices that adversely affect society. Economic criticisms of marketing are summarized in the article, specifically practices that result in higher prices for consumers and environmental concerns. Sustainable marketing principles are briefly summarized, including consumer-oriented marketing, customer-value marketing, innovative marketing, sense-of-mission marketing, and societal marketing. Think of an example of a product or service you purchase because of its socially responsible marketing.

Watch this as you work through the unit and prepare to take the final exam.