Marketing Management
Paul Dishman , Ph.D.
Department of Business Management
Marriott School of Management
Brigham Young University
Lecture 4

Marketing Management
Learning Objectives
• Primer on Marketing Strategy
• Introduction to Target Marketing and
Segmentation
• Examples and lessons from a variety of industries and businesses
Paul Dishman, Ph.D.

Marketing Management
Possible Marketing Paths
R&D invents product
MR uncover unmet need in market
Product produced
Market tests conducted
Product benefits articulated
To whom do we sell this product?
Who do we tell about this product?
What do we need to tell them?
Paul Dishman, Ph.D.

Marketing Management
To Whom Do We
Want to Speak?
• Who should receive our message?
• What message do they want? need?
• How should the message best be delivered?
Paul Dishman, Ph.D.

Marketing Management
Who is our Target Audience?
• Mass Market or Targeted Market?
• To what group of people do we want to aim this product? Aim our messages?
• What common characteristics do they possess?
Paul Dishman, Ph.D.

Marketing Management
Mass Marketing vs.
Target Marketing
Mass
Marketing
“one product for all customers”
Target
Marketing
“a product for a specified sub-group with common needs” ?
Custom
Marketing
“each product unique for each person”
Paul Dishman, Ph.D.

Marketing Management
Stakeholders vs.
Audiences
Stakeholders
• Shareholders
• Employees
• Customers
• Suppliers
• Community
Audiences
• All stakeholders
• Identified Market
Segments
• Media
• others
Stakeholders Audiences
Paul Dishman, Ph.D.

Marketing Management
Introduction to
Product-Markets
• What is a Product-Market?
– “a market defined by a common application of a product class”
– baby-food market
– home internet computer market
– couture fashion market
Paul Dishman, Ph.D.

Marketing Management
Product-Markets
• Are “living” entities
• Constantly changing and evolving
• Managers must monitor changes and predict trends through intelligence efforts
• Markets can be:
• alive
• dead
• dormant
• bifurcating
• mutating
Paul Dishman, Ph.D.

Marketing Management
Product-Markets
1985: Desktop Personal Computer Market by Usage Areas
Home
Business
Science
Education
Paul Dishman, Ph.D.

Marketing Management
Product-Markets
1987: Desktop Personal Computer Market by Usage Areas
Home
Business
Science
Education
Paul Dishman, Ph.D.

Marketing Management
Product-Markets
1987: Desktop Personal Computer Market by Usage Areas
Home
Business
Portability
Education
Science
Paul Dishman, Ph.D.

Marketing Management
Product-Markets
1997: Personal Computer Market by Product-Market
Laptop
PC’s
Personal
Digital
Assistants
Desktop
PC’s
Mini
Laptops
Network
Server
PC’s
Special
Purpose
PC’s
Paul Dishman, Ph.D.

Marketing Management
Product-Markets
1997: Personal Computer Market by Product-Market by Usage
Education Home Scientific Business
Desktop
Laptop
Mini-laptop
PDA
Server
Special Purpose
Paul Dishman, Ph.D.

Marketing Management
Product-Market Expansion
• Three ways to grow
– Expand with expanding market
– Expand by taking market share away from competitors
– Create new markets
Paul Dishman, Ph.D.

Marketing Management
Product-Market Expansion
Market
Existing
Existing
Market
Penetration
Market
Development
New
Product
New
Product
Development
Diversification
Paul Dishman, Ph.D.

Marketing Management
Apply the Marketing Mix
• Product
• Price
• Place
• Promotion
Customer needs and wants
Cost to customer
Convenience
Communication
• POSITION Customer concept vis-avís competitors
Paul Dishman, Ph.D.

Marketing Management
Positioning
Price
Sentra
Rodeo
Astro van
Escort
BMW
Volvo
Quality
Paul Dishman, Ph.D.

Marketing Management
Positioning
Price
Popular Priced
Cars
Luxury
Cars
?
Quality
Concept: Competitive Space
Paul Dishman, Ph.D.

Marketing Management
Summary
• Intro to Marketing Strategy
• Intro to Target Marketing (and Segmentation)
• Product Market Expansion Strategies
• Application of Marketing Mix for Positioning
Paul Dishman, Ph.D.

Marketing Management
For Next Class
• Introduction to Situational Analysis
• SWOT
• Analysis Grid Tools
Paul Dishman, Ph.D.