MARKETING
IN THE C21ST GLOBAL
MARKETPLACE
Introduction and Overview
Dr. John Wong
Why Marketing?
 Marketing function imperative for
organizational success
 Hypercompetitive marketplace
 Highly discriminating customers
 Changing consumer needs
Business Philosophies
 Production concept
 Product concept
 Selling concept
 Marketing concept
 Holistic marketing concept
Holistic Marketing Concept
 Relationship marketing
 Integrated marketing
 Internal marketing
 Performance marketing
 Financial accountability
 Socially responsible
 Cause marketing
Holistic Marketing
Core Marketing concepts








Needs, wants, demands, preferences
Segmentation, targeting, positioning
Offerings and brands
Value and satisfaction
Marketing channels
Supply chain
Competition
Marketing environment
Target Markets, Positioning,
and Segmentation
 Segmentation—identify and profile distinct
groups of buyers examining demographic,
psychographic, and behavioral differences
 Target markets—segments presenting the
greatest opportunity
 Positioning—what the offering means in the
minds of the target buyers as delivering some
central benefit(s).
What is Marketing?
Organization’s main tasks:
 Determine needs, preferences, wants of key market
segments
 Create products to meet those needs -- deliver
desired satisfaction
 Marketing management -- process of achieving
above
THE CULTURE CODE – Clotaire Rapaille
Unique Marketing Insights
 Peter Drucker: The business of a business is to
create and keep a customer
 Charles Revson: In the factory we make
cosmetics. In the stores we sell hope
 Akio Morita: The highest level of business
thinking is ‘marketing imagination’
What is a market?
1. Marketplace - physical
2. Metamarket - cluster of
complementary goods and services
across diverse set of industries.
includes metamediaries
3. Marketspace – digital
Marketing Issues
 WHAT is marketed?
Physical products, experiences, people,
places, ideas, organizations
 WHO’s responsibility?
Everyone’s in the organization
C21st Marketplace Realities (1)
A. Major Societal Forces
 1. Network information technology

2. Globalization

3. Deregulation
 4. Increased competitiveness from
domestic and foreign brands
 5. Creation of mega-brands and “category-killers”

6. Disintermediation and Reintermediation
C21st Marketplace Realities (2)
Empowered consumer capabilities
 Highly discriminating
 Swayable brand loyalty
 Leverage Internet - info is power
C21st Marketplace Realities (3)
Firms empowered by Internet
 Increased market reach
 Online communities --> brand awareness
 Enhanced value chain management
 Interactive techno --> improves target
marketing & permission marketing efforts
Marketing Management Tasks
 Developing marketing
strategies and plans
 Shaping market
offerings
 Capturing marketing
insights
 Delivering value
 Connecting with
customers
 Creating long-term
growth
 Building strong brands
 Communicating value
Marketing Process
Analyze Marketing Opportunities
Select Target Markets
Design Marketing Strategies
Develop Marketing Programs
Manage the Marketing Effort
Changes in Consumer Behavior
1980s
Conspicuous
consumer
1980s
Conspicuous consumer
Image
Image d
d riven
riven
Trusting
Trusting
Brand
Brand loya
loya ll
1990s
Frug al consumer, becoming
1990s
Frug
consumer,
becomi ng
morealwelloff
more well- off
Value
Value and
and qua
qua li
li ty
ty driven
driv en
Skeptical
and
cyn
Skeptical and cyn ic
ic al
al
no tloya
exh ibit
Does no Doe
t exhsibit
lt y
Emo tiona l buye r
Dreamersl buye r
Emotiona
Ove
rindulgen t
Dreamers
loya lt y
Info rmed buyer
Escap
ist s buyer
Info
rmed
Hea
lt h, wellness-conscious
Escapist
s
Overindulgen t
Healt h, wellness-conscious
Ove rworked
Burnt-out , stressed out and
placing tremendou s value on
conven ience and tim e
Indus
trious Baby Boo mer Respons
ible
Baby Boo
Overworked
Burnt-out,
stressed
out mer
and
placing tremendou s value on
conven ience and tim e
Indus trious Baby Boomer Respons ible Baby Boomer
Present
Susp icious but gene rall y we ll- off
Present
Susp
icious but gene rall y we ll- off
consumer
consumer
Highly
Highly eclectic
eclectic
A
A “prov
“prov e
e it
it ”
” attitude
attitude
Belie
ves
that
Belie ves that there
there is
is always
always
some thing better
some
thing
better
Highly informed and speciali zed
Focus
on persona
Highlyedinformed
andl needs
speciali zed
Hea
lt h,
andl so
me
Focus
edwellness
on persona
needs
ove rindulgence , wit hout
Healt
h, wellness
and or
so me
expe ctation
of costs
consequence
s , wit hout
ove rindulgence
Relia nt on techno logy and
expe
ctation of costs or
telecomm unications to save tim e
consequence
s
in making purchas
e decisi ons
Unconv
inced
Genlogy
eration
Relia nt on techno
and Xer
telecommunications to save tim e
in making purchas e decisi ons
Unconv inced Generation Xer
The Marketing Mix
Core Marketing Competencies
Beyond the 4 P’s
 Product + Service (people, process, physical





evidence)
Price
Promotion
Place/distribution
Positioning - connecting
Personal relationships - customization
The 4 C’s of Marketing
CARE: More than service --> they treat customers -customers are really everything.
CHOICE: reassess diversity & breadth of offerings --> a
manageable good-better-best selection
COMMUNITY: Even national marketers must be affiliated,
attached to neighborhoods wherever they operate stores
CHALLENGE: The task of dealing with the ongoing reality of
demographic change.
New Approaches in Marketing
 Exploit Internet & new electronic
communication technologies – beyond
websites  e-marketing, texting, network
communities (E.g. Obama campaign)
 Fighting economic downturn & e-commerce
onslaught  CRM & stronger branding,
cross-selling, SCM, strong data-base system