Today
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My email- mg@watercooler.at
Project briefing
Print out lecture notes from web site
Registration
What is brand management
Marketing environment & competitive
advantage
Course objectives
• Appreciation of brand management
• Project is important
– learning by doing
– realistic scenario
• Theoretical frameworks but case studies are
important
• Every week we will discuss brands
Grading
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Final examination
60%
Project
40%
Grades will be from 1 to 5, with 5 as Fail
If you are coming out as say 2.5 , I will use
class participation / Project to move grade up
/ down
Absences!
• Email me before lecture!
• IF and only if, you get email back from me
then you are excused.
• If you are ill then you must bring doctor’s
note
• 3 times absent means automatic fail
• Your grade will suffer if you do not attend !
Reading the book
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Read the Summary first
Quick read & highlight
Web site for the book- www.booksites.net/kotler
Register & then search under ‘Find your Professor
, then Groves , then my prof’s files.
• Case studies on website.. Read them
• Case studies in book .. Read them
• Business magazines eg. Business
Week,FT,Economist
Topics that may be covered- comments ?
Class session Topic
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2
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5
6
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10
Marketing environment & Competitive
advantage
Market planning & market assessment
Market segmentation, targeting & positioning
Channel management
Brand vision & Product Strategy
Product strategy
Relationship Marketing
Integrated marketing communication ( IMC)
International brand management
Exam
Chapt
ers
4,12
Graded work
3,8
9,10
21
13
13,14
11
18
5
Exam
What Is Marketing?
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Product
Place .. Channels of distribution
Promotion and advertising
Pricing
–all for PROFIT
What do Brand Managers do ?
 Product-packaging and design NPD,new
packs
 Promotion and advertising-promotions, PR,
advertising
 Pricing- for promotions
 Distribution- opportunities, but not selling
What do you remember ?
Doing is
Best !
What do you remember ?
Read
Hear
See
Say
Do
Experience by reading,
hearing,seeing, saying ,
& doing
20%
30%
40%
50%
60%
90%
Spontaneous awareness
• Write down the name of a professional sports
team
• Write down the name of a professional soccer
team
• No conferring !
• Pass to the front
The marketing
environment- Ch 4
Publics
Competitors
Suppliers
MICROENVIRONMENTAL FORCES
Intermediaries
Customers
Natural
Technological
Company
Demographic
MACROENVIRONMENTAL FORCES
Economic
Cultural
Political
Distributors
• Way to the market. What is between you are
the final consumer / customer ?
• How strong are they? How important to
your brand?
• Will be involved in selling , marketing,
merchandising, delivering your brand
Types of distributor
Consumer goods
Supermarkets
PC‘s
Distributors, stores
Holidays
Travel agents
Films
Cinemas
Insurance
Broker
Web based
Physical distributors
The de Chernatony Five-forces Brand Audit
Model
Tutorial 3 OHT 3.8
The macro
environment- Ch 4
DEMOGRAPHIC ENVIRONMENT
Baby boom
Family
Population
Education
ECONOMIC ENVIRONMENT
Economic
Spending
patterns
NATURAL ENVIRONMENT
Raw
materials
Energy costs
Change
Pollution
Intervention
Opportunity
R&D
TECHNOLOGICAL ENVIRONMENT
Improvement
Regulation
POLITICAL ENVIRONMENT
Legislation
Enforcement
Interest
groups
CULTURAL ENVIRONMENT
Values
Subcultures
Shifts
Spontaneous awareness
• Top of mind awareness
• Prompted awareness- researcher reads list
and consumer says if they are aware of the
brand
• TOM critical for `impulse´´ brands eg soft
drinks, snacks
Manchester United- a great brand
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Revenue of €260m up 18 % over 2002
Profit of €60 m in 2003
Nike contract worth €32m
Global sponsors Nike, Vodafone,
Alliance with NY Yankees
2.5 m replica shirts sold ( 40% outside UK)
Premier League Champions 8 from last 11
years
Competitive
advantage- Ch 12
Competitive advantage-who are my
competitors?
• What market am I in ?
• Include substitutes ?
• Coca-Cola.. Avoids competitor myopia
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Carbonated soft drinks?
Soft drinks?
Non –alcoholic beverages ?
Alcoholic drinks?
Hot drinks?
Tap water?
Share of stomach 2 %
Major
attributes
Monitor
Importance
VALUE ANALYSIS: COMPETITIVE ADVANTAGE
Comparison
Performance
COMPETITIVE POSITIONS
Cost
leadership
Differentiation
Middle-ofthe-road
Focus
Reduce capital cost
Reduce costs
Reduce fixed cost
Reduce variable cost
Productivity
Change product mix
Increase margins
Increase price
Add value
Profitability
Win competitor’s custom
Compete
Buy competitors
Increase usage rate
Volume
New segments
Create
New markets
Innovation
For next week
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Print out lecture notes from web site
Buy book
Registration
Get in group for project
Read Ch 4 case study on web pageMcDonalds in India