Marketing 3.0: Values-Driven
Marketing
Philip Kotler
Kuwait
April 03 . 2011
Two Recent Books by Professor Kotler
Action-Oriented Knowledge
Session One. How to deal with your company’s
major business challenges and opportunities.
Session Two. How to search for powerful new ideas
and innovate successfully.
Session Three. How to improve your branding
power.
Session Four. How to develop a superior company
reputation through sustainability-driven thinking.
Action-Oriented Knowledge
Session One. How to deal with your company’s
major business challenges and opportunities.
Session Two. How to search for powerful new
ideas.
Session Three. How to improve your branding
power.
Session Four. How to develop a superior company
reputation through sustainability thinking.
On a scale of 1 to 3 (3 = highest),
How much is this a challenge to your company?
• Distrust of business
• Globalization
• Economic recession and turbulence
• Technological advances and disruptions
• Environmentalism and climate change
• Customer empowerment and the new social media
• Political conflict and regulatory changes
Times Are Bad
CEO’s are now playing miniature golf.
Obama met with small businesses - Chrysler, Citigroup and GM, to discuss the
Stimulus Package.
People in Africa are donating money to Americans.
The Mafia is laying off judges.
An optimist is a person who sees an opportunity in every calamity.
A pessimist is a person who sees a calamity in every opportunity.
Winston Churchill
Distrust of Business
• In a 2009 survey, only 16% of respondents respect the integrity of
business executives. And car salesmen and advertising executives
were the least admired by the public.
• Causes
–
–
–
–
Business scandals: Enron, World Com, Tyco, Madoff, Goldman Sachs
High pay to the few: CEO paid 350 times average workers salary
Anti-capitalist forces
Recession and falling behind
• Solutions
– More transparency
– Better boards and management
– Investing in corporate social responsibility
Is Your Company Going to Fail?
Signs to Watch for
• James Collins wrote in How the Mighty Fall :
– Stage 1. Successful companies get arrogant and think they
can do many things.
– Stage 2. They pursue growth too aggressively.
– Stage 3. They ignore early warning signs of failure
– Stage 4. Their failure becomes very public.
– Stage 5. If they don’t reform, they finally go bankrupt.
• Companies are often blind-sighted by their eagerness
to build short-term growth and ignore the risks.
• Most companies are short-lived.
• Causes
Globalization
– Advances in information, communication, and transportation
now connect the whole world
– Lowering of trade barriers
• Downside
–
–
–
–
Globalization hurts as many nations as it helps
Globalization increases country inequality
Globalization provokes nationalism and protectionism
Globalization threatens cultural traditions and values
• Upside
– New market opportunities if we can offer something better
• Question: Is your company sufficiently globalized?
Economic Recession and Turbulence
• Not all companies were hurt by the fiscal meltdown.
• Distinguish between:
– Recession
– Disruption
– Turbulence
• Risk reduction strategies
–
–
–
–
–
Larger reserves
Shared investments
Early warning systems
Scenario planning
Corporate social responsibility
Technological Advances and
Disruptions
• Scientific advances and inventions
– What is the impact of the birth control pill, Genome
project , digitalization, cell phones, social media, robotics,
nanotechnology, biotech, bioenergy…
• Creative destruction
– Can you avoid the fate of the music industry, publishing
industry (newpapers , magazines, books), high cost
airlines…
• Theory of disruptive innovation
– What can happen to your industry or company?
Disruptive Technologies
• OLD
• NEW
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
Photographic film
Wired telephones
Store retailing
Classroom education
Offset printing
General hospitals
Open surgery
Cardiac bypass surgery
Manned fighters
Full service stock brokerage
Digital photography
Mobile telephones
On-line retailing
Distance education
Digital printing
Outpatient clinics
Endoscopic surgery
Angioplasty
Unmanned aircraft
On-line stock brokerage
Source: Clayton M. Christensen, The Innovator’s Dilemma, p. xxix.
Tomorrow Will Be Different
Yesterday
Today
Tomorrow
Ford
Toyota
Cherry
Department stores
Wal-Mart
Internet retail
Digital Equipment
Dell
RIM Blackberry
Delta
Southwest, Ryan Air
SkyWest, Air taxis
IBM
Microsoft
Linux
At&T
Cingular
Skype
Sony DiskMan
Apple iPod
Cell Phones
Source: Clayton Christensen
Environmentalism and Climate Change
• Companies need to go “green” to reduce
waste, pollution, and water shortage.
• Those companies that go “green” early will
establish a strong reputation and following.
They will also save money in the long run.
Customer Empowerment
and the New Social Media
• Who has the most market power?
–
–
–
–
Wholesalers
Manufacturers
Retailers
Customers
• What are the best new ways to communicate?
–
–
–
–
–
–
–
–
Blogs
Facebook,
Twitter
Linkedin
YouTube
Chat rooms
Rating systems (Edwards, J. D. Power, Rotten Tomatoes, Craig’s List)
Wikipedia
Political and Regulatory Change
• Growth of social movements
–
–
–
–
–
Unionization
Anti-capitalist groups
Environmental groups
Religious groups
Gay rights groups
• Political party shifts
• Regulatory interventions
– Financial regulation
– Anticompetitive regulation
– Safety and health regulation
MARKETING’S LOSS OF EFFECTIVENESS
MARKETING will be less
effective in the next few
years
DISTRIBUTORS
 DISTRIBUTORS will 
demand more TRADE
PROMOTION. This will
leave less money for
marketing research,
advertising and
consumer promotion for
brand building and
ultimately reduce brand
equity.
 Investors will then
downgrade the stock.
This will leave the
company with fewer
resources to prop up
demand.
 This is a VICIOUS
CIRCLE
TRADITIONAL
MEDIA
Traditional media
such as TV 30second spots,
newspapers, etc.,
are growing LESS
EFFECTIVE
Marketing budgets will be
lower
COMPETITION
 Categories are so
crowded with
competitors that
heavy price cutting
will be
UNAVOIDABLE
Companies will want
marketers to do more with
less
PUBLIC
SOCIAL MEDIA
NETWORKS
 The public, in its
 Social media
wish to spend less,
networks will play an
will be less inclined
increasingly
to pay higher
influential role in
prices for top brands
shaping brand
where the quality
evaluations
differences are
minimal. There is a
strong shift to
store brands and
sub-brands. This
means that top
brands are
overvalued and there
may be a brand
bubble.
You Need to Build Stronger Marketing
into Your Company
• Old definition of marketing
– “Act or practice of adverting and selling a product” (Random
House Webster Dictionary of American English 1997)
• New definition of marketing
– “Marketing is the activity, set of institutions, and processes for
creating, communicating, delivering, and exchanging offerings
that have value for consumers, clients, partners, and society at
large.” (American Marketing Association, 2008)
• Offerings include products, services, experiences, places,
persons, ideas, and causes.
MUST MARKETING BE RE-INVENTED?
MARKETERS are
prisoners of an OLD
PARADIGM
MARKETERS are
operating in a TIME
WARP
Companies aim to maximize profits
Don’t acknowledge the growing
power of the customers
Company investors are more important
than other stakeholders
Customers buy rationally to maximize
value
Customers get most of their information from
sellers and don’t talk to each other about
products
WE NEED TO….
Don’t acknowledge the growing
power of the channels and other
stakeholders
Don’t acknowledge the new social
media world and their growing
social responsibilities
You Need Two Marketing Departments!!
Most marketing departments are engaged in tactical brandmaintenance instead of brand-building.
Strategic marketing is missing in many marketing
departments. Strategic marketing requires taking a 3-5 year
view of the business.
Downstream
Marketing
Markets TODAY’s Product
Upstream
Marketing
Create TOMORROW’s Product
Five shifts:
•1st Shift - from creating marketing
strategies to driving business impact.
•2nd Shift - from controlling the
message to galvanizing your network.
•3rd Shift - from incremental
improvements to pervasive
innovation.
•4th Shift - from managing marketing
investments to inspiring marketing
excellence.
•5th Shift - from an operational focus
to a relentless customer focus.
Company examples:
•GE, Wal-Mart, Charles Schwab,
Procter & Gamble, Burger King,
Zappos, Best Buy and Dell
Involve Your Customers In Your Planning
• Four ways to view customers:
– Purchasers of our product
– Persons from whom we gain insight and with whom we can test
our planned products
– Persons who Influence others to buy our product (net
promotion score NPS)
– Persons who co-create product and communication ideas
• Company examples of co-creation:
– Lexus invites customers to build their own Lexus by going to
www.Lexus.com and drawing from a complete package of
available colors and options packages.
– Lego and Harley Davidson have welcomed their respective
enthusiasts to participate in improving their market offerings.
– Doritos ran an online promotion urging fans to create 30-second
spots for Doritos and post them for on-line voting to be picked
to air in one of the three Super Bowl slots. The user-generated
ad won the top spot at the 21st USA Today Super Bowl Ad
Meter defeating ads made by professional agencies.
Market to All Your Stakeholders
• Our thinking has shifted from maximizing shareholder value to maximizing
stakeholder value.
• Stakeholders include customers, employees, channel members, and
investors.
– Customers: They need a feeling of gaining superior value from your offering.
– Employees: They need to believe in their company’s mission, vision and
values.
– Channel members: They must believe that they are receiving equitable
reward for their contributions.
– Investors: They need assurance that the company has a viable long run plan
for growth and continued profitability
MARKETING 1.0 vs 2.0 vs 3.0
MARKETING 1.0
MARKETING 2.0
MARKETING 3.0
Product-centric
Marketing
Customer-oriented
Marketing
Value-driven
Marketing
Objective
Sell products
Satisfy and retain the
consumers
Make the world a better
place
Enabling Forces
Industrial Revolution
Information Technology
New Wave Technology
How companies see
the market
Mass Buyers with
Physical Needs
Smarter Consumer with
Mind and Heart
Whole Human with
Mind, Heart, and Spirit
Key marketing
concept
Product development
Differentiation
Values
Company marketing
guidelines
Product specification
Corporate and Product
Positioning
Corporate , Vision,
Values
Value propositions
Functional
Functional and
Emotional
Functional, Emotional,
and Spiritual
Interaction with
consumers
One-to-Many
Transaction
One-to-One
Relationship
Many-to-Many
Collaboration
Values-Based Matrix Model
Mind
Heart
Spirit
Deliver
Realize
Practice
SATISFACTION
ASPIRATION
COMPASSION
ProfitAbility
ReturnAbility
SustainAbility
Be BETTER
DIFFERENTIATE
Make a
DIFFERENCE
INDIVIDUAL
COMPANY
Mission
(Why)
Vision
(What)
Values
(How)
S. C. JOHNSON VALUE-BASED MATRIX
MIND
HEART
SPIRIT
Promoting
reusable shopping
bags
Base of the Pyramid
Mission
Contributing to the community
well –being as well as
sustaining and protecting the
environment
Vision
To be a world leader in
delivering innovative solutions
to meet human needs through
sustainability principles
For SC Johnson, creating
sustainable economic
value means helping
communities prosper while
achieving profitable growth
for the company.
Values
Sustainability
We create economic value
We strive for environmental
health
We advance social progress
We believe our
fundamental
strength lies in our
people.
Sustaining Values:
SC Johnson Public
Report
Station Break!
Are there any companies that you love or would
deeply miss if they went out of business?
Companies Americans Love
Amazon, Best Buy, BMW, CarMax,
Caterpillar, Commerce Bank,
Container Store, Costco, eBay,
Google, Harley-Davidson, Honda,
IDEO, IKEA, JetBlue Johnson &
Johnson, Jordan's Furniture, L L
Bean, New Balance, Patagonia,
Progressive Insurance, REI,
Southwest, Starbucks, Timberland,
Toyota, Trader Joe's, UPS,
Wegmans, Whole Foods.
The researchers found these “firms
of endearment” to be highly
profitable.
They also found eight
characteristics common to these
firms.
Characteristics of “Firms of Endearment”
•
•
•
•
•
•
•
•
They align the interests of all stakeholder groups
Their executive salaries are relatively modest
They operate an open door policy to reach top management
Their employee compensation and benefits are high for the
category; their employee training is longer; and their employee
turnover is lower
They hire people who are passionate about customers
They view suppliers as true partners who collaborate in improving
productivity and quality and lowering costs
They believe that their corporate culture is their greatest asset and
primary source of competitive advantage.
Their marketing costs are much lower than their peers while
customer satisfaction and retention is much higher.
Action-Oriented Knowledge
Session One. How to deal with your company’s
major business challenges and opportunities.
Session Two. How to search for powerful new ideas
and innovate successfully.
Session Three. How to improve your branding
power.
Session Four. How to develop a superior company
reputation through sustainability-driven thinking.
How Are You Planning
to Grow Profitable Revenue?
• Efficiency
– Finance and cost control become important (time and motion
studies)
• Acquisition
– Finance becomes important
• Organic growth
– Marketing and sales become important
• Innovation
– R&D and technology become important
Innovativeness is a Capability
• Innovativeness is a capability; consider Sony and 3M.
• Innovation requires organizing three markets within the firm:
– An idea market
– A capital market
– A talent market
• The best innovations provide solutions to customer problems,
not to the company’s product problems.
• Strong market-creating innovations have a long life and create
market leadership.
Companies Need an Innovation
Strategy
• There are four major types of innovation in business:
–
–
–
–
Product innovation
Service innovation
Marketing innovation
Business model innovation
• A company first needs to choose an innovation strategy.
• The decision should include building an innovation culture
and providing funds for training, incentivizing, and
rewarding.
• Each approved innovation project must have an innovation
plan, budget, time line, and deadline.
• A high level executive manages the innovation projects
portfolio, updates their status, shares with the CEO, and
they make further decisions on extending or terminating.
Business Model Innovations
•
•
•
•
•
•
Amazon and Kindle
Apple and iTunes
Barnes and Nobles bookstores
Dell computer
Ikea
Starbucks
Marketing Innovations
• Incentive innovations
–
–
–
–
–
–
–
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Credit cards
Rebates
Zero-interest financing
Gift certificates
Coupons
Guarantees and warranties
Loyalty awards
Subscription selling (Book of the Month Club)
• Retailing innovations
–
–
–
–
–
–
–
–
–
Self-service stores
Self-checkout
Coupon feeds
Hypermarkets
Category killer stores
Differentiated stores with same chain (Best Buy)
Exclusive lines of merchandise (Target: Michael Graves, Martha Stewart)
Selling on TV (Home Shopping Network)
Selling on the Internet
• Producer innovations
– Brand as a platform (Virgin, iTunes)
– Customization
Source: Blue Ocean Strategy
Station Break!
How does your company go about getting new
product and service ideas? What are the best
sources of new ideas? Who is responsible for
collecting new ideas?
Sources of New Ideas
• Scientists and Engineers
– Motorola and Philips
• Employees
– Whirlpool,
– Shell
– Samsung
• Customers
– Problems in present products
– Dream products
– Enthusiasts
• Other partners in the company network
CUSTOMER RESEARCH
Ethnographic
Studies
In-store
Observation
Quantitative
Surveys
In home &
shopping trips
Orientation &
Environment
Awareness,
Attitudes, &
Behavior
Why do you buy?
Focus Groups/
Consumer
Panels
Listening for
insights & trends
Customer Research
NeuroScience
and ZMET
Action-Oriented Knowledge
Session One. How to deal with your company’s
major business challenges and opportunities.
Session Two. How to search for powerful new
ideas and innovate successfully.
Session Three. How to improve your branding
power.
Session Four. How to develop a superior
There are so many brands in some categories
that it is difficult to stand out.
The brand name may account for more
than half of the brand value on the balance
sheet.
Almost 70% of the market capitalization of such brands as Nike and Prada
lie in its intangibles, especially the brand.
The former chairman of Quaker Oats said: “If the business were split up, I
would take the brands, trademarks, and goodwill, and you could have all
the bricks and mortar—and I would fare better than you.”
Marketers Have Lessening Influence in
Shaping Their Brand Image
• Person-to-person conversations about many products can exceed the
amount of communication under the company’s control.
• Thus a brand can be hijacked (see Alex Wipperfürth, Brand Hijack:
Marketing without Marketing, New York: Portfolio, 2005).
• Four possibilities
– Everyone is talking negatively about the company.
– There is no talk about the company
– The talk is a mix of good and bad comments
– Virtually all the talk is favorable
• Marketing 2.0 managers listened to the consumers’ voices to understand
their minds and capture market insights.
• Marketing 3.0 is when consumers play the key role of creating the value
through co-creation of product and service.
Your Brand Needs to
Own a Word
•
•
•
•
•
•
•
•
•
•
•
Mercedes - engineering
BMW - driving
Disney - family fun entertainment
Saturn - no hassle car buying
FedEx - overnight
Wal-Mart - low prices/good values
Hallmark - caring
Nike - performance
3M - innovation
Volvo - safety
Starbuck - best coffee experience
A Brand Must be More Than a Name
• A brand must trigger words or associations (features
and benefits).
• A brand should depict a process (McDonald’s,
Amazon).
• A great brand triggers emotions (Harley-Davidson).
• A great brand represents a promise of value (Sony).
• The ultimate brand builders are your employees and
operations, i.e., your performance, not your
marketing communications.
Brand Asset Valuator Model
Figure 2: BrandAsset ®Valuator Model
ENERGIZED
DIFFERENTIATION
The brand’s point
of difference
Relates to margins
and cultural currency
RELEVANCE
How appropriate the
brand is to you
Relates to consideration
and trial
ESTEEM
How you regard the
brand
Relates to perceptions
of quality and loyalty
BRAND STRENGTH
Leading Indicator
Future Growth Value
KNOWLEDGE
An intimate
understanding
of the brand
Relates to awareness and
consumer experience
BRAND STATURE
Current Indicator
Current Operating Value
Score Your Brand (1 to 3)
1
Product Benefits
Distinct Identity
Emotional Values
2
3
LEADING B2B BRANDING
COMPANIES
•DuPont
•Siemens
•Bosch
•General Electric
•Saint-Gobain
•UPS
•FedEx
•Tentra Pak
•Microsoft
•Caterpillar
•IBM
•Daimler
•Michelin
•Tata Steel
•Morgan Stanley
The Brand Within the Brand:
“Ingredient Branding“ or InBranding
Logos of Ingredient Brands
Find a Way to Brand These Commodities
• Chicken
• Cement
• Bricks
“It is possible to brand sand, wheat, beef, bricks, metals, concrete,
chemicals, corn grits, bananas, apples, aspirin, …”(Sam Hill, How to
Brand Sand).
CAN YOU DESIGN NEW FEATURES FOR AN AUTO INSURANCE POLICY?
Creating genuine customer value: Progressive Insurance
MyRate rewards lower risk
drivers with lower rates.
“ I don’t drive a lot of miles, I’m a safe
driver, and I’m not usually on the road
late at night when accidents are most
likely to happen. Since I’m less likely to
be in an accident, shouldn’t I pay less for
car insurance?”
Name Your Price lets
customers customize their
policy to fit their budget.
“ I want an easier way to see how I
can meet my insurance needs at a
great price.”
Develop a Memorable Brand Slogan
• BA, “The World’s Favorite Airline”
• American Express, “The Natural Choice”
• AT&T, “The Right Choice”
• Budweiser, “King of Beers”
WHAT DO YOU THINK OF THESE SLOGANS
• Ford, “Quality is #1 Job”
• Holiday Inn, “No Surprises”
• Lloyds Bank, “The Bank that Likes to Say Yes”
• Philips,
“From Sand to Chips”
» “Philips Invents for You”
» “Let’s Make Things Better”
HYPOTHETICAL STARBUCKS BRAND POSITIONING BULLSEYE
Consumer
Target
Discerning
Coffee
Drinker
Consumer
Insight
Coffee and the
drinking
experience is
often
unsatisfying
Consumer
Need State
Desire for
better coffee
and a better
consumption
experience
Competitive
Product Set
Local cafes
Fast food &
convenience
shops
Contemporary
Thoughtful
Caring
24 hour
training of
baristas
Relaxing,
rewarding
moments
Totally
integrated
system
Green &
Earth Colors
Fairly
Priced
Responsible,
locally involved
Rich sensory
consumption
experience
Stock options/
health benefits
or baristas
Starbucks
gives me the
richest
possible
sensory
experience
drinking
coffee
Brand
Mantra
Rich, Rewarding
Coffee Experience
Fresh high
quality coffee
Varied, exotic
Convenient, coffee drinks
friendly
service
Consumer
Takeaway
Triple
Filtrated
water
Siren
logo
What Should Your Measure
About Your Brand’s Standing?
• Customer perceived value
• Customer satisfaction
• Customer loyalty
• Customer advocacy
• Customer co-creation
Action-Oriented Knowledge
Session One. How to deal with your company’s major business
challenges and opportunities.
Session Two. How to search for powerful new ideas and
innovate successfully.
Session Three. How to improve your branding power.
Session Four. How to develop a superior company
reputation through sustainability-driven thinking.
How Will Your Company Be Measured?
Indices now measure how well a company performs in the triple bottom
line: profit, planet, and people.
The AIM:
To encourage companies to improve their economic, environmental, and
social impact on the society.
Company
Approach
FTSE4Good Index
Good companies work toward environmental sustainability, have
positive relationship with all stakeholders, protect universal human
rights, possess good supply chain labor standards, and counter
bribery practices
Dow Jones
Sustainability Index
Corporate sustainability as “a business approach that creates longterm shareholder value by embracing opportunities and managing
risks deriving from economic, environmental and social
developments.”
Goldman Sachs
Introduce the GS Sustain Focus List, which includes the list of
companies with sustainable practices
SUSTAINABILITY AND SHAREHOLDER VALUE
There is a link between corporate sustainability and strong
share price performance. Companies that put more emphasis on
social and environmental impacts reported annual profit growth of
16% and share price growth of 45% while those from companies
that did not put a lot of emphasis reported annual profit growth of
only 7% and share price growth of only 12%. (Economist
Intelligence, 2008)
Moreover, executives believe that the concept of sustainability is
good for corporations in attracting consumers and employees and
improving shareholder value.
Selling Sustainability to Investors
To convince shareholders, the company needs to provide tangible
evidence that the practice of sustainability will improve
shareholder value by creating a competitive advantage.
Sustainability
Profitability
?
Returnability
The issue is to find a
linkage of between
sustainability,
profitability, and
returnability
THREE important metrics that can be quantified financially:
Improved cost productivity
Higher revenue from new market opportunities
Higher corporate brand value
(For details, see Marketing 3.0).
Serving the Bottom Third
Stretches disposable income by providing goods and services at lower
prices.
Unilever’s Annapurna provides low price affordable iodized salt that
is better than cheaper non-iodized salt.
‘House-for-Life’ program offering low-cost housing solutions
Expands disposable income by providing goods and services not
previously available for the bottom of the pyramid
Nicholas Negroponte's XO and Nova netPC personal computers.
GlaxoSmithKline and Novo Nordisk providing new essential
medicines.
Increases disposable income by growing the economic activity of the
underserved society. Grameen Phone illustrates this.
Hindustan Lever’s Project Shakti which “employs” thousands of
underprivileged women as its sales force to bring its products to rural
consumers and provides them with significant disposable income
Wal-Mart Turns Green
Wal-Mart announced in 2005 that it will be a “good steward to the
environment” and will spend $500 million a year to increase fuel
efficiency in Wal-Mart’s truck fleet by 25% over three years; reduce
greenhouse gases by 20% in seven years; reduce energy use at
stores by 30%; and cut solid waste from U.S. stores and Sam’s
Clubs by 25% in three years.
Critics see Wal-Mart’s move being mainly done for economic
purposes—to save energy, save costs, and increase revenue from
increasing demand for green products. This describes an “Investor
Orientation.”
Timberland has a Green DNA
Timberland is a leader in the design, engineering and marketing of
premium-quality footwear, apparel and accessories for outdoor
consumers. It believes in “doing well by doing good.”
In shoes, Timberland uses recycled materials, non-chemical
substances as much as possible, made in energy-saving factories. The
label gives consumers information “about the product they are purchasing,
including where it was manufactured, how it was produced, and its effect on
the environment”.
Timberland gives back to communities. Under the Path of Service
program, its employees have contributed over 200,000 total hours of
service that benefited over 200 community organizations in 13 countries,
26 states and 73 cities.
To commemorate Earth Day, Timberland plants a tree on behalf of each
consumer who spends $150.
Timberland has also done such things as offering $3,000 incentives to
employees who purchase hybrid cars.
Other companies in this category are Patagonia, Whole Foods Market,
Fetzer Vineyards, and Herman Miller.
Build a Strong Corporate Reputation:
Why It’s Important
• Financial Community
-> Supports Stock Value
• Employees/Recruits
-> A Great Place to Work
• Communities
-> A Good Neighbor
• Public Opinion
- > Good Will
• Public Policy Makers
-> Access/Credibility/Influence
95% of CEOs from McKinsey-surveyed global companies believe that “society
has greater expectations than it did five years ago that companies will
assume public responsibilities.”
The Marketing Mindset
• Your company and stakeholders need to embrace a market and
customer-orientation.
• Your company needs a CMO who participates in formulating the
company’s growth strategy.
• Your company needs to define its mission, vision and values as the starting
point for its transformation to Marketing 3.0.
• Your offerings must touch the customer’s mind, heart, and human spirit if
they are to win over the customer.
• Your company needs to practice the Triple Bottom-Line: Economic Value,
Environmental Health, and Social Progress. This is the key to Profitability,
Returnability, and Sustainability.
“Within five years, if you run
your business in the same way
as you do now, you’re going
to be out of business.”
Philip Kotler