Summary: Marketing

Read the summary and the most important questions on Marketing

• 1 Marketing

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• Marketing machine (De Swaan): research question

  What distinguishes overperforming firms (marketing excellence) from underperforming firms?

• Marketing machine (De Swaan): research method

  350 in depth interviews CMO, CEO
  10.000 surveys in 92 countries on data analystics capabilities, brand strategy, cross-functional and global interactions, employee training.
  Survey respondents were divided in two groups, overperformers and underperformers on basis of 3year revenue growth relative to competitors.

• Marketing machine (De Swaan): Discussion points

  First interview and then survey, shouldnt it be the other way around?
  No information on the measure of revenue growth. From survey? From book? Is it that the big revenue provides resources for a better strategy? Causality?

• Marketing machine (De Swaan): Winning characteristics for overperformers

  1. Big data, deep insights: integrate data on what consumers are doing with knowledge of why they-re doing it. New insight into consumers needs, and how to best meet them. Example: Nike+. Overperformers 52%, underperformers 35%
  2. Purposeful positioning: excel at all three manifestations of brand purpose (functional, emotional and societal). Example: brand purpose of paintOverperformers 56%, underperformers 46%
  3. Total experience: creating customer experience: touchpoints, personalize, etc. Example, netflix, unique flavor profile. Overperformers 52% underperformers 38%

• Brand purpose: 3 manifestations

  - functional benefits: brand to do (pick me up starbucks)
  - Emotional benefits: how it satisfies a customer's emotional needs (eg. drinking coffee is social occasion)
  - Societal beneftis: stustainability etc (coffee = fair trade)

• Marketing Machine (De Swaan): summary and take home messsage

  Marketeers must leverage customer insight, imbue their brands with a brand purpose, and deliver a rich customer experience. They must connect, inspire, focus, organise, and build. Only half of even high-performing organisations excel on some of these capabilities.

• Business strategy on new product activity (Frambach): Research method

  Develop framework: Business strategy (cost leadership, differentiation, focus), market orientation (competitor- or customer orientation), on new product development and introduction.
  
  Survey in 187 dutch manufacturing companies (firms with more than 10 employees)
  Measure of business strategy: scores on all three strategies
  Measure of market orientation: scores on questions in behaviours related to understanding and responding to customers and competitors.
  Measure of new product activity: indicate number of new products that are currently being developped, new products that were launched in the year prior to the survey.
  
  Follow-up interview to explain unexpected results.

• Business strategy on new product activity (Frambach): Results

  Unexpected results: 
  H3a: Competitor on new product development, me too product is negative. Possible explanation: In NL not much companies that focus on this strategy. More second best, than me too. 
  
  H5a: Focus on customer orientation is negative. Possible explanation: Not enough resources to check customer orientation. Need to focus on what they can, scarce on resources. 
  
  Non-hypothesized effect to be found: positive effect of cost leadership on customer orientation. To know more about perceived customer value, to know more about competitors.

• Business strategy on new product activity (Frambach): Strengths and weaknesses

  Strengths:
  Give insight in effect of strategy on new product development
  One of first to examine strategy in innovation process
  Helps in understanding how strategy effects market and competitors
  Weaknesses:
  - It is not about success. It is only about understanding, no practical implications.
  - Is it generalisable to other firms worldwide? 
  - New products is very broad

• Marketing doctrine (Challagalla): What is a marketing doctrine? and its purpose

  A firm's unique principles, distilles from its experience, which provide firm-wide guidance on market-facing choices. 
  Purpose: firm-wide common approach to decision making. MD helps a firm address the classic consistency - flexibility conundrum by providing high-level guidance to all decision making in the firm (ensuring consistency) but not specifying execution details (allowing local flexibility).