entrepreneurial marketing
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ENTREPRENEURIAL MARKETING. Marketing in the 21 st Century By Guru Tom Lopez. VALUE CREATION. Why buyers buy? e.g. Paco Underhill 1.Buyer buy because of a need! 2.Hierarchy of needs – A. Maslow. NEEDS. WANTS. MUST HAVE. NICE TO HAVE. KAPAMPANGAN CUISINE BICOLANO CUISINE. - PowerPoint PPT PresentationTRANSCRIPT
ENTREPRENEURIAL MARKETINGMarketing in the 21st
CenturyBy Guru Tom Lopez
VALUE CREATIONWhy buyers buy? e.g. Paco Underhill1.Buyer buy because of a need!2.Hierarchy of needs – A. Maslow
NEEDS WANTS
NEEDS WANTS
NEEDS WANTS
Needs vs. WantsNEEDS WANTS
Why we buy Why we buy one brand instead of another
Our being human
Time- and place-bound influences: Economy, Culture, Religion, Education, Media, Technology
Same for everybody Different for different people
Never change Always, always changing
AT THE HEART OF VALUE CREATION
DIFFERENTCUSTOMERS
HAVEDIFFERENTNEEDS AND
WANTS
AT THE HEART OF VALUE CREATION
TREATDIFFERENT
CUSTOMERSDIFFERENTLY
FIT DEFINES VALUE
FIT DEFINES VALUE
VALUE ARCHITECTURE
-( nice to have)Area of differentation wants segment the market constantly changing
NEW DEFINITION OF MARKETING – VALUE CREATION
Customer surveySegmentationCompetitive research
MarketingCommunicationlogistics
Brand management1. CSS2. CRM3. Repeat Sales
SEGMENTING, TARGETING AND POSITIONINGENTREPRENEURIAL MARKETING- Somebody owns the market position in the
mind of the customer.
1.POSITIONING-Place occupied by product incustomers mind (Al Ries Jack Trout)- Defined by specific productattributes.
2. a .ER – Beware Better ≠ Success Bigger / Faster
CONCORDE- Faster plane are gone because according to customers, it ain’t worth it!
b .ING – Is the operant wordEXCELLINGSATISFYINGDELIGHTINGSUPRISINGSELLING
3. EXAMPLE-Fighting Colgate
Steps:a. Value must be definedb. Go to the 4Ps
Product – Brand name, packaging features
Promotions – What to say, how to say, who says it
Logical Message – from left brainMagical Message – from right brain
THE TOOTHPASTE WARS
The DOMINANT Toothpaste
95% of all toothpaste users used colgate!
ANALYSIS:
a. Colgate has 95% of marketb. 60 % of toothpaste users also use mouthwash
60 % of toothpaste users also use mouthwash
VALUE MUST BE DELIVEREDo PRODUCT
Brand name, packaging, featureso PROMOTIONS
What to say, how to say, how ofteno PRICE
Higher or lower than competitiono PLACE
where to sell
Logical Message – from left brainMagical Message – from right brain
VALUE MUST BE DELIVERED
Product – name “Close-up” why? - because you use
mouthwash in “Close-up moments (not white because you become common with Colgate)
New productToothpaste – mouthwash
in ONE
Promotion – “toothpaste & mouthwash in one: courtship (magic) moment
Price – more expensive than Colgatewhy? Because its 2 in 1
Placement – whenever or where ever there is toothpaste and mouthwash sold.
SEGMENTING THE MARKET
Cutting the market creates new markets where there are no competitors, no rules.
1.
Not just mere Demographic / Sociographic
WHO ARE OUR CUSTOMERS?
Demographics-only segmentationis NOT ACTIONABLE
WHEN MARKETING MAGIC HAPPENS
Toothpaste andMouthwash in one
Toothpaste usersWho also usemouthwash
e.g.Jolibee – “Langhap Sarap”
is magical message
Sweeter vs. the bland taste of McDonalds is logical message
Safeguard – who says it “recommended by PAMET”
is the magical message
Price – lower,equal or higherPlacement – where it is distributed
Safeguard kills 99% of Germs
Is the logical message
e.g.
VALUE ARCHITECTURE
MEMORIAL PARK : OURS
e.g.McDonald’s
The battle is not having more beef & lettuce , or fresh buns but in supplementary non food items!
PETALS OF SERVICE
SERVICE PETAL : INFORMATION
o Directions to siteo Schedules/service hourso Priceso Instructions on using core
Product/serviceso Reminderso Warnings
SERVICE PETAL: CONSULTATIONo Adviceo Auditingo Personal Consultingo Management/ Technical
SERVICE PETAL: ORDER-TAKING
o On-siteo Drive-in / Drive Througho Phone-in; Deliveryo Mail Ordero On-line / Internet
SERVICE PETAL : HOSPITALITYo Greetingo Food and Beverageo Gift packso Waiting facilities and amenitieso Transportationo Security
SERVICE PETAL: CARE-TAKING
o Caring for possessions brought by customers
Child care; Pet care, Valet parking, Baggage handling
o Caring for goods purchasedPackaging; deliveryInstallation; upgrades
SERVICE PETAL: EXCEPTIONSo Special requests in advance of
service-Diet-Children-Religion
o Handling of complaints/ compliments
o Restitution (refunds, rain checks)
SERVICE PETAL:BILLINGo Frequency of statements of
accountso Invoiceso Verbal statements of amount dueo Machine displayo Self-billing
SERVICE PETAL: PAYMENTo Self serviceo Customer interacts with service
staffo Automatic deduction from financial
depositso Credit cardso Control and verification
STARBUCKSo What was the coffee industry like in
the US before Starbucks came in and revolutionized it?
o What made Starbucks successful?o Why is Starbucks thinking of all of
the varied diversification moves instead of just concentrating on coffee shop expansion?
THE MANY VALUES OF COFFEE
0
100
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300
400
500
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THE MANY VALUES OF COFFEE
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500
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VALUE ACCORDING TO STARBUCKS
House of P’s
Positioning / USP
Passionate PeoplePersistence / Patience
Plac
emen
t
Process thatfulfills a Promise
PrayerPr
omot
ions
Pric
e
Prod
uct
Primary Target
Market
PersistentProfits
S – T – P • SEGMENT• TARGET• POSITIONING
S – T – P • SEGMENT
– Slice the market– Differentiate customers as to how
they• Buy• Use
– Differentiate Needs
S – T – P • TARGET
– Which is the preferred market segment?
– Easy to reach, easy to satisfy?– Profitable segment– “MASA”
S – T – P • POSITIONING
– Low cost or high cost?– Low quality or high quality?