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AAST 2023

Advanced Marketing
By: Dr Mohamed Khaled
Assistant Professor, University of Hertfordshire

Arab Academy for Science, Technology and Maritime Transport


University of Hertfordshire
My Contacts
• LinkedIn: https://www.linkedin.com/in/mohamed-khaled-05038920/

• Facebook: https://www.facebook.com/Mohamed.Mkhaled.4

• Email: drmohamedkhaled@me.com

• Cellular: +2 0100 1647 102


Organization Overview / Background
• Organization name.

• Organization information – type of organization, size of organization, range


of products and services, customer base and main competitors.
• Leader-challenger-followers-nicher

• Stakeholders – internal and external.

• Key customer segment.


Product portfolio
• Four dimensions:
1- Width: Number of different product lines within the company.

2- Length: total number of items in the product line.

3- Depth: Number of versions offered of each product in the line “SKUs”.

4- Consistency: closely related product line.


Unilever products
The product life cycle “PLC”
PLC
• Introduction stage
The product is launched into the market and generally sales are slow to pick up because
customers and distribution have to be found and convinced. If the product is new to the
world (e.g. the first iPad) it will face little or no competition and the company will have
a pioneer advantage and appeal to innovators. If it is an addition (e.g. the Samsung Edge
in the smartphone market) it will be targeted at a new segment and fit the ‘ideal’ of that
segment better than alternative solutions.

The key question here has to do with how quickly competitors will launch a variant. This is
normally the stage for build strategies

Investment costs are likely to be very high prior to launch.


• Growth stage
The growth stage is characterized by a rapid increase in sales as the product
starts to attract different types of customers and repeat purchases may
start. Critically, it is at this stage that competitors assess the product’s
market and profit potential and decide on their competitive moves. They
may decide to modify or improve their current offerings or enter the market
with their own new products (e.g. Microsoft Zunes as the ‘iPod killer’). If
not, they may use the other elements of the mix to detract attention from
the product, i.e. an advertising campaign or a price promotion. It is possible
that defensive attacks may be required to prevent the curve from flattening.
PLC
• Maturity stage
At this stage the rate of growth slows down significantly. This stage tends to
last longer than the previous ones and is, probably, the most challenging
one: it is a fact of life for most marketers that the markets they have to deal
with are mature! This is a stage of severe competition, market
fragmentation and declining profits, due to over-capacity in the industry.
Indeed, competitors will try to uncover untapped niches and/or enter price
wars. This leads to a clear-out and the weaker competitors will exit, possibly
becoming suppliers to the stronger ones or being bought by them (as we
are currently seeing in the car industry). The survivors will be either
companies supplying the bulk of the market, competing on a high volume–
low margin basis, or market nichers. Many firms will try to buck the trend
and revamp their PLCs or expand the market by creating a new segment,
and hence extra demand overall.
PLC
• Decline stage
This stage is marked by a slow or rapid decline of the sales of the product.
Decline may be due to better solutions (e.g. new technology such as the
USB flashdrive replacing floppy and zip disks) supplanting weaker ones, a
change in consumer tastes or an increase in competition, be it domestic or
international.
Customer Base
The Seven Markets Model “stakeholder analysis”
Power/interest matrix (Mendelow, 1991)
Marketing planning Methodologies
Methodologies
The planning Journey MOST APIC SOSTAC
“Wilson & Gilligan, 2002” “Kotler, 1997” “Smith,1994”
Wher are we now? Mission Analysis Situation
analysis
Steps

Where do we want to be? Objectives Planning Objectives


How might we get there? Strategy Strategy
Which way is best? Tactics Implementation Tactics +
Actions
How can we ensure arrival? Control Control
The SOSTAC planning framework
Digital Customer journey
• The Sales funnel “Marketo”
Sales funnel stages
• TOFU: Names – Engaged – Target “Aware of your product but not ready to
buy, therefore, offer educational material”.

• MOFU: Lead – Sales Lead “Displaying buying behaviour, engagement with


content; still educational phase but geared towards product”.

• BOFU: Opportunity – Customer “lead becomes customer”


New purchaser buying process
1 Consumer: unaware. Company: generates awareness
(of need, product or service)

• Generating awareness of need is conventionally achieved principally


through the mass media used in offline advertising. The Internet is
relatively ineffective at this since it tends to have a more limited impact
and reach than television, radio or print media.
• However, display advertising or paid search marketing can be used to
supplement offline awareness-building, as explained in Chapter 8. Online
equivalents of word-of-mouth or recommendations from friends or
colleagues, perhaps influenced by a viral marketing campaign, can also
create awareness of need
2 Consumer: aware of need, develops specification. Company: position features,
benefits and brand

• Once a consumer is aware of a need and is considering what features and


benefits are required from a product or online service, then they may turn
straight to the web to start identifying the range of features available from
a particular type of product through using a generic search using search
engines such as Google or Yahoo! So influencing consumers through
search engine marketing and affiliate marketing is important at this stage.
3 Consumer: supplier search. Company: generate leads
(engage and capture interest)

• Once customers are actively searching for products, the web provides an
excellent medium to help them do this. It also provides a good opportunity
for companies to describe the benefits of their websites and obtain
qualified leads. The digital marketer must consider the methods that a
customer will choose for searching and then ensure that the company or
its product is featured prominently on these sites whether they are search
engines, aggregators or affiliate intermediaries.
4 Consumer: evaluate and select. Supplier: assist purchase decision

• One of the most powerful features of websites is their facility to carry a


large amount of content at relatively low cost. This can be turned to
advantage when customers are looking to identify the best product. By
providing relevant information in a form that is easy to find and digest, a
company can use its website to help in persuading the customer.
5 Consumer: purchase. Company: facilitate purchase

• Once a customer has decided to purchase, then the company will not want
to lose the custom at this stage! The website should enable standard
credit-card payment mechanisms with the option to place the order by
phone or mail. Online retailers pay great attention to identifying factors
that encourage customers to convert once they have added a product to
their ‘shopping basket’. Security guarantees, delivery choices and free
delivery offers, for example, can help increase conversion rates.

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