GLOBAL MARKETING STRATEGY

Transcription

1 GLOBAL MARKETING STRATEGY INTERNATIONAL MARKETING WONKWANG UNIVERSITY Professor In Woo Jun / Bcom, MBA, Ph.D

2 CONTENTS I. 1. The Process of Global Marketing Strategy 2. Global Market Research Process 3. STP (Segmentation, Targeting and Positioning) 4. The 4Ps of the Marketing Mix 2

3 1. The Process of Global Marketing Strategy Research (Market, Environments, etc.) See Next Slide STP (Segmentation, Targeting, Positioning) Marketing Mix (Mixing many Factors together) Implementation (Marketing into Action) Control and Feedback 3

4 2. Global Market Research Process Establish Research Objectives - Research questions/hypothesis - Boundaries of research Research Design - Methodology - Data collection method (Survey, Questionnaire, In-dept interview, Observation, Experiment, etc) - Sampling (Population) - Analysis tools (Quantitative/Qualitative) Data Collection - Field survey (Questionnaire distribution & collection) - Interview (Personal, Group, Telephone, , etc) 4

5 Data Analysis - Quantitative and Qualitative - Statistical analysis (Frequency analysis, Correlation analysis, Regression analysis, etc.) Writing & Submitting Report - Analysis result - Implication - Conclusion - Recommendation - Further research 5

6 3. STP (Segmentation, Targeting and Positioning) 3.1) Market Segmentation Dividing a market into distinct groups of buyers with different needs, characteristics, or behavior who might require separate products or services. Identifying similarities and differences between groups of customers or users. 6

7 3.1.1) Level (Type) of Market Segmentation a) Mass Marketing Segmentation Segmentation for mass production products to all customers with the same marketing strategy. Example : Henry Ford T Model Car, and Coca-cola [ Ford T-model Car ] [ Coca Cola ] 7

8 b) Niche Marketing Segmentation Segmentation for focusing on niches (niche markets or target groups) with distinctive features. Example : Lincoln s Luxury Sports Utility Vehicles - Luxury SUVs (Made by Lincoln) Niche market - Standard SUVs (Made by Ford) General Market [ Lincoln SUV MKC Model ] [ Ford SUV ] The Lincoln Motor Company is a division of the Ford Motor Company that sells luxury vehicles under the Lincoln brand. 8

9 c) Micro Marketing Segmentation Local Marketing Segmentation : Segmentation for a specific local customer groups with tailoring products (e.g. Tractors for rural regions) Individual Marketing Segmentation: Segmentation for a specific individual customer groups with tailoring products (e.g. Goods for disabled persons) [ Tractor ] [ Artificial Legs ] 9

10 3.1.2) Bases for Global Market Segmentation The most common bases for global market segments are as follows [ Bases for Global Market Segmentation] Product-based Customer-based Geo-demographics Psychographics - Size, Shape, Color, Technology, Features, Product application, Service, Length of life, Season, etc. - Age, Gender, Religion, Culture, Education level, Social class or position, etc - Geographical location, Urban, Non-urban, Lowland, Highland, etc. - Life style, Interest, Perceptions, Personality, Attitudes, Persona, etc. Source : Lee, K., and Carter, S. (2009), Global Marketing Management, 2 nd Edition, Oxford University Press, p

11 3.1.3) Requirements for Effective Segmentation Measurability Accessibility Actionability Profitability (Sustainability) - The degree that the size, purchasing power and profits of a market segment can be measured. - The degree that a market segment can be reached and served. - The degree that effective programs can be designed for attracting and serving a given market segment. - The degree that the market segments are large or profitable enough to serve. 11

12 3.1.4) Market Segmentation - Product Life Cycle Sales Market Segmentation (New Business Markets) Maturity Decline Growth Country A (USA) Introduction I G I G M D M Country B (India) D Country C (Sudan) Time Source : Designed by In Woo, Jun (2014) 12

13 3.2) Market Targeting After segmenting, a firm has to evaluate the various segments and decide how many and which ones to target. There are several types of market targeting as follows ; [Concentration on Single Segment Market Targeting ] [ Selective Specialization Targeting ] P1 P2 P3 M1 M2 M3 P : Product; M : Market 13

14 [ Product Specialization Targeting ] [ Market Specialization Targeting ] [ Targeting Whole Market ] 14

15 3.3) Market Positioning Once a firm has decided which segments of the market it will enter, it must decide what position it wants to occupy in those segments. Market Positioning : The process of arranging for a product to occupy a clear, distinctive, and desirable place relative to competing products in the minds of target customers. 15

16 3.3.1) Perceptual Map Drawing perceptual map is very useful for market positioning. Perceptual Map : It is a diagrammatic technique used by the marketers that attempt to visually display the perception of customers or potential customers. By drawing perceptual map, marketers can know the following things ; - Customers perception to products (Our and competitors products) - The position of our product in the segment/market - Repositioning strategy of our product 16

17 [ Market Positioning : Perceptual Map ] Classic (Positioning Base) Lincoln Mercedes BMW Cadillac Porsche Conservative (Positioning Base) Chrysler Buick Ford Dodge VW Plymouth Hyundai Affordable (Positioning Base) Pontiac Toyota Sporty (Positioning Base) Nissan Repositioning 17

18 4. The 4Ps of the Marketing Mix After STP, managers need to blend/mix marketing tools together. The marketing mix refers to the set of actions or tactics that a company uses to promote its brand or product in the market. The 4Ps make up a typical marketing mix ; Price, Product, Promotion and Place. However, nowadays, the marketing mix increasingly includes several other Ps like Packaging, Positioning, People and even Politics. 18

19 [ Four Main Fields of Marketing Mix ] Product - Quality, Design, Feature, Brand name, Size, Packaging, Warranties, etc. Place - Region, Location, Distribution channel, Logistics, Transportation, etc. Target Customers Price - Discount, Payment method, Payment period, Credit terms, etc. Promotion -Communication, Advertising, Personal selling, Sales promotion, Public relations, etc. Source : Adapted from Kotler, P., and Armstrong, G. (1997), Marketing, Prentice Hall International, p