Marketing Concepts and Strategies, 8th Edition PDF by Sally Dibb, Lyndon Simkin, William M. Pride and O.C. Ferrell

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Marketing Concepts and Strategies, Eighth Edition

By Sally Dibb, Lyndon Simkin, William M. Pride and O.C. Ferrell

Marketing Concepts and Strategies, 8th Edition

Contents

NOTE: Each chapter contains a summary, key links to other parts of the book, a list of important terms, discussion and review questions, recommended readings, a web task, group tasks and an applied mini-case.

Preface x

Acknowledgements xi

About the authors xii

Credits xiv

Part One

Marketing defined and marketing in context 1

1 The marketing concept 4

Your meals on wheels 5

Marketing explained and defined 6

The definitions of marketing explored 11

The marketing process 14

The importance of marketing 15

Topical insight Ireland: marketing a country 17

The marketing concept and its evolution 18

Topical insight An alternative view of the scope for marketing: social marketing 22

The essentials of marketing 23

The organization of this book 31

Case study Sweden’s IKEA marches on 36

2 Marketing strategy and understanding competitors 38

Driverless vehicles are coming this way 39

Marketing strategy defined 40

Organizational mission, goals and corporate strategy 45

Organizational opportunities and resources 47

Strategic objectives and strategic focus 50

Marketing tools and techniques Practitioners’ use of SWOT Analysis 52

Target market strategy and brand positioning 54

Competitive advantage 55

Competitive positions and differential advantage 56

Marketing tools and techniques Practitioners’ use of competitor intelligence: the Dibb/ Simkin competitive positions

proforma 62

Marketing objectives 65

Marketing mix decisions 65

Implementation and performance monitoring 66

Case study St Andrew’s Healthcare: a charity’s marketing strategy 71

3 T he marketing environment 73

Regulatory influence: the EU single market 74

Examining and responding to the marketing environment 75

Marketing tools and techniques Practitioners’ assessment of the macro marketing environment 76

Political forces 79

Legal forces 80

Regulatory forces 81

Societal forces 83

Technological forces 85

Topical insight Brands and consumers embrace Fairtrade 86

Economic and competitive forces 90

The micro marketing environment 96

The marketing environment and strategic opportunities 99

Case study The world of rice: external challenges for Tilda’s marketers 106

4 Marketing in international markets and globalization 108

Global growth by acting locally 109

Involvement in international marketing 110

International marketing intelligence 113

Environmental forces in international markets 114

Building customer relationships A crosscultural comparison of colour and international branding 115

Regional trade alliances and markets 120

Alternative market entry strategies 123

Topical insight Much more than understanding customers’ behaviours and culture 126

Customization versus the globalization of international marketing strategies 127

Case study Carrefour’s ‘G4’ and international growth strategy 132

Part one postscript 134

Strategic case Understanding and managing fast-changing markets: creating a marketing strategy 135

Part Two

Understanding and targeting customers 139

5 Consumer buying behaviour 142

Raleigh cycles to stay in touch with consumers 143

Types of consumer buying behaviour 143

Topical insight Point-of-sale moves into the changing room 145

The consumer buying decision process 145

Personal factors influencing the buying decision process 150

Psychological factors influencing the buying decision process 152

Social factors influencing the buying decision process 159

The impact of new thinking and new technologies 163

Building customer relationships Teenage trends, Twilight and the power of reference groups 165

Understanding consumer behaviour 166

Case study Crayola: colouring in the 21st century 171

6 Business markets and business

buying behaviour 173

Shaping tomorrow with you 174

Types of business market 175

Dimensions of business buying 177

Business buying decisions 184

Marketing tools and techniques Practitioners’ use of the buying behaviour theory: the Dibb/Simkin buying proforma

186

Selection and analysis of business markets 192

Topical insight Insurance brokers reflect influences on clients’ decision-making 193

Marketing’s variations in business markets 197

Case study Nynas: in the black and leading 202

7 S egmenting markets 204

Rice . . . not all grains seem the same 205

What are markets? 206

What is market segmentation? 207

Segmenting, targeting and positioning 210

Segmentation variables 211

Topical insight Targeting fashion 214

Building customer relationships Profiling and targeting customers with ACORN 220

Segmentation effectiveness 225

Customer relationship management (crm) and retention 226

Case Study Marriott: getting down to business with business travellers 231

8 Targeting and positioning 233

Targeting strategies for business schools 234

Segmentation targeting strategies 235

Target market attractiveness and opportunity selection 240

Building customer relationships Innocent goes mumsy 241

Evaluating markets and forecasting sales 246

Marketing programmes 247

Positioning 247

Marketing tools and techniques Practitioners’ use of brand positioning theory 250

Case study Iams understands people who love pets 257

9 Marketing research 259

Mobile devices generate rich consumer insights 260

The importance of marketing research 261

Marketing tools and techniques Citizen summits give people a voice 263

The marketing research process 264

Step 1: locating and defining problems or research issues 265

Step 2: designing the research 265

Step 3: collecting data 267

Marketing tools and techniques The intrigues of ‘ mystery shopper’ research programmes 278

Step 4: analyzing and interpreting research findings 280

Step 5: reporting research findings 281

Using technology to improve marketing information gathering and analysis 281

The importance of ethical marketing research 284

Case study Focus group interviewing: in-depth views from group discussions 289

Part two postscript 291

Strategic case Youngsters spend more time online than viewing television 293

Part Three

Marketing programmes – products and services, brands, place and channels, promotion and marketing

communications, digital and pricing 295

10 Product decisions 299

Innocent product development 300

What is a product? 301

Product life cycles 307

Topical insight Great things can happen when you sacrifice a cigarette 309

Why some products fail and others succeed 310

Building customer relationships Upgrading service for competitive advantage 312

Case study Heineken’s portfolio of brands 316

11 Branding and packaging 318

Polos: are you a sucker? Or are you a cruncher? 319

Branding 320

Brand personality, values and attributes 325

Marketing tools and techniques Practitioners’ use of the brand development theory: the brand personality grid 326

Marketing tools and techniques Who thought of that name?! 331

Packaging and labelling 336

Case study Rebranding Macmillan 346

12 D eveloping products and managing product portfolios 348

Virgin Money: a haven on the high street 349

Organizing to manage products 350

New product development 351

Product adoption process 356

Product life cycle management 358

Topical insight Telebanking, tv banking, ebanking, texting and now banking apps: what next? 360

Tools for managing product portfolios 363

Marketing tools and techniques Practitioners’ use of the directional policy matrix (dpm) 367

Case study Sellotape or adhesive tape? Increasing market penetration – a classic tale 374

13 T he marketing of services 376

Marketing a solution to today’s stresses 377

The nature and importance of services 378

Classification of services 382

Developing marketing strategies for services 383

Service quality 386

Building customer relationships Providing pet services for nations of dog lovers 387

Building customer relationships People’s performance is inconsistent . . . Good lecture? 389

Non-profit marketing 391

Case study Marketing for charities 401

14 Marketing channels 403

BA’s focus on e-channels and digital 404

The nature of marketing channels and supply chain management 405

9 Marketing research 259

Mobile devices generate rich consumer insights 260

The importance of marketing research 261

Marketing tools and techniques Citizen summits give people a voice 263

The marketing research process 264

Step 1: locating and defining problems or research issues 265

Step 2: designing the research 265

Step 3: collecting data 267

Marketing tools and techniques The intrigues of ‘ mystery shopper’ research programmes 278

Step 4: analyzing and interpreting research findings 280

Step 5: reporting research findings 281

Using technology to improve marketing

information gathering and analysis 281

The importance of ethical marketing research 284

Case study Focus group interviewing: in-depth views from group discussions 289

Part two postscript 291

Strategic case Youngsters spend more time online than viewing television 293

Part Three

Marketing programmes – products and services, brands, place and channels, promotion and marketing

communications, digital and pricing  295

10 Product decisions 299

Innocent product development 300

What is a product? 301

Product life cycles 307

Topical insight Great things can happen when you sacrifice a cigarette 309

Why some products fail and others succeed 310

Building customer relationships Upgrading service for competitive advantage 312

Case study Heineken’s portfolio of brands 316

11 Branding and packaging 318

Polos: are you a sucker? Or are you acruncher? 319

Branding 320

Brand personality, values and attributes 325

Marketing tools and techniques Practitioners’ use of the brand development theory: the brand personality grid 326

Marketing tools and techniques Who thought of that name?! 331

Packaging and labelling 336

Case study Rebranding Macmillan 346

12 D eveloping products and managing product portfolios 348

Virgin Money: a haven on the high street 349

Organizing to manage products 350

New product development 351

Product adoption process 356

Product life cycle management 358

Topical insight Telebanking, tv banking, ebanking, texting and now banking apps: what next? 360

Tools for managing product portfolios 363

Marketing tools and techniques Practitioners’ use of the directional policy matrix (dpm) 367

Case study Sellotape or adhesive tape? Increasing market penetration – a classic tale 374

13 T he marketing of services 376

Marketing a solution to today’s stresses 377

The nature and importance of services 378

Classification of services 382

Developing marketing strategies for services 383

Service quality 386

Building customer relationships Providing pet services for nations of dog lovers 387

Building customer relationships People’s performance is inconsistent . . . Good lecture? 389

Non-profit marketing 391

Case study Marketing for charities 401

14 Marketing channels 403

BA’s focus on e-channels and digital 404

The nature of marketing channels and supply chain management 405

Functions of marketing channels 407

Building customer relationships Tesco’s multi-channel approach to market leadership 410

Types of channel 411

Channel integration 414

Different levels of market coverage 416

Choosing distribution channels 418

Building customer relationships A mutli-channel strategy for retailer John Lewis 419

Behaviour of channel members 421

Legal issues in channel management 424

Case study first direct’s innovative banking channels 428

15 C hannel players and physical distribution 430

Multi-channel changes the rules 431

The nature and importance of wholesaling 432

The activities of wholesalers 432

Classifying wholesalers 434

Building customer relationships Coca-Cola seeks more control over distribution channels 441

Facilitating agencies 441

Retailing 444

Innovation and change Retail technology innovations changing customer experiences 448

Physical distribution 450

Case study Today’s cash and carry megadepots depend on effective stockholding and physical distribution 465

16 A n overview of marketing communications 466

Making children safer 467

The role of promotion 468

The communication process 470

Promotion and the product adoption process 473

Aims of promotion 475

The promotional mix 477

Topical insight A web presence: now routine behaviour 478

Topical insight Facebook can be a marketer’s best friend and her worst enemy 483

Case study Häagen-Dazs: everyday made extraordinary 493

17 Advertising, public relations and sponsorship 494

Cancer—advertising helps fight the early signs of cancer 495

The nature of advertising 496

Innovation and change First ambient and now ‘live’ advertising 496

The uses of advertising 498

Developing an advertising campaign 503

Who develops the advertising campaign? 514

Publicity and public relations 515

Innovation and change Blogs and tweets in PR 519

Sponsorship 522

Case study Textbook pr and a classic tale: public relations and the Perrier crisis 527

18 S ales management, sales promotion, direct mail, direct marketing and the web 529

Sampling nappies: parents’ early exposure to Pampers 530

The nature of personal selling and sales management 531

Building customer relationships face-to-face Not everything is possible digitally 533

Elements of the personal selling process 534

Innovation and change eCommerce sales promotion 536

Types of sales people 537

Management of the salesforce 537

Key account management 544

Sales promotion 544

Sales promotion methods 546

Direct mail 552

The internet and digital marketing 555

Digital marketing, mobile and social media 557

Direct marketing 558

Case study A marketing classic – promoting free flights and how Hoover came unstuck 565

19 Digital marketing 567

Following the shopper across channels 568

Digital marketing 569

Topical insight Changing behaviours in a connected world 570

Changing consumer behaviour 570

Applying digital marketing 571

Social media strategy 574

Mobile marketing 576

Innovation and change Big data insights 577

Big data and analytics 578

Managing multiple channels 580

Case study Digital and university choices 584

20 Pricing 585

What price for a great day out? 586

The characteristics and role of price 587

Price and non-price competition 588

Factors affecting pricing decisions 590

Pricing for business markets 596

Marketing tools and techniques Business-tobusiness pricing using evc analysis 599

Stages for establishing prices 600

Topical insight The rise of the price comparison website 609

Case study Order just about anything from Amazon at a reasonable price 617

21 Modifying the marketing mix for business markets, services and in international marketing 619

Global brands 620

Characteristics of business marketing mixes 620

Amending the marketing mix for services 629

Marketing tools and techniques Delivering executive training and change management consultancy 631

Topical insight Targeting self-centred teenagers 635

Strategic adaptation of marketing mixes for international markets 638

Case study Tata’s Nano evolving to an electricvehicle (ev)? 648

Part three postscript 650

Strategic case How to launch a vision? 653

Part Four Marketing Management 655

22 Marketing planning and forecasting sales potential 657

Planning for growth 658

Marketing planning 659

Marketing tools and techniques Jcb’s adoption of marketing planning 668

Market and sales potential and sales forecasting 669

Topical insight Harley rides into India 673

The marketing audit 676

Case study Dell has to plan for a new future 684

23 Implementing strategies, internal marketing relationships and measuring performance 686

‘I’m lovin’ it’: McDonald’s keeps tight control 687

Organizing marketing activities 688

Marketing implementation 695

Marketing tools and techniques Practitioners’ implementation management of marketing planning: the Dibb/Simkin

checklists 700

Concepts related to marketing implementation 702

Controlling marketing activities 707

Marketing tools and techniques The Dibb/ Simkin implementation audit as applied to a b2b company 710

Methods of evaluating performance 712

Case study Timex stands the test of time 722

24 R esponsible marketing 724

Responsible marketing approaches challenge the rise in fast fashion 725

Social responsibility 726

Topical insight Tax shaming damages reputation 727

Marketing ethics 733

Topical insight Charity gap uses behaviour change to promote sustainable living 735

Incorporating social responsibility and ethics into marketing decisions 742

Social marketing 744

Current hot topics in the marketing discipline 746

Case study Recession piles on the pressure 750

Part four postscript 752

Strategic case Ethical concerns, cultural clashes and regulatory pressures: what next for Coca-Cola? 753

Notes 755

Glossary 776

Index 801

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