Download I UNDERSTANDING MODERN MARKETING

STRATEGIC
TECHNOLOGY
MARKETING
DR. ISMI RAJIANI
Selling and Marketing
Concepts Contrasted
Starting
point
Focus
Means
Ends
Factory
Existing
products
Selling and
promotion
Profits through
sales volume
(a) The selling concept
Target
market
Customer
needs
Integrated
marketing
Profits through
customer
satisfaction
(b) The marketing concept
Operational Model for
Implementing the
Philosophy of the Marketing
Concept is the:
The Marketing Mix Consists of
Four Basic Strategic Variables
(the four “P’s”)




Product Strategy
Price Strategy
Promotional Strategy
Place Strategy (Channels of
Distribution)
Marketing Mix and the
Customer
Four P’s
 Product
 Price
 Place
 Promotion
Four C’s
 Customer solution
 Customer cost
 Convenience
 Communication
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Other Ps for Services
(the three “P’s”)



People Strategy
Process Strategy
Physical Evidence Strategy
The role of STRATEGIC
marketing is to mix or
blend these four strategic
variables in such a way as
to meet the needs of...
THE TARGET MARKET
Product
Price Promotion
Place
Target Market
Marketing as a Strategic
Component of the Organization
Marketing is elevated to a level
of strategic position in the
organization
The Four P’s elements
1-10
Strategic Marketing Consists of
Six Major Areas
1)
2)
3)
4)
5)
6)
Defining the organization’s business
Specifying the purpose of the organization
Identifying opportunities
Formulating product/market strategies
Budgeting: financial, production, human resources
Monitoring, evaluating, and adapting
Defining the Organization’s
Business




Type of customers (markets) to be served
Needs of those customers
Means by which organization will meet the needs
Competitive advantage (attainment and sustained)
Specifying the Purpose of the
Organization
Aspirations of the organization and
what it wishes to achieve ie.,
objectives and goals
Production
Output and
efficiency
measures, e.g.
output per
Man hour
Finance
ROI
ROS
Profit
Cash Flow
Marketing
Sales Volume
Margin
Market Share
Customer
Satisfaction
Identifying Organizational
Opportunities
External (environmental) opportunities
matched with internal (organizational)
capabilities



What do we do best? (distinctive competency)
What must we do? (success requirements)
What might we do? (environmental opportunity)
Formulating Product/Market
Strategies
MARKETS
O
EXISTING
f
f
Market
e
EXISTING Penetration
r
i
n
New Offering
g
NEW
Development
s
NEW
Market
Development
Diversification
Budgeting, Financial,
Production, and Human
Resources
Financial implications and allocations relevant
to the marketing plan
Revenue, expense, and profit projections
Cost allocations made
Monitoring, Evaluating and
Adapting Marketing Strategy
Marketing audit --comprehensive,
systematic, independent, and periodic
examination of the organization’s
marketing objectives and strategies to
identify problems and opportunities as well
as to recommend ways of improving
marketing performance
Evolution of Company
Orientation
Production Concept
Product Concept
Selling/Sales Concept
Marketing Concept
Holistic Marketing Concept
Marketing Management
Philosophies
Production Concept
•Consumers favor products that are
available and highly affordable.
Improve production and distribution.
Product Concept
•Consumers favor products that offer
the most quality, performance, and
innovative features.
Selling Concept
•Consumers will buy products only if
the company promotes/ sells these
products.
Marketing Concept
Societal Marketing Concept
•Focuses on needs/ wants of target
markets & delivering satisfaction
better than competitors.
•Focuses on needs/ wants of target
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markets & delivering superior value.
Holistic Marketing Dimensions
1-20
Technology Adoption

Product Life Cycle
(Based on G. Moore “Crossing the Chasm”)
Revenue
Lead Users
Early
Adopters
Early Majority
Late Majority
Laggards
Time
■ Innovators
 Lead Users
: Technology Enthusiasts; They want to try it just to see if it works…
■ Visionaries
 Early Adopters : They have the insight to match a new technology to a strategic opportunity
■ Pragmatists
 Early Majority
: They fell that some Risk may be taken, but with a good safety nets in place
■ Conservative  Late Majority
: They are Conservatives that are against discontinuous innovations
■ Sceptics 33
: They are Sceptics...
 Laggards
Technology Adoption

“The CHASM” is changing  highly industry
Lead Users
2.5%
13.5%
The CHASM
Early
Adopters
The CHASM
dependent...
Early Majority
Late Majority
34%
34%
Laggards
Lead Users
16%
Main Stream
Market
Early
Market
Classical
Early market VS Mainstream Market
34
2%
Lead
Users
Early
Adopters
48 %
Main
Market
Early
Majority
29%
Late
Majority
Laggards
16%
Possible Market (?)
The New Reality
The CHASM may have moved
depending on your industry !!!!
5%
Technology Adoption
Evolution of “The
CHASM” (1/3)
– In the last 10 years, people have
become more and more tech-savvy 
People are more comfortable with
technology
– Adoption of technology is faster today
thanks to Internet, Twitter, Facebook
and other social medias.
– The Early Adopters area of the curve is
today much larger  50% of the total
market is now before the CHASM.
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The CHASM

Lead Users
Lead
Users
Early
Adopters
Main
Market
50% of Market
Early
Majority
Late
Majority
Laggards
Possible
Market (?)
50% of Market
Conclusions
1. Marketing Mix
■
Branding
■ A strong branding is required to ease market penetration and allow client
retention.
■
Social Medias
■ Use all social medias on the web to help your market be aware of what you
are doing. The difficulty is to do its soon enough but at the same time not too
soon.
■ You must analyze periodically the social medias to know what is been said
about your company, group and products. Use those medias to influence
perceptions and be close to your clients (customer proximity).
2. Understanding Market Segment
■
You must understand your market and this takes time and efforts. If your
“beachhead” is very niche or is only a specific program (governmental, defense),
you must work on the customer intimacy to influence his decisions toward your
solution.
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