{"id":1861,"date":"2008-06-02T23:32:01","date_gmt":"2008-06-02T18:02:01","guid":{"rendered":"http:\/\/thirdeyesight.in\/blog\/?p=48"},"modified":"2008-06-02T23:32:01","modified_gmt":"2008-06-02T18:02:01","slug":"is-marketing-101-dead","status":"publish","type":"post","link":"https:\/\/myechoproject.com\/TES\/is-marketing-101-dead\/","title":{"rendered":"Is Marketing 101 Dead?"},"content":{"rendered":"<p style=\"text-align: justify;\">When we began studying the basic fundamentals of marketing, our professor introduced us to the 4-P framework covering Product, Price, Place and Promotion created by \u201cthe Great P\u201d of Marketing, Philip Kotler, whose textbooks are classics among marketing management studies.<\/p>\n<p style=\"text-align: justify;\">In time, others modified it to 5-P, 6-P and 7-P, but the basic framework stands best on the original four legs defined by Kotler.<\/p>\n<p style=\"text-align: justify;\">The principle is that to design an effective marketing strategy you need to:<\/p>\n<ul style=\"text-align: justify;\">\n<li>clearly define the product or service (covering the core as well as augmented product) to sell to the target customer<\/li>\n<li>identify the price (point or range)<\/li>\n<li>define where it will be sold and<\/li>\n<li>define what will be communicated, and how the product offer will be promoted.<\/li>\n<\/ul>\n<p style=\"text-align: justify;\">If you are truly disciplined, you may then extend any of these into spider-webs of clearer attribute definition. For instance, when you get involved with defining the product it can start from \u201cbreakfast\u201d and then be further defined by attributes such as taste (e.g. sweetened or unsweetened), texture (e.g. crunchy or wet), fullness (e.g. light or filling), and go further into the benefits (e.g. helpful in losing weight, or in gaining body mass) etc.<\/p>\n<p style=\"text-align: justify;\">Given that the basic framework is straight-forward and simple to apply, when we ask the question \u201cwhat is your marketing strategy\u201d, it is surprising to get the answer: \u201cadvertising\u201d. It gets somewhat more distressing when we interrogate further, when we examine what the advertising is focussed on: \u201ccheaper prices than competition\u201d.<\/p>\n<p style=\"text-align: justify;\">Okay, let\u2019s grant a couple of reality checks here. One is that most retailers and consumer goods companies in the current stage of the market\u2019s growth want to grab the maximum possible market share in the minimum possible time. Two, if you want to get the attention of a lot of customers very quickly, shouting out a great price offer is one of the easiest ways to do it.<\/p>\n<p style=\"text-align: justify;\">Which brings us to the basic issue: in the current market scenario, if you are a retailer or if you have a brand that you want to scale up fast, advertising extensively about the \u201cgreat value\u201d is highly likely to quickly give you the footfall and conversions you need.<\/p>\n<p style=\"text-align: justify;\">But the question is, when does it stop being a good tactic and just becomes lazy marketing? And once it\u2019s in that territory, when does it become dangerously weak even as a sustained tactic?<\/p>\n<p style=\"text-align: justify;\">Imagine a scenario with me: the CEO strides into a marketing strategy meeting and says, \u201cI want you to stop advertising the way you do. In fact, I want you to stop advertising, period. But I don\u2019t want sales to drop and I don\u2019t want our brand image to suffer.\u201d<\/p>\n<p style=\"text-align: justify;\">Shock, horror, dismay at the thought of \u201cwhere is this company going\u201d? Resignations, even, on the CEO\u2019s table?<\/p>\n<p style=\"text-align: justify;\">But just stay with that thought for a minute, and then look at Kotler\u2019s framework again.<\/p>\n<p style=\"text-align: justify;\">Let\u2019s look at \u201cproduct\u201d holistically because, in the noise of high-decibel advertising about low prices, typically the definition of the \u201cproduct\u201d is the first to slip from attention. How the customer relates to the store, what her experience is as she walks through from the entrance to the check-out and beyond is part and parcel of the \u201cproduct\u201d. What does she think the store is about? Does her perception of the store\u2019s \u201cproduct\u201d (the entire experience of shopping) match with the retailer\u2019s own perception? Does the retailer even have a clear perception of his product?<\/p>\n<p style=\"text-align: justify;\">Secondly, \u201cplace\u201d. Sure, in-store product placement is frequently governed by the marketing function. But how many retailers have marketing involved in selecting the store location? A great store location is the best live, \u201cwalk-in advertisement\u201d that a retailer can have. If a fashion brand like Zara can eschew advertising (founder Amancio Ortega has been quoted as saying that \u201cadvertising\u201d is a distraction), and instead focus on its stores to create the traffic and the awareness about the brands, surely the store location should receive some attention from the marketing heads of food and grocery companies.<\/p>\n<p style=\"text-align: justify;\">Let\u2019s also reconsider how much connection there is between the marketing strategy and the store layout itself (in many cases it is not enough). Whether the customer likes wide aisles and a \u201cclean\u201d experience or prefers a chaotic environment, the store must make a statement that is in sync with the overall business strategy and the target customer.\u00a0 Good retailers understand this intuitively, but it is important also to express it overtly within the organisation and get the marketing team involved in the planning and execution. Further, once the customer is actually in the store, clear price ticketing, intuitive adjacencies and clean signage can make a tremendous difference in converting walk-ins to purchases.<\/p>\n<p style=\"text-align: justify;\">Let\u2019s leave price alone for this inquiry because, whether high or low, it gets a lot of attention anyway, and let\u2019s move to promotion.<\/p>\n<p style=\"text-align: justify;\">If we define marketing\u2019s role as getting customers into the store and getting them to buy, then the surely promotion is the driver of the marketing engine. But does promotion necessarily have to mean advertising?<\/p>\n<p style=\"text-align: justify;\">We\u2019ve discussed Zara\u2019s example of using the stores as the medium of promotion. Another thing that works for Zara is word of mouth publicity, as well as the humongous amount of publicity the company gets due to its business model. (Other interesting companies, such as Pantaloon, Reliance, Wal-Mart, The Body Shop etc. also enjoy promotion through publicity.)<\/p>\n<p style=\"text-align: justify;\">Pizza companies use cost-effective menu flyers dropped at the customer\u2019s door and \u201cbox toppers\u201d to drive the next purchase (yes, of course, they also advertise hugely, but during their lean years when they have had to reduce advertising, it is the flyers and box-toppers that have kept them going.) Direct selling companies can also offer some learnings about creating and sustaining interest, as do entrepreneurial start-ups. As a matter of fact, think of the last time you saw an advertisement of the most popular \u201cunbranded\u201d take-away in your area. Ever?<\/p>\n<p style=\"text-align: justify;\">It may be time for us to dust off the notes from the Marketing 101 class, and re-examine what we do.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>A couple of reality checks. One is that most retailers and consumer goods companies in the current stage of the market\u2019s growth want to grab the maximum possible market share in the minimum possible time. Two, if you want to get the attention of a lot of customers very quickly, shouting out a great price offer is one of the easiest ways to do it. But the question is, when does it stop being a good tactic and just becomes lazy marketing? And once it\u2019s in that territory, when does it become dangerously weak even as a sustained tactic? It may be time for us to dust off the notes from the Marketing 101 class, and re-examine what we do.<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"content-type":"","footnotes":""},"categories":[25,27,389,212,215,33,36,37,43,44,46,48,1],"tags":[468,97,98,100,259,390,103,455,110,113,469,120,403,470,471,65,472,408,67],"class_list":["post-1861","post","type-post","status-publish","format-standard","hentry","category-apparel","category-branding","category-progressive-grocer","category-consumer","category-food-grocery","category-footwear","category-lifestyle-fashion","category-marketing","category-retail","category-soft-goods","category-strategy","category-textiles","category-uncategorized","tag-4p","tag-advertising","tag-advertizing","tag-brand-building","tag-business","tag-column-progressive-grocer","tag-consumer-products","tag-cost-competition","tag-entrepreneurship","tag-growing-brands","tag-kotler","tag-marketing","tag-pantaloon","tag-promotions","tag-reliance","tag-retail","tag-the-body-shop","tag-wal-mart","tag-zara"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v28.3 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Is Marketing 101 Dead? - Third Eyesight<\/title>\n<meta name=\"robots\" content=\"index,follow\" \/>\n<link rel=\"canonical\" href=\"https:\/\/myechoproject.com\/TES\/is-marketing-101-dead\/\" \/>\n<meta property=\"og:locale\" content=\"en_GB\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Is Marketing 101 Dead? - Third Eyesight\" \/>\n<meta property=\"og:description\" content=\"A couple of reality checks. One is that most retailers and consumer goods companies in the current stage of the market\u2019s growth want to grab the maximum possible market share in the minimum possible time. Two, if you want to get the attention of a lot of customers very quickly, shouting out a great price offer is one of the easiest ways to do it. But the question is, when does it stop being a good tactic and just becomes lazy marketing? And once it\u2019s in that territory, when does it become dangerously weak even as a sustained tactic? It may be time for us to dust off the notes from the Marketing 101 class, and re-examine what we do.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/myechoproject.com\/TES\/is-marketing-101-dead\/\" \/>\n<meta property=\"og:site_name\" content=\"Third Eyesight\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/facebook.com\/thirdeyesight\" \/>\n<meta property=\"article:published_time\" content=\"2008-06-02T18:02:01+00:00\" \/>\n<meta name=\"author\" content=\"Devangshu Dutta\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@thirdeyesight\" \/>\n<meta name=\"twitter:site\" content=\"@thirdeyesight\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\\\/\\\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\\\/\\\/myechoproject.com\\\/TES\\\/is-marketing-101-dead\\\/#article\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/myechoproject.com\\\/TES\\\/is-marketing-101-dead\\\/\"},\"author\":{\"name\":\"Devangshu Dutta\",\"@id\":\"https:\\\/\\\/myechoproject.com\\\/TES\\\/#\\\/schema\\\/person\\\/3387e3e154639976110997bbfd794504\"},\"headline\":\"Is Marketing 101 Dead?\",\"datePublished\":\"2008-06-02T18:02:01+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\\\/\\\/myechoproject.com\\\/TES\\\/is-marketing-101-dead\\\/\"},\"wordCount\":1037,\"commentCount\":0,\"publisher\":{\"@id\":\"https:\\\/\\\/myechoproject.com\\\/TES\\\/#organization\"},\"keywords\":[\"4P\",\"Advertising\",\"Advertizing\",\"brand building\",\"business\",\"COLUMN-Progressive Grocer\",\"consumer products\",\"cost competition\",\"Entrepreneurship\",\"growing brands\",\"Kotler\",\"Marketing\",\"Pantaloon\",\"Promotions\",\"Reliance\",\"Retail\",\"The Body Shop\",\"Wal-Mart\",\"zara\"],\"articleSection\":[\"Apparel\",\"Branding\",\"COLUMN-Progressive Grocer\",\"Consumer\",\"Food &amp; Grocery\",\"Footwear\",\"Lifestyle &amp; Fashion\",\"Marketing\",\"Retail\",\"Soft Goods\",\"Strategy\",\"Textiles\",\"Uncategorized\"],\"inLanguage\":\"en-GB\",\"potentialAction\":[{\"@type\":\"CommentAction\",\"name\":\"Comment\",\"target\":[\"https:\\\/\\\/myechoproject.com\\\/TES\\\/is-marketing-101-dead\\\/#respond\"]}]},{\"@type\":\"WebPage\",\"@id\":\"https:\\\/\\\/myechoproject.com\\\/TES\\\/is-marketing-101-dead\\\/\",\"url\":\"https:\\\/\\\/myechoproject.com\\\/TES\\\/is-marketing-101-dead\\\/\",\"name\":\"Is Marketing 101 Dead? 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