Marketing Management
Course Introduction
Li Yang
December 2019
Most impressive marketing
in the last five years?
Trump !!
• Victory of personality & online marketing
– No product (political career)
– No cost (political risk)
– No team (political clout)
– No channel (running America one tweet at a time)
3
Most impressive marketing
in the last five months?
Market Hype
• Blockchain
– Scarcity
– Close to money
– New technology concepts
– …
• Blind box mini figures
– Cute design
– Scarcity
– Gambling
– …
Today’s Agenda
Course Expectations Customer
Introduction Lifetime Value
What Is Marketing?
What Is Marketing?
Google Trends on Marketing
Let’s Go Back in Time
“Product” was the center of the marketing activity
Products or Benefits?
“People don’t want to buy a quarter-inch drill. They
want a quarter-inch hole!”
—Leo McGinneva
Clean clothes Transportation
Fresh smell Freedom
Ease of use Image
New Trends
Commoditization Technology
Weaker product-based Information systems – faster,
differentiation cheaper to store and process
Search for new sources of information
competitive advantage Internet – in real time
Customer as Unit of Analysis
Proactively managing individual customers,
not just products, creates more profitability
轻资产模式
Lightweight Business Model
New Rules
New Old
Share of Wallet Market Share
Customer Life Cycle Product Life Cycle
New Rules
New Old
Customer Portfolio Product Portfolio
The Customer Pyramid All Customers are Created Equal
New Rules
New Old
Customization Segmentation
Customer Analytics Mad Men Creatives
… and then came the social networks
… and then came the Big Data: Volume
… and then came the Big Data: Velocity
Didi Taxi Alipay
Retargeted Ads
… and then came the Big Data: Variety
Demographics Browsing Shopping Path
Eyeball Tracking
…and with them a second revolution in how
we do marketing
From Bowling To Pinball
Moving towards a highly dynamic
and non-linear world !
What Exactly Is a Customer?
“The traders”
Non-buying
“Influencers”
Non-using
“Buyers”
“We don’t make money when we sell things;
we make money when we help customers
make purchase decisions.”
—Jeff Bezos, founder of Amazon.com
The Marketing Framework
What Customer
Market Knowledge
Think, Feel, and Want
Marketing Strategy
Segmenting
Targeting
Positioning
Marketing Programs
Product
What Customers Buy Place
Price
Promotion
Customer
Lifetime
Customers Value Firm
Financial
Performance/Value
The Marketing Framework
What Customer
Market Knowledge
Think, Feel, and Want
Marketing Strategy
Segmenting
Targeting
Positioning
Marketing Programs
Product
What Customers Buy Place
Price
Promotion
Customer
Lifetime
Customers
External Context Value Firm Resources
Competition & Capabilities
Economic Collaborators
Regulatory Financial
Social Performance/Value
Marketing on Internet
Low-cost Connections
– B2C: channel, CRM, consumer
Social life & society
participation
– Social networks
– C2C: platform
– Social strategies
互 联 – Live streaming
网
Diverse, spontaneous information
network
– WOM, viral marketing, KOL 网红
Marketing on Weibo
Nike’s Weibo Campaign
Sport
Activeness
Loyalty to
Nike
Weibo vs. Wechat
Speaker (扩音器) Planter (播种机)
– One-to-all communication – Point-to-point interaction
– Unlimited pushing and sharing – Restricted information pushing
– Weak social ties – Strong social ties
– Fit for extensive content – Fit for in-depth content
– Access from both PC and Mobile – Access from mobile
– Commercials and “zombie fans” – Few paid posters
– Social buzz and PR crisis – Social CRM platform
management
Sina vs. Tencent
Differences in DNA
Current “Digital” Strategy Ignores “Social”
Broadcasting Facilitating
Social Model: “Nike+”
+
Footwear &
devices with
movement
sensor
Users share
“Nike+” site
sport activities
integrating
on social
workout data
networks
AMEX: Open Up Entire Networks
Merchant Network
Consumer Network
• A milestone transformation for AMEX
– Previously a financial firm known for efficient settling of payment
– Now a comprehensive marketing platform
• Help card holders better socialize with one another
• Facilitate transactions and help merchants grow business
– Fully leveraged comparative advantage
• Make proprietary data closed loop
Just the Beginning …
How this course fits in the marketing course sequence
– Marketing research
– Consumer behavior
– Strategic marketing in China
– Pricing
– Social media and emerging market
– Branding
– CRM
Course Roadmap
Customer and Developing Advanced Marketing
Marketing Strategies Marketing Plans Topics
Sessions 1 - 4 Sessions 5 - 8 Sessions 9 - 12
1 Deriving Customer Value 5 Pricing 9 Internet Marketing
2 Creating Customers Value 6 Channel 10 Social Media Marketing
3 Segmentation & Targeting 7 Communication 11 Big Data & AI
4 Positioning 8 Branding 12 Blockchain
Course Evaluation
• Class contribution: 25%
• Two group case presentations: 20%
• Two group case assignments: 20%
• One group assignment: 10%
• Final exam: 25%
Case Studies
1. Starbucks + New Millennium Customer value
2. Chateau Margaux Positioning
3. Youghui Superstores Channel
4. Lululemon Athletica Branding
5. BillGuard Internet startup
6. HubSpot & Motion AI Artificial Intelligence
Case Group Assignment
• Everyone must read every case
– Otherwise we would use lecture time to read
• Each group is responsible for two case presentations and two
case write-ups (the same two cases)
• Group Assignment:
– Feeling lucky?
Final Exam
• Final exam
– Analysis of a small marketing case
– Writing based, open book, open notes
Reference Materials and Tools
• Course slides (required)
– Delivered before lecture
• Textbook (optional)
“Marketing Management,” 16th edition, Kotler and Keller
• Software: Excel
What should You Expect from Me
• Classes will begin and end on time
– With a break
• Emails will be returned promptly
• Fair evaluation of student work
• Open-door policy
– Office hours – flexible
– 24/7
What is Expected from You
• Show up for every class – on time and prepared
– Class participation: to participate you must be present
• Case presentations
• Guest speeches
• Actively participate in class discussions
• Reduce multi-tasking in class
• Be a productive member of your group
• Submit assignments on time
Date Lecture Preparations
Dec 9 Introduction + CLV
Dec 10 Create Customer Value MiniCase: Apple vs. Samsung
Dec 10 Segmentation Case: Starbucks
Dec 26 Targeting + Positioning Case: Chateau Margaux
Dec 30 Pricing
Dec 30 Channel Case: Yonghui Superstores
Jan 7 Communication Guest Speech: TBD
Jan 9 Branding Case: Lululemon Athletica
Jan 10 Internet Marketing Case: BillGuard
Jan 15 Social Media Marketing
Jan 16 Big Data & AI Case: HubSpot & Motion AI
Jan 16 Blockchain Guest Speech: TBD
TBD Final Exam
因为向往大海
所以汇入长江
李洋
yangli@ckgsb.edu.cn
