Marketing Management Program
Program Learning Objectives
After completing the program, participants will
•Understand a framework for designing and implementing a marketing strategy. •Understand the value of a customer orientation and its implications for the business. •Recognize cross-functional roles and responsibilities in marketing. •Understand how to use knowledge of what the customer values to improve company performance. •Understand the link between customer management and business profitability. •Understand how to rethink how they operate to meet customer desires. •Understand how to select good target markets, i.e., groups of customers who will help fulfill
company objectives and whose needs the company is good at fulfilling.
•Understand how to differentiate based on brands, product and service design. •Successfully communicate value.
Participants will receive several assignments ahead of the program (cases, readings and exercises) and a questionnaire on how participants' own business units are operating and where they see room for improvement.
Developing a Company-Wide Customer Orientation
In this session, Professor Punam Keller will address why an internal orientation jeopardizes the firm's survival and highlight how a customer orientation prepares for a successful future. Specifically, the group will discuss: How a Firm's Orientation Influences its Business Definition, Assessment of Key Assets, Individual and Group Attitudes, Organizational Structure, Performance Metrics, and Performance Outcomes.
The group will analyze a video or written case which demonstrates the role of leadership, how customer input is used to design more successful products, and shared responsibility for customer satisfaction across functional areas.
During this session, participants will also be asked to respond to a short questionnaire that highlights their beliefs and assumptions about the impact of the customer on business operations
Customer Management and Business Profitability
In this session Professor Keller will highlight two ways of increasing market share - getting more new customers and getting more share of good existing customers. Specifically, the group will discuss why Customer Satisfaction knowledge is key to Customer Retention and why Loyalty is not a surrogate for satisfaction. In addition, the session will cover how Value Creation for 'A' level customers requires a deep understanding of the customer's business and how his information can be used for pricing and product development decisions. Professor Keller will also show how Customer Lifetime Value is necessary to estimate the value of Acquiring and Retaining customers.
The small groups will focus on these questions:
1.How do we define loyal customers? 2.How do we grade customers? 3.Do measurements of customer profitability include profits from referrals? 4.What proportion of business development expenditures and incentives are directed at the retention of existing customers? 5.Why do our customers defect? 6.What do we do to prevent defection?
Developing and Implementing Marketing Strategy
The framework is divided into three main sections: Section I - Developing a customer orientation, Section II - Matching Resources to Customer Needs, and Section III - Communicating Value. Professor Keller will help participants apply the framework by engaging them in a discussion that focuses on identifying market opportunities, selecting target markets and designing an effective marketing plan. The overall objective is to provide participants with an understanding of the fundamentals of marketing and a strategic approach to using marketing to improve business performance.
One outcome of customer orientation is to develop profiles of multiple customer segments. Participants will be asked to engage in a small group exercise that requires them to identify what the firm's customers value and whether there are distinct customer segments that would respond to different value propositions. Participants may be required to use existing segmentation data.
Designing the Optimum Portfolio: Selection of Marketing Targets
Professor Keller will introduce Portfolio Analysis as the means to select good target markets. The ultimate aim of this strategic analysis is to identify groups of customers who will make significant contributions to Firm objectives and whose needs the Firm is especially good at fulfilling. By identifying these customers groups, the Firm can focus its resources more effectively, provide higher and more consistent value to customers, and maintain profitability and market share in competitive environments.
Participants will engage in a two-part exercise requiring them to evaluate the extent to which three or four market segments (selected in a previous exercise) achieve the Firm's objectives, and the extent to which the Firm has the ability to implement an effective marketing program in each segment.
Branding and Positioning
Professor Keller will discuss different methods for differentiating and positioning services. The session will emphasize how a deep understanding of the customer's business can be used for pricing and communications decisions. The session will end with tips for designing superior service and what to do when something goes wrong.
Groups will develop action plans based on the work they have done in the three earlier exercises. They will select a customer segment from exercise 1 and describe the values desired by this segment, discuss changes in the business model to deliver those values (exercise 2), outline steps to redesign the service quality offered to this segment (exercise 3), and provide directions for communicating service value.