Marketsensingandlearningstrategy

Strategicmarketchoicesandtargets

Customervaluestrategyand positioning

Strategicrelationshipsandnetworks

Strategic thinking andthinking strategically

Strategictransformationand strategyimplementation

The customer conundrum (puzzle) The sophisticated customer Market shifts and quakes

consumer market changes market granularity re-shaped business-to-business markets

How can marketing processes respond to these changes?

Customer service is bad all over Customer satisfaction and customer loyalty

satisfaction and loyalty are not the same The real customer problem

do we know what service to maximise? can we deliver what we promised? happy customers and happy employees?

The problem is strategy

We do it all for you - the customer

Customer loyalty

Customersatisfaction

High

Low

High Low

Satisfiedstayers

Happywanderers

Hostages Dealers

The service and qualitywe promise

The serviceand qualitythe customerreceives

Good

Bad

High Low

OK.You get whatyou pay for.

I am inLOVE – I

didn’t knowyou were this

good!

I HATE youbastards –

you lied to me!

OK.It’s bad,

but it’s whatI expected.

Impact of service and quality oncustomer satisfaction/retention

Service andquality level

High

Low

High Low

Smartservicers

Over-servicers

Under-servicers

Non-servicers

External customer satisfaction

Internalcustomersatisfaction

High

Low

High Low

Synergy“happy”

customersand “happy”employees

Internaleuphoria“Never mind thecustomer, what

about thesquash ladder?”

Coercion“you WILL becommitted tocustomers,or else…

Alienation“unhappy”customers

and “unhappy”employees

Issue Customers and markets have changed:

Customers wised up to marketing Know what marketers are up to Traditional marketing consistently

underestimates intelligence of customer

Your parents Unwised to marketing No idea what marketers were up to Their intelligence underestimated by

marketers who now recognise it

The typical family a new phenomenom?

The MySpace Generation – ok, but they eat, drink, clothe themselves etc

Saga Louts – that’s me!

The pink market – women are a new phenomenon

The wealthy - too

The poor – too – a novelty!

Ethnic markets – 21st C.?

The green and ethical consumer – vegetarians? Ethical?

The Neo-Cromwellians – Puritans existed pre Cromwell

Scared consumers – ho yus!

Shift in focus from “megatrends” to “microtrends”

Broad market trends average out important differences

The issue shifts from huge cultural shifts to new “identity groups”

Dominant customers Impact of customer power Bad customers

who play the rules who break the rules who make the rules

Radical and disruptive changes in market structures have left traditional marketing behind

The urgent challenge is to update how we “do” marketing to reflect how customers and markets have changed

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