Kotler15_media.ppt 2650KB Aug 31 2008 10:00:36 PM
MARKETING MANAGEMENT
12th edition
15
Designing and
Managing
Value Networks and
Channels
Kotler
Keller
Chapter Questions
• What is a marketing channel system and
value network?
• What work do marketing channels perform?
• How should channels be designed?
• What decisions do companies face in
managing their channels?
• How should companies integrate channels
and manage channel conflict?
• What is the future for e-commerce?
15-2
Marketing Channels
Sets of interdependent organizations
involved in the process of making a
product or service available for use
or consumption.
15-3
Channels and
Marketing Decisions
Push
Strategy
Pull
Strategy
15-4
Categories of Buyers
Habitual shoppers
High value deal seekers
Variety-loving shoppers
High-involvement shoppers
15-5
Buyer Expectations for
Channel Integration
• Ability to order a product
online and pick it up at a
convenient retail location
• Ability to return an
online-ordered product to
a nearby store
• Right to receive
discounts based on total
online and offline
purchases
15-6
Should the 4 P’s be replaced?
•
•
•
•
Solutions
Information
Value
Access
15-7
Figure 15.1 Increasing Efficiency
15-8
Channel Member Functions
• Gather information
• Develop and disseminate persuasive
communications
• Reach agreements on price and terms
• Acquire funds to finance inventories
• Assume risks
• Provide for storage
• Provide for buyers’ payment of their bills
• Oversee actual transfer of ownership
15-9
Figure 15.2 Marketing Channel Flows
15-10
Figure 15.3
Consumer Marketing Channels
15-11
Figure 15.3 Industrial
Marketing Channels
15-12
Designing a Marketing Channel
System
Analyze customer needs
Establish channel objectives
Identify major channel alternatives
Evaluate major channel alternatives
15-13
Channel Service Outputs
Lot size
Waiting/delivery time
Spatial convenience
Product variety
Service backup
15-14
Identifying Channel Alternatives
Types of
intermediaries
Number of
intermediaries
Terms and
responsibilities
15-15
Number of Intermediaries
Exclusive
Selective
Intensive
15-16
Figure 15.4 The Value-Adds Versus Costs
of Different Channels
15-17
Figure 15.5 Break-Even Chart for the Choice
Between A Company Sales Force and
Manufacturer’s Sales Agency
15-18
Channel-Management Decisions
Selecting channel members
Training channel members
Motivating channel members
Evaluating channel members
Modifying channel members
15-19
Channel Power
•
•
•
•
•
Coercive
Reward
Legitimate
Expert
Referent
15-20
Channel Integration and Systems
Vertical marketing
systems
• Corporate VMS
• Administered VMS
• Contractual VMS
Horizontal marketing
systems
Multichannel systems
15-21
Figure 15.6 The Hybrid Grid
15-22
Managing Channel Conflict
• Adoption of
superordinate goals
• Cooptation
• Diplomacy
• Mediation
• Arbitration
15-23
e-Commerce Marketing Practices
• Pure-click
• Brick-and-click
• Brick-and-mortar
15-24
Marketing Debate
Does it matter where you are sold?
Take a position:
1. Channel images do not really affect
the brand images of the products they
they sell that much.
2. Channel images must be consistent with
the brand image.
15-25
Marketing Discussion
Think of your favorite retailers.
How have they integrated their
channel system? How would you
like their channels to be integrated?
Do you use multiple channels
from them? Why?
15-26
12th edition
15
Designing and
Managing
Value Networks and
Channels
Kotler
Keller
Chapter Questions
• What is a marketing channel system and
value network?
• What work do marketing channels perform?
• How should channels be designed?
• What decisions do companies face in
managing their channels?
• How should companies integrate channels
and manage channel conflict?
• What is the future for e-commerce?
15-2
Marketing Channels
Sets of interdependent organizations
involved in the process of making a
product or service available for use
or consumption.
15-3
Channels and
Marketing Decisions
Push
Strategy
Pull
Strategy
15-4
Categories of Buyers
Habitual shoppers
High value deal seekers
Variety-loving shoppers
High-involvement shoppers
15-5
Buyer Expectations for
Channel Integration
• Ability to order a product
online and pick it up at a
convenient retail location
• Ability to return an
online-ordered product to
a nearby store
• Right to receive
discounts based on total
online and offline
purchases
15-6
Should the 4 P’s be replaced?
•
•
•
•
Solutions
Information
Value
Access
15-7
Figure 15.1 Increasing Efficiency
15-8
Channel Member Functions
• Gather information
• Develop and disseminate persuasive
communications
• Reach agreements on price and terms
• Acquire funds to finance inventories
• Assume risks
• Provide for storage
• Provide for buyers’ payment of their bills
• Oversee actual transfer of ownership
15-9
Figure 15.2 Marketing Channel Flows
15-10
Figure 15.3
Consumer Marketing Channels
15-11
Figure 15.3 Industrial
Marketing Channels
15-12
Designing a Marketing Channel
System
Analyze customer needs
Establish channel objectives
Identify major channel alternatives
Evaluate major channel alternatives
15-13
Channel Service Outputs
Lot size
Waiting/delivery time
Spatial convenience
Product variety
Service backup
15-14
Identifying Channel Alternatives
Types of
intermediaries
Number of
intermediaries
Terms and
responsibilities
15-15
Number of Intermediaries
Exclusive
Selective
Intensive
15-16
Figure 15.4 The Value-Adds Versus Costs
of Different Channels
15-17
Figure 15.5 Break-Even Chart for the Choice
Between A Company Sales Force and
Manufacturer’s Sales Agency
15-18
Channel-Management Decisions
Selecting channel members
Training channel members
Motivating channel members
Evaluating channel members
Modifying channel members
15-19
Channel Power
•
•
•
•
•
Coercive
Reward
Legitimate
Expert
Referent
15-20
Channel Integration and Systems
Vertical marketing
systems
• Corporate VMS
• Administered VMS
• Contractual VMS
Horizontal marketing
systems
Multichannel systems
15-21
Figure 15.6 The Hybrid Grid
15-22
Managing Channel Conflict
• Adoption of
superordinate goals
• Cooptation
• Diplomacy
• Mediation
• Arbitration
15-23
e-Commerce Marketing Practices
• Pure-click
• Brick-and-click
• Brick-and-mortar
15-24
Marketing Debate
Does it matter where you are sold?
Take a position:
1. Channel images do not really affect
the brand images of the products they
they sell that much.
2. Channel images must be consistent with
the brand image.
15-25
Marketing Discussion
Think of your favorite retailers.
How have they integrated their
channel system? How would you
like their channels to be integrated?
Do you use multiple channels
from them? Why?
15-26