Contemporary Business Environment

Topic 8 & 7 Internal Marketing & Brand Positioning

Internal Marketing

Market Orientation
Defined as organization wide generation of market intelligence pertaining to current & future customer needs, dissemination of intelligence across departments and organization wide responsiveness to it [Kohli & Jaworski, 1990] consists of three behavioural components customer orientation, competitor orientation & inter functional coordination and two decision criteria long term focus & profitability [Narver & Slater, 1990] Set of beliefs that puts the customers interest first, while not excluding those of other stakeholders such as owners, managers and employees, in order to develop a long-term profitable enterprise [Deshpande, Farley & Webster, 1993]

Market Orientation

Senior Management

Interdepartmental Dynamics

Organizational Systems

Brand Positioning
Positioning Related with creating perception of a brand in the customers mind and of achieving differentiation Meets the consumers needs / expectations Position is part of brand identity & value proposition Adding psychological value to products, services and companies in the form of intangible benefits emotional associations, beliefs, values & feelings

Eight positioning tools (Upshaw, 1995)

Feature-driven prompts Problem / Solution prompts Target-driven positioning Competition-driven positioning Emotional / psychological positioning Benefit-driven positioning Aspirational positioning Value positioning

Brand Positioning PCDL Model

Brand Building Characteristics

How fast is the industry moving?

Factors Prices often lower online (delivered)
Digitized products create lower costs Value of price comparisons Value of broad assortments Value of customization

Score (1 = low, 5 = high)

Searches in stores often futile Research & Information intensity Web tools trump store experience Ease of Delivery & Returns Reliability of Product Descriptions Frustration in stores Trust in online retailers