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Chapter 10

Chapter 10. Positioning and Differentiating Market Offerings over the Life Cycle. Marketing Management Tenth Edition Philip Kotler. Objectives. Identify Differentiating Attributes Choosing & Communicating Effective Positioning Marketing Strategies Along the Product Life Cycle

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Chapter 10

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  1. Chapter 10 Positioning and Differentiating Market Offerings over the Life Cycle Marketing Management Tenth Edition Philip Kotler

  2. Objectives • Identify Differentiating Attributes • Choosing & Communicating Effective Positioning • Marketing Strategies Along the Product Life Cycle • Marketing Strategy & Market Evolution

  3. Number of Approaches to Achieve Advantage Few Many Large Size of the Advantage Small The BCG CompetitiveAdvantage Matrix Volume Specialized Stalemated Fragmented

  4. Product Differentiation Form Fea- tures Perfor- mance Quality Conform- ance Quality Dura- bility Relia- bility Repair- ability Style Design

  5. Miscellaneous Services Services Differentiation Ordering Ease Installation Customer Consulting Delivery Customer Training Maintenance & Repair

  6. Differentiation • Personnel • Channel

  7. Image Differentiation Media Symbols Atmosphere Events

  8. Important Profitable Distinctive Differences Worth Establishing Affordable Superior Preemptive

  9. Positioning is the act of designing the company’s offering and image to occupy a distinctive place in the the target market’s mind. P 298

  10. Live shows 1.0 0.8 0.6 0.4 0.2 Easy to reach Little waiting Good food Fantasy Educational, animals Exercise Marineland of the Pacific Fun rides Knott’s Berry Farm Japanese Deer Park Disneyland -1.6 -1.4 -1.2 -1.0 -0.8 -0.6 -0.4 -0.2 0.2 0.4 0.6 0.8 1.0 1.2 1.4 1.6 -0.2 -0.4 -0.6 -0.8 Magic Mountain Lion Country Safari Busch Gardens Economical Perceptual Map

  11. Sales & profits ($) Introduction Growth Maturity Decline Time Sales & Profit Life Cycles

  12. Promotion High Low High Price Low Four IntroductoryMarketing Strategies Rapid- skimming strategy Slow- skimming strategy Rapid- penetration strategy Slow- penetration strategy

  13. Maturity Stage • Market Modification • Product Modification • Marketing-Mix Modification

  14. Decline Stage • Increase investment • Resolve uncertainties - stable investment • Selective niches • Harvesting • Divesting

  15. Market Evolution • Emergence • Growth • Maturity • Decline

  16. (a) Market-fragmentation stage (b) Market-consolidation stage C C H AB DE H AB DE JK J YZ X XYZ K FG FG M L M L Market-Fragmentation andMarket-Consolidation Strategies

  17. Review • Identify Differentiating Attributes • Choosing & Communicating Effective Positioning • Marketing Strategies Along the Product Life Cycle • Marketing Strategy & Market Evolution

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