Strategic Marketing 2019

Journal of

STRATEGIC
MARKETING
MARKETING THE FUTURE ISSUE 1 2019

Why The Bachelor
personifies brand
management

New strategy needed
for Africa’s consultants

Lulu Mthimkhulu:
Making waves

Lust + Influence + Proximity:
the influencer equation

The need for agile market research



Contents

04 11 24

COVER STORIES companies moving into the next 21 VIVA VUCA!
era of innovation work, believes Volatility, uncertainty, complexity
04 THE BACHELOR’S LESSON IN Nick Coates. and ambiguity are part of business
BRAND MANAGEMENT today. The effect can be mitigated
The Bachelor perfectly illustrates 17 THE SPHERE OF INFLUENCE by effective project management,
the concept of extremely similar Rather than chasing influencers says Christa Bonnet.
brands in a highly competitive with huge followings, Marc
market, writes Karen Zimelka Roos. Kornberger reckons influencers 24 THE ALUMNI - PEARLS OF
making the first move is far more WISDOM
08 AFRICA’S CONSULTANTS effective. The IMM Graduate School used
NEED TO CHANGE THEIR its alumni as an effective way of
GAME F E AT U R E S highlighting their successes in
its latest advertising campaign.
It's really no good just looking at 12 A TUMULTUOUS TIME FOR Michael Bratt takes a look at the
urban African consumers, says SALES PEOPLE Pearls of Wisdom video, and
James Maposa. It's time to open finds out more about the thinking
new markets by understanding What is the role of the modern behind the campaign.
the aspirations of the unbanked sales professional? It’s the
and bottom-of-the-pyramid question Stephen Endersby has 26 BUSINESS LOGISTICS AND
customers. asked and answered. The real shift THE PRODUCT LIFE CYCLE
is data.
11 MAKING WAVES Dr Myles Wakeham and
Newly appointed head 20 ALTERED MARKETING Dr Beverley Waugh explore this
of marketing at Primedia REALITY vital relationship.
Broadcasting, and this month’s The IMM Graduate School’s last
cover star, Lulu Mthimkhulu on her Marketing the Future event of 2018 28 MOBILE RESEARCH CAN BE A
marketing career. gave delegates plenty to think BRAND’S BEST FRIEND
about. Dion Chang, Pepe Marais The fast paced world of business
15 INNOVATION NEEDS AGILITY and Jay Badza delivered their requires speedy consumer insights.
Fast, iterative and adaptive agile insights and tips. Tanya van Tonder has the solution.
research is a non-negotiable for

Strategic Marketing - p1

Journal of Riding the
marketing wave
STRATEGIC
Dion Chang, at the Marketing the Future event in late 2018, said
MARKETING something that should resonate with marketers, whether they
have years of experience or are just starting their careers.
MARKETING THE FUTURE He said the first wave of digital disruption was well over and any
company or organisation now just starting to plan for a digital future
EDITOR Glenda Nevill would pretty much be stranded on the beach. Their skills and services
[email protected] could already be redundant in a world where robotics, automation,
algorithms, big data, and virtual and augmented reality are already in
DESIGN AND Darren Rosenberg play.
LAYOUT [email protected]
In her story on project management for this digital issue, Christa
Project Michelle Pretorius Bonnet (a moderator and tutor at the IMM Graduate School) writes
Manager [email protected] on the VUCA world of work where Volatility, Uncertainty, Complexity,
and Ambiguity are a given. In such an era, processes, innovation and
Advertising Barbara Spence visionary leadership are vital to ride the waves of change in society,
Sales Avenue Advertising technology and therefore, business.
[email protected]
Chang’s and Bonnet’s views intersect at the point of the skills needed
PUBLISHER Sandra Gordon to keep afloat and in control: Continual learning and upskilling have
[email protected] become paramount in keeping your head above water in a sea of change.

www.imm.ac.za This is something alumni of the IMM Graduate School know only too
well. They are the IMM’s ambassadors, the ones who spread the word,
CHIEF Dalein van Zyl who encourage others to take steps to develop and upgrade their skills,
EXeCUTIVE [email protected] whose journeys inspire others to follow in their footsteps. Which is why
many of them star in the IMM’s latest marketing campaign. Who better
OFFICER to tell the IMM story than those who’ve lived it?

CHIEF Charmaine du Plessis The VUCA principles could also apply to South Africa this year as
MARKETING [email protected] we head towards elections in May. South Africa too is volatile, uncertain,
complex and ambiguous much of the time. One thing is certain, though,
OFFICER Angela Bruwer and that is in order for the country to thrive, it needs skilled individuals
EXECUTIVE [email protected] and businesses and organisations to do what needs to be done.
ACADEMIC
Registrations for the IMM Graduate School’s 2019 year close on
HEAD 1 March 2019, and course information is available on the IMM Graduate
School website. It is the hope that potential students referred to the IMM
Journal of Strategic Marketing is published quarterly and Graduate School take the step to sign up.
distributed to a database of IMM Graduate School alumni,
current students, leading marketers and business people in An easy online application process is now in place to upload
South Africa and Africa. documents required for the 2019 academic year, which started on 28
January.
Should you wish to lift any material from the publication,
please liaise with the publisher beforehand. 2019 dates to note
www.imm.ac.za Class of 2018 graduation ceremonies take place:
• Gauteng on 28 March
   IMM Graduate School • Zimbabwe on 4 April
• Durban on 11 April
   IMM Graduate School • Cape Town on 18 April

   @IMM_GSM Here’s to a great year in ‘marketing the future’.

   imm_graduate_school

Disclaimer

Although every effort is made to ensure that the contents
of this publication are accurate and legitimate no guarantee
is given. Views and opinions expressed, made or implied
are those of the authors unless clearly stated as being the
publisher’s. The responsibility lies with readers to verify any
representations, claims and offers made by advertisers in
advertisements that appear in this publication. Any objections
or claims should be referred to the advertiser concerned. The
publishers, owners, staff, distributors and associates of this
publication will not be liable in any way for claims arising
from its contents.

p2 - Strategic Marketing

REQUEST FOR PROPOSALS

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STRATEGY

Context is king for Africa’s
business consultants

Africa needs consultants who support scalable and inclusive business solutions, who think
rural before urban, and who will play a significant role in turning around our fortunes,
doubling our worth and having our countries trading more and more with each other, writes

James Maposa.

Africa doesn’t need another Why don’t they leverage their expertise country to country, but their context
consultant… says the career to set up their own enterprises? is limited to the urban centres of the
consultant. respective countries they’ve visited.
There are, of course, those who have
This suggests their contextual
But this statement is true for various been responsible for the development understanding of Africa and its
people is limited to urban settings. Yet
reasons. of viable businesses over the last most of the continent’s population is
rural based. Too much time is spent
The African consulting landscape couple of years, such as Deloitte’s understanding a smaller portion of
the population and how better to serve
comprises global and local consultants Innovation Centre. I give them their them, while we should be studying
the needs and aspirations of so-called
who position themselves as experts dues. ‘unbanked’ and ‘bottom-of-the-
pyramid’ type customers a lot more.
in subject matter, innovative thinkers, My concern is that the rate of
This would open new and lucrative
corporate entrepreneurs and so much turnover of ideas into businesses from markets for home-grown businesses
because they would supply them with
more. centres of innovative excellence is products they need, and the scale
would ensure most business models
They sit in client offices/businesses, exceedingly slow. Africa’s problems are volume instead of margin driven.
I saw an FNB advert a few years ago in
professing they have what it takes to are nowhere near being solved. We’ve which a finance consultant spent time
at a farm in an effort to understand
turn your business around ad nauseum. made some great strides, but we’ve what was important for small-sized
farmers from a financing perspective.
only scratched Based on this ‘lived experience’, FNB
was then better able to serve this
the surface. customer segment.

It’s for this Africa’s consultants should stop
bringing solutions to the table based
reason that on “shared experiences” but should
rather live the rural African experience
I’m beginning to come up with products, services and
solutions that would make a difference
to believe a and contribute to the GDP per capita
doubling over the next five to 10 years.
new type of
There is no point in limiting your
consultant is transport solutions to luxury sedans
when most of your market wants to get
needed, giving

with clients face-to-face and have a proven an opportunity to
increase in lead conversion by 40%, compared bring a new type
to standard marketing and sales activities. of support to
emerging market

Exhibit with us in 2019 to boost your bottom line. businesses.

Context is king
Too many
consultants
express their
knowledge of
the continent
gleaned from
their travels.
Many have
hopped from

p8 - Strategic Marketing

STRATEGY

from point A to point B on a moped. for the small farmer’s 15-acre farm. product can be left to the customer with
Great solutions are borne out of an A solar-powered refrigeration and the expectation that they will derive
informed understanding of context. milling system for the local bottle value from it and that they’ll stay
store. A fuel-efficient transport model loyal, come back for more and in time,
If Africa’s per capita GDP is $1,900 for the bottle store that enables advocate for others to also be a part of
per annum, are current business deliveries to be made for a marginal your empowering offering.
models and offerings suitable for most cost and sustain the business. A water
of the continent’s populace? I think and weatherproof tent to balance I end where I began. Africa doesn’t
not. To create sustainable wealth, the out the classroom population at the need the traditional type of consultant.
business model should be inclusive rural school. The supply of desks that Their time has passed. We need
and not alienate a population unable to use recycled material, making them consultants that support inclusive and
afford what’s on offer. affordable for the rural school. scalable solutions to our continent’s
growing number of entrepreneurs.
This was evidenced by a recent Knowledge empowers
visit to rural Namibia. A leading bank This is the ‘show me’ part of the We need consultants who share
erected a billboard where it hoped equation consultants should be risks and are willing to back an idea to
to attract potential customers. But it presenting to African businesses. The completion because of their lived, not
was not delivering the desired result. ‘teach me’ portion is about knowledge shared, experience.
We asked local inhabitants why they sharing, as consulting at its heart is
weren’t opening accounts at our client’s about learning and unlearning. We need consultants who don’t
bank. Their response was that they just talk about how good they are at
weren’t aware of our client’s bank. We While being tested within the supporting client businesses to grow,
then pointed them to the billboard. market place, the consultant should but have tangible examples of their
They replied that they didn’t identify first spell out the solution based own to prove what they’re talking about.
with the image of the people on the on a lived experience. The potential
billboard. Their first look at it told them customer will at first use the solution We need consultants who embrace
the bank wasn’t for them and because based on the knowledge shared and context and think rural before they
of this, they paid it no attention. I guess provide feedback. Part of this feedback think urban because that’s where most
the local community should have been should include how to improve the of the continent’s customers currently
consulted about what they needed solution, or perhaps adapt it for yet reside.
before the billboard was erected. another pressing need.
We need consultants who are
Show me, teach me, then let me The result of these teachings is always thinking about long-term
Most consultants would say I’ve got empowering knowledge, allowing the instead of the short game.
this the wrong way around. It should be business/consultant partnership to
teach me, then show me and after that, return to the lab to further develop We need consultants who, in the
let me. But that sequence won’t work their solution. The improved solution is end, will play a significant part in
here. then presented to potential customers turning around our fortunes, doubling
with all the kinks ironed out. Now the our worth and having our countries
Great African consultants build trading more and more with each other.
prototypes after spending time in
places that inspire. In the outback of That is what a good consultant
a small-scale farmer’s property. At should contribute to Africa’s economic
the local bottle store that is the only revolution.
shopping centre for a 200-kilometre
stretch or a clinic where one doctor James Maposa is founder and
serves hundreds of patients a day. managing director of Birguid, a
At a school where 60+ children are research and advisory company,
crammed into a classroom or sitting and co-founder of WeAreValora, a
under the shade of the tree. brand strategy, design and content
business. He has 15 years work
That is where innovation should be experience, mostly spent in the
born. Prototypes such as a hand-held research and strategy consulting
but mechanically motored plough industry. Maposa is passionate
about socio-economic development,
business growth and continuity.

Strategic Marketing - p9

NEW!
NEW!

Lulu
Mthimkhulu

Lulu Mthimkhulu was recently appointed head of marketing at Primedia Broadcasting.
She previously had her own company, LuluM Communications, handling clients such as

Tbo Touch and Touch HD.

You’ve had your own company, but mind, and utilising multi-layered tools • You can lead from every chair: don’t
have now moved into a big corporate are key. be title focused. You can still make a
job. Why the change? A perfect change no matter what your position
opportunity came from an organisation Why did you choose marketing is in an organisation.
I had always admired; it’s a bigger task as your career? I’ve always been
and position with a lot of opportunities. interested in human behaviour – How would you define the changes
Before starting my own business, I what influences the choices we make in marketing and how have you
headed up Estée Lauder and Tom Ford in everyday life that sometimes embraced them? Evolution is the name
Communications for South Africa and eventually become behavioural of the game... 'is your marketing and
Sub-Saharan Africa, and before that I patterns. Over time and experience in communication plan flexible enough
was marketing manager for Jacaranda the marketing and communication field, to adjust?' is the question. Primedia,
FM. my interest grew even further in the through its complementary digital and
art of brand storytelling and the power outdoor footprint, has been a pioneer
What does your current job entail? in it for the storyteller as well as the in offering multiple platforms to create
Driving Primedia Broadcasting's audience. content that engages, influences and
marketing strategies into action, holds our audience’s attention, while
specifically for the Gauteng region. What would your advice be to telling clients' stories.
Reinforcing the company’s position to someone starting out in marketing?
both trade and consumers. We deliver Harness the fundamentals. Know them How do you keep yourself educated
responsive audiences where advertisers like the back of your hand but be on moves in your sector? Mediums
get results in an entertaining, flexible, know your consumer… insight such as The Media magazine and The
informative and engaged manner is king as they are the biggest game Media Online are very useful.
through all our major formats: news, changer compared to any new platform
talk and music. or channel that comes into the market. What do you believe will be the top
marketing trends of 2019?
What do you believe will be your key What are the five most important • An amplified integrated marketing
challenges there? We’re living in a lessons you learned on your journey?
fast paced world of instant gratification, • Authenticity is vital. and communications approach
where granular data and insights are • Relationships are key. (online, on-air, social media, video).
the currency. Audiences, both trade • Be open to learning, be a sponge – • A further spike in video content on
and consumers, are time starved and demand. Consumers consume video
as such, being relevant, staying top of you never stop learning. on any device any time.
• If you don’t know… ask. • Podcasts are the next step.

Strategic Marketing - p11

SALES

Death of all salesmen: Waiting for
the final curtain to fall?

Stephen Endersby questions the role of the modern salesman, asking if, like Death of
a Salesman’s Willy Loman, they’re waiting for the final curtain to fall. Or whether the

digital stage offers a new world of opportunity.

In February 1949 Arthur Miller’s most our role to better suit a newly- authority and consequentially, not
famous and now much celebrated designed stage? entirely or immediately trusted,
play, Death of a Salesman, first In exploring these questions, I will today’s sales professional first has to
opened at the Morosco Theatre on revisit themes from Miller’s play. establish and nurture a relationship
Broadway. The story focuses on the last with his prospective client before
24 hours of salesman Willy Loman’s Loss of identity any real attempt to sell can be made.
life, tackling major themes including In a bygone small-town era, the Establishing rapport, insight into a
loss of identity, superficial ideals and salesman was a familiar, trusted client’s needs and establishing trust –
a man’s appetite for accepting change and uncontested go-to authority, the basis for any healthy relationship
within himself and society. relied upon to facilitate purchases. takes time, tenacity and patience. Three
An individual or organisation had a things that are the antithesis of typical
In some respects, those of us specific need, engaged the expertise sales success metrics which reward,
engaged in sales roles of one kind or of the salesman, who likely had a and are typically based on conversion
another may find ourselves grappling relatively limited basket of available rates, quarterly or more frequent
with the same issues faced by Willy in solutions and readily helped fulfil the performance cycles and perpetually
his tumultuous final hours.
Sales people often get a bad rap,
Sales is a vocation under assault. accused of being nothing more than
What is the role of the modern sales glorified order takers, or commission
professional? Are the practitioners
of the craft viewed with respect and junkies
admiration, revered for their integrity
and value-adding contribution? Or requirement based on their knowledge increasing revenue targets. In an age of
are they reviled as unnecessary evils and experience. Customers and global supply, unprecedented choice
charged with misdirection and blinded salesmen may often have known each and a raft of strangers claiming to be
by the lure of attractive commissions? other personally and fostered enduring experts offering tailored solutions, it
relationships cemented by ongoing stands to reason that buyers lack a
The onset of the digital age interactions and a deep understanding clearly defined view of sales people,
has radically reshaped business, of one another’s respective businesses often demonstrating a healthy degree
exponentially exploding information, and expertise. of scepticism towards their suiters.
choice and product availability
and ushering in a fourth industrial Fast forward to today and the Superficial ideals
revolution. This has brought with it role of the salesman appears far The hedonistic ‘80s, characterised by
unprecedented automation, rampant less simple. No longer a familiar or the rise of mass media, domination
adoption of artificial intelligences (AIs) known individual, often questionable of global brands and runaway
and has birthed an alternate world in terms of being an uncontested
exemplified by virtual and augmented
realities.

Are we facing our sunset, the
twilight of the profession, or is there
opportunity to reimagine and recast

p12 - Strategic Marketing

SALES

consumerism, led to sales people motivation are all key skills necessary blogging, personal web pages,
being increasingly perceived as the to succeed in sales. LinkedIn profiles, YouTube review
harbingers and instigators of frivolous videos and the like. The creation of
spending, demonstrating questionable But perhaps the greater shift is in these types of publicly accessible
motives and misaligned loyalty by the application of ‘science’ in the sales online portfolios allows prospective
serving both their own and their function. Most people regard sales as customers to asynchronously meet
company's needs ahead of those of the a numbers game and various formulae and get to know and understand the
consumer. Mediums such as television exist to articulate the activity volumes knowledge, experience and character
and radio created the desire through necessary to successfully move of the sales people they might engage
clever marketing and the role of the prospects through the sales funnel with downstream. These profiles help
salesman was exclusively to close the to becoming customers. Simply put, lay the groundwork for relationships,
deal by whatever means necessary. the higher the number of prospects establishing familiarity and trust before
identified filling the top of the funnel, the first conversation ever takes place.
Further casting a long shadow over the higher the yield of realised
the profession and perpetuating the customers emerging at the bottom of As such, it is incumbent on sales
negative perception was Hollywood’s the funnel. professionals to familiarise themselves
portrayal of the ruthless, calculating with the opportunities digital platforms
and unscrupulous stereotypical The real shift, however, comes
salesman in films like Glengarry Glen in the leveraging and analysis of
Ross, Wall Street, and Boiler Room. available data. In the digital age,
These movies misguidedly depict the proliferation of customer
selling purely as an effort to convince information, historic sales data
people to do things they do not want and the maturing of AI means
to do. the prospecting process
is ripe for disruption and
Consequently, sales people often radical change. Couple this
get a bad rap, accused of being nothing increased abundance of
more than glorified order takers, or data with the ability to study
commission junkies. While there are prospects’ social profiles and
those that may warrant these labels, online activity and the result is
there are far more of us who genuinely detailed customer dossiers. The
try to understand the customers’ needs information gathering, as well
and legitimately demonstrate how as client analysis phase of the
our offering can deliver value and the sales process, can be undertaken
requisite solution. with a far higher degree of
sophistication and yield
Appetite for change extraordinarily detailed
The ultimate question must be: Will the profiles.
role of the sales person, and the sales
profession at large, survive? The simple Social and
answer is ‘yes’, but there is need for a commercial platforms
tectonic shift in the way sales teams also afford sales
position themselves, execute their individuals and
functions and undertake their role in teams an
creating value for the consumer. opportunity
to position
Sales is frequently described themselves
as part art, part science. The art of as thought
sales typically refers to the soft skills leaders and
required to engage with, understand segment
and deliver on customer needs. or product
Communication, empathy, emotional experts
intelligence, self-discipline and through

Strategic Marketing - p13

SALES

TIPS FOR WAGING A present and to upskill themselves
SALES OFFENSIVE
in the relevant areas to allow them
The Art of War remains one of the most influential strategy
texts ever written and has had a profound influence on both to capitalise on these opportunities.
Eastern and Western business tactics. The teachings readily
Blogging, vlogging, podcasts, social
translate to sales strategy.
posts and the like are all ways in
始計 Preparation: be fully prepared prior to engaging the
prospective client, understand your capabilities, which the contemporary sales person
Laying Plans limitations and latitudes for negotiation before initiating
first contact. can enhance their digital footprint,
作戰
Securing sales: remains an expensive and resource reputation and credibility.
Waging War intensive endeavour, be sure your allocation of resources
is proportionate to the likelihood and scale of potential Always Be Connecting
謀攻 success. The fundamental A,B,Cs of sales are

Attack By Stratagem Alignment: success is more often found in unity, not shifting from the notion of Always Be
scale. Commit to business where there is a shared vision,
軍形 not merely large commissions. Closing to Always Be Connecting. In our

Tactical Dispositions Retention: fight fiercely to retain and satisfy existing globally connected marketplace, the
customers. Pursue new business when you have the
兵勢 capacity, means and positive references from existing irony is that the greatest opportunity
clients.
Use of Energy for the modern salesman to recapture
Tenacity: rejection is inevitable, pace yourself to maintain
弱點 your motivation ensuring you have sufficient reserves to the identity of familiar, trusted and
stay the course. More often than not sales is a marathon,
Weakness and Strengths not a sprint. uncontested authority is through a

軍爭 Product knowledge: understand both the pros and cons of digital presence that positions them
your solution as they apply to the specific context of the
Manoeuvring the Army prospect. Where possible understand the same for your as such. Through this digital presence,
competitors offering.
變 the smart sales person can present
Skill: equip yourself and your team with all the relevant
Variation of tactics training and knowledge needed to deliver. their offering in a compelling, non-

行軍 No pitch survives first contact with the customer: be threatening and objective manner
prepared but be flexible enough to respond to shifting
Army on the march circumstances and changing requirements. conveying experience, thought

地形 Progressing through the sales cycle: cultivate a leadership and a depth of expertise in a
relationship with the prospect that reassure and
Classification of rerrain demonstrates to them that with every step they take towards chosen domain.
concluding the deal you are the best partners to meet their
九地 need. When all is said and done, it is the

Nine battlegrounds Objections: understand the landscape of potential salesman who must present a solution
obstacles to closing a sale and have responses ready.
火攻 that is both compelling and resonates
Competition: familiarise yourself with the competition,
Attack by fire their approach, offering and tactics. with the prospective customer.

間諜 Seek to close: don’t assume a client will conclude or initiate Stephen Endersby is a Wits
the closing of a deal. Drive progressively towards a close, University commerce honours
Use of spies mitigating any and all questions and objections and asking graduate, former academic,
for the close at the appropriate time. seasoned corporate veteran
and experienced entrepreneur.
Research: develop good information: know yourself, your Over a two-decade career, he
prospect, the competition and the rules and theatre of has held a diverse range of roles
engagement. including full--time and part-
time lecturer in the marketing and
management disciplines for both
public and private institutions,
served as a brand manager,
group marketing manager, group
business intelligence manager,
corporate GM, and management
consultant. He currently runs a
specialist consulting business
called TiOLi and recently launched
a new start-up, MARKedPlace,
which connects buyers, sellers and
funders of education in an effort
to dramatically increase access to
post-school education.

Four big trends driving agility in
market research

Every business, marketer and researcher wants to be ‘agile’ in today’s hyper-accelerated
world. But what does that mean? Fast, iterative and adaptive agile research is a non-
negotiable for companies moving into the next era of innovation work, says Nick Coates.

The Agile Manifesto was Despite the many strides made with innovation research – including
developed by frustrated software agile research, an Ipsos global survey idea, concept and package testing
developers in 2001. Instead of found that only 24% of consumers felt – have become automated and/or
document driven and heavy processes, that brands deliver regular innovations standardised. This is ideal if speed
it encouraged rapid and flexible and new products. Innovation remains is the only requirement, but these
responses to consumer input. In recent an elusive concept, with 94% of solutions often mean that research
years, this has stretched to consumer global executives reporting they are outputs lack quality. Some of the issues
insight, and agility has now become dissatisfied with their organisation’s that arise from automated solutions
an urgent imperative in the research innovation performance. Researchers include unrepresentative samples,
process. need to do better to help facilitate device-specific solutions, unproven
effective innovation for clients. measures of success, and limited
Fast, iterative and adaptive agile analysis and ways of interpreting data.
research is a non-negotiable for Ipsos believes that the journey to
companies moving into the next era of agile research will be characterised by Solutions need to be fast and
innovation work. four major trends: of hiqh-quality. For example, idea,
1. Quality and speed. concept, and package testing results
Instead of following traditional 2. Social intelligence playing a larger must be compared to the competition
research processes that have not been to be meaningful and benchmarking is
challenged or revised for many years, role. key.
researchers need to quickly generate 3. Artificial intelligence (AI) helping
consumer insights, learn from them, So, how do we ensure quality and
and then decide on the most impactful facilitate iteration. speed? By having:
next step – depending on where the 4. Modular innovation approaches • Real-time systems in place for
results take them and not on what has
been done year after year as a matter being more popular. assessing respondents. Are they
of ‘best practice’. Let’s examine each of these trends in real, are they speeding through
detail. the interview, are they providing
Ultimately, agile research should inconsistent answers? Systems
help innovators get to market faster 1. Quality and speed should pick up these faults to
and with better products. Speed is a key concept of agility. correct them in real time.
To deliver speed, many types of

Strategic Marketing - p15

MARKET RESEARCH

• Device agnostic surveys ideally inform real-time changes to 4. Modular innovation approaches
to maximise coverage and the survey to glean better information will become more prevalent
respondent reach. based on what has already come up. Traditional innovation processes have
always followed predefined sequences
• Validated success measures Rapid prototyping is another with yes/no outcomes at the end of
should form the basis of all possibility, whereby prototypes are each stage.
agile idea, concept and package evaluated by consecutive groups of
testing. (For example, at Ipsos, consumers, immediately followed We are starting to see these linear
we use relevance, expensiveness by a work session with R&D to merge processes giving way to modular
and differentiation for our rapid the results on-site and in real time. approaches. Research and learnings
innovation testing, measures that This then directs the next step – from different sources and studies are
have been tested and proven). suggestions from the consumers merged together and, if appropriate,
We are fortunate enough to have themselves about further optimisation. traditional steps are eliminated
This has the potential to happen in because they don’t add value.
research and development (R&D) to one day – merging quantitative rating
provide device agnostic tools as well as scales with qualitative explanations. This agile approach is quicker,
validation of the measures we use in easier and more learnings-driven
our agile research. Fast, iterative than many traditional market research
and adaptive agile approaches and, ultimately, will help
Finally, we expect more diagnostics research is a non- the marketer get to market faster with a
and guidance from the research negotiable… better innovation.
solutions that are employed. Solutions
should include success drivers, Moving agilely to the next level
forecasting and profiles, to name just Agile research promises to help
some examples that will help manage marketers move more quickly,
innovation portfolios. efficiently and intelligently than ever
before. However, agile research as it
2. Social intelligence and product Iterative approaches such as exists today is just the beginning of
development these are essential to facilitate speed, what will be a huge change in how we
There is huge scope for the role collaboration, continuous learning conduct innovation research and it is
of social intelligence in research and of course, agility. AI can automate something that the research industry
practices, one example being product certain research processes, which should be especially excited about.
development. It’s fast, flexible and cost- is why its role is so important. An Expect to see agile research evolve to
efficient. Social intelligence is already example would be a programme that deliver higher quality research, more
being leveraged to identify innovation creates new questions depending on (automated) iterative processes and
opportunities. the replies received from respondents. more holistic learnings. The result will
This allows an intelligent drill down for be faster, deeper insights that will help
While marketers typically rely on what might otherwise be non-useful marketers achieve greater innovation
surveys, focus groups and desktop information, should the question not success.
research to uncover new trends, be satisfactorily answered in the first
social intelligence is becoming a new instance. Nick Coates is CEO of Ipsos
agile alternative. Social intelligence South Africa. Starting his career in
accelerates innovation because you management consulting and market
do not need to ask consumers any research in the United Kingdom,
questions. Using text analytics, you he moved to South Africa in 2004
can analyse large amounts of data and and has worked throughout Sub-
have access to real-time information. Saharan Africa. Between 2008 and
2012 he worked in Russia as both
3. Artificial intelligence will help deputy CEO and head of marketing
facilitate iteration for Ipsos Russia. Returning to
Agile research is not only intended South Africa with Ipsos in 2012,
to be fast, it should also be iterative. Coates assumed the role of head of
During rapid concept tests, for example, marketing for SSA and later became
results from the fieldwork should CEO of Ipsos South Africa in 2016.

p16 - Strategic Marketing

INFLUENCERS

The influencer equation:
LIP = Lust + Investment + Proximity

You’re already under the influence of people you think you trust. You just don’t even know
it yet. Marc Kornberger decodes the influencer equation.

One book every marketer message out to the masses and create stats is important to understanding a
should have on their bookshelf ‘talkability’. This can be disastrously proven model of success that’s worked
is Influence by Robert Cialdini. effective. for banks, handsets, cellular providers
The author writes extensively on the and alcohol brands.
six principles he believes underpin It’s a fact that social media
‘influence’ – reciprocity, commitment influencers have changed the While there’s a lot of hype, there
and consistency, social proof, authority, marketing game and given brands is in fact a science behind crafting a
liking, and scarcity. In 2016 he added access to people in ways businesses successful influencer campaign. We call
a seventh: unity. This principle posits could never have imagined. it the LIP influencer model: LIP = Lust +
that the more we identity with others, Investment + Proximity.
the more we are influenced by them. The Influencer Marketing 2018
Authority figures have the power to research report by Business Insider 1. Lust
sway us. Intelligence reckons ad spend Influencers must have a strong desire
generated by influencers will reach or affinity for what they are endorsing.
We’re seduced by powerful between $5 billion and $10 billion It’s that simple. Find influencers
stats from experts. According to a by 2022. This represents a five-year passionate about your brand, let them
2015 Schlesinger Associates study compound annual growth rate of 38%. fight to be on your team, and watch the
for Augure (now Launchmetrics), magic unfold. While many marketers
81% of marketers believe influencer With numbers like that in play, will hunt for influencers with large
engagement is effective. It begs the it’s no wonder influencers are a vital followings and approach them for
question of what “effective” really part of any marketing plan. But like endorsement, we recommend reversing
means because with enough money, everything else, there are good, bad this process by getting influencers to
brands can pay influencers to get their and ugly sides to the influencer story, fight for why they should be chosen
which is why cutting through the clutter
of influencer jargon and fluffy research

Strategic Marketing - p17

INFLUENCERS

by you. It’s a bit like the dating game, doesn’t have the same cred as a best In contrast, Vodacom won the
except the influencer has to make the friend’s recommendation. authenticity race by infiltrating and
first move. activating at every touchpoint of a
Looking specifically at university student’s world, thanks to influencers
A brand that got influencers to students (Fig 1), we see that peer taking the brand to social events,
make the first move was Vodacom, groups have more influence on each showcasing it on campus, and boosting
which tapped into the power of other. Not only that, but as the sphere the offering on their social media
South Africa’s hottest young student of influence expands outwards, the platforms. The tight proximity of their
influencers to drive their youth degree of trust drops and scrutiny rises. influencers to the student market
package, NXT LVL. Thousands of We have discovered that Afrillennials meant more authentic engagement.
students applied to be an influencer (African Millennials) are natural-born
for the mobile operator and go through
rigorous interviews on campus to Fig 1 Proximity of influence Final point
qualify. Passion for the brand was the Influencer
primary metric for selection. Friends & family marketing is

2. Investment Students here to stay.
This factor wears three hats – Time.
Training. Financial. Opinion leaders Effectiveness
takes time and
The Vodacom brand team knew
that investing in influencers wasn’t a Celebrities effort and a
once-off exercise and committed to process of steady
a year-long influencer programme.
A longer time frame meant that the • Sphere of influence accretion. Brands
service provider could take a constant decreased who succeed
barometer of the team’s progress and in bringing
make adjustments as the campaign • Trust drops influencers into
grew. And the results speak for • Scrutiny increases
themselves: Vodacom exceeded its
original target of NXT LVL customers. their circle of

Training was another crucial sceptics about celebrities endorsing trust do so by walking the journey
element and Vodacom understood
that they were investing in influencers multiple brands. together, as opposed to seeing them as
as if they were extensions of their
own marketing team. The time spent Authenticity is a big factor, and the just another billboard.
training influencers on the brand’s
vision, objectives, and products was youth, who have their eyes trained like
crucial. This meant bringing influencers
into its inner circle. a hawk for the inauthentic, will make Check out the Vodacom case study

sure to let everyone know when it’s HERE.

absent. Just look at the global outrage

over the Pepsi commercial in which Other resources:

celebrity Kendall Jenner brought a The Youth Influencer handbook is

political march to a standstill. It was available for free DOWNLOAD.

slap-in-the-face inauthentic. She’s a

supermodel and a reality TV celebrity,

not an activist or social change maker.

But it went viral. It got engagement.

3. Proximity Marc Kornberger is founder
The Schlesinger Associates report and director of youth marketing
alludes to the power of proximity, specialists, Student Village, now
stating that 92% of consumers trust is a Smollan company. Kornberger
earned media such as word of mouth has applied his passion across all
and recommendations from friends areas of the business including new
and family. In other words, the closer products, business development,
the proximity of a trusted group, the media, financial management,
higher the sphere of influence. Having research, digital and social media.
a favourite celebrity or supermodel He has worked on major brands
recommend switching cellular networks including Vodacom, Microsoft,
Standard Bank, Nestle, Unilever,
Estée Lauder, MTN, and Converse to
name but a few.

p18 - Strategic Marketing

SH RT

COURSES

UNLIMITED POTENTIAL

Be ahead of your time with short courses
offered by the IMM Graduate School.

The IMM Graduate School offers exciting online short courses in Marketing &
Advertising, Business Management, and Supply Chain Management for the
professional who never stops learning. Discover unlimited potential, register now!
IMM Alumni qualify for 30% discount on any online short course.

For more information, visit www.immsc.co.za or call 011 628 8000

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www.immsc.co.za | 011 628 8000

The IMM Graduate School of Marketing is registered with the Department of Higher Education and Training as a
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IMM GRADUATE SCHOOL

conversation and play a part in
changing cultures.

The revolution has Pepe Marais: We’re only human after
been digitised all
To become more purposeful as a
Three dynamic personalities, each impact. People are so fixated on their human being and as a business, we
of whom have taken the concept own industries, they don’t look at the have to move beyond money as the
of digital disruption and melded neighbouring and ancillary industries,” primary motivator. The way business
it according to their particular creativity said Chang. Continual learning and is positioned at the moment is that
and experiences, gave delegates to the upskilling are paramount to keeping the bottom line has become the top
IMM Graduate School’s last Marketing your head above water in the sea of priority, with dire consequences.
the Future event of 2018 plenty to think change of our current age. The world is changing and legacy
about. companies are crumbling in the wake
Jay Badza: The fine art of influencer of new age start-ups and the digitally
The IMM Graduate School marketing enhanced reality of millennials and
reconnects with past and present “We are in the middle of a marketing centennials.
students at its events, which provide revolution. It’s only those brands that
a platform to stimulate thought and are bold and ballsy who are going “In my experience, as being more
discussion around some of the critical to stand the tide,” said Badza. A vital of an artist, you put your hat down, you
challenges and opportunities emerging component of this is for brands to make play your heart out, and the money
from the marketing industry today. clever use of social media and the rise follows and I think that approach is
of influencer marketing. lacking in the world. Which is why I’m
Here are some gems from trend pushing for something greater than
analyst Dion Chang; Jay Badza, Brand Ambassadors are a thing of money to stand for as a brand,” Marais
founder and head honcho of Orchard the past and the proliferation of social said.
On 25; and Pepe Marais, founding media platforms has seen the rise of
partner and CCO of Joe Public. influencers as the true marketers of The results can be dramatic. Joe
the future. And like any professional, Public faced bankruptcy in 2009, but
Dion Chang: The future you were they deserve to be paid. It’s no longer since finding a purpose for the business
waiting for has already passed acceptable to ‘pay’ a social media star it has grown into a JSE listed company
The first wave of digital disruption with ‘exposure’ or free coffee and a that is well known for its creative,
is long gone and we are well into doughnut. human approach.
the second phase, where robotics,
automation, algorithms, big data, and To be successful, however, it’s key Marketing is getting naked at the
virtual and augmented reality have to understand your brand story and 2019 Nedbank IMC Conference
already significantly shifted reality as exactly how a particular influencer and you are invited. Twenty leading
we know it. is going to fit into that strategy. By industry thought leaders will be
engaging with influencers, brands presenting in TED talk style. No
“The important thing is ensure they are part of the broader veiled sales pitches. No death by
understanding the cross-industry PowerPoint. Just leading trends,
insights and practical application in
one action packed day.
March 14 2019/Fox Junction,
Newtown, Johannesburg.
Registered IMM Alumni will enjoy a
10% discount by simply registering
HERE and entering the discount
code IMM2019.

p20 - Strategic Marketing

Volatility, uncertainty, complexity and
ambiguity: Why project management

is essential in a VUCA world

In today’s volatile and complex business world, more and more
organisations across sectors expect staff to adopt a project
management approach as part of their strategic plans, says

Christa Bonnet.

Some 15 years ago I received management is “the art of directing ambiguity. As a result, more and more
an amazing gift. On the first of and co-ordinating human and material organisations across sectors expect a
May of that year, I started as resources throughout the life of a wide range of staff to adopt a project
a regional manager with a company project by using modem management management approach as part of a
involved in a merger. I received three techniques to achieve predetermined strategic approach. More managers
things: my new laptop already set up to objectives of scope, cost, time, quality, are allocated to project teams – often
start working, a printer in a box, and a and participant satisfaction”. outside the normal line management
file. In the latter were details of a three- structures – tasked with delivering
day project management course I had Every project – no matter its nature changes and improvements to goods,
to attend, with the details of another or industry – has five stages in the services and operations on time and
few days to do a course on the MS process: defining the project, creating within budget.
Project programme. the business case, planning the project,
implementation and control, as well What does project success mean
Those courses changed the way I as completion and close-out on each in a VUCA world? In an era when
approached projects and events. We project to measure its success. marketing projects have become
were taught how to do everything increasingly common in organisations,
– small and big, personal and work The VUCA world of work this question is more relevant than
projects – as a way of working through According to the IMM Graduate School, ever. In answering, Shenhar et al.
a project management approach. Today, in today’s world of business it has (2001) remind us that the distinctive
that is still how I tackle my deliverables become evident that organisations skills and roles of the project manager
at work and commitments in my which perform best tend to be those have become much more widespread
personal life. that manage projects better and and has become a strategic imperative
quicker. Previously, it was acceptable in marketing.
Acquiring project management when project managers were mainly
skills is a gift each person needs to give trained as technical specialists when No matter the motivation for the
themselves. required to deliver complex, technical project, the question of its success is
programmes of work. No longer. strongly linked to an organisation’s
It is important to know what project effectiveness. Central to this, it has
management is and what the role of a In the VUCA world of work, more become important to attend to front-
project manager is – especially when innovative marketing strategies are end matters before jumping in and
implementing a strategic marketing inspired by strategic foresight and just ‘doing’ the project. In a VUCA
campaign. visionary leadership to deal with environment, marketing projects
volatility, uncertainty, complexity, and require team members to devote
According to the PMI Standards
Committee (1987), project

Strategic Marketing - p21

STRATEGY

more time to the early phases of their strong problem orientation skills and WHAT THE
assignments. the ability to visualise the relationship IMM PROJECT
of the project to the industry and the MANAGEMENT
It is crucial that the objectives, community. COURSE
options and processes of marketing PROMISES…
projects (including events) are clearly Three project management techniques
defined at the beginning, otherwise Through such training, marketing The IMM Graduate School's 12-
their success comes into jeopardy with professionals will learn to identify why week, online short course prepares
an adverse impact on the organisation. a marketing project may fail, how to candidates to overcome challenges
avoid failure, how to ensure efficiency by making things happen for an
Skills required to be successful in and effectiveness of projects, and how organisation undertaking projects
marketing in a VUCA world require to measure project success to meet of various kinds. At the end of this
specific training. According to the IMM time, budget and quality goals with course, delegates will be able to:
Graduate School, key skills for project stakeholders. • Define project management and
managers are technical (i.e. knowledge
of the business sector in which the Furthermore, training should articulate the role of the project
project is being conducted) and introduce the three main project manager.

interpersonal (i.e. communicating to management techniques that have • Understand the factors that
and managing effectively the different become prevalent in organisations: contribute to a successful project
parties with a stake in the project) in • Agile project management; outcome and why a project may
nature. • Integrated project teams; and fail.
• Heavyweight project management. • Have an awareness of different
Three essential skills project management techniques
Project managers need certain skills to Within the VUCA world, many and how they may be applicable
ensure successful marketing projects. organisations are starting to adopt and effective to your projects.

According to the IMM Graduate one or more of these techniques • Identify areas of further personal
School, these skills are defined in three when delivering certain projects, development to enhance your
categories. and although no substitute for core, skills as a project manager.
traditional project management skills, • Define, create, plan, implement,
Firstly, human skills are vital to they are proving useful in certain control and complete a project.
ensure the ability to mobilise the projects.
mental and emotional energy of their For more information click HERE.
subordinates, team members and Project management has become
stakeholders involved. Developing a strategic imperative for marketing.
human skills will also allow marketing There is a solid business case, with an
managers to cope with situations associated return on investment (ROI),
by having an open mind, flexibility, to implement a project management
patience and persistence. Furthermore, approach in marketing projects to
project managers that focus on their understand the cost drivers, identify its
own personal development through risks and strategies for managing them,
becoming a leader of self with a high and to develop contingency plans to
emotional maturity display high ensure their success.
self-esteem and a more empathetic
approach in their dealings with both Christa Bonnet is in her final
internal and external stakeholders. year of her PhD: Student in
Organisational Leadership with
Secondly, technical skills are a specialisation in Ecclesial
needed for in-depth project knowledge Leadership in Business. Bonnet has
and for understanding the methods, completed B Com and Honours
processes and procedures, as well as degrees in Accounting, a MBA
specific knowledge in the use of project and Magister degree in Financial
management tools and techniques. Management. She is a moderator
at the IMM Graduate School and
Lastly, conceptual and a tutor in five courses (including
organisational skills are required in project management). She is the
terms of organising and planning, CEO and founder of The Difference
Makers group of companies.

p22 - Strategic Marketing

BLUEAPPLE14977

Walking in the shoes of career success

Watching IMM Graduate School’s Pearls of Wisdom video, one can’t help but feel a
stirring sense of opportunity, excellence and success. Michael Bratt takes a look at the

alumni campaign.

There’s a reason shoes are a in with the school’s intake/registrations in their careers through studying with
recurring motif in the latest IMM drive, the campaign is the brainchild the IMM Graduate School”.
Graduate School marketing of the educational institution in
campaign. And it’s not just because partnership with creative agency, Bain The messaging underscores the
having an IMM qualification gets you a & Bunkell, and was created by Snippet heights someone can reach when
foot in the door… Video. backed by an IMM Graduate School
qualification.
Shoes were used to creatively The concept is a simple one to
convey its key messages, that walking follow, with alumni relaying their A shortlist of alumni was drawn
in the steps of successful alumni experiences and stories of studying up of who could potentially feature
gives students a sense of what can be through the IMM Graduate School. in the campaign before the selection
achieved, while they are also a symbol process took place. Some of those
of the journey that the alumni have Powerful marketing tool included were Sandrine Prinsloo,
travelled. “Our biggest advantage, or strength, is head of marketing at Nedbank
our reputation, and word of mouth has Business Banking; DJ Twasa from
The video ends with the tagline, always been the IMM’s most powerful Lesedi FM; Tracy Porter, marketing
‘Can you fill their shoes?’, a challenge marketing tool,” explains Charmaine and communications specialist at
to students to follow in the footsteps du Plessis, IMM Graduate School’s Wings Travel Management; Cleo
of the successful IMM Graduate chief marketing officer. “Our alumni are Zwane, senior marketing manager
School alumni, while at the same time all brand ambassadors, so it seemed at Standard Bank, Roeshdien Jaz,
encouraging them to chart their own appropriate to use them to spread the musician; Mamolefe Segakweng, head
career paths. word about the IMM Graduate School.” of marketing and communications at
SABC Channel Africa; and Zithelo
The video gives a behind-the- As Vicky Moodley, business unit Mnguni, brand manager at RocoMamas,
scenes look at the making of the director at Bain & Bunkell, says, it was who sadly passed away last year.
marketing campaign. a “no brainer to use them as part of the
campaign, since they have succeeded The behind-the-scenes video was
Aiming to increase awareness of not in the original campaign plan. “We
and around the IMM brand, and tying it

p24 - Strategic Marketing

Tracy Porter DJ Twasa Roeshdien Jaz

planned on only producing seven short magazine adverts; television, through Graduate School website also posted
alumni ambassador videos showcasing a MTV promotion; and posters and information about the campaign, and
people that excelled in the workplace,” pull-up banners, which are being there were PPC campaigns across all
Du Plessis explains. “We then decided used at schools, exhibitions and the social media platforms.
to ask Bain & Bunkell to also include a student support centres. Out of home
Pearls of Wisdom video, which we can advertising platforms also played a Another distribution method
keep in our archives but also show at big part in the campaign’s distribution, included direct mail/marketing, with
student events. Students like it, as it is as there were a number of outlets, pamphlets and emails being crafted.
informal while at the same time being including a billboard in Sandton, a
informational.” mobile billboard/trailer in Gauteng, a This campaign, and its attention-
bus back in Cape Town and street poles grabbing Pearls of Wisdom video,
If the video is anything to go by, nationally. demonstrate the value of education and
the alumni and behind-the-scenes learning. In a country whose standard
team seemed to have a blast during the Digital was also factored in, with of education is constantly being
shoot. The alumni were photographed posts across various social media questioned, it is inspiring to see that
in a fun way - showing off their own platforms, including Facebook, Twitter, there are success stories out there.
shoes and props that link to their LinkedIn and Instagram. The IMM
jobs. Some behind-the-scenes shots Watch the video HERE
of agency and IMM Graduate School
team members engaging with the Michael Bratt is a multimedia
ambassadors are also included. journalist for Wag the Dog. He
previously worked at several high
Getting it out there profile media houses including
When it came time to showcase the CNBC Africa and Tiso Blackstar
campaign, it was distributed across Group. He obtained a Bachelor of
multiple media channels, with the aim Journalism Degree with Honours
of maximising its reach. from Rhodes University. Away from
work he has been an active member
Traditional channels included of Toastmasters for over nine years
radio, with DJ Twasa doing a voice- and is part of the Professional
over; print, through newspaper and Speakers Association of Southern
Africa.

Strategic Marketing - p25

The impact of the product life
cycle on business logistics

Marketing and logistics have a vitally important co-dependent relationship. Dr Myles
Wakeham and Dr Beverley Waugh explore the union between the supply chain, business

logistics, marketing and the product lifecycle.

According to Jooste (2014), umbrella of the marketing effort. the organisation’s goods and those
marketing is defined as Essentially, marketing is focused of competitors. In order to elongate
“the process by which the life expectancy of the product
organisations satisfy the needs of on four key elements known as the or service, marketing utilises the
consumers by creating, communicating four Ps: product, price, promotion marketing mix variables (four Ps) to
and delivering value for customers in and place (distribution), whereas try to generate sales, but like anything
the form of ideas, goods and services business logistics is made up of several in life, the product will experience an
to facilitate satisfying exchange activities such as demand forecasting, eventual sad demise.
relationships, in ways that benefit both site selection and facility design,
organisations and customers”. procurement, materials handling, Although the traditional PLC,
packaging, warehouse management, as reflected above, is an accurate
Pienaar and Vogt (2012) posit that inventory management, order indication of a product’s life cycle,
business logistics is “concerned with processing, logistics communication, which starts at market entry and ends at
the inbound movement of materials transportation, reverse logistics and the death of the offering, it is not a true
and supplies and the outbound customer service. reflection of the entire process because
movement of finished products. The it is void of one of the most important
goal is delivery of the finished products Addressing needs and wants stages; the product conceptualisation
required by the marketing department Every logistics activity, as mentioned and development phase. It is this
to the point where they are needed above, is required by marketing to important juncture (when the product
and when they are needed in the most convey inputs into the organisation and is perceived, conceived and born), that
economic fashion.” to deliver the outputs that have been triggers the commercialisation of the
So, in terms of Pienaar and Vogt’s developed by operations for targeted offering and its ultimate absorption into
definition, logistics’ key function is to customers in such a way that the needs the marketplace.
convey inputs into the organisation in and wants of such customers may be
the form of materials and components satisfied in a cost-efficient manner. So, to what extent does the PLC
etcetera, and then deliver the end impact on business logistics and
goods that were developed by All products have a lifecycle; some effective logistics management? Table
means of the transformation process are of long duration, like Coca Cola, 1 (on the next page) provides the
(operations) to consumers at the and others extremely short (e.g. a fad). answers to this question.
right time. This, at the right place, The traditional product life cycle (PLC)
price, to the right person in the right has four stages; the introduction stage An organisation that is well-versed
condition and quantity. The relationship where new products are introduced in in product life cycle management
between the two functions is that of the market, the growth stage, which will have the ability and skills to
co-dependence; marketing cannot is characterised by robust sales and optimise logistics and supply chain
survive without logistics and logistics profits, the maturation stage where management (SCM) to benefit its
has no place in the economy without sales have peaked, and finally the bottom line. Product life cycle logistics
the need-satisfying offerings that are decline stage where the demand is an approach to treating the supply
uncovered and designed under the for the offering starts to diminish as chain as a continuous network or
the market becomes saturated with circle and, in the process, to improve
customer service, lower supply chain

p26 - Strategic Marketing

SUPPLY CHAIN MANAGMENT

Stage in the PLC Marketing’s key roles Logistics’ key roles
New product The key focus is on planning to meet the product’s
development Need identification. launch time and ‘hitting the market window’ on time.
Market research and demand forecasting.
Commercialisation Product development. The supply chain should already be established, and
(market Strategy and tactics. must be regularly assessed to ensure processes are
introduction) tuned and scalable for the growth stage ahead.
Growth Promotion to create (if needed) a category
need and especially brand awareness. Through logistics optimisation, organisations can
Maturation Thereafter stimulation of product trial and, if realise the best possible customer satisfaction
possible, retrial. alongside growing sales volume. Real-time SCM
Decline and analytics and reporting help make this stage
deceleration The organisation could benefit from successful.
economies of scale at this point. The organisation should address its need for
Product demise Because competitors see the viability of the warehouse space, and reduce/revisit the procurement
market, they will enter it most often based of inputs, the handling of materials, packaging,
upon a parity pricing strategy. warehouse management, inventory management,
order logistics, communication, customer service and
The organisation’s products are well reverse logistics.
entrenched in the market and the key aim is In the final stage, the product’s price has likely
to retain market share and even increase it as dropped, and sales are slowing with the decrease in
competitors bale out of the market because demand. Organisations must ensure the supply chain
of market pressure. is tuned to balance the lagging price and sales with
the chance to continue to profit.
The organisation might manipulate the four
Ps to lengthen the PLC, although at this stage Reverse logistics (handling of unsold returns). Waste
it could be too late to rejuvenate the product disposal for either re-use, recycling or investment
or brand. recovery.
Some organisations use this stage to renew
the marketing particularly if there is demand
as a result of competitors leaving the market.

The removal of the offering from the product
portfolio.

costs and, where possible, bring in an Dr Beverley Waugh has been Dr Myles Wakeham is a
additional income stream in the form of involved in transport, distribution, motivated and well-connected
investment recovery by means of the logistics and supply chain academic and businessman
disposing of dead stock and effective management since the early who was instrumental in
waste management. 1990s, first in the construction introducing and adopting
sector, then the maritime sector CIPS at CPUT as a series of
The key to realising these savings, and later specifically in transport qualifications. He has consulted
as well as exceeding customer and warehousing. Her interest to a variety of institutions and
expectations, is to recognise the in logistics and supply chain organisations, such as the South
relationship between the supply management was sparked by African National Treasury and
chain, business logistics, marketing the impact of logistics, from national, provincial and local
and the PLC. This will provide a better a cost and customer service government. He is also involved
understanding of the business and if perspective, on the profitability of in international research, and
used correctly, it can be used in combat organisations and the economy with an academic consortium has
with business adversaries as a result of overall. researched the impact of IT on
a competitive advantage. university education.

In the same way, lead time
management, in the form of the order-
to-delivery cycle and the cash-to-cash
cycle, will reduce the time it takes to
satisfy customer needs and likewise the
time it takes an organisation to convert
an order into cash. Both forms of lead
time management will provide the
organisation, compared to slower rivals,
with a competitive advantage.

Strategic Marketing - p27

Marketing gold at the tips of Opinions offer brands an
mobile fingers opportunity to tap into the
minds of consumers who now,
more than ever before, demand
authentic communication and
transparency from the makers of
the products and services they

use, writes Tanya van Tonder.

Access to social media has want to engage with brands and who literally billions of consumers for
elevated consumers over appreciate transparency by maximising in-the-moment mobile conversations
corporate marketing. Armed the power of social media to engage in and surveys. It can be customised for
with their smartphones, they have a real-time conversations. research groups, and allows users
powerful voice, which they’re only too to find respondents via Facebook
happy to use. With misinformation and fake news Messenger or their Facebook pages.
so much a part of daily life, the issue Results are published on a real-time
Consumers are unforgiving and of trust is top of mind for consumers, dashboard. Respondents can be
vocal when companies let them who need to feel safe in giving their incentivised too, via free products,
down or run campaigns perceived as opinions, and trust that the platform vouchers and coupons.
disrespectful, and often turn to social used to survey them is secure.
media to vent their disapproval. All of Another aspect to consider is that
which makes brands more vulnerable A new ball game speed to market is essential. The rapid
to consumer sentiment. Thousands of survey recipients are pace of innovation has resulted in
registered on Opinion Solutions shorter product life cycles, so the risk
But mobile can be a brand’s best platforms. These are consumers who of delay can scupper the best laid
friend – if marketers harness the are comfortable enough to have a marketing plans.
power of those platforms and voices conversation, be it for ad hoc qualitative
to gauge the opinions of consumers and exploratory research, or within Having relevant consumer insights
BEFORE they go ahead with campaigns branded private panels specific to a at the ready speeds up the process
that might offend people. Technology, target market that would be involved from conversation to implementation,
used properly, can do that. Mobile in ongoing product development or giving brands a competitive edge
offers real-time access to thousands of concept testing. It’s not a hit or miss through an affordable, flexible,
connected consumers. affair, but a deeply refined process, effective research tool.
honed and developed as technology
Traditional media research is an evolves. In this fast moving world, agility
important tool for marketers and brand is a key strength. Being able to react
managers, despite the time it takes to With exclusive rights to the Upinion to new market conditions, to quickly
conduct and the costs involved. With mobile research app in Africa, Opinion gain insights into what consumers
budgets stretched as tightly as they Solutions is playing a whole new ball think, and then act on it is vital for
are, marketers need to know whether game as it is global and accesses businesses wanting to stay ahead of
an idea is going to fly or flop – fast. their competitors.

But because most consumers these Tanya van Tonder launched
days live frenetically busy digital and Opinion Solutions in 2015. The
real lives, marketers need to be able to company maximises the power of
proactively access them in an instant. the Upinion app through tailored
strategies that allow businesses to
Mobile technology research engage in real-time conversations
company Opinion Solutions was with consumers. The company
created for this very reason. The makes it easy to reach their
company makes it easy to engage audience, store findings, evaluate
consumers who want to feel part of data, and share critical information
the decision making process, who across the organisation.

p28 - Strategic Marketing

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