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Ezalina (Jaja), Ana & Fatihah

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Published by Fatihah Nawi, 2019-12-10 01:09:32

Group 8:The Digital Age

Ezalina (Jaja), Ana & Fatihah

Keywords: 123456

EDUCATIONAL
MARKETING:
PRINCIPLES &
PRACTICES

GROUP MEMBERS

◎ Noor Ezalina Binti Saleh
(G1816710)

◎ Faziatul Roziana Binti Abdul
Rahim (G1810928)

◎ Nor Fatihah Binti Md Nawi
(G1813122)

2

A. Major
Forces;
Shaping the
Internet Age

D. Deciding DIGITAL AGE B. Marketing
on the MARKETING Strategy; New
Global
Digital Age
Marketing

C .Global
Marketing
Environment

3

1

Major Forces of
Shaping the Internet

Age

4

Introduction

Many forces are playing a major role in reshaping the
world economy, including technology, globalization,
environmentalism, and others. Here we discuss four
specific forces that underlie the new digital age (see
Figure 3.1): digitalization and connectivity, the explosion of
the Internet, new types of intermediaries, and
customization and customization.

5

A.

Digitalization &
Connectivity

D. The B.
Internet
Customization The Internet
& Age Explosion

Customerizatio
n

C.

New Types of
Intermediaries

A. Digitalization & Connectivity

Past : Analog information
Telephone system
Wrist watches
Musical recordings to industrial gauges and control

Analog information : is continuously variable in response to physical stimuli.

7

A. Digitalization & Connectivity ( cont. )

Present :
• Growing number of appliances & systems operate on digital information.
• Text, data, sound, and images can be converted into bitstreams.
• Example : A laptop computer manipulates bits in its thousands of applications
• Software consists of digital content for operating systems, games, information

storage, and other applications.
• For bits to flow from one appliance or location to another requires CONNECTIVITY
• CONNECTIVITY : a telecommunications network.

8

A. Digitalization & Connectivity ( cont. )

• Intranets are networks that connect people within a company to each other and to
the company network.

• Extranets connect a company with its suppliers, distributors, and other outside
partners.

• Internet, a vast public web of computer networks, connects users of all types all
around the world to each other and to an amazingly large "information repository."

The Internet makes up one big "information highway" that can dispatch bits at incredible
speeds from one location to another.

9

B. The Internet Explosion

• creation of the World Wide Web and Web browsers
• the Internet was transformed from a mere communication
1990s tool into a certifiably revolutionary technology

final decade of • number of Internet users worldwide grew to almost 400
the twentieth million

century

• the growth of Internet access among the world's citizens
will continue to explode

Early 2002

10

C. New Types of Intermerdiaries

AOL Amazon.com Yahoo eBAY eTrade

The amazing success of early Internet-only companies

Example :
Dell Computer grew faster by selling online
eToys lured toy buyers to the Web

The formation of new types of intermediaries and new forms of channel relationships
caused existing firms to reexamine how they served their markets.

11

D. Customization & Customerization

• The Old Economy revolved around manufacturing companies that mainly focused
on standardizing their production, products, and business processes

• In contrast, the New Economy revolves around information businesses
• With rapid advances in Internet and other connecting technologies, companies have

grown skilled in gathering information about individual customers and business
partners (suppliers, distributors, retailers )
• Example : Dell Computer, lets customers specify exactly what they want in their
computers and delivers customer-designed units in only a few days.

12

2

4 Principles of
Marketing Strategy in

the New Digital Era

13

1. Clarifying Business Objectives

◎ Everybody is struggling to keep up to
their business objectives and to
progress and actively emerging the
media into their marketing program

◎ Marketers try to create “one size that
fits all”

14

15

2. Use Innovation Teams to Identify,
Evaluate and Active Emerging
Opportunities

◎ Marketing executives are busy people.
◎ They actively monitor the marketplace,

identify the business marketplace and
opportunities and collaborate with product
people.

16

3. Decouple Strategy and Innovation

◎ Strategy and innovation are often
grouped together

◎ They tend to put their best people on it
◎ Good strategy achieves specific

objectives

17

4. Build Open Assets in the Marketplace

◎ Successful brands are becoming platform and
need to do more than just drive consumers to
a purchase.

◎ Once the potential customer were aware of
the product, the direct sale & retail promotions
could then CLOSE THE DEAL.

18

3

Global Marketing
Environment

19

20

1985- Steve 1996- 1990- Jobs 2011- CEO 2019- 940
Job ousted bankrupt came back Tim Cook million net
from Apple took over
worth
(153.3
million net

worth)

21

SUCCESS taking minimizing
advantage of threats
◎ Effective marketing opportunities
efforts

◎ Good in identifying
relevant
environmental
factors and trends
which helps them to:

22

International Marketing
Environment

1 internal

2 domestic marketing

3 global marketing

23

◎ Factors that can affect the international marketing
decisions of the organization in international market.

Factor Example
INTERNAL (Controllable) Organizational structure, productivity,
relations with stakeholders, policies and rules.
DOMESTIC
MARKETING (Uncontrollable) Availability of raw material,
infrastructure, legal system, and technological factors.
GLOBAL
MARKETING (Uncontrollable) This factor is related to the world
economy. Political and legal, economic, social,
technological, demographic, cultural, competitive, and
institutional factors.

24

Definition

◎ Global Marketing Environment-
combination of various factors external to
an organization that can affect
the international marketing decisions of
the organization in international market.

◎ The factors are uncontrollable,
although marketers can influence some of
them.

25

Global Marketing Factors

26

Political & Regulatory Factor

All of the actions occasionally
changes in the marketing strategies
of affected organization/ institution
based on this factor.
E.g. School uniform

27

Economic Factor

Monitor the economy in every region
where you do the marketing

1 Interest rates
2 Tax rates
3 Law & policies
4 Wages & salary
5 Governmental activities

28

Competitiveness Factor

makers of Competitors
competing
29
brands

makers of
substitute
products

Technological Factor

1 Inventing new technologies by
basic research

2 New products and services -help
to increase revenues and profits of
companies

3 Automation
4 Internet Connectivity

30

Social Factor

1 Attitudes
2 Values
3 Lifestyles of people

31

Cultural Factor

1 Language
2 Custom and Taboos
3 Values
4 Time & Punctuality
5 Business Norms
6 Religious Belief &

Celebrations

32

Other factors

33

Demographic Factor

◎ Demographic information can provide important insights about a 34

target market and how to address consumer needs

◎ Age
◎ Social class
◎ Gender
◎ Religious affiliations (individual values as well as holiday

celebrations

◎ Income brackets (level of wealth, disposable income, and quality of

life.)

◎ Education (Level)
◎ Geography (Area of residence, urban vs. rural, and population

density)

Institutional Factor

The Influence of Government and
Regulations
Political Stability
Domestic and Global Business Law
Free Trade and Protectionism
Expropriation
(government takes ownership of property
or business operations)

35

4

Deciding on the
Global Marketing

36

◎ Coca-Cola started selling internationally back in 1919, and is now

present in more than 200 countries. In order to keep a consistent
brand, Coke tastes the same in every region (although outside of
the United States, the recipe uses sugar instead of high-fructose
corn syrup), but the size, shape, and labeling of the bottle are
changed to match the norms in each country. While the company
formerly used a standardized advertising approach, it has changed
to adapt advertising messages to local culture. Additionally, it
adjusts its product line-up to fit local tastes; including a number of
additional beverage brands.

◎ McDonald’s makes certain that a Big Mac tastes the same in every

country; but it also varies items on its menu according to local
tastes. Customers in Mexico can order a green chili cheeseburger,
customers in Korea get to eat bulgogi burgers; and customers in
many Arab countries can enjoy the McArabia, a grilled kofta
sandwich on pita bread.

37

STRATEGY 1 38

◎ Companies must recognize that a marketing mix that works

in the domestic market may not have the same success in
another market.

The Marketing Mix in the Global Market

Product — Should the product stay the same in each market, or does it
need to be adjusted to fit local tastes?
Price — Is a new pricing strategy required to deal with variations in local
competition? Walmart, for example, discovered that several retailers in
Germany already occupied their low-price niche.
Placement — How do customers in the locality make their purchases?

Promotion — Can your message reach across cultures? Are any
unexpected responses due to cultural patterns?

STRATEGY 2

PARTNERSHIPS WITH LOCAL
BUSINESSES

Company must make decisions regarding
trade-offs between standard and local
messages

Research the various markets, and prepare
to make adjustments to its product and
messaging wherever required

39

STRATEGY 3

◎ Marketers should personally visit their target
markets, and spend time in them -can develop
local contacts, as well as gain a deeper
understanding about how business is conducted
in the area.

◎ Example; In Japan, it is not enough just to speak
Japanese; you must also conduct business the
Japanese way. Learn what is valued culturally—
and what is offensive.

40

STRATEGY 4
◎ Developing, and respecting, the local business
talent is also critical to global marketing.
◎ If you have an office in Hong Kong, for example,
you want to make full use of talented Hong Kong
Chinese professionals in your marketing,
advertising, and distribution.

41

4 WAYS TO DEVELOP YOUR
GLOBAL MARKETING STRATEGY

Know the Market. Understand the
environment
Develop Marketing Plan.

Customize Marketing Approach.

Localize Your Message.

42

Thanks.
Alhamd

43


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