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MARKETING MANAGEMENT 12 th edition

MARKETING MANAGEMENT 12 th 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?

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MARKETING MANAGEMENT 12 th edition

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  1. MARKETING MANAGEMENT12th edition 15 Designing and Managing Value Networks and Channels Kotler Keller

  2. 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?

  3. Marketing Channels Sets of interdependent organizations involved in the process of making a product or service available for use or consumption.

  4. Channels and Marketing Decisions Push Strategy Pull Strategy

  5. Categories of Buyers • Habitual shoppers • High value deal seekers • Variety-loving shoppers • High-involvement shoppers

  6. 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

  7. Should the 4 P’s be replaced? • Solutions • Information • Value • Access

  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

  9. Designing a Marketing Channel System • Analyze customer needs • Establish channel objectives • Identify major channel alternatives • Evaluate major channel alternatives

  10. Channel Service Outputs • Lot size • Waiting/delivery time • Spatial convenience • Product variety • Service backup

  11. Identifying Channel Alternatives • Types of intermediaries • Number of intermediaries • Terms and responsibilities

  12. Number of Intermediaries • Exclusive • Selective • Intensive

  13. Channel-Management Decisions • Selecting channel members • Training channel members • Motivating channel members • Evaluating channel members • Modifying channel members

  14. Channel Power • Coercive • Reward • Legitimate • Expert • Referent

  15. Channel Integration and Systems • Vertical marketing systems • Corporate VMS • Administered VMS • Contractual VMS • Horizontal marketing systems • Multichannel systems

  16. Managing Channel Conflict • Adoption of superordinate goals • Cooptation • Diplomacy • Mediation • Arbitration

  17. e-Commerce Marketing Practices • Pure-click • Brick-and-click • Brick-and-mortar

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