Preface XIII
Acknowledgements XVI
1 What is marketing?
Introduction 3
The myth and the reality 4
Marketing as a discipline 7
A theory of human motivation 10
Economic development and the evolution of a theory of consumption 11
Traditional marketing 17
Neo-classical marketing 20
The emergence of ‘relationship marketing’ 23
Marketing is everybody’s business 24
Marketing’s ‘domain’ 27
Summary 29
Review questions 30
Keywords 30
Supplementary reading list 31
2 Marketing in practice
Introduction 33
The normative theory of marketing 35
Effective marketing in practice 37
Strategy and strategic planning 40
The product life-cycle concept 42
Organisational culture 45
Determining competitive advantage 47
The marketing audit 50
The marketing mix 51
Limited strategic alternatives 53
Positioning 55
Summary 57
Review questions 58
Keywords 58
Supplementary reading list 59
3 Demand and supply
Introduction 61
Demographics 62
Psychological factors 69
Supply: firm and product 73
The ‘product’ in theory and practice 74
Price elasticity and differentiation 79
Competition and the provision of choice 84
Branding 85
Summary 86
Review questions 86
Keywords 87
Supplementary reading list 87
4 Environmental analysis
Introduction 91
Plotting the future 93
Uncertainty and assumptions 97
Environmental analysis 100
PEST analysis 102
QUEST 106
Summary 111
Review questions 111
Keywords 112
Supplementary reading list 112
5 Industry, competitor and self-analysis
Introduction 113
The structure of industry 115
Causes of structural change 118
Concentration and organisational structure 122
Theories of competition 123
Putting it all together 139
Summary 142
Review questions 143
Keywords 144
Supplementary reading list 144
6 The business system - channels of distribution
Introduction 146
Value chains 146
Distribution: a neglected subject 149
The distribution of raw materials 154
The distribution of industrial goods 162
Summary 169
Review questions 169
Keywords 170
Supplementary reading list 170
7 The distribution of consumer goods - retailing
Introduction 171
Retailing functions 172
The ‘wheel of retailing’ 178
What is the size of the uk grocery market? 181
Mail order 192
Franchising 192
Channels of distribution 193
Future trends in retailing 195
Summary 196
Review questions 197
Keywords 198
Supplementary reading list 198
8 Consumer behaviour
Introduction 199
The buying decision process 201
Psychological influences 204
Social influences 220
Composite models of consumer behaviour 228
Summary 234
Review questions 235
Keywords 236
Supplementary reading list 236
9 Organisational buying behaviour
Introduction 237
Models of organisational buying behaviour 238
Organisational buying behaviour as an interactive process 248
The composition of the buying group 251
The role of the purchasing function 254
Business to business marketing (B2B) 259
Summary 261
Review questions 261
Keywords 262
Supplementary reading list 262
10 Market segmentation
Introduction 263
The concept of market segmentation 264
Bases for segmentation 267
Acorn and the acorn family of consumer classification 270
Methods of segmentation 285
Selecting market segments 288
Summary 290
Review questions 291
Keywords 291
Supplementary reading list 292
11 Marketing research
Introduction 296
Definitions 297
The planning and execution of research 299
The collection of primary data 306
Questionnaires 328
Attitude scales 330
Presentation of findings 333
The role of marketing research agencies 335
Database marketing 336
The application of bayesian techniques to marketing research 338
Organising for marketing research 339
Summary 341
Review questions 342
Keywords 343
Supplementary reading list 344
12 Product policy, planning and development
Introduction 345
The role of the product in marketing 346
User needs and product characteristics 348
The concept of the product life-cycle 353
What is a ‘new’ product? 355
New product development 361
Organising for new product development 372
Product portfolio analysis 374
Summary 378
Review questions 379
Keywords 380
Supplementary reading list 380
13 Packaging
Introduction 381
Packaging functions 383
Environmental requirements 385
Package design 387
Protection 387
Consumer requirements 390
Legal requirements 392
The resolution of conflict between distributor/user requirements 394
The package as a marketing variable 395
Future trends in packaging 397
Summary 400
Review questions 401
Keywords 402
Supplementary reading list 402
14 Branding and brand management
Introduction 403
A brief history of branding 404
Modern branding 406
Brand identity 408
Developing a brand strategy 412
Core and extended identity 415
Brand stretching 415
Brand equity 417
Customer relationship management 420
Private brands 423
Positioning 424
Baker’s box 427
Summary 430
Review questions 431
Keywords 432
Supplementary reading list 432
15 Pricing and price policy
Introduction 433
External price determinants 438
Internal price determinants 439
Perception and pricing 440
Pricing objectives 442
Pricing formulas and methods 445
Pricing strategies 451
A strategic pricing framework 455
Competitive bidding 456
Summary 458
Review questions 459
Keywords 460
Supplementary reading list 460
16 Channel management
Introduction 461
Defining the channel 462
Factors influencing channel structure 462
Major determinants of channel policy 465
Vertical marketing systems 469
Channel management 471
Physical distribution 472
Current trends 473
Competition and regulation 473
Summary 474
Review questions 475
Keywords 475
Supplementary reading list 476
17 Marketing communications
Introduction 477
What are marketing communications? 479
Communication defined 480
How marketing communication works 483
Diffusion theories 485
Opinion leadership and the two-step flow of communication 489
Source effect 490
The role of communication in the marketing mix 493
Marketing communications as information processing 495
Summary 497
Review questions 498
Keywords 499
Supplementary reading list 500
18 Mass communication
Introduction 502
Definitions and objectives 503
The evolution of advertising 504
Industry statistics 509
The structure of advertising 510
The role of advertising in the marketing mix – 510
The advertiser’s viewpoint 510
The advertising agency 514
The media 517
Media planning 531
Television sponsorship 532
Some other advertising media 535
Campaign planning 535
Economic and ethical aspects of advertising 544
Public relations 548
Summary 550
Review questions 550
Keywords 552
Supplementary reading list 552
19 Direct marketing
Introduction 553
Direct mail 556
Telemarketing 561
Direct response broadcast media 562
Catalogues 563
Print media 563
Door-to-door or network marketing 563
The internet 565
Viral marketing 567
Summary 568
Review questions 569
Keywords 570
Supplementary reading list 570
20 Personal selling and sales promotion
Introduction 572
The evolution of the salesman 574
The economics of personal selling 576
Selling situations classified 578
The recruitment, selection and training of salesmen 580
Merchandising 586
Sales promotion 588
How to decide whether to run a promotion
and which promotion to choose 597
Legal clearance 602
Picking a promotion 603
Summary 605
Review questions 605
Keywords 606
Supplementary reading list 606
21 The company: organising for marketing
Introduction - Marketing organisation and management 611
The early days 612
Basic organisational structures 613
Organisation of the marketing department 614
The product manager concept 616
Market managers 617
The impact of marketing on organisational structure 619
Corporate culture and resources 622
Summary 627
Review questions 629
Keywords 630
Supplementary reading list 630
22 Planning and implementing marketing
Introduction 631
The concept of corporate strategy 632
Appreciation: the marketing audit 633
Planning 637
Implementation and control 640
Marketing metrics 642
Marketing arithmetic 644
Summary 650
Review questions 651
Keywords 652
Supplementary reading list 652
23 The marketing of services
Introduction 653
Growth of services 655
The nature and characteristics of services 656
Managing services marketing – the seven Ps 659
Summary 669
Review questions 670
Keywords 671
Supplementary reading list 671
24 Marketing in a foreign environment
Introduction 673
Stages of economic development 674
Marketing and economic growth 676
International trade 680
Globalisation versus segmentation 685
Characteristics of the global market 688
International marketing strategy – an emerging economy view 690
Approaches to marketing in foreign environments 695
Other alternatives 696
Summary 698
Review questions 698
Keywords 699
Supplementary reading list 699
25 Current issues and future trends
Introduction 701
Marketing strategy and the internet 702
E-marketing 706
Ethics in marketing 710
Green marketing 716
Social marketing 718
A new model of marketing? 720
Summary 725
Review questions 726
Keywords 726
Supplementary reading list 726
Glossary 727
Bibliography 755
Index 769