Broadly speaking,
the marketing management
process is a series of work flows from effectively proposing, implementing, and evaluating marketing strategies.
It can be divided into five processes: research analysis, market segmentation analysis (STP analysis), concrete marketing strategy (4P analysis), marketing execution, and evaluation.
In this article, I would like to explain the details of each stage of the marketing management process and the overall picture.
What is the marketing management process?
The marketing management process can be said to be a framework of thinking set up to carry out stable and effective marketing.
It was proposed by Philip Kotler, an American management scholar.
We divide the process from formulation, implementation, and evaluation of marketing strategies into five processes and systematize them as a series of processes.
First, let’s take a look at the details of each process.
5 processes of marketing management process
●Survey analysis
First, we will conduct a research analysis of the current situation.
In addition, it is necessary to comprehensively consider the overall market, competitive situation, as well as political and natural environmental conditions.
Typical examples include PEST analysis, VRIO analysis, 3C analysis, and SWOT analysis.
●Market segmentation analysis (STP analysis)
Determine clearly the market you want to market to.
This process is further divided into three processes: segmentation, targeting, and positioning, each of which is called STP analysis.
・Segmentation
We investigate the market from various angles and organize it by segmenting it.
Possible divisions include user demographics, purchasing demographics, and purchasing processes.
・Targeting
From among the segments divided on various axes, select the segment you should enter based on whether your company has a competitive advantage.
・Positioning
Think about what positioning your company’s products and services should aim for in order to generate benefits.
We consider whether you are meeting customer needs and whether your uniqueness will be recognized in your relationships with other companies.
●Making marketing strategy concrete (4P analysis)
In order to actually generate benefits in the defined market, we develop specific marketing strategies from four perspectives: product, price, distribution, and sales promotion.
The method of combining these four viewpoints to formulate an effective strategy is called 4P analysis, which is an acronym for each viewpoint, and is also called marketing mix.
・Product
The appeal of the product itself can be said to be the most basic element.
When considering what kind of product to make, we not only consider whether it motivates the creator, but also consider objective aspects such as whether it satisfies customer needs and whether it is possible to differentiate it from other companies.
・Price
When it comes to the price of a product, you need to consider things such as not selling if it’s too low, and whether it’s in line with your branding strategy.
You also need to think about payment methods at the same time.
・Distribution
Determine the product distribution route.
There are many factors to consider, such as the location of warehouses and retail stores, and whether to use an e-commerce site.
・Sales Promotion
Think about how to carry out promotional activities such as advertising and sales.
Basically, the more people know about your product, the easier it will be to sell it, but you must carefully consider cost-effectiveness.
●Execution
Plan and implement specific marketing strategies.
●Marketing evaluation
Evaluate the effectiveness of your marketing efforts.
This makes it easier to use your insights to create your next marketing strategy.
However, even though measurement and evaluation are simple, they are often very difficult to actually carry out, and various methods have been devised.
For example, how to effectively implement surveys can be said to be a long-standing practical issue, and academically, areas such as effectiveness verification and causal inference have been developed.
summary
The evaluation of one method is completed by completing one rotation of these five processes.
In actual marketing, determining how to utilize evaluation results for improvement can be said to be an important point.
In many cases, repeating this cycle over and over again will result in a more powerful marketing strategy.
◆ Marketing management process is a systematic process for effectively proposing and evaluating marketing strategies.
◆ There are five processes in total, and although there are many elements that must be considered in each process, it is important to always be aware of the marketing framework.
◆Use STP analysis to clearly determine the target market for marketing, use 4P analysis to identify issues in the product distribution cycle, and develop better market development strategies.
◆ In reality, the completeness of a marketing strategy is often improved by repeating this cycle many times.