Marketing at Homewood The Case Presented by: Ric Ament Insert Date

© HOMEWOOD HEALTH CENTRE DE SANTÉ | CONFIDENTIAL & PROPRIETARY 02

© HOMEWOOD HEALTH CENTRE DE SANTÉ | CONFIDENTIAL & PROPRIETARY 03 Definition of Marketing Marketing is the science and art of exploring, creating, and delivering value to satisfy the needs of a target market at a profit. Marketing identifies unfulfilled needs and desires. It defines, measures, and quantifies the size of the identified market, its profit potential. It pinpoints the market segments to serve. It designs and promotes the appropriate service. (Philip Kotler, PhD, Northwestern)

© HOMEWOOD HEALTH CENTRE DE SANTÉ | CONFIDENTIAL & PROPRIETARY 04 Main Concepts of Marketing Segmentation Targeting Positioning Needs Wants Demand Offerings

© HOMEWOOD HEALTH CENTRE DE SANTÉ | CONFIDENTIAL & PROPRIETARY 05 Main Concepts continued Brands Value and satisfaction Exchange Transactions Relationships and networks Marketing channels Supply chain

© HOMEWOOD HEALTH CENTRE DE SANTÉ | CONFIDENTIAL & PROPRIETARY 06 Main Concepts continued Competition Marketing environment Marketing programs

© HOMEWOOD HEALTH CENTRE DE SANTÉ | CONFIDENTIAL & PROPRIETARY 07 Marketing is like Elvis It is organization-wide It is all-pervasive It permeates every aspect of business operation It spans boundaries It is an integral part of developing, improving, and delivering services

© HOMEWOOD HEALTH CENTRE DE SANTÉ | CONFIDENTIAL & PROPRIETARY 08 Former President of Hewlett-Packard “ Marketing is far too important to leave to the marketing department.”

© HOMEWOOD HEALTH CENTRE DE SANTÉ | CONFIDENTIAL & PROPRIETARY 09 The Marketing-Oriented Culture It’s a set of processes; it is not linear It’s about communicating value It’s about delivering value It’s about relationships – building and retaining

© HOMEWOOD HEALTH CENTRE DE SANTÉ | CONFIDENTIAL & PROPRIETARY The Principles of Marketing Respect the centrality of customers, competitors, and distributors in planning the marketing strategy Apply segmentation to every market and go after the segments that are most promising in terms of your organization’s capabilities and goals

© HOMEWOOD HEALTH CENTRE DE SANTÉ | CONFIDENTIAL & PROPRIETARY The Principles of Marketing For each target market segment, research the needs, perceptions, preferences, and buying processes of the customers Win by carefully defining, creating, and delivering a superior value promise to the target market

© HOMEWOOD HEALTH CENTRE DE SANTÉ | CONFIDENTIAL & PROPRIETARY The 4 C’s Customer Value (Product or Service) Branding Customer Cost (Price) Customer Convenience (Place) Customer Communication (Promotion)

© HOMEWOOD HEALTH CENTRE DE SANTÉ | CONFIDENTIAL & PROPRIETARY Customer Value – The Brand Strong brands create trust & comfort in, and an image of, better quality for which people are willing to pay a premium Provides defence against price competition The ultimate strength of a brand is based on performance rather than promotion A brand is a promise of value; it becomes the organizing concept for the organization’s activities

© HOMEWOOD HEALTH CENTRE DE SANTÉ | CONFIDENTIAL & PROPRIETARY Dimensions of a Strong Brand Brings to mind certain attributes, features, or style Strongly suggests 1-2 key benefits Volvo = safety Apple = user friendliness Able to visualize brand characteristics, as if it were a person: age, gender, personality Suggests something about the organization’s values – e.g. innovative, responsive….. Suggests a picture of the brand’s users

© HOMEWOOD HEALTH CENTRE DE SANTÉ | CONFIDENTIAL & PROPRIETARY The Brand Brands conjure images, expectations, promises Brands have personality Brands develop a distinctive offering, not just a distinctive image The key is to create an all-inclusive experience for your customers that delivers value

© HOMEWOOD HEALTH CENTRE DE SANTÉ | CONFIDENTIAL & PROPRIETARY Determine the experience The Asacker Chart SenseExpectExperience Incongruent Congruent Change Words & Images

© HOMEWOOD HEALTH CENTRE DE SANTÉ | CONFIDENTIAL & PROPRIETARY Customer Cost Buyers fall into 3 categories: Strictly price conscious buyers Buyer who will pay a little more for better quality or service (but only to a limit) Buyer who wants best quality & service The organization should target one group and create the service offering that appeals to that group

© HOMEWOOD HEALTH CENTRE DE SANTÉ | CONFIDENTIAL & PROPRIETARY Customer Convenience Every organization has different channel alternatives available to distribute its service The greater the number of distribution channels, the greater the reach into the market

© HOMEWOOD HEALTH CENTRE DE SANTÉ | CONFIDENTIAL & PROPRIETARY Customer Communication This is the black art of marketing that receives the most attention Advertising: significant change; still a part of the marketing mix Public Relations/word of mouth are powerful

© HOMEWOOD HEALTH CENTRE DE SANTÉ | CONFIDENTIAL & PROPRIETARY Customer Communication Advertising Public Relations Publications, events, news, community involvement, lobbying, social investments Sales promotion Sales Management and Selling Sponsorships

© HOMEWOOD HEALTH CENTRE DE SANTÉ | CONFIDENTIAL & PROPRIETARY Customer Communication Buzz marketing Effort to generate business by word of mouth Media Direct mail, telephone, internet, television shopping

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© HOMEWOOD HEALTH CENTRE DE SANTÉ | CONFIDENTIAL & PROPRIETARY Department Roles Communication Officer Internal/External Communication Marketing Assistant Customer Service/Admin/Relationship Management Web Co-ordinator Internal/External Communication Internet website/Intranet

© HOMEWOOD HEALTH CENTRE DE SANTÉ | CONFIDENTIAL & PROPRIETARY Department Roles Marketing Analyst HT HHC/HT HDTP Marketing and marketing analysis

© HOMEWOOD HEALTH CENTRE DE SANTÉ | CONFIDENTIAL & PROPRIETARY Examples POA Dr. Luthra presenting to hospitals Powerpoint CADS Community education: key messages and audiences PTSR 300 referral source calls

© HOMEWOOD HEALTH CENTRE DE SANTÉ | CONFIDENTIAL & PROPRIETARY Examples Direct Mail Campaign ED/PTSR/POA Posters/brochures/letters Niche Markets DND Petawawa/Borden/Nova Scotia/Rakesh Jetly VAC WSIB

© HOMEWOOD HEALTH CENTRE DE SANTÉ | CONFIDENTIAL & PROPRIETARY Examples Out-of-Province Relationship building – Darlene’s vital role Newfoundland Special relationship Exhibits/Personal Visits

© HOMEWOOD HEALTH CENTRE DE SANTÉ | CONFIDENTIAL & PROPRIETARY Department Budget Annual Supplies Budget = $125, Exhibits - $30,000 - $50,000 General Advertising - $5,000 Identity/print - $7,500 Website - $13,000 OOP Travel - $5,000 DM Campaign - $20,000 Clinical Presentations - $25,000