Product Management “Product Management refers to the function of planning, and analysing all internal and external information pertinent to the product with respect to all its stakeholders and using this information in an efficient and smart manner to develop a marketing programme for the product/product lines, in line with the overall marketing strategy of the organisation “
Product vs. General Marketing Management Features featuresproduct mgmt. Gen. mktg. mgmt. Scope of responsibility Nature of decision Making, time horizon Narrow, single product or product line Broad portfolio of products Mainly tactical, short-run( often annual or shorter) Mainly strategic, long-run
A Product Manager’s Potential Interactions Advertising agency Media Promotion Services Packaging Purchasing Publicity Sales Market research Fiscal Legal Research & Development Manufacturing and Distribution Product manager Suppliers Trade Suppliers Research Suppliers Trade Suppliers Designers Researchers Agency media department Company media department media sales reps Premium suppliers Premium screening Store testing Sampling Couponing
Product Management Types of Organisations Product Focussed Market Focussed Functional Focussed
Product Manager Role and Job Product Manager’s job varies among industries and products Consistent Factors Proven as managers in prior or current role preferably MBA. High-tech Companies Value placed on understanding technological possibilities and applications, preferably an engineering background otherwise marketing concepts clarity, People skill and marketing / advertising exposure.
Critical Skills a)Negotiation b)Teamwork c)Communications Skills d)Analytical Ability
Changes Affecting Product Management a)The Web b)The data explosion c)The increased emphasis of brands d)Changes in the balance of market power e)Increased importance of customer retention programs f)Increased global competition
Concept of category marketing Developed in early 1990s. Category management is defined as a process that considers product categories to be business units that should be customised on a store-by-store basis in a way that satisfies customer needs Retailers empower their category managers who operate their categories as separate businesses, just as product managers do Hence, marketing ( under which product management operates) needs to work with the research and sales team in a manner where they collectively address and focus on consumer and retail needs Hence the marketing function( under which the product management area Operates) need to work cooperatively with the research and sales teams with a focus on customers and the retail trade
Marketing Planning Definition: A marketing plan is a written document containing guidelines for the business centre’s marketing programmes and allocations over the planning period
Marketing Plan Summary 1.Executive summary 2.Situation analysis - category/competitor definition - category analysis - company and competitor analysis - customer analysis - planning assumptions 3.Objectives 4.Product/ Brand strategy 5.Supporting marketing programmes 6.Financial documents 7.Monitors and controls 8.Contingency plans
Hierarchy of Planning Corporate strategic planning Group or sector planning SBU planning Annual marketing (business) plan
The Planning Process EvaluatingImplementing Planning Analysis objectives strategies
Marketing Planning Sequence Update historical data Collect current situation data Data analysis Develop objectives, strategies, programs Develop financial documents Negotiate final plan Measure progress toward objectives Audit