1. Learning Objectives Chapter 8: Marketing Strategy: Strategies, Positioning, and Marketing Objectives
Identify the six components in developing a marketing strategy and plan.
Define the terms marketing strategy, positioning, and marketing objective.
Explain the concept of segmented marketing strategies and describe the alternative strategies by market focus.
Describe the alternative marketing strategies by product life cycle (PLC) stage.

2. Learning Objectives Chapter 8: Marketing Strategy: Strategies, Positioning, and Marketing Objectives
Describe the alternative strategies by industry position.
Explain the concepts of relationship marketing and strategic alliances.
Identify the reasons that have made positioning essential in today’s business climate.
List and describe the steps required for effective positioning (the five Ds).

3. Learning Objectives Chapter 8: Marketing Strategy: Strategies, Positioning, and Marketing Objectives
List and describe the six different approaches to positioning.
Explain the benefits of having marketing objectives and list the four requirements for good marketing objectives.

4. It is a combination of target markets and
Marketing Strategy
The selection of a course of action from among several alternatives that involves specific customer groups, communication methods, distribution channels, and pricing structures.
It is a combination of target markets and
marketing mixes.

5. Target Market A target market is a market segment selected by a
hospitality and travel organization
for marketing attention.
Market segmentation involves dividing
customers into groups (market segments)
with common characteristics.

6. These are also know as the 8 Ps.
Marketing Mix
A marketing mix includes those controllable factors that have been chosen to satisfy customer needs.
The eight controllable factors are product, price, place, promotion, packaging, programming, partnership, and people.
These are also know as the 8 Ps.

7. Relationship Marketing and Strategic Alliances
Placing an emphasis on building, maintaining, and
enhancing long-term relationships with
customers, suppliers, travel trade intermediaries,
and perhaps even competitors.
Strategic Alliances
Special long-term marketing relationships formed
between two or more hospitality and travel organizations, or between a hospitality and travel organization and one or more other types of organizations
(e.g., KLM and Northwest, STAR alliance).

8. Positioning Positioning is the development of a service
and a marketing mix
to occupy a specific place in the minds
of customers within target markets.

9. Marketing Objective A marketing objective is a measurable goal
that a hospitality or travel organization
attempts to achieve for a target market
within a specific time period,
typically one year.

10. Segmented Marketing Strategies
Approaches that recognized the differences
among target markets by using individualized
marketing mixes for each of the target markets selected by a hospitality or travel organization. Also known as a differentiated strategy.
The three alternative segmented strategies are:
Single-target-market strategy
Concentrated marketing strategy
Full-coverage marketing strategy

11. Undifferentiated Marketing Strategy
A strategy that overlooks segment differences
and uses the same marketing mix for all target
markets.

12. Alternative Strategies for Product Life Cycle Stages
Introduction Stage
Rapid-skimming strategy (high price/high promotion).
Slow-skimming strategy (high price/low promotion).
Rapid-penetration strategy (low price/high promotion).
Slow-penetration strategy (low price/low promotion).

13. Alternative Strategies for Product Life Cycle Stages
Growth Stage
Improve service quality and add new service features and elements
Pursue new target markets
Use new channels of distribution
Lower prices to attract more price-sensitive customers
Shift some advertising emphasis away from building awareness to creating desire and action

14. Alternative Strategies for Product Life Cycle Stages
Maturity Stage
Market-modification strategy
Product-modification strategy
Marketing-mix modification strategy
Decline Stage
Reduce costs and milk the company
Sell off or get out of the business

15. Alternative Strategies by Industry Position
Market Leaders
Expand the size of the total market
Protect market share
Expand market share
Market Challengers
Take on or attack the market leader

16. Alternative Strategies by Industry Position
Market Followers
Shy away from any attacks on market leaders
Market Nichers
Specialize in a particular market segment

17. Positioning
Positioning is the development of a service and a marketing mix to occupy a specific place in the minds of customers within target markets.

18. Reasons for Increased Importance of Positioning
Perceptual processes of customers
They screen out most information
2. Greater competition
More organizations competing for share of mind
3. Growing volume of commercial messages
Advertising and promotion clutter

19. Steps Required for Effective Positioning (the five Ds)
Documenting
Deciding
Differentiating
Designing
Delivering

20. The 5 Ds of Positioning Documenting
What benefits are the most important to your current and potential customers?
Deciding
What image do you want your current and potential customers to have of your organization?
Differentiation
Which competitors do you want to appear different from, and what are the factors that you will use to make your organization different from them?

21. The 5 Ds of Positioning Designing
How will you develop and communicate these differences?
Delivering
How will you make good on what you’ve promised, and how do you make sure that you have “delivered?”

22. Positioning Approaches: Six Major Alternatives
Specific product features
Benefits, problem solution, or needs
Specific usage occasions
User category
Against another “product”
“Product class” dissociation