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Marketing 3.0
Created by Prashant Pathare
Source: White Paper Prepared by Philip Kotler and Hermawan Kartajaya
kingpatprash
prashantdpathare@yahoo.co.in
in.linkedin.com/in/kingpatprash
@kingpatprash
+91 – 99203 12380
kingpatprashAuthor:
Prashant Pathare
prashantdpathare@yahoo.co.in in.linkedin.com/in/kingpatprash @kingpatprash +91– 99203 12380
Marketing?
Definition
Performance of activities that seek to accomplish an organization’s objectives by
anticipating customer/ client needs and directing a flow of need satisfying goods
and service from producer to customer/ client.
Overview of Marketing Strategy Planning Process
Source: Book, - Basic Marketing (Wiliam Perreault
Joseph Cannon E. McCarthy)
kingpatprashAuthor:
Prashant Pathare
prashantdpathare@yahoo.co.in in.linkedin.com/in/kingpatprash @kingpatprash +91– 99203 12380
Marketing Versions
Marketing 1.0 – Product Centric
Era
 Industrial Age
 Without considering target market’s
needs and wants
 Many misconceptions of marketing
 Mere Selling, An Art of Persuasion,
and even Cheating
 World changed over the past decades because of the technology evolution
 So Did Marketing
Marketing 2.0 – Customer Centric
Era
 Information Technology
 Product value is defined by Customer
 Must for Marketers to identify
unfulfilled needs and wants
 Marketing continues to have a bad
name in many circles
Marketing 3.0 – Human Centric Era
 Consumers will be treated as human beings who are active, anxious, and creative
 Request more participation in value creation
 Demand their deepest anxieties and desires
 Ask for their creativity to be appreciated
kingpatprashAuthor:
Prashant Pathare
prashantdpathare@yahoo.co.in in.linkedin.com/in/kingpatprash @kingpatprash +91– 99203 12380
Age of Participation & Collaborative Value Creation
Development of computing has rolled out in five major waves
 1st Wave
1960 – Mainframe Computers
Advanced into corporate world and become essential business tools
 2nd Wave
1970s – Minicomputer
 3rd Wave
1980s – Personal Computers
 4th Wave
1990s – Networking and Internet
 5th Wave
Unprecedented coalescence of three technological forces – cheap and ubiquitous
computing devices, low-cost & omnipresent bandwidth, and open standards
Offers limitless connectivity and interactivity
 Marketing Managers listen to consumer’s voice to understand their minds and capture
market insights
 Eg: Starbucks and HP collaborate to have Hear Music Media Bars, tablet-based PCs to
allow customers to create their own mix CDs
kingpatprashAuthor:
Prashant Pathare
prashantdpathare@yahoo.co.in in.linkedin.com/in/kingpatprash @kingpatprash +91– 99203 12380
Globalization Paradox & Iconic Branding
Globalization has always created a world of paradox
Three Macro Paradoxes that arise –
1. Creates a new non-democratic superpower
China a manufacturing hub; contributes 50% to GDP
2. Doesn’t create a convergent but a divergent economy
More than 1Billion people who are state in extreme poverty and subsist on less then $1 per day
3. Doesn’t create a uniform, but a diverse culture
Thomas Friedman – The Lexus and the Olive Tree
The Lexus – Drive for prosperity and development
The Olive Tree – Ancient forces of culture, geography, tradition, and community
Effect – Companies are intensely competing to be icons of the society
Iconic Brands address acute contradictions in society: Douglas B. Holt
kingpatprashAuthor:
Prashant Pathare
prashantdpathare@yahoo.co.in in.linkedin.com/in/kingpatprash @kingpatprash +91– 99203 12380
Consumer Creativity and Independent Communication
Daniel Pink – Whole New Mind
Ages: Agricultural, Industrial, Information, Conceptual
Senses: Design, Story, Symphony, Empathy, Play, Meaning
Creativity is the driving force of economic growth
Creative people are the ones that will shape the future market
Customer: Not only is the King but also MR Head, R&D Chief and Product-Development Mgr
For these consumers, communication:
No longer effective - Top-down, one-way, and mass
Aspirations
Eg: LEGO
Enlists influential consumers as online evangelists
New locomotive kit, shown to 250 LEGO train fans
Word of Mouth; sold 10k units in 10 days with no other marketing
kingpatprashAuthor:
Prashant Pathare
prashantdpathare@yahoo.co.in in.linkedin.com/in/kingpatprash @kingpatprash +91– 99203 12380
Three Characteristics of Marketing 3.0
 Will be very much influenced by consumer
 More sophisticated form of customer-centric era
 Technology → Enables Customers to collaborate in Value Creation
 Global Paradox → Technology, Iconic brands shall win competition
 Consumer Sophistication generates future market
kingpatprashAuthor:
Prashant Pathare
prashantdpathare@yahoo.co.in in.linkedin.com/in/kingpatprash @kingpatprash +91– 99203 12380
How to stay relevant in Marketing 3.0?
Brands must target consumers as human beings
According to Stephen Covey, human body is made up of four basic components:
Capable of Independent Thought & Analysis
Begins here
Positioning
Concept evolved
World became more emotional
Virgin’s – Unconventional Marketing
Unlocking the soul’s code
Marketers should discover the anxieties
and desires of customers
Human Body
kingpatprashAuthor:
Prashant Pathare
prashantdpathare@yahoo.co.in in.linkedin.com/in/kingpatprash @kingpatprash +91– 99203 12380
Redefining Marketing
 Redefined to its Root as a Triangle of Positioning, Differentiation, and Brand
Main Message
 Not telling lies
 Keeping the promise
Brand Identity
 Positioning in the minds of the consumers
 Unique; heard & noticed in cluttered
marketplace
 Relevant to rational needs and wants of
consumers
Brand Image
 Acquiring consumer’s mind-share
 Appeal consumers’ emotional needs & wants
Brand Integrity
 Credible to your promise
 Establishing the trust of the consumers
 Targeting spirit of the consumer
kingpatprashAuthor:
Prashant Pathare
prashantdpathare@yahoo.co.in in.linkedin.com/in/kingpatprash @kingpatprash +91– 99203 12380
Marketing of the Meaning
Mission
Charles Handy: Inverted Donut
To incorporate as part of corporate culture
Difficult to maintain commitment, especially during difficult times
World at Large – A better and ideal place to live in
Corporate Philanthropy – For a social or environmental cause
Starts in two ways
1. CEO gets passionate
2. Company decides
Best Approach is to embed it in Mission, Vision and Values
Mission – Company’s Reason for Being
1. Expresses business your company is in (dynamic)
2. Company’s basic purpose (enduring)
Firmly rooted in present
Vision – Inventing Future
Aspire to become, to achieve, to create
Symbolized by Compass
kingpatprashAuthor:
Prashant Pathare
prashantdpathare@yahoo.co.in in.linkedin.com/in/kingpatprash @kingpatprash +91– 99203 12380
Value Based Matrix
kingpatprashAuthor:
Prashant Pathare
prashantdpathare@yahoo.co.in in.linkedin.com/in/kingpatprash @kingpatprash +91– 99203 12380
Eg: S C Johnson
 Since 1885
 Five Generation Family Company
 Specialization: Home Care Consumer Products
Home Cleaning, Air Care, Pest Control, Home Storage, Auto Care
 18 Brands
kingpatprashAuthor:
Prashant Pathare
prashantdpathare@yahoo.co.in in.linkedin.com/in/kingpatprash @kingpatprash +91– 99203 12380
Eg: S.C. Johnson & Sons
kingpatprashAuthor:
Prashant Pathare
prashantdpathare@yahoo.co.in in.linkedin.com/in/kingpatprash @kingpatprash +91– 99203 12380
Eg: S.C. Johnson & Sons
kingpatprashAuthor:
Prashant Pathare
prashantdpathare@yahoo.co.in in.linkedin.com/in/kingpatprash @kingpatprash +91– 99203 12380
Putting It All Together
 Values Driven Marketing Best Model in Marketing 3.0 era
 Combining the efforts to show the true meaning of marketing and market the meaning
itself
 Companies that can implement the model will win the competition in Marketing 3.0
kingpatprashAuthor:
Prashant Pathare
prashantdpathare@yahoo.co.in in.linkedin.com/in/kingpatprash @kingpatprash +91– 99203 12380
THANK YOU
Have An Exuberant Day !!!

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Marketing 3.0

  • 1. Marketing 3.0 Created by Prashant Pathare Source: White Paper Prepared by Philip Kotler and Hermawan Kartajaya kingpatprash prashantdpathare@yahoo.co.in in.linkedin.com/in/kingpatprash @kingpatprash +91 – 99203 12380
  • 2. kingpatprashAuthor: Prashant Pathare prashantdpathare@yahoo.co.in in.linkedin.com/in/kingpatprash @kingpatprash +91– 99203 12380 Marketing? Definition Performance of activities that seek to accomplish an organization’s objectives by anticipating customer/ client needs and directing a flow of need satisfying goods and service from producer to customer/ client. Overview of Marketing Strategy Planning Process Source: Book, - Basic Marketing (Wiliam Perreault Joseph Cannon E. McCarthy)
  • 3. kingpatprashAuthor: Prashant Pathare prashantdpathare@yahoo.co.in in.linkedin.com/in/kingpatprash @kingpatprash +91– 99203 12380 Marketing Versions Marketing 1.0 – Product Centric Era  Industrial Age  Without considering target market’s needs and wants  Many misconceptions of marketing  Mere Selling, An Art of Persuasion, and even Cheating  World changed over the past decades because of the technology evolution  So Did Marketing Marketing 2.0 – Customer Centric Era  Information Technology  Product value is defined by Customer  Must for Marketers to identify unfulfilled needs and wants  Marketing continues to have a bad name in many circles Marketing 3.0 – Human Centric Era  Consumers will be treated as human beings who are active, anxious, and creative  Request more participation in value creation  Demand their deepest anxieties and desires  Ask for their creativity to be appreciated
  • 4. kingpatprashAuthor: Prashant Pathare prashantdpathare@yahoo.co.in in.linkedin.com/in/kingpatprash @kingpatprash +91– 99203 12380 Age of Participation & Collaborative Value Creation Development of computing has rolled out in five major waves  1st Wave 1960 – Mainframe Computers Advanced into corporate world and become essential business tools  2nd Wave 1970s – Minicomputer  3rd Wave 1980s – Personal Computers  4th Wave 1990s – Networking and Internet  5th Wave Unprecedented coalescence of three technological forces – cheap and ubiquitous computing devices, low-cost & omnipresent bandwidth, and open standards Offers limitless connectivity and interactivity  Marketing Managers listen to consumer’s voice to understand their minds and capture market insights  Eg: Starbucks and HP collaborate to have Hear Music Media Bars, tablet-based PCs to allow customers to create their own mix CDs
  • 5. kingpatprashAuthor: Prashant Pathare prashantdpathare@yahoo.co.in in.linkedin.com/in/kingpatprash @kingpatprash +91– 99203 12380 Globalization Paradox & Iconic Branding Globalization has always created a world of paradox Three Macro Paradoxes that arise – 1. Creates a new non-democratic superpower China a manufacturing hub; contributes 50% to GDP 2. Doesn’t create a convergent but a divergent economy More than 1Billion people who are state in extreme poverty and subsist on less then $1 per day 3. Doesn’t create a uniform, but a diverse culture Thomas Friedman – The Lexus and the Olive Tree The Lexus – Drive for prosperity and development The Olive Tree – Ancient forces of culture, geography, tradition, and community Effect – Companies are intensely competing to be icons of the society Iconic Brands address acute contradictions in society: Douglas B. Holt
  • 6. kingpatprashAuthor: Prashant Pathare prashantdpathare@yahoo.co.in in.linkedin.com/in/kingpatprash @kingpatprash +91– 99203 12380 Consumer Creativity and Independent Communication Daniel Pink – Whole New Mind Ages: Agricultural, Industrial, Information, Conceptual Senses: Design, Story, Symphony, Empathy, Play, Meaning Creativity is the driving force of economic growth Creative people are the ones that will shape the future market Customer: Not only is the King but also MR Head, R&D Chief and Product-Development Mgr For these consumers, communication: No longer effective - Top-down, one-way, and mass Aspirations Eg: LEGO Enlists influential consumers as online evangelists New locomotive kit, shown to 250 LEGO train fans Word of Mouth; sold 10k units in 10 days with no other marketing
  • 7. kingpatprashAuthor: Prashant Pathare prashantdpathare@yahoo.co.in in.linkedin.com/in/kingpatprash @kingpatprash +91– 99203 12380 Three Characteristics of Marketing 3.0  Will be very much influenced by consumer  More sophisticated form of customer-centric era  Technology → Enables Customers to collaborate in Value Creation  Global Paradox → Technology, Iconic brands shall win competition  Consumer Sophistication generates future market
  • 8. kingpatprashAuthor: Prashant Pathare prashantdpathare@yahoo.co.in in.linkedin.com/in/kingpatprash @kingpatprash +91– 99203 12380 How to stay relevant in Marketing 3.0? Brands must target consumers as human beings According to Stephen Covey, human body is made up of four basic components: Capable of Independent Thought & Analysis Begins here Positioning Concept evolved World became more emotional Virgin’s – Unconventional Marketing Unlocking the soul’s code Marketers should discover the anxieties and desires of customers Human Body
  • 9. kingpatprashAuthor: Prashant Pathare prashantdpathare@yahoo.co.in in.linkedin.com/in/kingpatprash @kingpatprash +91– 99203 12380 Redefining Marketing  Redefined to its Root as a Triangle of Positioning, Differentiation, and Brand Main Message  Not telling lies  Keeping the promise Brand Identity  Positioning in the minds of the consumers  Unique; heard & noticed in cluttered marketplace  Relevant to rational needs and wants of consumers Brand Image  Acquiring consumer’s mind-share  Appeal consumers’ emotional needs & wants Brand Integrity  Credible to your promise  Establishing the trust of the consumers  Targeting spirit of the consumer
  • 10. kingpatprashAuthor: Prashant Pathare prashantdpathare@yahoo.co.in in.linkedin.com/in/kingpatprash @kingpatprash +91– 99203 12380 Marketing of the Meaning Mission Charles Handy: Inverted Donut To incorporate as part of corporate culture Difficult to maintain commitment, especially during difficult times World at Large – A better and ideal place to live in Corporate Philanthropy – For a social or environmental cause Starts in two ways 1. CEO gets passionate 2. Company decides Best Approach is to embed it in Mission, Vision and Values Mission – Company’s Reason for Being 1. Expresses business your company is in (dynamic) 2. Company’s basic purpose (enduring) Firmly rooted in present Vision – Inventing Future Aspire to become, to achieve, to create Symbolized by Compass
  • 12. kingpatprashAuthor: Prashant Pathare prashantdpathare@yahoo.co.in in.linkedin.com/in/kingpatprash @kingpatprash +91– 99203 12380 Eg: S C Johnson  Since 1885  Five Generation Family Company  Specialization: Home Care Consumer Products Home Cleaning, Air Care, Pest Control, Home Storage, Auto Care  18 Brands
  • 15. kingpatprashAuthor: Prashant Pathare prashantdpathare@yahoo.co.in in.linkedin.com/in/kingpatprash @kingpatprash +91– 99203 12380 Putting It All Together  Values Driven Marketing Best Model in Marketing 3.0 era  Combining the efforts to show the true meaning of marketing and market the meaning itself  Companies that can implement the model will win the competition in Marketing 3.0
  • 16. kingpatprashAuthor: Prashant Pathare prashantdpathare@yahoo.co.in in.linkedin.com/in/kingpatprash @kingpatprash +91– 99203 12380 THANK YOU Have An Exuberant Day !!!