Table 2.2 Contents of a Marketing Plan (Kotler 61) Marketing Department Organization -To head up such large marketing organizations, many companies have now created a chief marketing officer (or CMO) position. This person heads up the company’s entire marketing operation and represents marketing on the company’s top management team. The CMO position puts marketing on equal footing with other C-level executives, such as the chief operating officer (COO) and the chief financial officer (CFO). 16 Modern marketing departments can be arranged in several ways. The most common form of marketing organization is the functional organization . Under this organization, different marketing activities are headed by a functional specialist—a sales manager, an advertising manager, a marketing research manager, a customer service manager, or a new product manager. A company that sells across the country or internationally often uses a geographic organization . Its sales and marketing people are assigned to specific countries, regions, and districts. Geographic organization allows salespeople to settle in to a territory, get to know their customers, and work with a minimum of travel time and cost. Companies with many very different products or brands often create a product management organization . Using this approach, a product manager develops and implements a complete strategy and marketing program for a specific product or brand. -For companies that sell one product line to many different types of markets and
customers who have different needs and preferences, a market or customer management organization might be best. A market management organization is similar to the product management organization. Market managers are responsible for developing marketing strategies and plans for their specific markets or customers. This system’s main advantage is that the company is organized around the needs of specific customer segments. Many companies develop special organizations to manage their relationships with large customers. For example, companies such as Procter & Gamble (P&G) and Stanley Black & Decker have created large teams, or even whole divisions, to serve large customers such as Walmart, Target, Safeway, and Home Depot. Large companies that produce many different products flowing into many different geographic and customer markets usually employ some combination of the functional, geographic, product, and market organization forms. Marketing organization has become an increasingly important issue in recent years. More and more, companies are shifting their brand management focus toward customer management —moving away from managing only product or brand profitability and toward managing customer profitability and customer equity. They think of themselves not as managing portfolios of brands but as managing portfolios of customers. And rather than managing the fortunes of a brand, they see themselves as managing customer-brand experiences and relationships.
- Winter '16
- Simon P. Sigué
- Marketing, SBUs