Philip Kotler -The Father of Modern Marketing-Keynote Speech-The Future of Marketing

Tiger thank you for giving my lecture but I'll add a few points now I understand why the Kotler marketing group was rated number one in marketing consulting McKinsey was number two so we are proud to be here and I want to say that today is a very special day not only for us Milton and myself but for the world what happened today a trade deal was signed between China and the United States it's not a complete deal but it's so win-win thinking trade deals never work not true I mean tariffs never work we need to work together and the evidence is look at the stock market today the stock market is now 319 points higher because the news came out that we have a new deal and I hope it gets better and better why shouldn't the two leading countries in the world China and the United States be partners in building more economic growth to solve the problem of poverty of hunger our goal must be to make it a better world for everybody I just really published a new book September 30th I just published a book called advancing the common good common good not the good of the billionaires not the good of one group but how do we think about increasing the happiness of everybody and the prosperity of everybody so let me share with you some thoughts first of all China's growth has been amazing I was here four times I was first here in the year 200 six you were just beginning to really start understanding not just politics but business and then I came in the year 2009 why because there was a recession a worldwide recession and the when I came I shared my ideas through a book that I wrote called chaotix que Alex and that book is describes what you do during a recession how do you manage your resources in bad times I came back in 2014 and I worked with 10 cent and I worked later with hire that brilliant company hire which is giving us a new decentralized model of business and then I was here in 2015 so I'm very happy at the progress that China is making now there's three things I can talk about the history of marketing today's marketing and tomorrow's marketing just to tease you a little bit about tomorrow it is possible that the consumer and the buyer becomes so smart that we don't need salesmen and we don't need advertising the Internet allows a customer to learn so much not only just the internet but the Facebook and talking to others the customer knows what he wants and should buy without a Salesman and without an ad now what is marketing in the future if there's no need for salesmen and no need for advertising I guess it leaves marketing one job to manage the word-of-mouth the most effective advertising comes from friends people who've experienced the product and you can trust what they say about their experience and we're even beginning to learn new methods of managing or influencing word-of-mouth I can give you an example suppose I make wine I'm introducing a new wine in the market the best thing I could do is find out who are the influencers of wine choice and I will find that there are certain people who are respected for knowing so much about wine and having such a wine network that I will present a gift of my wine to an influencer and hope he likes it because he not only likes it but loves it my job is done I don't need advertising I don't need salesman and I'm not even paying him he is so happy with the wine he's happy to talk about it so Marketing will change marketing will change and let's go back a little bit a little bit on the history of marketing let me just say before we talk about this that marketing is a young discipline not more than a hundred and fifteen years old the market itself is millions of years old in the sense that people often had something in surplus that they wanted to sell we've always had the word markets you go back to ancient Greece and they called it the Agora where the people got together to buy and sell selling has been around since Adam and Eve ever since the snake convinced Eve to convince Adam to eat the apple we had selling but selling is only part of what became marketing selling is simple the product already exists your job is just to find customers Marketing is more important to decide whether you should make the product what should you make what are you good at what markets have a need that you can satisfy once you make the product of course you use sales people and advertising and and pricing now this chart and I hope you have a copy of it because I won't go through the details what it shows is that marketing is a very changing field new ideas new concepts come up and you can even do it by decade that's what I'm showing you the growth of marketing Theory the reason I write my new marketing management book every three years is because so much has happened in short times in the way of new examples and new concepts of marketing now I would say that I will here are some of the changing ideas in a more simple form when we started we thought the main thing is to make a good product just talk and talk and talk about your product finally Procter and Gamble and Unilever and other company said that's not the best focus the best focus is on the customer and what the customer needs and wants so go from being product centered to being customer centered and then we moved into this fantastic idea of branding that if you are gonna be successful your name has to be carrying an emotional charge it has to be something that I want to there's gonna be a lot of names of any product I want to buy but I want a brand because I choose the brand that resonates with my interest now let me say something about branding branding usually is a value proposition very important concept it should express the value you are creating for customers now if you don't define what why the customer should come to you you have a problem in fact the value proposition is best described as your positioning against the competitors what is your differentiation what are you about now when I say that McDonald's has a value proposition I won't be clear maybe their value proposition is good food inexpensively good food and expensively whatever it is they don't stop with that value proposition that value proposition is an umbrella but they have a separate value proposition for each type of customer for the senior citizen they're saying this is a nice safe place to sit down and have a meal because maybe you don't have a wife and you are just wanting a comfortable surrounding and a low cost for food you need a different value proposition to get the teenager to come to McDonald's because he could go to Wendy's or somewhere else you need a another value proposition for the mother with child to come to McDonald's so there's a lot of work in trying to create for the different groups in your market the value proposition the main thinking that you have to do is define your target market and the value proposition that's marketing the target market and the value proposition and it's done through the branding operation what happened to marketing recently is a revolution coming out of the digital and social media and all of you know about it and any company that does not move into digital marketing is making a mistake even if you're a small retailer depending on people to get to your store it's not enough you've got to let them also buy from you without going to your store you've got to set up online so they have a choice to either come to your store or not my own experience in my home is that my wife never goes to a store everything she buys and much of it is from Amazon is online and she gets packages every day now if that's the modern customer that more and more people are too busy to go into stores and shop then you've got to go digital and offer that channel to your customers let me move forward what is real marketing marketing is if you define marketing is having a sales force having advertising and promotion that is the old definition maybe of what marketing consisted of the new view is that marketing purpose is to curry I call it CCD create communicate and and deliver value to a target market and the latest view of marketing is that it is the growth function it it has responsibility for growing the size of the market why is marketing able to do get more ideas about growth than any other function in the firm the reason is that the marketers that are the only ones who spend time with the customers trying to get them to buy something and as a result they are the first to see new opportunities if you're training your customer salespeople right and and marketers right they're going to welcome an idea they see of something needed by customers that no one else noticed also they're the first sense the threats the barriers to buying so the job of the marketer is to be touching the real market and converting what their observations are into opportunities and threats that may happen now if someone wanted a very short description of what current marketing is like I would say five things first of all in your picture of marketing our customers your company your collaborators partners of course your employees your other stakeholders the competitors and then the context we call this the five C's every marketing plan must hurt touch and say things about these five scenes now you know that the plan starts with needing to describe your your product the price the place it could be bought and the promotion the four piece is the starting point but feel free to add another P if you want call it packaging a perfume company knows that more important than the perfume is the packaging of the perfume now you could say that that comes in the word product anyways packaging is part of product someone may say but where is service where is the sales force in the four PS don't be bothered that if you need to say a lot in your marketing plan about those things make it four PS and 1s and one W I don't care that's just the four piece represent what you definitely need and then if there are particular variables add them the next thing is to understand by the way sometimes I say the plan should have product service brand price incentives communication and delivery that's a version of four PS that is expanded for the purpose of a company in that kind of business and then if you want if someone says to you what is the process of making a plan I would say it all starts especially if you're starting a new business or new a new product marketing research M R is the beginning of all good marketing and there's a lot of ways to learn about a market and surveys observation so many ways so everything begins with mr when you what you will learn from mr is it's a very complicated market it consists of groups in the market so you do what we call segmentation which is a skill it will reveal quite different needs in that market and then you target that need that you could do a good job satisfying and that's called targeting and then you state your position so the languages STP all good marketing work has to arrive at that process of STP now that means you have chosen a TM a target market and by the way you could choose several of them but each one needs a separate plan so you chose a target market then you develop your VP which is your positioning your value proposition and then you build your MP which is your marketing plan now you've been into developing the plan and now you have to implement it I I it has to be taken out into the marketplace and you to be sure you're doing a good job you do C which is control because now you know if you got more sales or not so here's the message the message is if you are not selling well use that sequence backwards o my sales are poor maybe you did a poor implementation of a good plan you hired the wrong people to implement it no let's say you have good implementation but maybe your marketing plan set a price that was too high to buy your product or you had poor advertising or maybe you should never have chosen that target market because there's someone better than you in that same target market or you didn't even segment right so you see how you use this process backwards to identify why you haven't been successful now we heard Tiger talk about the CEO and I'm gonna and about the CMO let me say this I love CEOs they are people charged with making a complex business very successful I wish that all CEOs came from marketing none of them do why is it that a marketing genius doesn't become the CEO well they probably say he doesn't he or she doesn't know finance or something like that most CEOs are from our lawyers accountants or finance people therefore you have to ask what does your CEO know about marketing and there's four types of CEOs the first type thinks price is everything oh they take one thing about marketing the price you charge and they say that that's what you control well I'd rather work for someone who is a 4p CEO who says my company's trying to integrate product price place and promotion in a nice plan that's better I'd even feel better if the CEO says I know about segmentation targeting and positioning and I've really found the best targets and then there's the highest type of CEO and that's M Marketing is everything the company's job is to create value for customers in a specific market everyone's job is think customer so that is Procter & Gamble's model marketing is the starting point for everything they do so does marketing need an update today is the is there such a thing as the old marketing and the new marketing yes there is the old marketing was basically mass marketing 30-second commercials make a very expensive but effective statement in a film in a video showing actual real people making a choice of your product now here's the problem if I'm not buying a car when that commercial on a car is on my TV set it doesn't do anything for me in fact it annoys me that the program is interrupted by something I'm not in the market to buy so mass marketing has always been in some ways inefficient however you still need it even with the new marketing you need to take a step where you have a 30-second commercial that gives the value proposition which is then elaborated using Facebook using history Instagram using the Google go and so on so you need to blend the old traditional marketing with the new marketing in fact you you want the two so you could play with both of them but the real change is not even the marketing so much as the consumers are so smart they can find out almost anything they want to know about any competitor and so on and so forth the distribution channels are growing rapidly who ever thought you could buy food at a gas station what a new channel that is that I can buy ice cream and milk at the gas station more and more new distribution new technology other things so let's move on some findings on growth I prefer organic growth to acquisition growth I understand when a company is doing well it may need to buy up some other companies rather than compete them from the start but the evidence shows that companies that grow organically without buying other companies do better generally there are companies that usually have more marketing skill and leadership and marketing fits into the other parts of the business very well there's good alignment money is allocated carefully to the products and the customers who are the best prospects and there's good innovation right now I'm working with an interesting company fujifilm all of you know about a company called Kodak don't you kodak is no longer here Fuji film should no longer be here either because we do not want to buy boxes and packages of film Kodak is dead fuji film is not only alive but bigger than it was I'm writing a book about that because what Fuji film did to survive is a lesson for all of you who will be disrupted disruption is facing every company some smaller company coming up with lower prices that you're not paying attention to growing in and taking some of your share so fujifilm will provide a lesson and I met the president come Komori he convinced his employees 75,000 people don't leave we've got a lot of hidden technologies and we will be bigger than ever and not only that we're gonna be in other businesses because our technologies allow us to go into medicine cosmetics anti-aging creams and so on so I'm excited to publish soon the book we wrote about real leadership during a crisis where you lose your home market let me move on the main features of the new marketing now I believe all of you have some copies of my slides if you don't of course we will supply them so I'm gonna go on because to read a list is not that important right now but they do describe what your company I would use that list since it has ten things look at your company and grade yourself what if you're good at all 10 things tell me if you're good at all 10 things you know why I want to buy stock in your company you've got to be a winner if you're good at all 10 things if not and most people won't be good at everything I'll be very careful in judging whether to buy your your stock now marketing 4.0 is our latest look at how marketing is being changed by sec by the digital revolution and one of the main concepts that we're using is called the customer journey now think about buying a car some people believe it or not who didn't even think of buying a car their journey is very short because they ended up seeing a window and seeing a car in the window going in talking to the salesman finding out they could get it at a good price and they didn't even need a car they have an old car and they buy that is the shortest journey I'm not sure we could really capture that by some marketing work most of the time a car buyer goes through a elaborate journey I need a car I'm gonna watch all the car ads I'm gonna ask my friends what cars they like using Facebook and so on I'm gonna go into some dealerships I'm gonna see how they talk about the car I'm going to also drive I'm gonna test-drive the car and so on now the importance of that journey and it's only one type of journey there's the short journey type there's the elaborate journey type maybe there's five different ways people buy a car for each journey that you care about as a marketer identify what we call the touch points at what point points during the journey is the customer exposed to you if you don't touch the customer during the touch points you're not in his mind so now that's not enough to talk it's not enough to be present at the main touch points you got to be present in a very effective way what if you're good at most touch points but the salesman is a very poorly trained salesman you lost the sale so you have to manage not only being at the right touch points of the journey of a customer to buying something but always having the light or well-done at each touch point that's what this says and sometime we were using an interesting version of how customers get interested in anything moving from aware oh yes I heard of that company too I know even what their what their value proposition is I know they're the way they are appealing to me but I have a lot of questions that's where you have to really be available to say more of the right things about your product then the customer may be convinced to buy your product so the customer acts and then if they like it you're turning the customer into a hopefully a lifetime person with with customer lifetime value they're gonna the best type of thing that could happen I have to say is to turn the customer into an advocate and we even have a system called net promotion scoring to find out how many of our customers like us so much that they talk freely we're not paying them to talk about us but they can't resist telling people how much how good we are as a company I give this person two names one is oh that's a customer advocate for your company or I call that person a brand ambassador a brand ambassador for your company and if that's what he or she is guess who else should become brand ambassadors for your company your own employees wouldn't it be tragic if you have a good product but you don't treat your employees well they're angry at you you don't pay very much there was a time with Walmart where there was a very big issue working hard for Walmart but being treated like we could replace you with others Walmart's job became how to make them brand ambassadors they greet people they smile they care they're proud of their company so this is a focus that has changed it is not right to say the only marketing you have to do is to the customer more importantly is to market to your employees and I learned that from the hotel company called Marriott the largest hotel company Mary had said the customers number two what do you mean the employees number one we put our energy into finding the best people could be receptionists and people take care of the the room service and so on because if they are good the customer gets a really good experience in fact Mary it says we're in the experience business now by the way they used to say they were in the service business it was called hospitality being a good host being a good host that is correct but you're not gonna succeed unless you're delivering an experience not just the subit service not just the service and experience in fact there's a whole field called experiential marketing and by the way when I go into a shop to buy something is it a good experience have they thought about making it a special experience is the clerk very quiet and not helpful I mean I think that if you can be best for your customer targets and best for your employees you'll have all the Ambassador or work brand ambassador work helping you succeed so let me move a little further we in the book marking 4.0 we have some ratios we'd like to know how many people who are aware heard about our appeal and value proposition how many know the appeal but have asked certain questions that we should start answering how many our acting on our answers to those customers and finally how many become advocates and we play around with those numbers to get a sense of how well we're doing in the market I'm gonna use the time to just describe a few aspects that impress me you'll see this circle because it was developed by a very good book on being customer-centric to Australians father and son the Browns who I met wrote a very good book if you're still feeling you need to think deeper about customer behavior consumer behavior read the book but this is a company that uses six or so dimensions that you get aget have to be good at the first one to notice is that the fire at the far left I guess call customer insight now if you're gonna win you should not only have facts about customers you should have an insight something that's in your stomach you know them so well you can feel the needs they have customer insight now in this graph illustration sixty percent what they're saying is we're not at a hundred percent we can learn more about customer behavior but we're not that bad either we're at sixty percent but you also need brand you need customer for site because the customer today will change tomorrow where our customers moving are they putting more value more attention on price or more attention on accessibility through channels or on product features we think that tomorrow's customer will change what they be what they're looking at and so on now do the same for your competitors try to develop not only facts about each competitor but insight and to how they would behave if X Y or Z happens what if I change my price will they match me or even go further at a lower price I have to understand my each of my competitors today but I must also get customer a competitor for sight for sight what they would be like what are they what are the competitors moving toward what changes are they I don't want to be surprised I want to know what they're working on and so another dimension is peripheral vision in other words don't be so narrow in looking just at your customer open your eyes broader view more that's at the margins of change and how that will affect you do more collaboration do more strategic alignment all I'm saying is we have various tools this being one that put together a number of important things to make you more knowledgeable always look for niches and micro segments in other words if you can spot what I call a niche it would be a group of buyers who desperately need products of a certain kind and someone's gonna arise as a leader of that niche if you like that kind of thinking read the book by Herman Simon his books are talked about companies that are hidden champions for example you will never need to buy a big umbrella but if you are a French cafe and people in France at lunch they sit in a restaurant they sit outdoors and they need a huge umbrella for the Sun there is one company we'll buy that umbrella from it's not the only one making a big umbrella but it is the leader in the niche there's another leader who can make the very best binoculars for the military their niches all armies will buy their binoculars from that company because those are the best binoculars so read about Hermann Simon's study of so many niches and their leaders and there's another interesting book called micro trends by Mark Penn where he says there's so many groups you could go after working retirees what's a working retiree that's a person who had to retire from his company but he's still doing some work maybe he needs help and services and that's a market itself what about left-handed people one out of seven people is left-handed well maybe that causes some kinds of problems and what kinds of services can you give left-handed people and in protestant hispanics most hispanics are catholic but there are protestant ones that's those are niches those are micro markets watch for them watch for them I'm gonna skip this slide innovation you remember I talked about doing about the company called Fuji film Fuji film had the courage to take as their value proposition never stopped innovation that's their motto innovation never stop never stop if we don't innovate we die by the way if we innovate we die too if the innovation fails I was talking to a venture capital company which is a company that makes investments in new startups and I said how many of your startups for every ten startups how many are really successful he said only one one out of ten but it's so successful it pays for all the other nine failures that's something to think about because your company probably cannot work on ten innovations and trust that one of them will make up for the losses that's what a VC firm does but it does say that even if you innovate but poorly you're gonna die too but that's no excuse for not innovating because you will surely die if you don't innovate at all and so we can go on and say this there your company must need a good relation between the people who develop new products in your company and the people who are marketing I would hate to be in a company where the developers make the perfect product they know what's the perfect product they never test the market they never ask marketing for any help and I think they will fail in fact what we we did some work with the famous company called Philips an electronics company Philips was always inventing better products electronic products and many of them didn't work didn't they work but they they were too confusing they assumed too much intelligence because they were made by engineers engineers are wonderful people but they see everything is black and white so that company realized that their failure rate was due to not having marketing in the mix they had innovation in the mix but not marketing so they hired very famous marketer named CK Prahalad the late CK prologue and they said to pray aloud help build our marketing function and he was asked then how he wants to be paid get this he said I'm not asking for cash so what do you think he was asking for to be paid paid for his contribution stock in the company I want Philips stock stock in the company because I think you are so badly in need of marketing that anything I can do for you will end up with more profits and therefore a higher share price he was so smart by the way never hire a consultant who wants cash let them depend on whether the business got better from their advice offer some stock don't pay cash in any case if you have two types of companies one company is very good at innovation and very poor at marketing what do you think of that not good they innovate but it's not they didn't ask how to actually if the customer will really like it what if the company is very good at marketing but there's no innovation that's not good either so are the famous Peter Drucker the father of management who you should read daily any of his twenty books and you will see new things even though he wrote it many years ago Peter Drucker made the point that's a company success depends on two things having great innovation and great marketing not just one but both those are the keys so let me say that by the way when I wrote a book called winning and innovation for those of you who are going to be doing more innovation I would ask the following six questions do you have activators that is are some of your employees always coming up with ideas I mean if you don't have any employees who think imaginatively about new types of products and so on you've got to have activators now keep listening to them it would be a person who is every day saying hey why don't we do this why don't we do that turn any good idea away from him because he's not gonna be he's too busy thinking of new things he's not gonna develop anything but what he suggested turn it over to someone else in your firm who we call a browser that person is capable of taking that idea and studying if it's already done by any competitors they're browsing on their internet to see if it has any form so far in competitors if if the coast is clear take that idea to the creators you have to have some people who can put some flesh on the new idea and design a prototype a prototype of the idea and then test the prototype ask customers if they would be excited by this product they'll suggest some improvements always get responses and there's a an idea called lean marketing when you're developing a new product simplify it at first make a version put it out to some people get their responses improve the prior the version you'll know when to stop you'll know when it's finally the right fully developed process so you go from creators who will give you some new designs to people who are going to actually not only develop it in detail but they're gonna build the factory the developers are going to make it possible for you to actually create and sell the product the executors are the marketing people they're going to carry out that product into the market and with the help of the finance seers who have the money to allow you to pay for the advertising and the sales force and so on so we use that model very much in the book winning at innovation I like the word this idea of the three boxes namely you got to manage your business as well as possible today with the products you have but you have to also work on some new products work on some new products and then maybe work on at least one big new idea if possible most people never get to the third box the third box would have been the idea of an electric car you could always have been on the first box making a pretty good fuel-efficient car or the second box which would be a lot of other improvements on the normal fuel efficient car but the third box says maybe the future is an electric car and that's the way Elya musk works he dreams up brand new things he wants to take us to Mars that will pass by but that electric car was really a creative genius act so by the way Tiger talked about the CMOS and he made some very good statements I still believe CMO is the right word for this reason there's a whole community now of CMOS so many companies have CMOS these CMOS have meetings with each other even though they're not competing they're already some GMOs are writing articles on how to really do the job better they have a community there is no community of chief growth officers maybe it will become a community the other names are interesting but think twice about whether you think marketing should be called growth instead of marketing and our customer centricity but make sure that someone is taking control in the company fujifilm they have 12 CMOS because they have 12 companies and there is no CMO on top of the 12 CMOS so sometimes a CMO is running a part of the business that's different than the other parts of the business I won't say more about the CMOS I won't say more they're an interesting book did come out on changes shifts in the marketplace the first was a shift from creating just a strategy a marketing strategy to driving business growth that's a more dynamic challenge you the CMO yeah you should create a strategy no beyond that drive the growth of the business and always possible and sometimes we used to say and control the message by the way you can't control the message anymore you're having less and less control about what people say about your product Facebook alone allows people to bad-mouth or good-mouth your product so you're not controlling the message but you want to galvanize your network to put your message out as strongly as possible yes I want improvement by the way I just came from Japan and Japan has a many has introduced many theories of management one of them is called Kaizen and they believe in it everyone in the company improving what they're doing all the time at Toyota seventy-five percent of the workers in any year of the workers in the factory seventy-five percent come up with something new that could make the car better or the work they're doing on the car better can you imagine a culture where everyone believes that make your work better and more meaningful now maybe they could do that because they they had lifetime employment what it meant is that some worker in Japan could say you know I'm being paid but I don't really earn it we don't even have to have me doing that now that happens in many companies that there are people in every company who are not creating customer value or any kind of value but we live with them because what do you we hate their human beings we don't want them to lose a job at in Japan its lifetime employment so I am free to say my job isn't necessary because they'll give me a different job that is not necessary so one of the concepts they introduce is called Kaizen improving everything all the time the other concept is Oh several things about high quality they they gave that prize the Baldrige brides or whatever for the highest quality the Japanese love quality very important for China because China got into markets on low cost and average quality now the future of China is not to make cheap products but to sophisticate the products because you can make cheap products outside of China just go to Cambodia layoffs elsewhere to make those products so high-quality and the measures of high quality is very important so just moving on besides managing the marketing investment inspire the idea of marketing excellence and instead of just being operational have a relentless focus always on the customer and the customers needs it's a good book written by by Scott Davis now let me tell you what I think is happening in marketing and in business the old story of business is maximize profits if they do that who do the profits go to the shareholders the owners so the old theory was you create a business to make the this the one who started the business as wealthy as possible or the people who bought and financed the business to make them as wealthy as possible so the new story is different the new story first of all takes the form of maximize the welfare of the stakeholders not the shareholders and the stakeholders are the following the the of course the shareholders but also the the customers making them better off the employees better off your suppliers better off your distributors better off so the problem becomes when you make profits share the profits with those who contributed to the profits and you're going to be better at profits if you focus on this stakeholders because they all have something to gain when you're only focusing on the shareholders why as an employee do I have to care what's in it for me so that's this is the new philosophy actually the philosophy goes further what is the purpose of your business do you have a purpose and what are you doing about the environment except harming the environment are you using only fuel fossil fuels or are you also investing in solar energy and wind energy and so on what about poor people do you care about them by the way if companies don't care about poor people or by they don't care about low wages who's gonna buy your products if you don't leave enough money in the hands of people to buy necessities you're gonna close your factory so there is a little suicidal thinking when you only reward the shareholders so the old philosophy as I said was it was different we think that the the movement toward a broader view of a business was originally called C S corporate social responsibility you remember that language corporate social responsibility that took the form of philanthropy I'm a good business I'm us I'm not selfish I'll give a money to the Cancer Fund or to the Girl Scouts philanthropy is no longer enough especially if your company is harming the environment so you you look the new concept Michael Porter was very important in developing see SV corporates shared value corporate shared value is again sharing the value with the stakeholder the stakeholders I've developed something called brand activism maybe I can show you what I mean my original work on the social dimension of business was called corporate social responsibilities and we studied 45 companies to see what they're giving to society back to society we learned a lot oh we were very proud of a lot of the companies that had a cause that wanted to make life better in some way it could have been to fight poverty or to fight hunger or to have better housing for people whatever usually it was a cause related to their business because then we believed more in their sincerity if they're improving a cause that's related to their business now brand activism just finished writing says that you're not doing enough with your brand your brand is probably just talking about the value proposition namely lowest prices at Walmart Best Design at Apple sure your brand should stand for your value proposition but it should now also show your values your values as it as a organization do you care about more than just money making so moving from just good value that you create to expressing to your public through your brand what you care about is important and you know when I choose a brand from three competitors I will always lean to the one that is more ecological more caring about the world than the one that's just selling me a good product to make money so what's for that that your brand should be an active brand something in charge of making the world a better place share what you think your company's values are so really there's a lot of new marketing ideas I'm close to closing my talk it's each one of these has happened recently little things like are you seeing your brand as being about telling a story how important it is to enliven your brand with the story of how you were created as a company you remember how youlet packard that wonderful story about being in a garage and coming to the idea that they're going to make better printers and so on that wonderful story of hire hei ER that the head of hire when the product wasn't selling well at the factory he had all the people come and they were expecting just a talk but why did he have in his hands a hammer whoever comes to give a speech with a hammer at which point he goes and he crashes into every refrigerator our refrigerators aren't good enough they remembered that so maybe it's time for you to do that in your own company in some way in other words make your product more excellent and do it dramatically and tell your story so world-class marketers are going to be responsible for company growth for expressing the customer values and relationship to in relationship to the custom to the company's values the best thing you could say as you know mr. customer are we know your values and there are values too and have an entrepreneurial and innovative culture continuous opportunity scanning and scoring scenario planning means imagining two possible or three possible scenarios what would we do if there's a recession think about it in advance what would we do if there's growing and growing prosperity how would we handle that use big data and market analytics to get more customer insight and definitely use a combination of old and new marketing the old marketing with its commercials and so on and the new marketing and aim at achieving customer engagement and advocacy and brand ambassadorship because if you do that and I'm going to skip this if you do that I always say within five years if you're in the same business you are in today you're going to be out of business because the world's been changing and you haven't changed so thank you very much for being with the kotler's and I wish you I know you're the competitors of a lot of American companies but let the best companies win thank you very much thank you yes yes it's here wait a minute Philip wait a minute Filippo colorization Ruth sitting here watching today and yeah one hour [Applause]

Channel: Qiang Lyu

Views: 106,196

Rating: 4.9284434 out of 5

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Id: WPetPmlN1Iw

Length: 65min 15sec (3915 seconds)

Published: Mon Oct 21 2019