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Módulo 2 Entendiendo el Mercado
Programa de Formación en Marketing Cono Sur

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Understand the Market
Designed to Answer Principal Question How
should we focus our marketing efforts in the
Value-Adding Chains of our chosen industry/market
segments in order to build competitive advantage
for our business?
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Agenda

• Día 1
• Introduction/Objectives
• Review of Key Understand the Market Concepts
• Team Review of Current VAC Map Dynamics
• List key Business Strategy inputs
• Update VAC Diagram to reflect new inputs
• Verify Value Driver and power distribution
• ID current allocation of Marketing Effort
• Brainstorm Ways to enhance DP influence on
  decisions
• Capture all ideas
• Prioritize top 5
• Trends Analysis Capture and Prioritize Trends
  affecting relevant VACs

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Agenda

• Día 2
• Competitive Analysis
• Review new info from each expert
• Chart likely competitor moves to thwart Project
  success
• Prioritize by Likelihood Significance
• Brainstorm DuPont responses to high-priority
  competitive moves
• Customer Analysis
• Create Sources of Competitive Advantage
  Unmet/Poorly met Needs matrix (3-4 levels of
  VAC)
• Brainstorm potential DuPont Value-Add responses
• Mktg Effort Future State ID ideal allocation of
  Mktg effort along VAC
• Decision What is Targeted Level for Mktg
  Planning emphasis?
• Project Path Forward Exercise Defining Next
  Steps
• Pre-Work for Segmentation Workshop
• Reflections

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Understand the Market Roadmap

• Objectives for thisTraining
• Data Gathering Techniques for Latin America
• Review of Key VAC Concepts
• Refining Value Chain Process Maps
• Brainstorming Influence Strategies
• External Trend Analysis
• Competitor Analysis
• Customer Analysis
• VOC Market Insights
• Path Forward Exercise
• Pre-Work for Marketing Competency Training
  Session 3 Segmentation, Targeting Positioning

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Objectives of Understanding the Market

• In the context of the Business Direction
• Fully understand the players, operation and
  dynamics of the relevant Value-Adding Chain(s)
• Assemble and analyze VOC, competitor and external
  trend data for insights into where and how to
  create competitive advantage by adding value
• Qualitatively and quantitatively identify
  business/market opportunities
• Decide where to focus Marketing Sales efforts
  along the Value-Adding Chain

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Additional Objectives for this Session

• Determine the work that must be done to complete
  Understand the Market for each Project and
  establish Path Forward for accomplishing that
  work
• Understand the Pre-work assignment for Session
  3, Segmentation, Targeting and Positioning

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Understand the Market

• Key questions to be answered
• What are the dynamics in those Value Chains that
  may create opportunities we can address?
• Player roles, flow of materials and decisions,
  trends
• What do we know about customers that can guide
  our efforts to create greater value and influence
  them in favor of our offerings?
• What should we expect from our competitors? How
  can we benefit from anticipating their actions?
• How should we focus our marketing efforts in the
  Value-Adding Chains of our chosen industries in
  order to capture greater value for DuPont?

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SIPOC - Understand the Market
S
C
P
I
O

• Customer Needs, Values Critical Success Factors
• Competitors Strategic Thrusts, Capabilities
  Limitations
• Key Trends which Must be Planned for
• Identification of Info. Gaps a plan to address
• Rigorous foundation for Market and Sales Strategy
  Development
• Agreement as to where we will focus resources
  along VAC

Value Chain Analysis
Bus. Ldrs., Customers, Competitors, Channel
Partners Industry/Market. Associations,
Literature Experts
Marketing Sales Teams, Business Leaders, other
internal organizations Customers, Channel Partners
VOC Data Insights Business
Strategy/Goals Prioritized CTQs(translated
from VOC) Channel Partner Insights Industry/Mark
et Data Insights Customer Satisfaction
Data Market Research Data Competitor Literature
and Data Economic Societal Insights
Customer Analysis
External Trend Analysis
Competitor Analysis
Planning Focus Decision
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Key Marketing Strategy Questions
Where will we compete? How will we
compete? What will it take to win? These
Questions must be addressed in the context of
Business Strategy
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Business Strategy Input

• Business Definition / Purpose
• Overall Strategies(e.g. Brand Portfolio Strategy)
• Strategic Intent
• Key Issues Impacting the Business
• Resources Available
• Limitations or Constraints
• Industry Structure Analysis
• Current and Future Industry Attractiveness
• Chosen Product/Market Combinations
• Measurable Goals and Objectives
• Financial Performance and Expectations

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Some Indicators of the Need to Refresh Marketing
Strategy

• A key patent will soon expire, opening the field
  to competitors
• Market growth and/or market share are declining
• Mergers among your customers increase their power
• Significant change in competitors strategy or
  results
• Segmentation is fuzzy, not universally
  understood
• Theres no alignment on a clear-cut marketing
  strategy
• Price increases arent sticking or cause
  defection
• Environmental regulations threaten to make core
  products obsolete
• The market is saturated few green field
  opportunities remain
• Price becomes king, and the market isnt
  recognizing differentiation
• Business conditions demand improved competitive
  performance

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Workshop 1Business Strategy Inputs

• Objective Full understanding of the Business
  Strategy environment affecting the Teams project
• Output A list of Business Strategy
  considerations/parameters/ limitations/guidelines
  the Team must incorporate in its strategic
  thinking
• Steps
• Review the list of sample Business Strategy
  inputs (Slide 11)
• Write down the Business Strategy inputs that
  affect this project rephrase as appropriate to
  business situation as you know it
• Decide which one require validation and note plan
  accordingly
• Review Slide 12 for possible relevance to Teams
  project incorporate as appropriate
• Designate spokesperson to characterize Teams
  Business Situation for the class.

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Value Adding Chain

• Definition
• A progress of steps from fundamental raw
  materials through goods purchased by
  end-use consumers

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Value Adding Chain (VAC) Analysis

• A critical step in Strategic Marketing Guides
  planning, segmentation, allocation of resources,
  activity
• Potential competitive advantage from
  understanding the VAC better than competition!

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Understand the Market Roadmap

• Objectives for this Training
• Review of Key VAC Concepts
• Refining Value Chain Process Maps
• Brainstorming Influence Strategies
• External Trend Analysis
• Competitor Analysis
• Customer Analysis
• VOC Market Insights Data Gathering Techniques
  for South America
• Path Forward Exercise
• Pre-Work for Session 3 Segmentation, Targeting
  Positioning

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Value Adding Chain Analysis Summary

• Understanding the VAC is a foundation for
  effective marketing Planning
• Describes the various levels of the Value Chain
  in terms of roles, power, critical success
  factors, values and needs
• Recognizes value-adding activities throughout
• Forces attention beyond the transactional
  customerall the way to the End User/Consumer,
  the ultimate determiner of value
• Assesses how well the Value Chain is working
  (effectiveness and efficiency) and opportunities
  for improvement
• Prompts real consideration of how your business
  should allocate/focus marketing resources along
  the VAC to become more influential in selection
  of products/services used

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Push and Pull Strategies
Pull Strategy Create demand downstream, thus
pulling the offering through the channel with
preference/specification
TransactionalCustomer
Value Driver
Push Strategy Focus effort on moving product
into the VAC through marketing/sales efforts with
transactional customers little attention to what
happens after that.sale to Transactional Customer.
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Push / Pull Strategies
Push If Pull If Broad Narrow Low High Comple
x Simple High Low Complex Simple Many Few F
ew Many Commodity
Premium Few Many

• Breadth of offering types
• Differentiation of offering types
• Complexity of offering
• Dispersion of customer demand
• Complexity of customer purchase decision
• Availability of channels
• Availability of communication vehicles
• Positioning appeal
• Availability of substitutes

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Workshop 2 Value Adding Chain (VAC) Update
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Value Adding Chain

• Definition
• A progress of steps from fundamental raw
  materials through goods purchased by
  end-use consumers

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Simplified Value-Adding Chain
C O N S U M E R
Customers
E N D U S E R
Raw MaterialSupplier
Value Driver
Transactional Customer
DuPont
Information
Offering
Revenue
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VAC Player Definitions

• Transactional Customer
• That level in the chain that we exchange goods
  and services for revenue
• Value Driver
• That level in the chain that best interprets
  end-user needs and values into specifications and
  represents (sometimes dictates) them along the
  chain
• Power Center
• That level of the chain having the ability to
  affect what happens in the industry
• May be same level as Value Driver
• VAC Influencer
• - People or entities(who may not
  purchase/handle products) that
  influence the buying decisions made by targeted
  customers

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Workshop 2 Value Adding Chain (VAC) Update

• Objective Update each Teams Process Map of
  how the VAC operates
• Output An easily-understood drawing showing
• -- VAC Players relationships along the VAC
  approx. per level
• -- Key flows of Value Adding activity
• -- Key influencers
• -- Notes indicating key dynamics
• -- Value Driver estimated of decision
  making power re inputs like ours at each level
• -- Current allocation of DP marketing effort
  at each level of VAC
• Steps
• Review current draft of VAC diagram list new
  inputs from Team pre-work exploration
• Incorporate new information into outputs listed
  above update VAC Process Map accordingly
• Prepare report back overview of Project VAC and
  key learnings.

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VAC Dynamics Questions

• What level is the value driver?
• What level has the power currently?
• How would you anticipate that power distribution
  might change in the future? Why?
• Do we anticipate structural changes due to
• Acquisitions/Divestitures
  -Technology Shifts
• Backward/Forward Integration -Failures / New
  Entrants
• Alliances
• How might we gain power and influence along the
  chain to create and extract greater value?
• Where along the chain is the business currently
  focused?
• Where should it be focused in the future?

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Capturing Value Downstream
Direct Customer
Your Business
End Customer
Distribution

• Does our offering provide benefit/value to the
  End Customer? If not, what is the last level of
  the VAC to recognize DuPonts contribution to
  value?
• Does our Direct Customer recognize (and
  acknowledge) the benefit/value our offering
  delivers to the End Customer? To his Customer? Is
  he capturing value for benefits/uniqueness of
  what we provide?
• What might we do to help our direct customers
  (and other VAC Players) be more successful?
• Do downstream customers have a reason to specify
  our product to our Direct Customer? Or to exert
  other pull-through influence? Do we have a means
  of explaining tos them the value of specifying DP
  inputs?

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Value Adding Chain Analysis Summary

• Understanding the VAC is a foundation for
  effective marketing Planning
• Describes the various levels of the Value Chain
  in terms of roles, power, critical success
  factors, values and needs
• Recognizes value-adding activities throughout
• Forces attention beyond the transactional
  customerall the way to the End User/Consumer,
  the ultimate determiner of value
• Assesses how well the Value Chain is working
  (effectiveness and efficiency) and opportunities
  for improvement
• Prompts real consideration of how your business
  should allocate/focus marketing resources along
  the VAC to become more influential in selection
  of products/services used.

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Workshop 3Brainstorming Ways DP might Gain
Influence

• Objective Broad early-stage thinking about
  possibilities for improving DPs Influence /
  Value Add / Value Capture in the VAC
• Output A prioritized list of possible
  strategies/actions that would improve DPs
  position
• Steps
• Designate Scribe
• Encourage open participation by all Team members
• Generate un-evaluate list of possibilities
• Review list and highlight those that seem most
  exciting and somewhat practical

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Workshop 3Brainstorming Guidelines

• Everyone participates equally
• No criticism / evaluation of ideas during idea
  collection phase
• Dont be limited by practicality
• As ideas dwindle, take a new perspective on the
  problem
• Turn it upside down or inside out
• Paint it a new color or texture
• Think about it from POV of customer at each level
  of VAC
• Think about the most dreaded moves competitors
  might make and what they suggest you might do to
  preclude them
• Write everything down youll come back later to
  sort it all out
• Be sure to highlight your best ideas for easy
  reference later

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Understand the Market Roadmap

• Objectives for this Training
• Review of Key VAC Concepts
• Refining Value Chain Process Maps
• Brainstorming Influence Strategies
• External Trend Analysis
• Competitor Analysis
• Customer Analysis
• VOC Market Insights Data Gathering Techniques
  for South America
• Path Forward Exercise
• Pre-Work for Session 3 Segmentation, Targeting
  Positioning

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Marketplace Trends

• Marketing Strategy is most effectively developed
  when external trends are well understood, or
  anticipated, and used to advantage
• Significant trends must be planned for and met
  with a timely, appropriate response
• Anticipating and responding to trends more
  effectively than competitors can provide
  significant competitive advantage

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(No Transcript)
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Si Usted no piensa en el futuro es porque no
quiere tener uno. Proverbio chino
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Para talar un árbol hacen falta 10 minutos para
cortarlo y 2 horas para afilar el hacha.
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ESCENARIOS
LOS ESCENARIOS SON HERRAMIENTAS PARA ORDENAR LAS
PERCEPCIONES DE LA DIRECCION SOBRE LOS CONTEXTOS
FUTUROS ALTERNATIVOS DENTRO DE LOS CUALES LA
EMPRESA PODRIA TENER QUE OPERAR Y TOMAR
DECISIONES. DENTRO DE CADA ESCENARIO SE
MANIFIESTAN Y RELACIONAN LAS TENDENCIAS DEL
CONTEXTO DE UNA MANERA DETERMINADA.
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MATRIZ DE IMPACTOS (I)
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MATRIZ DE IMPACTOS (II)
ACTUACION
PLANES
INMEDIATA
CONTINGENTES
IMPACTO
MONITOREAR
A
A
B
PLANES
A
B
MONITOREAR
LISTOS
GRADO DE PROBABILIDAD
DE OCURRENCIA
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EL DIAMANTE
DETERMINANTES DE LAS VENTAJAS COMPETITIVAS
NACIONALES
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DOTACIÓN DE FACTORES

• RECURSOS HUMANOS
• RECURSOS FISICOS
• RECURSOS DE CONOCIMIENTO
• RECURSOS DE CAPITAL
• INFRAESTRUCTURA

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JERARQUÍAS ENTRE FACTORES
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COMPOSICIÓN DE LA DEMANDA INTERNA

• ESTRUCTURA SEGMENTARIA DE LA DEMANDA
• COMPRADORES ENTENDIDOS Y EXIGENTES

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INFLUENCIAS SOBRE LAS CONDICIONES DE LA DEMANDA
INTERNA
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TAMAÑO Y PAUTAS DE CRECIMIENTO DE LA DEMANDA

• TAMAÑO DE LA DEMANDA INTERIOR
• TEMPRANA DEMANDA INTERIOR
• TEMPRANA SATURACION

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SECTORES CONEXOS Y AUXILIARES
EL TERCER DETERMINANTE GENERICO DE LA VENTAJA
NACIONAL EN UN SECTOR ES LA PRESENCIA EN LA
NACION DE SECTORES PROVEEDORES O SECTORES
CONEXOS QUE SEAN INTERNACIONALMENTE COMPETITIVOS
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INFLUENCIAS SOBRE EL DESARROLLO DE SECTORES
CONEXOS Y DE APOYO
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ESTRATEGIA, ESTRUCTURA Y RIVALIDAD

• NATURALEZA DEL SISTEMA COMPETITIVO
• FORMAS DIRECTIVAS VINCULADAS A UNA ESTRATEGIA
  COMPETITIVA
• METAS Y MOTIVACIONES EN LINEA CON LAS FUENTES DE
  VENTAJAS COMPETITIVAS

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INFLUENCIAS SOBRE LA RIVALIDAD DOMÉSTICA
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DETERMINANTES DE LA VENTAJA COMPETITIVA NACIONAL
CONCEPTOS GENERALES

• LAS FUENTES DE LA VENTAJA COMPETITIVA DIFIEREN
  MUCHO ENTRE LOS SECTORES Y ENTRE LOS SEGMENTOS DE
  UN SECTOR
• SE CONSIGUEN Y MANTIENEN LAS VENTAJAS
  COMPETITIVAS MEDIANTE LA MEJORA, INNOVACION Y
  PERFECCIONAMIENTO
• ES NECESARIO CONTAR VENTAJAS EN TODO EL DIAMANTE
• LA UNIDAD BASICA PARA EL ESTUDIO ES EL SECTOR

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EL SISTEMA COMPLETO
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Marketplace Trends Model
Industry
External
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Some Types of Trends

• Regulatory
• Business Management
• Aesthetic
• Environmental
• Customer behavior
• Preferences Aversions
• Purchasing Practices

• Cultural
• Social
• Economic
• Technological
• Political
• Legal

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LOS 7 ENTORNOS CRÍTICOS
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Workshop 4 Trends Affecting your VAC

• Objective Identify trends affecting Industry
  and VAC that need to be considered in the
  Strategic Plan
• Output A prioritized list of relevant trends,
  ranked according to likelihood of occurrence and
  significance to the business
• Steps With reference to the Industry/VAC in
  which you plan to participate
• Have each Team member write relevant trends on
  Post-It notes, one per sheet. Capture as many as
  come to mind. (Be sure to reflect on VAC
  interviews youve conducted)
• Arrange Post-It notes on a 2x2 matrix
• Vertical Degree of Certainty, Lo to Hi
• Horizontal Impact on the business, Lo to Hi
• As a Team, confirm location of each trend
• Capture a list of trends remaining in upper
  right quadrant, starting in top right corner
• Highlight 3-5 that have greatest leverage on
  Project success

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External Trend Analysis Map
High
Minimum Resources If Any
Must Plan For
DegreeofCertainty
Maintain Flexibility In Plan
Forget It
Low
High
Impact on Business
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Prioritized List of TrendsIndustry/VAC
______________________

• Trends in order of Significance to our Project
• Trends working FOR us
• Trends working AGAINST us