I Love Marketing Model was created by Prof. Remigio Joseph De Ungria to help AGSB MBA students understand and remember key marketing concepts and how these relate to one another. The use of images to represent concepts is a key differentiater of this model. This model has undergone several revisions since it was first used in the Ateneo in 1996.
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This “I Love Marketing Model” was
created to help students understand key
marketing concepts and how
these relate to one another.
The use of images and stories enhance
the learning experience and amplify concept
recall and marketing mastery.
The model has been updated to 21st
century strategic marketing realities.
-Prof. Bong De Ungria, Certified Digital Marketer (CDM)
Professor’s Note
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The basic marketing concepts here can be found in widely read-
textbooks written by Philip Kotler, Josiah Go and many other
famous authors.
My unique contribution was to be a maven and connector (terms
used by Malcom Gladwell, in best-selling book: The Tipping Point)
was to trim the fat, highlight the beef, make it sticky (easy to
remember) through images and spread it like an epidemic (through
the web). In Kotler’s marketing textbook, this is selective attention,
distortion, and retention. While a traditional marketing guru might
find the explanations oversimplified and limiting, that is not the
point of the model; if you love and remember marketing after this
presentation, then guess what? You’ve just been infected.
Maven’s Caution on this Model
- Vcoach Bong De Ungria, Contamination Marketer
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What will this love story tell?
1. Why Models?
2. Why Images?
3. Marketing 101 concepts
4. All concepts in 1 visual framework
5. 21st Century Realities
6. Picture & Win!
5. www.josephdeungria.com
What will this love story tell?
1. Why Models?
2. Why Images?
3. Marketing 101 concepts
4. All concepts in 1 visual framework
5. 21st Century Realities
6. Picture & Win!
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1. Why Models?
Models, paradigms, systems
– Directions - Traffic
Provides order, reference points
– for quick VALID decisions
– common USEFUL understanding
– BUT, know limitations
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2. Only images work!
Marketing (& everything) is a battle
for share of mind
Mind remembers only pictures.
– Car
– Bedroom
– My Life’s highlights
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What will this love story tell?
1. Why Models?
2. Why Images?
3. Marketing 101 concepts
4. All concepts in 1 visual framework
5. 21st Century Realities
6. Picture & Win!
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Food example
To understand Needs, Wants & Demands.
Need Basic necessity
Feel deprived if this is
absent
Food
Want Given choices, this is
what you prefer
Chicken,
Burger, Steak
dinner
Demand A want that is supported
by a decision and
capacity to buy
Only burger
is within my
budget!
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Maslow’s Hierarchy of Needs=
a basic, constant reference
Self-
Actualization
Esteem Needs
(Recognition,
Status)
Social Needs (sense of
belonging, love)
Safety Needs (security,
protection)
Physiological needs (food, water,
shelter)
Reference: Marketing Management, 11th ed, Philip Kotler
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N Needs= basic requirements;
feel deprived without it
Wants= choices
preferred answer to a need
Demands=
wants + purchase
capability
AB, 1% of
populaton
C
14%
DE ,
85%
Recognize difference in demand
between SEC (socioeconomic classes)
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N Needs= basic requirements;
feel deprived without it
Wants= choices
preferred answer to a need
Demands=
wants + purchase
capability
AB, 1% of
populaton
C
14%
DE ,
85%
Class AB can “figuratively” buy Maslow,
Class DE must focus on basic needs
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Other factors*:
1. Location/ neighborhood
2. Durability (concrete, wood)
3. Maintenance (paint, garden)
4. Ownership (own/rent?)
5. Educational Attainment
6. Occupation
7. Facilities (cars, appliances)
8. Household help
Income is only 1 major
consideration in Philippine SEC*
*Criteria for SEC Socio Economic Classification of Homes,
TNS, Revised January 2007
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Other factors*:
1. Location/ neighborhood
2. Durability (concrete, wood)
3. Maintenance (paint, garden)
4. Ownership (own/rent?)
5. Educational Attainment
6. Occupation
7. Facilities (cars, appliances)
8. Household help
How do I transform SEC to
actionable “demand”?
*Criteria for Socio Economic Classification of Homes, TNS, Revised January 2007TIP: To remember income cut-off,
think Philippine Peso bills
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1. AB market is small but attractive
2. Some products- cheaper to market to just “A to
AAA” market
3. Middle Class is source of critical mass for most
products
4. Middle Class needs to grow (DE to C)
Bottomline realities in
Philippine market
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1. Can technology or marketing create
a need?
2. Do customers buy based on need or
want?
Pop quiz
No. The need will always be there.
Often, technology allows the need
to be addressed in a different way.
Customers buy based on want. How many shoes do you
need? How many shoes do you actually have? If
people buy based on need alone, we would have a
small world economy.
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Always consider 3 Strategic Cs
Customers
– The customer is not always right!
Company
– You are in business for the long term
Competition
– Benchmark performance
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When is there a market opportunity?
When a GAP exists for
customers needs, wants & demands
Between what the company can supply
And what competition offers
GAP
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4 Steps in addressing market
opportunities
1. Determine total market Size
– Big to matter, small to handle
2. Divide into market Segments
– Similar Needs, Wants, Demands
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4 Steps in addressing market
opportunities
1. Determine total market Size
– Big to matter, small to handle
2. Divide into market Segments
– Similar Needs, Wants, Demands
3. Choose primary Target market
– Focus limited resources
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4 Steps in addressing market
opportunities
1. Determine total market Size
– Big to matter, small to handle
2. Divide into market Segments
– Similar Needs, Wants, Demands
3. Choose primary Target market
– Focus limited resources
4. Position
– Use 4 Ps to hit Primary Target Market
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1. Determine total market Size
– Big to matter, small to handle
2. Divide into market Segments
– Similar Needs, Wants, Demands
3. Choose primary Target market
– Focus limited resources
4. Position
– Use 4 Ps to hit Primary Target Market
Steps 2 to 4: STP
Segment. Target. Position
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1. Determine total market Size
– Big to matter, small to handle
2. Divide into market Segments
– Similar Needs, Wants, Demands
3. Choose primary Target market
– Focus limited resources
4. Position
– Use 4 Ps to hit Primary Target Market
Steps 2 to 4: STP
Segment. Target. Position
SToP before you do anything!
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1. Determine total market Size
– Big to matter, small to handle
2. Divide into market Segments
– Similar Needs, Wants, Demands
3. Choose primary Target market
– Focus limited resources
4. Position
– Use 4 Ps to hit Primary Target Market
Steps 2 to 4: STP
Segment. Target. Position
Ready. Aim. Fire!
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Personal communication feels
like 1 on 1, customized
1. Sales Promotion
2. Advertising
3. Public Relations
4. Events and
Experiences
1. Direct Marketing
2. Interactive
Marketing
3. Personal Selling
4. Word of Mouth
Mass Personal
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Sales Promo: Buy Now!
Not Tomorrow; Close out competition
1. Sales Promotion
2. Advertising
3. Public Relations
4. Events and
Experiences
1. Buy Now
4 Mass Communication Modes
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PR: The Ali- buy
Activities not directly relate to a sale
1. Sales Promotion
2. Advertising
3. Public Relations
4. Events and
Experiences
1. Buy Now!
2. Why Buy?
3. The Alibi
4 Mass Communication Modes
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Events and Experiences are
stored as memories & feelings
1. Sales Promotion
2. Advertising
3. Public Relations
4. Events and
Experiences
4 Mass Communication Modes
1. Buy Now!
2. Why Buy?
3. The Alibi
4. Buy memories!
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Interactive Marketing=
Technology enabled Direct Response
1. Buy/Respond to a call,
mail, catalog
2. Buy/Respond to SMS,
email, website
1. Direct Marketing
2. Interactive
Marketing
3. Personal Selling
4. Word of Mouth
4 Personal Communication Modes
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Personal Selling=
1 on 1: Buy from a salesperson
1. Buy/Respond to a call,
mail, catalog
2. Buy/Respond to SMS,
email, website
3. 1 on 1 buy
1. Direct Marketing
2. Interactive
Marketing
3. Personal Selling
4. Word of Mouth
4 Personal Communication Modes
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Word of Mouth=
It must be good if I or my friends say it
1. Buy/Respond to a call,
mail, catalog
2. Buy/Respond to SMS,
email, website
3. 1 on 1 buy
4. My friends bought!
1. Direct Marketing
2. Interactive
Marketing
3. Personal Selling
4. Word of Mouth
4 Personal Communication Modes
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Here’s why landlines are dying.
Features New cellphones are wireless,
small, affordable, long battery
life and lightweight
Advantage 75 million Filipinos always carry
it around.
Benefit Easier to keep in touch with the
right person anytime all the
time.
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Vision is taking a step back from
the trees- to see the forest.
The only difference here is perspective !
FRH=15
FCW=2
Zoom=15
Trees
Forest
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Consider 5 factors about the
company when analyzing
opportunities
3 Consistency with Company Goals,
and Objectives
5 factors
1 Vision
2 Mission
3 Goals and
Objectives
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Consider 5 factors about the
company when analyzing
opportunities
3 Harmony with Business Portfolio
(Range of Products & Resources)
5 factors
1 Vision
2 Mission
3 Goals and
Objectives
4 Business
Portfolio
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Consider 5 factors about the
company when analyzing
opportunities
4 Company’s strategies and tactics to
take advantage of the opportunity
5 factors
1 Vision
2 Mission
3 Goals and
Objectives
4 Business
Portfolio
5 Strategies
and Tactics
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Stop, Look, Listen at Competition
when analyzing opportunities
Porter’s 5 Forces Model
( Industry Threats)
Power of Power of Barriers to Substitution Competitive
Suppliers Customers Entry Reaction
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Needs, Wants and Demands
Especially if they can be better met by
the Company
Company must be able to
communicate and deliver benefits
better
For customer, what do we
consider for evaluating
opportunities?
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In the end, there are only
4 Generic Winning Strategies
Low Cost Producer
Differentiate
Supply & Distribution Niche
Leverage
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In the end, there are only
4 Generic Winning Strategies
1. Be LOWEST Cost Producer:
Sell at lowest price
Sell at same price but get more profit
But, only 1 company can be LOWEST Cost!
(not an option for most)
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In the end, there are only
4 Generic Winning Strategies
2. Gain Supply and/or
Distribution
Leverage
Develop a competitive advantage
Before or after product is made
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In the end, there are only
4 Generic Winning Strategies
3. Differentiate
Be different
Have added value
In things that are important and relevant
to the customer
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In the end, there are only
4 Generic Winning Strategies
4. NICHE
Be the absolute BEST
In a very narrow segment (niche)
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What will this love story tell?
1. Why Models?
2. Why Images?
3. Marketing 101 concepts
4. All concepts in 1 visual framework
5. 21st Century Realities
6. Picture & Win!
122. www.josephdeungria.com
What will this love story tell?
1. Why Models?
2. Why Images?
3. Marketing 101 concepts
4. All concepts in 1 visual framework
5. 21st Century Realities
6. Picture & Win!
124. www.josephdeungria.com
Outline:
21st century marketing is…
The Same in 5 aspects:
1. Important to business success
2. Understands and meets needs
3. Meeting needs profitably
4. Manages Demand
5. Used for 10 entities
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21st Century Same Concept 1:
Marketing is important for
business success
• Delivers top-line growth (revenue)
• Customer retention/ loyalty
communicating and
creating,
delivering value to
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Needs are still basic,
universal human
requirements.
Respond to 5 Types
of needs:
1. Stated
2. Unstated
3. Real
4. Delight
5. Secret
Basic needs have not changed.
No NEED added or deleted.
21st Century Same Concept 2:
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1. Globalization
2. Technology
3. Deregulation
4. Privatization
5. More Competition
6. Industry Convergence
7. Consumer resistance
8. Retail Transformation
21st Century Marketing Difference 1:
Competition increased due to
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1. Globalization
2. Technology
3. Deregulation
4. Privatization
5. More Competition
6. Industry Convergence
7. Consumer resistance
8. Retail Transformation
The Following changed
or disappeared:
Economic Boundaries
Brick and Mortar
Business Rules
Monopolies & Dinosaurs
Way of Doing Business
21st Century Marketing Difference 1:
Competitive Rules changed!
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1. Buying Power
2. Choices
3. Information
4. Voice
EASIER
5. Ordering
6. Comparison
Customer is a more
powerful KING
INCREASED
21st Century Marketing Difference 2:
Customers are more powerful
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1. Internet
1. Sales Channel
2. Research
3. On and Off-line buzz
4. Blogs
5. Purchasing savings
2. Niche magazines
3. Mobile
21st Century Marketing Difference 3:
Companies have more
capabilities too!
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Must cover:
1. Customers (develop long term relationships)
2. Company (internal customers, employees, 4Ps)
3. Competition (performance)
21st Century Marketing Difference 4:
Marketing has to be HOLISTIC
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Outline:
21st century marketing is…
1. Important to business success (why?)
2. Meeting demands profitably (what?)
3. Used for everything (for what?)
4. Involves everybody (who?)
5. Is Constantly Changing
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21st Century Marketing….
Is Holistic
NEEDS,
WANTS,
DEMANDS
PROFITABLY
Business
Success
CHANGING
MANAGES DEMANDS
Product
Prom
o
Price
Place
POSTIONS with Br ANDS
HOLE- Stick
EVERYBODY
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21st Century Marketing…. 7 Tasks
1 Develop Plans
NEEDS,
WANTS,
DEMANDS
PROFITABLY
Business
Success
CHANGING
MANAGES DEMANDS
Product
Prom
o
Price
Place
POSTIONS with Br ANDS
HOLE- Stick
7 TASKS
PLANeS
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21st Century Marketing…. 7 Tasks
2 Captures Insights
NEEDS,
WANTS,
DEMANDS
PROFITABLY
Business
Success
CHANGING
MANAGES DEMANDS
Product
Prom
o
Price
Place
POSTIONS with Br ANDS
HOLE- Stick
7 TASKS
DEVELOPS PLANeS
CAPTURES Insights
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21st Century Marketing…. 7 Tasks
3 Connects with Customers
NEEDS,
WANTS,
DEMANDS
PROFITABLY
Business
Success
CHANGING
MANAGES DEMANDS
Product
Prom
o
Price
Place
POSTIONS with Br ANDS
HOLE- Stick
7 TASKS
DEVELOPS PLANeS
CAPTURES Insights
CONNECTS WITH
CUSTOMERS
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21st Century Marketing…. 7 Tasks
4 Builds Strong Brands
NEEDS,
WANTS,
DEMANDS
PROFITABLY
Business
Success
CHANGING
MANAGES DEMANDS
Product
Prom
o
Price
Place
POSTIONS with Br ANDS
HOLE- Stick
7 TASKS
DEVELOPS PLANeS
CAPTURES Insights
CONNECTS WITH
CUSTOMERS
BUILDS BRANDS
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21st Century Marketing…. 7 Tasks
5 Shapes Market Offerings
NEEDS,
WANTS,
DEMANDS
PROFITABLY
Business
Success
CHANGING
MANAGES DEMANDS
Product
Prom
o
Price
Place
POSTIONS with Br ANDS
HOLE- Stick
7 TASKS
DEVELOPS PLANeS
CAPTURES Insights
CONNECTS WITH
CUSTOMERS
BUILDS BRANDS
SHiPs OFFERING
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21st Century Marketing…. 7 Tasks
6 Communicates & Delivers Value
NEEDS,
WANTS,
DEMANDS
PROFITABLY
Business
Success
CHANGING
MANAGES DEMANDS
Product
Prom
o
Price
Place
POSTIONS with Br ANDS
HOLE- Stick
7 TASKS
DEVELOPS PLANeS
CAPTURES Insights
CONNECTS WITH
CUSTOMERS
BUILDS BRANDS
SHiPs OFFERING
COMMUNICATES AND
DELIVERS VALUE
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21st Century Marketing…. 7 Tasks
7 Creates Long Term Growth
NEEDS,
WANTS,
DEMANDS
PROFITABLY
Business
Success
CHANGING
MANAGES DEMANDS
Product
Prom
o
Price
Place
POSTIONS with Br ANDS
HOLE- Stick
7 TASKS
DEVELOPS PLANeS
CAPTURES Insights
CONNECTS WITH
CUSTOMERS
BUILDS BRANDS
SHiPs OFFERING
COMMUNICATES AND
DELIVERS VALUE
LONG
TERM
GROWTH
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What will this love story tell?
1. Why Models?
2. Why Images?
3. Marketing 101 concepts
4. All concepts in 1 visual framework
5. 21st Century Realities
6. Picture & Win!
167. www.josephdeungria.com
6. Picture & Win!
Marketing:
1. Has a lingo/ language
2. Is effective using visual model
– 10 x better than common sense
– Can be remembered forever
3. Can make your brand (YOU)
better!
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