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The Marketing Book

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The Marketing Book Fifth Edition Edited by MICHAEL J. BAKER OXFORD AMSTERDAM BOSTON LONDON NEW YORK PARIS SAN DIEGO SAN FRANCISCO SINGAPORE SYDNEY TOKYO

Butterworth-Heinemann An imprint of Elsevier Science Linacre House, Jordan Hill, Oxford OX2 8DP 200 Wheeler Road, Burlington MA 01803 First published 1987 Reprinted 1987, 1990 (twice) Second edition, 1991 Reprinted 1992, 1993 Third edition, 1994 Reprinted 1995, 1997 Fourth edition 1999 Reprinted 2000, 2001 Fifth edition, 2003 Copyright 2003 Michael Baker. All rights reserved Copyright 2003 contributors of individual chapters. All rights reserved The right of Michael Baker and the individual contributors to be identified as the authors of this work has been asserted in accordance with the Copyright, Designs and Patents Act 1988 No part of this publication may be reproduced in any material form (including photocopying or storing in any medium by electronic means and whether or not transiently or incidentally to some other use of this publication) without the written permission of the copyright holder except in accordance with the provisions of the Copyright, Designs and Patents Act 1988 or under the terms of a licence issued by the Copyright Licensing Agency Ltd, 90 Tottenham Court Road, London, England W1T 4LP. Applications for the copyright holder’s written permission to reproduce any part of this publication should be addressed to the publisher British Library Cataloguing in Publication Data A catalogue record for this book is available from the British Library Library of Congress Cataloguing in Publication Data A catalogue record for this book is available from the Library of Congress ISBN 0 7506 5536 4 For information on all Butterworth-Heinemann publications visit our website at: www.bh.com Composition by Genesis Typesetting, Rochester, Kent Printed and bound in Great Britain

Contents List of illustrations List of tables List of contributors Preface to the fifth edition Part One Organization and Planning for Marketing 1 2 xv xix xxiii xxxiii 1 One more time – what is marketing? Michael J. Baker 3 Introduction Marketing as a managerial orientation Marketing myopia – a watershed Life cycles and evolution Marketing misunderstood The marketing function Relationship marketing Summary References Further reading 3 4 5 7 8 9 11 14 15 15 Postmodern marketing: everything must go! Stephen Brown 16 Grand opening offer No down payment Money back guarantee Batteries not included Limited time only One careful owner This way up Open other side Closing down sale References Further reading 16 17 18 19 22 24 25 27 28 29 31

vi 3 4 5 Contents Relationship marketing Lisa O’Malley and Caroline Tynan 32 Introduction Relationship marketing defined History of relationship marketing Focal relationships Models of relationship development Critique and emerging issues Conclusion References 32 33 34 39 40 44 47 48 The basics of marketing strategy Robin Wensley 53 Strategy: from formulation to implementation The nature of the competitive market environment The codification of marketing strategy analysis in terms of three strategies, four boxes and five forces The search for generic rules for success amidst diversity Models of competition: game theory versus evolutionary ecology Characterizing marketing strategy in terms of evolving differentiation in time and space Research in marketing strategy: fallacies of free lunches and the nature of answerable research questions The recourse to processes, people and purpose in marketing as well as strategy as a whole The new analytics: resource advantage, co-evolution and agent-based modelling Conclusions: the limits of relevance and the problems of application References and further reading 53 55 Strategic marketing planning: theory and practice Malcolm McDonald Summary Introduction 1 The marketing planning process 2 Guidelines for effective marketing planning 3 Barriers to marketing planning Summary References Further reading Part Two The Framework of Marketing 6 58 60 62 66 70 75 80 81 82 87 87 87 90 101 109 115 116 116 117 Consumer decision making: process, level and style Gordon R. Foxall 119 Introduction The consumer decision process Levels of consumer involvement 119 121 125

Contents 7 8 9 vii Consumers’ decision styles Implications for marketing management Summary and conclusion References Further reading 127 132 138 138 140 Business-to-business marketing: organizational buying behaviour, relationships and networks Peter W. Turnbull and Sheena Leek 142 Introduction The realities of business markets Organizational buying structures Models of organizational buying behaviour Conclusion References Further reading 142 144 144 152 165 166 169 Marketing research John Webb 171 Introduction Definitions of the role of marketing research Types of research The process of marketing research Secondary data Quantitative primary data Questionnaires and their design Qualitative research methods The research process and measurement Attitudes and their measurement Sampling Analysis of the results Presentation of the final report Conclusion References 171 172 173 174 175 177 180 180 184 186 189 192 194 195 195 Quantitative methods in marketing Luiz Moutinho and Arthur Meidan 197 Introduction Multivariate methods Regression and forecasting techniques Statistical decision theory or stochastic methods Deterministic operational research methods Causal models Hybrid models Network programming models 197 200 206 219 226 235 236 237

viii 10 Contents Conclusion References Further reading 240 241 244 Market segmentation Martin Evans Chapter objectives Introduction Historical perspective Segmentation criteria and categories ‘Traditional’ segmentation bases Data-driven segmentation Targeting Positioning Conclusions Review questions References Further reading 246 246 246 247 248 249 258 276 278 280 280 281 282 Part Three Managing the Marketing Function 285 11 Managing the marketing mix Peter Doyle 287 Introduction The traditional approach to the marketing mix The accounting approach to the marketing mix Value-based marketing The marketing mix and shareholder value Making marketing mix decisions Summary References Further reading 287 288 289 291 294 298 311 312 313 New product development Susan Hart 314 Introduction The process of developing new products The stages of the new product development process Usefulness of models The multiple convergent approach Managing the people in NPD Summary References Further reading 314 314 316 322 331 333 338 338 341 12

Contents 13 14 15 16 ix Pricing Adamantios Diamantopoulos 342 Introduction Is price really that important? The drivers of profit: price, volume and cost Price from the customer’s perspective Understanding price sensitivity Conclusion References 342 344 345 348 351 356 356 Selling and sales management Bill Donaldson 360 Introduction The changing role of salespeople The costs of personal selling What we expect salespeople to do – the sales process Sales management issues Conclusion References Further reading 360 360 362 363 366 369 370 370 Brand building Leslie de Chernatony 372 Introduction Spectrum of brand interpretations A model for strategically building brands Summary References Further reading 372 373 383 392 393 394 The integration of marketing communications Tony Yeshin 395 The blurring of the edges of marketing communications The strategic challenges facing organizations Strategic marketing communications The integration of marketing communications Defining integrated marketing communications The impact of external factors on marketing communications The driving forces behind the growth of integrated marketing communications The impact on marketing communications Relationship marketing The benefits of integrated marketing communications 395 396 396 397 397 400 404 405 406 407

x 17 18 Contents The process of achieving integration Organizational approaches to integration The barriers to integration The consumer and integrated marketing communications International dimensions of integrated marketing communications Integrated marketing communications – a summary References 409 410 413 414 415 416 417 Promotion Keith Crosier 419 Introduction The promotional mix The promotional budget Deploying the promotional mix Developing the message Delivering the message The medium and the message A mix within a mix: synergy or counter-synergy? Pulling it all together: the promotional plan From the plan to the brief The actors in the system Working relationships Choosing the collaborator Remunerating the working partner Measuring campaign effectiveness Understanding the context References 419 419 426 429 432 433 436 436 437 439 439 441 443 445 449 451 455 Sales promotion Sue Peattie and Ken Peattie 458 Introduction Sales promotion defined Understanding sales promotion – a tale of price and prejudice Sales promotion and advertising – the line and the pendulum The growing importance of sales promotion Consumers and sales promotion Communicating through sales promotions Building relationships through promotions Sales promotion’s role in the marketing mix Sales promotions – the most manageable P? Sales promotions mismanagement The future of sales promotion Summary – the changing concept of sales promotion References Further reading 458 458 459 465 467 469 471 473 474 475 475 477 479 481 483

Contents 19 20 21 xi Integrating customer relationship management and supply chain management Martin Christopher and Adrian Payne 485 Introduction The decline of the brand: the need for integrated CRM and SCM strategies Competing through capabilities A strategic framework for CRM Supply chain management The impact of superior SCM performance CRM and SCM: their role in improving customer service Developing market-driven CRM and SCM strategies Summary: changing the marketing focus References Further reading 485 485 487 490 494 496 497 499 501 502 502 Controlling marketing and the measurement of marketing effectiveness Keith Ward 504 Introduction: scope and content of the chapter Potential for conflict A market-focused mission A sustainable competitive advantage Investing in developing a sustainable competitive advantage Marketing assets: development and maintenance expenditures The financial planning and control process Brand-led strategies Customer-led strategies Product-based strategies Organizational structures: marketing finance managers Summary References Further reading 504 505 507 509 511 513 515 519 522 525 528 528 529 529 Marketing implementation, organizational change and internal marketing strategy Nigel F. Piercy 531 Introduction Organizational stretch and implementation capabilities Marketing organization and implementation capabilities Identifying implementation problems in marketing Implementation barriers in marketing Marketing implementation and internal marketing strategy Conclusions References Further reading 531 534 536 543 547 550 556 558 560

xii Contents Part Four 22 23 24 The Application of Marketing 563 What are direct marketing and interactive marketing? Graeme McCorkell 565 Introduction Selling direct to the end customer Multichannel marketing Direct marketing is more than selling direct Direct marketing: a new definition Direct marketing and Pareto’s principle Principles of direct marketing What is interactive marketing? Ten ways in which interactive marketing is different The direct and interactive marketer’s information system Data warehousing, CRM and e-CRM Limitations of the customer information system References Further reading 565 565 567 568 569 569 571 573 575 576 580 583 584 584 The marketing of services Adrian Palmer 585 Introduction The development of the service economy Services and consumer value What are services? Classification of services The services marketing mix Managing the marketing effort Summary References Further reading 585 585 587 588 591 598 606 607 607 608 International marketing – the issues Stanley J. Paliwoda 610 Overview Why market abroad? What are the driving forces? Situational or environmental analysis Differences between domestic and international marketing Operationalization Continuing and future challenges Maintaining a sustainable advantage Conclusions References Further reading Useful international marketing websites 610 610 618 621 627 629 629 630 632 634 635

Contents 25 26 27 28 xiii E-marketing Dave Chaffey 637 Introduction What is e-marketing? E-marketing planning Summary References 637 637 642 666 667 Cause-related marketing: who cares wins Sue Adkins 669 Introduction Cause-related marketing defined Cause-related marketing in context Models Towards excellence Case studies Summary References Further reading 669 669 671 676 680 686 690 692 692 Social marketing Lynn MacFadyen, Martine Stead and Gerard Hastings 694 Introduction Why do social marketing? The development of social marketing Defining social marketing Departures from commercial marketing Segmentation in social marketing The social marketing mix Ethical challenges Conclusion References Further reading Websites 694 694 695 697 703 708 714 719 719 720 725 725 Green marketing Ken Peattie and Martin Charter 726 Introduction Green marketing in context Reconceputalizing the marketing environment The greening of marketing strategy Competitive advantage and the environment The green consumer Eco-performance Going green – the philosophical challenge 726 727 729 734 735 736 738 739

xiv 29 30 Contents Going green – the management challenge The practical challenge – greening the marketing mix The future of green marketing References Further reading 742 746 752 753 755 Marketing for small-to-medium enterprises David Carson 757 Introduction Characteristics of SMEs Characteristics of entrepreneurs/owners/managers Incompatibility of marketing theory to SMEs Nature of SME marketing SME marketing based on strengths Conclusion: a model of SME marketing Acknowledgements References Further reading 757 758 759 760 761 765 773 774 774 775 Retailing Peter J. McGoldrick 776 Introduction Evolution of retailing Types of retail organization Major retail formats Retailing strategy Retail functions Internationalization of retailing Non-store retailing References 776 777 779 781 785 790 799 802 804 Index 807

Illustrations 1.1 3.1 3.2 4.1 4.2 4.3 4.4 4.5 5.1 5.2 5.3 5.4 5.5 5.6 5.7 6.1 6.2 6.3 7.1 7.2 7.3 7.4 9.1 9.2 9.3 9.4 9.5 9.6 9.7 9.8 10.1 10.2 The product life cycle Disciplinary roots of relationship marketing The relational exchanges in marketing relationships The early 1970s perspective on the marketing context The marketing strategy triangle of the 3Cs The strategic triangle A scatter plot of 500 databases (notional observations) Cohort means Overview of marketing The ten steps of the strategic marketing planning process Planning formalization Four key outcomes Hierarchy of audits Strategic and operational planning Business success Consumer information processing Initiators and imitators Decision styles of market initiators The Sheth model of organizational buying behaviour The Webster and Wind model of organizational buying behaviour The main elements of the interaction model Interconnected relationships in a simplified network The main quantitative methods in marketing – a taxonomy Hierarchical clustering of variables associated with a marketing strategy for hotels Procedural steps for correspondence analysis External perceptions of the different grade levels on the issue of identifying customer needs Plot of the OLS regression equation Venn diagram representing multivariate OLS regression A self-organizing map. Connections operate between all inputs and all Kohonen nodes Output of logistic equation for varying r The use of geodemographics Software for segmentation metrics 6 39 41 55 56 59 71 72 88 91 98 98 100 100 109 122 129 134 154 156 159 162 199 202 204 205 208 209 221 240 262 267

xvi 10.3 10.4 10.5 10.6 10.7 10.8 11.1 11.2 11.3 11.4 11.5 11.6 11.7 12.1 12.2 12.3 12.4 12.5 12.6 13.1 13.2 15.1 15.2 15.3 15.4 15.5 15.6 15.7 15.8 15.9 15.10 15.11 15.12 15.13 15.14 15.15 17.1 17.2 17.3 17.4 17.5 18.1 18.2 18.3 18.4 18.5 Illustrations MOSAIC profiles of customers who have purchased both A and B GIS data fusion Data mining model Targeted segments and differential treatment according to Offer and Creative, together with Control Groups Loyalty segments Travel agencies: service needs The marketing mix Alternative approaches to the marketing mix Brands within the resource-based theory of the firm Pricing and economic value to the customer Customized pricing Pricing and the Prisoner’s Dilemma How to obtain higher prices The Booz Allen Hamilton model of new product development The Stage–Gate process The Galileo process Iteration in the NPD process The multiple convergent process NPD structure The determinants of profit The road to profit Corporate versus line branding A balanced perspective on brand positioning Choosing a brand to match self How values influence behaviour The components of brand identity Brand management through minimizing gaps The interactive process to develop a relationship which reinforces the brand’s values The process of building and sustaining brands The three components of a brand’s vision The brand as an amalgam of category values and its own unique values The three levels of culture Assessing the suitability of the current culture The five forces of the brandsphere Brand pyramid summarizing the nature of the brand promise The atomic model of the brand The promotional mix The message development process The message delivery process The four parties to the advertising transaction Choosing a working partner Sales promotion targets Satisfaction chain The sales promotion planning process Promotions and the marketing mix: a sequential model The roles of promotion in converting consumers 268 270 272 273 275 279 287 290 299 304 305 306 307 315 316 320 328 332 336 346 347 374 377 378 379 380 381 383 383 384 386 387 387 388 390 391 420 432 434 440 443 459 464 465 470 471

Illustrations xvii 18.6 19.1 19.2 19.3 19.4 19.5 19.6 19.7 19.8 19.9 20.1 20.2 474 486 488 490 490 491 495 497 498 501 508 Promotions and the marketing mix: an integrated model The convergence of marketing and supply chain management Processes cut across conventional functions The shift from functions to processes The CRM and SCM processes Strategic framework for CRM The move towards trade marketing SCM and CRM: the linkages Better customer retention impacts long-term profitability Customers take control in an on-line world Risk-adjusted required rate of return Economic value-adding strategies – utilizing a strong sustainable competitive advantage 20.3 Use of entry barriers 20.4 Very simple business model 20.5 Potential strategic thrusts of businesses (based on the Ansoff matrix) 20.6 Diversification using the Ansoff matrix 20.7 Relationship of marketing expenditure and effectiveness 20.8 Customer-led strategies: maximizing the value of existing customers 20.9 Customer account profitability analyses: illustrative example for an FMCG company selling through retailers 20.10 Product-led strategies: maximizing value of existing products 20.11 Direct product profitability analyses: illustrative example of a manufacturing company’s DPP analysis 20.12 Life cycle costing techniques: strategic use of experience curves in setting prices 21.1 Organizational stretch and implementation capabilities 21.2 The process of going to market 21.3 Value processes in marketing replacing marketing departments 21.4 Strategic intent versus strategic reality 21.5 Analysing strategic gaps 21.6 Testing marketing strategies 21.7 Internal and external marketing strategy 22.1 Analysis of postal donors to charity 22.2 Targeting, interaction, control and continuity (TICC) 22.3 The process of direct marketing 22.4 The customer marketing database 22.5 The customer marketing database answers six questions 22.6 The data warehouse 23.1 An illustration of the goods–services continuum 23.2 An analysis of the output of a train service using Shostack’s ‘molecular model’ 23.3 Points of convergence between the goods and services sectors 23.4 An analysis of the product offer of an insurance policy, comprising core and secondary levels of service offer 24.1 Market internationalization 25.1 Options for on-line communications between an organization and its customers 25.2 UK rates of adoption of new media 25.3 Proportion of organizations with Internet access 509 510 515 518 519 521 523 524 525 526 527 535 538 539 544 546 550 552 570 572 577 578 578 581 592 593 594 600 613 640 643 644

xviii 25.4 25.5 25.6 25.7 25.8 25.9 25.10 25.11 25.12 26.1 27.1 27.2 27.3 27.4 28.1 28.2 28.3 29.1 29.2 29.3 29.4 30.1 30.2 30.3 30.4 30.5 30.6 30.7 30.8 30.9 30.10 30.11 30.12 Illustrations Percentage of on-line purchasers in the six months to November 2000 Key metrics indicating the efficiency of web marketing in attracting and converting visitors to customers An example of objective targets for direct and indirect on-line revenue contribution Alternative perspectives on business and revenue models Alternative buying modes Alternative representation locations for on-line purchases Alternatives for balance between expenditure on e-marketing promotion Alternative options for investment in on-line and off-line traffic building Key metrics from the Chaffey (2001) framework for assessing e-marketing effectiveness An organization and its stakeholders Definitions of social marketing A social marketing plan for road safety Addressing the context of social marketing – four types of social marketing activity The social marketing product The physical environment as the foundation of the marketing environment Components of environmental performance A washing machine’s life cycle Situation specific marketing Marketing in context – common characteristics Marketing in context – SME hotel marketing A model of SME marketing The retail growth cycle The retail life cycle Dimensions of retail image Determinants of international image The value equation Waves of emphasis in retail strategy Widening the retailer–supplier interface The dimensions of retail pricing Influences of retail environments Benefits of training Vicious or virtuous spirals Driving forces and impacts of e-shopping 644 648 649 652 658 659 661 662 666 673 698 701 703 705 729 740 746 764 767 768 773 777 778 786 787 788 789 792 794 797 799 801 803

Tables 1.1 2.1 2.2 2.3 2.4 3.1 3.2 5.1 5.2 5.3 5.4 6.1 6.2 7.1 Comparison matrix of research approaches to marketing exchange relationships Postmodern conditions and their main themes Anything but the present Hurray for Planet Hollywood Modern and postmodern research approaches Process models of relationship development Summary of variables of relationship success models Conducting an audit What should appear in a strategic marketing plan Change and the challenge to marketing Barriers to the integration of strategic marketing planning Summary of the results Decision styles of market segments Percentage of respondents finding each source important by stage in the buying process 7.2 Importance of different criteria in evaluating products 7.3 The buygrid model 7.4 Key factors affecting organizational buying decisions 8.1 Comparison of qualitative and quantitative research methods 9.1 Main multivariate methods and their marketing applications 9.2 ANOVA 9.3 Coefficients 9.4 Model, block and step data 9.5 Classification table for SH TESC 9.6 Variables in the equation 9.7 Regression, automatic interaction detection and discriminant analysis – a comparison 9.8 Uses of simulation and fuzzy sets in marketing (the method, advantages, limitations and when recommended to use) 9.9 Applications of artificial intelligence methods in marketing (basic content, advantages, limitations and when recommended to use) 9.10 Applications of statistical decision theory or stochastic methods in marketing (approaches, advantages, limitations and when recommended to use) 9.11 Example of a decision table 9.12 Some major deterministic operational research techniques applicable in marketing (the methods, advantages, limitations and when recommended to use) 12 20 23 26 26 42 43 92 96 102 110 133 135 150 151 153 157 175 207 209 210 211 211 211 214 217 220 225 228 234

xx 9.13 9.14 10.1 10.2 10.3 10.4 10.5 10.6 10.7 10.8 11.1 11.2 11.3 11.4 11.5 12.1 12.2 12.3 12.4 12.5 13.1 13.2 14.1 15.1 17.1 17.2 17.3 17.4 17.5 18.1 18.2 18.3 20.1 20.2 20.3 21.1 21.2 21.3 22.1 22.2 25.1 25.2 25.3 25.4 Tables Applications of causal models in marketing (the techniques, advantages, limitations and when recommended to use) Applications of dynamic, heuristic and network programming in marketing (the methods, advantages, limitations and when recommended to use) Classification of segmentation variables Examples of lifestyle statements Toothpaste consumer benefit segments Person–situation segmentation ACORN ‘segments’ Type 8.22 academic centres, students and young professionals Contemporary ‘lifestyle’ research People UK Baker Company: shareholder value analysis Relative importance of brands and other assets Valuing the brand An illustration of skimming vs penetration pricing and shareholder value The effect of cutting the advertising budget Launch strategy decisions Analysis of the NPD process based on Booz Allen Hamilton (1982) Types of uncertainty The role of market information in achieving critical success factors Attributes of interfunctional co-ordination mechanisms Effects on profit of a 10 per cent improvement Impact of price elasticity on sales revenue Choice of communication: comparing advertising, direct marketing and personal selling Different interpretations of ‘brand’ The promotional mix: shares of UK total annual expenditure, 1997–2000 Methods for determining the promotional appropriation A promotional mix checklist Structure and content of the promotional plan The hierarchy-of-effects model of promotion Major forms of consumer promotions Recent trends and expenditure in US sales promotions The ‘compete using promotions’ checklist Shareholder value creation Field salesforce cost structure Share of voice (SOV) compared to share of market (SOM) Customer relationship management at IBM Internal marketing in a financial services organization Internal marketing in a computer company The direct model Tesco Clubcard Variations in on-line revenue contribution A stage model for e-business development On-line executions of different communications tools Summary of the strengths and weaknesses of different communications tools for promoting an on-line presence 236 238 249 254 257 257 259 261 264 265 295 299 302 304 310 323 324 326 330 334 346 351 363 373 425 428 430 438 450 462 468 478 508 517 521 540 554 555 567 568 645 647 660 660

xxi Tables 26.1 27.1 27.2 27.3 28.1 28.2 30.1 30.2 30.3 30.4 30.5 30.6 30.7 30.8 30.9 30.10 30.11 30.12 30.13 The 7Ps of cause-related marketing Types of social change, by time and level of society Major segmentation approaches The social marketing mix The evolution of environmental concern Stakeholder interest in product impacts Share held by top three multiples Concentration of retail trade Examples of voluntary (symbol) groups Co-operatives’ share of food trade Shopping centre space in Europe Department and variety stores Superstore/hypermarket shares of food sales Discounters and hypermarkets: financial models Retailer brand shares in Europe EDLP vs high–low pricing Major retail advertisers Major retailers with international involvement Home shopping shares of non-food sales 682 702 710 714 728 745 779 780 780 781 782 783 784 785 792 795 795 800 802

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Contributors Sue Adkins is the director and founder of the Cause Related Marketing Campaign at Business in the Community. Sue’s responsibility has been to define Cause Related Marketing and put it on the map in the UK. Sue and the Business in the Community Cause Related Marketing Campaign is acknowledged for having been fundamental in raising the awareness and understanding of Cause Related Marketing leading to its development in the UK. Sue is recognised as an international expert in this area and has spoken around the world at events ranging from national and international conferences, to sharing platforms with Government ministers and lecturing at universities and business schools, whilst acting as consultant to a variety of companies. She is the author of Cause Related Marketing: Who Cares Wins (Butterworth-Heinemann, 1999) and has contributed to numerous books and written hundreds of articles on the subject. Before joining Business in the Community, Sue worked for Sampson Tyrrell (now Enterprise IG), part of the WPP Group, and prior to this Sue was in marketing for InterCity, responsible for its business products portfolio, and worked for Boots plc in both buying and marketing. In her spare time, Sue is a school governor, the trustee of a charity and an obsessive Milliner. Michael J. Baker, TD, BA, BSc(Econ), Cert ITP, DBA, Hon. LL.D., DipM, FCIM, FCAM, FRSA, FSCOTVEC, FRSE, FAM is Emeritus Professor of Marketing at the University of Strathclyde where he founded the Department of Marketing in 1971. He served as Dean of the Strathclyde Business School from 1978 to 1984, Deputy Principal of the University from 1984 to 1991 and Senior Adviser to the Principal 1991–1994. He has served as Chairman of SCOTBEC, the Chartered Institute of Marketing and the Marketing Education Group, as a Governor of the CAM Foundation and Member of the ESRC and UGC. He is the author/editor of more than twenty books of which the best known are Marketing (Macmillan, 6th edition, 1996), Dictionary of Marketing and Advertising (Macmillan, 3rd edition, 1998), and Marketing Strategy and Management (Macmillan, 3rd edition, 1999). A member of numerou

Direct marketing and Pareto's principle 569 Principles of direct marketing 571 What is interactive marketing? 573 Ten ways in which interactive marketing is different 575 The direct and interactive marketer's information system 576 Data warehousing, CRM and e-CRM 580 Limitations of the customer information system 583 References 584 Further .

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