Marketing Revolution

Citation

Clarke, I. (2006), "Marketing Revolution", Journal of Consumer Marketing, Vol. 23 No. 3, pp. 171-172. https://doi.org/10.1108/07363760610663330

Radical changes in global market structure and information technology have led to an essential transformation in consumer behavior, creating a market environment heretofore unspecified to modern marketers. The consumer's variety and level of choice for both products and services is unparalleled at any time in history. Consequently, the authors of Marketing Revolution contend that because of the macro‐environmental changes in the marketplace, the “one size fits all” mentality of marketing is uneconomic and ineffective. Consumers' responses to mass advertising and standardized marketing approaches have become mediocre at best. Service expectations have soared to a level where only the finest experience in a particular category is acceptable. Meeting these enhanced expectations can be challenging given the hyper‐competitive marketplace, demand for differentiation, and pressures on margins. Consequently, the authors argue that a new model of marketing is required – a model with a focus on the customer imperative.

The revolution in marketing begins and ends with the customer experience. The customer experience is defined as “the blend between a company's physical performance and the emotions that evokes” (p. 52). A “customer insight manager” is responsible for the organization and administration of the interaction between the company's product and services and the customer. Since lasting perceptions and emotions are formed from each experience, the advocacy and commitment to the brand will be determined by each and every experience. Even one poor experience with the brand, at any level of the distribution channel, can result in as great as 59 percent of customers rejecting that brand for future consideration. Ogilvy reports a direct correlation between customer bonding, value and brand leadership (p.53). In the end, effectively managing the customer experience may prove to be the key to long‐term financial success for a given brand.

In this book, the authors provide a specific model for designing and managing the customer experience. Chapters 1‐3 describe the need for further customer insight, the call for a new marketing model and the consequences of inaction. Chapters 4‐6 discuss the importance of strategic planning, segmentation and the “living brand” within the marketing revolution. Value‐based and time‐based segmentation, from data fusion, are advocated as possible procedures in the development of a consumer‐centric brand. Chapter 7 builds the case for customer relationship management (CRM) to remain at the center of the marketing function. Chapters 8‐10 discuss the implementation of a customer‐focused revolution into corporate action plans, operational analytics, and planning action. Chapter 11 asks: “Are marketers smarter than frogs?” in adjusting to change. This chapter offers some practical recommendations for having more people, across the entire organization, involved in the customer experience. The marketing revolution is only possible if customer relations become embedded within the overall corporate culture. The final chapter offers three short cases where companies have revolutionized their business approaches through segmentation and designing customer loyalty plans.

Overall, the book makes a compelling argument that traditional marketing models may not be maximizing the revenue potential for an organization. While engaging the customer and cultivating a customer experience are not revolutionary marketing concepts in themselves, the book is quite effective at illustrating how modern marketing technologies can be employed to manage the lifetime value of each customer. A gripping case is made, through the use of rich corporate examples, for the “customer experience” to become the top priority for everyone within the organization – not just the marketing or sales departments. This book appeals to both the academic and practitioner in that it effectively reinforces the need for meticulous customer insight in the creation of a comprehensive customer experience. The amiable writing style, abundance of relevant examples, useful graphics and practical action plans make this an excellent introduction to CRM in a modern marketing strategy.