teachthe4ps.com - For instructors of marketing.

When we teach students about exchange rates, it helps to have some good examples of how the changes impact consumer buying power.  This article, “Japanese Splurge on Imports, Foreign Deals” (Wall Street Journal, November 28, 2010 - non-subscribers may have to link here).  In Japan, the yen has become very strong of late.  Consequently, many imported goods now cost 20-30% less than even just a few months ago.   This article offers examples useful in teaching exchange rates related to price and exporting.  It might also be a good example to use when discussing the economic dimension of the external market environment.

This article “When Nimble Firms Face A Winding Road” in Investor’s Business Daily talks about marketing strategy in fast-moving environments.  Examples include Netflix, HP, Boeing and counter-example, Kodak.  The examples might work well when discussing the external market environment, competition, technology, and marketing strategy planning.

This article in the British newspaper, The Guardian “Unilever unveils ambitious long term sustainability program” (November 15, 2010) describes Unilever’s Sustainable Living Plan.  The company outlined a 10-year plan to cut its carbon footprint as well as the water and waste impact of its products.

Interestingly, this comes at a time when there are questions about consumer interest in sustainability.  An article in Advertising Age, “Has Green Stopped Giving?” (November 8, 2010 – you may need to be a subscriber to link through) notes:

In recent months, sales have begun to slow in categories such as green cleaners and grow in not-so-sustainable ones like bottled water as shoppers decide they may not be worth the tradeoff. And a September study showed big swings in the number of consumers who believe environmentally friendly alternatives are too expensive, don’t work as well as other products and aren’t actually better for the environment — all of which seem to add up to what Timothy Kenyon, director of the GfK Roper Green Gauge study calls “green fatigue.”

Consumer interest in making sustainable choices may be limited.  Sun Chip is ditching its environmentally-friendly compostable (but noiser) bag.  Sales of the snack dropped after the new bag was introduced (“It’s Better for Whose Environment?“, Wall Street Journal, October 8, 2010 – note this link takes you to a back door for non-subscribers). This sentiment is also expressed at Adweek, “Consumers Don’t Warm to Eco-Friendly Products” (October 12, 2010).  It might be interesting to ask students why they think this is happening?   Note:  Also posted at Learn the 4 Ps.

The power of marketing in action.  A recent story on National Public Radio highlights an important environmental problem — indoor air pollution from unsafe cooking in many developing countries.  We have written a case about this problem, a quote provides you with a bit more background:

“Every day, over 2.4 billion people — more than one third of the world’s population — burn solid biomass fuel (wood, charcoal, dung and cola) for cooking and heating.  These fuels are usually burned indoors in open pits or traditional cook stoves.  About two-thirds of the people using this fuel have no electricity, so the open fires often burn into the night to provide light….  It is estimated that htis source of pollution contributes each year to the death of 1 million children under the age of 5, and it is a leading cause of miscarriage and women’s health problems.”  (quote from the case Bright Light Innovations:  The Starlight Stove, Essentials of Marketing and Basic Marketing — our text books).

The case was written a few years ago and focuses on Nepal, but this NPR story provides an update from India.  It describes how Envirofit (the company we base our case on) has designed a successful marketing mix that is now making inroads in India.  A great listen (or read – the text of the story is on the same page) – “Smoke Clears On Safer Cookstoves For World’s Poor” (National Public Radio, September 21, 2010).

The story is of great personal interest.  The Envirofit Cookstove was a project that came out of the Engine’s and Energy Conversion Lab at Colorado State University.  I (Joe) have watched the lab develop creative energy solutions that benefit mankind.  I wrote the Bright Light Innovations case in our text book and still enjoy teaching it in class.

This Wall Street Journal article, “Luring Shoppers to Stores” (August 26, 2010 – non-WSJ subscribers may have to click here and choose the WSJ.com link) and video (see below) describe how retailers are leveraging technology to try to get customers in their stores.

The high tech POP (point-of-purchase) might provide nice examples to use when discussing technology and the external market environment, promotion, and/or retailing.  The video is only 2:44 and might be nice to show in class.  We have a great new video coming with the 18th edition of Basic Marketing (October 2010) that focuses on a related trend of digital signage.

KFC has found itself between a rock and a hard place.  Following general trends toward healthier fare, the company has developed and more aggressively promoted some of its healthier fare (read grilled instead of fried chicken).  On the other hand, many franchisees are upset with the new emphasis and feel the strategy confuses customers.  They don’t want KFC to turn its back on its fried heritage.  Interesting marketing strategy questions to raise in class — see “Why KFC Franchisees are Squawking” (Bloomberg BusinessWeek, August 12, 2010).

One more clip (4:26) from CNN’s Poppy Harlow’s interview with Starbucks CEO Howard Shultz.  Of the series I have posted here at Teach the 4 Ps, I like this one best.  It addresses how Starbucks is responding to its growing competition.  Our books address this in the opening scenario in chapter 1.  But the video might work best when talking about competition.  To see this in a slightly larger format click here.

“Why Bertolli Is Using Webisodes to Promote Frozen Dinners” (Brandweek, March 4, 2010) is the text of an interview with Gaston Vaneri, the marketing director who oversees Unilever’s U.S. frozen food business.  Vaneri provides a nice explanation of Bertolli’s rationale for this campaign — which can be viewed at www.intotheheartofitaly.com — feature some celebrities head to Italy and learn about Italian food.

What happens when Rocco DiSpirito, Marisa Tomei, and Dan Cortese travel to Italy to unlock the secrets of Italian Passion for food and life and uncover the inspiration behind Bertolli Frozen Meals? The new web series – Into The Heart of Italy!

It might be fun to show one of the webisodes and then discuss why Bertolli is doing this type of marketing.  With the insights from the article and your own thoughts, it could lead to an engaging discussion on Promotion.

I found Gareth Kay’s post at TalentZoo.com, “The Future of Marketing,” very insightful.  While he posted this article last May, I just found it myself.  Kay identifies four trends — and I think he is on track here.  We are watching these trends as we think about revising our text books.  Of course with all the changes in technology and customer behavior, we need to be preparing our students for an evolving marketing world.  What do you think of Gareth Kay’s prognostication?