Marketing Logistics: Opportunities and Limitations

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1 Mketig Logistics: Oppotuities d Limittios Pethip Vdhsidhu 1, Ugul Lpted 2 1 Gdute School, MBA i Itetiol Busiess, The Uivesity of the Thi Chmbe of Commece Vibhvdee-Rgsit Rod, Dideg, Bgkok, 10400, Thild Tel: , Emil: vdhp@yhoo.com 2 Logistics Egieeig Deptmet, School of Egieeig, The Uivesity of the Thi Chmbe of Commece Vibhvdee-Rgsit Rod, Dideg, Bgkok, 10400, Thild Tel: , Fx: , Emil: ugul_lp@utcc.c.th Abstct The bsic piciple of mketig is egdig custome stisfctio d custome eeds d logistics egdig the itegtio of ifomtio, tspottio, ivetoy, wehouse, mteil hdlig d pckgig. Whe mketig covege logistics, ide is esposiveess, elibility d eltioships. I developmet ide, thee e two es which e demd cetio (mketig) d demd fulfillmet (logistics). I the view of mketig dvtge, it is egdig custome fchise; bd vlue, iovtio d beefit focus, custome vlue; cost of oweship, vlue ddig eltioship d sevice qulity d the lst oe, supply chi effectiveess; low cost supplie, gile espose, etwok mgemet. This ppe focuses o some of these thee sttegies pocess d mgig mketig logistics which e to gi competitive dvtge. Thee sttegies e custome eltioship, custome vlue d demd dive supply chi mgemet. They hve to coect togethe with model of mgig coss-fuctiol pocess. Ad lso model tde-off show tht how to cete custome vlue. Oe model is developed to be moe efficietly of competitive dvtge. Filly, key issues of mgig mketig logistics tht is the eed fo ogiztio chge, mge pocess, to mge supply d demd d wht gets mesued set hdled. It is expected tht these exploe the wy e iteested to joi d go o to be stegth ogiztios i positioig. Key Wods: Mketig logistics, demd dive supply chi, custome eltioship, custome vlue 211

2 Itoductio Tditiolly, mketig d logistic hve bee mged septely i most busiess becuse it is hd to udestd d sttegic impotce of custome sevice. My compies focus i the mketig i the clssic 4 Ps of poduct, pice, plce d pomotio. Now i the mket hve high competitio so thee is widesped ecogitio tht is ot so much though wht they do, but though how they do it. Oe moe thig is which key busiess pocesses e mged d how those pocesses liged with the custome demd d c be s impott s qulity of the poduct o its pice. I dditiol, mkets become commoditized d s customes become moe time d sevice sesitive so the eed to mge the mketig d logistics itefce icese. Review of Litetue Philip Kotle hve climed tht Mketig Logistic is egdig iboud d outboud distibutio d ivolves the eties supply chi mgemet system which lik mketig logistic i fou items. Fist, is why gete emphsis I beig plced o logistics. It offes compy competitive dvtge such s cost svig, qulity of poduct, impovig logistic d distibutio efficiecy. Secod, gol of logistic system: compies hve to vege the beefits of highe sevice gist the cost tht should be lesed. Thid, mjo logistic fuctio, it coces wehousig, ivetoy mgemet, tspottio d logistic ifomtio mgemet. Foth, itegted logistic mgemet though shed pojective d outsoucig of logistic fim to thid-pty is becomig moe commo. PMS Ltd. cocettes o delivey mteil, poductio though the ssembly of items ito cmpig pck. It povides the skilled esouce to mge cucil clee such s dt collectio d espose hdlig. NV.Afsyev,G.L. Bgi, G.Leidg hve metioed tht mketig hve developed to be mket logistic. It should fcilitte itectio of the two mgemet cocept. Mket Oieted cocept d Flow Oieted logistic eble poduce ise mteil d ifomtio popeties of poduct evlute. This itegity stimultes emegece of the so clled mket logistic withi stuctue of logistic tht povides the custome with wide choice optios Thoms Cig (1998) hve evluted tht mketig sttegy bsed o logistics d effectiveess which should hve two pts. Fist, the compies must hve solid logistic pogm d ledig edge. The, they e ble to tilo to meet the equiemet of idividul customes. They hve to do wht ech of custome s demd d lso c ppoch the stdd. Cocept of Mketig Logistic Mketig Logistic focuses o the wys i which custome sevice c be leveged to gi competitive dvtge. Compies hve mged mketig d logistic ctivities lig thei espective sttegies withi the cotext of the wide supply chi. Logistic efes to physicl distibutio which e plig, implemetig d cotollig i tspottio, mteils hdlig, ode pocessig, ivetoy cotol, wehousig d pckgig. Mketig is to espod the custome demd d them to get the high vlue d wothwhile to exchge. Logistic is demd fulfillmet fo demd cetio tht is mketig to mke ely complete i custome stisfctio. 212

3 Whe mketig logistic covege togethe, they e bsed upo to be sttegiclly coected: the cosume fchise, custome vlue, d the supply chi. This study pupose d develop ew model to fulfill d suppot theoy of mketig logistics d illusttes itectio betwee idividul ogiztios. Poposed Model of Mketig Logistic This sectio coves poposed model of mketig logistic. The model hs focused o two items which e to cocette o mgig coss-fuctiol pocess i the busiess to povide efficiet use of esouces to be output d lig with custome stisfctio. The lst oe is to povide logistic d to itegte i the begiig of pocess to the custome. Logistic is ble to be developed d implemeted i specilty fo y busiess. This model ws dpted fom thee citicl which e mgig coss-fuctio pocess, supply chi pocess d demd mgemet itefce. Thee e fom bse o bsic d to be developed to idetify the fuctio pecisely. They e peset o figue 1-2 d the lst oe is dpted fom thee bove. Figue 1 Mgig Coss-Fuctio Pocess This digm is mgemet to pocess mgemet so it hs five mi coe pocesses which e dpted to Figue

4 Figue 2 Demd Chi Mgemet Adpted fom Tditiol Itefce Implictios fo ogiztio, cultue d wys of wod of wokig Mgig supplie Reltioships L o g i s t i c B d m k e t g Mufctuig Buyig/ Sellig Wholesle/ Retiles Retil Tde mk Ctegoy d Joit Demd B d Sttegic busiess plig Mketig Admiistt io Fice Iovtio/ Bd Fchise Competitive dvtge Retetio Log-tem Pofitbility Figue 3 Popose Model of Mketig Logistic 214

5 Mketig Logistic model is ssumed tht it pesets logistic ivolve to ll of pocess so it c gi efficiecy competitive dvtge fo both of itel d extel ogiztio. Its fuctio suppot ogiztio to pl, cotol d implemet whole of the pocess. Mketig mgemet lwys ecogized custome stisfctio d oe moe thig is ot too less ecessy tht is bd weess. Tody, bdig is such stog vey much. This shows tht if bdig c lig with custome ely, tht busiess is tke dvtge i gme. O bove ppoches i ll pocess tht begis o supplie util to custome becuse it c peset chcteistic pecisely to be emided by custome s well. It is impott wht it should to be. Implemetig the Model ito Pctices Fo this popose mketig logistic eed to defie logistic ito whole of pocess becuse it helps compies fo plig, implemet d cotollig tht chieve gol of ogiztio. It c pply to implemet i whole of fuctios. Supply chi pocess is developed to be mketig logistic with logistic d mketig mgemet tht is bd weess. Bsic, Logistics mge should udestd custome sevice d the tdeoff oppotuities i distibutio. The they c lik to beyod the wehouse d lso to mge custome o time. The demd chi mgemet is expded oveview pecisely of mgig the supply chi o oigil this pt. It is lso icludig bd weess tht is geelly ot climed i this pt. It is coce idiectly to thei custome becuse to be hed i me d ot ideed the detil of poduct. Actully, it begis iput to output of this pocess. Ctegoy is oe impott becuse is good sttegic mgemet of poduct ctegoies to mximize pofit d stisfy cosume. It cocludes i the lik of demd mgemet itefce. Its effective should pool d levege the kowledge of etile d supplies to led to bette collective demd mgemet d moe ttctive offe fo the cosume. All this is to coopete i ogize i the sme wy d c chieve competitive dvtge to be gi mket she d log-tem pofitbility. Summy The theoy d model peseted hee is expected to gi competitive dvtge i itel d extel ogiztio. Mketig logistic model is eltioship with ogiztio. It is liked supply chi pocess so it is dditiol the logistic to lig i ech item. This model expected tht if the ptes i ogiztio coopete to dpted logistic system i busiess, it esue to gi efficiecy implemet so especilly, mketig mgemet is gi efficiecy to wok s well. Ad lso, ctegoy mgemet c impove its opetig efficiecy ll of thee which e mufctueetile/buye-selle itefce. This elte though custome stisfctio. Fom bove, big them to joit, If they c cotol itel ogiztio, it is good to suppot implemet d develop sttegies to competitive with othes. Refeeces Mti C. (1997). Mketig Logistics, Buttewoth Heiem. Mti C. (1998). Logistics d Supply Chi Mgemet (2 d Eds), Pitms. Mti C. & Hele P. (2002). Mketig Logistics (2d Eds), Buttewoth Heiem. 215

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