Jean-Claude Larréché and Marketing Momentum
Why do many of the most successful companies spend only a small percentage of their revenue on marketing? And, how can you get your business into this enviable position? INSEAD Professor, Jean-Claude Larréché, has an answer… Momentum.
Watching this video is worth 1 Management Courses CPD Point*.
🔎 See below for details
Marketing for Managers
This video is part of course module number 8.3.6
Program 8: Managing Customers & Clients
Course 3: Marketing for Managers
Section 6: Masters of Marketing
Other videos in this section include:
🎬 Estée Lauder: The Mother of Modern Marketing https://youtu.be/fqMCHag_Cek
🎬 Philip Kotler: The Father of Modern Marketing https://youtu.be/H803ZGXy69Y
🎬 Theodore Levitt: Globalization of Marketing https://youtu.be/J_B42lvxuEc
🎬 Seth Godin: Powerhouse of Marketing Ideas https://youtu.be/dkWYPBkB7UI
Some products do not need aggressive marketing to create superior sales performance. Their fit to customers’ needs and desires is so great, that they gain a momentum of their own.
The Momentum Effect
In his 2008 book, The Momentum Effect (https://geni.us/23mKr), Larréché differentiates between:
1. Downstream marketing
Communication and promotion to put your products and services to the market, to generate purchasing intent.
2. Upstream marketing
Creates awareness of your product or service among appropriate prospects. This helps your business to refine your product or service offering, to meet potential buyers’ needs.
Larréché tells us that the key is to divert funds from downstream to upstream marketing, to ensure that you have a product or service that is so attractive to customers, that it creates its own momentum.
Larréché’s Twin Engines of Momentum
Larréché separates the design and execution of product development, and gives equal weight to each. He also shows these two components as interacting cycles.
The Momentum Design cycle
• Compelling equity
• Compelling insights
• Compelling value
• Power offer design
The Momentum Execution cycle
• Vibrant satisfaction
• Vibrant Retention
• Vibrant Engagement
• Power offer execution
In The Momentum Effect, Larréché is really talking about business strategy. Like Levitt (https://youtu.be/J_B42lvxuEc) before him, he puts successful marketing at the heart the organization.
1. Take a look at the video ‘What is the Voice of the Customer (VOC)?’ on our sister channel. https://youtu.be/m7x3-fAO58g This is a core tool of Larréché’s upstream marketing. (1 MC CPD Point)
2. What is the balance of upstream and downstream marketing activity in your business? To what extent do you think the orh=ganization is getting it right? And why? (4 MC CPD Points)
3. What are the strengths and weaknesses of your organization in the 8 steps in Larréché’s Twin Engines of Momentum model? (4 MC CPD Points)
📖 Very quick overview
Marketing: A Very Short Introduction https://geni.us/ozSJF
📖 Good general overviews
Kotler on Marketing https://geni.us/JNeVHy
Positioning: The Battle for Your Mind https://geni.us/kGj4KCA
The 22 Immutable Laws of Marketing https://geni.us/RVU1
Marketing For Dummies https://geni.us/sZXAw
📖 Small business marketing
The 1-Page Marketing Plan https://geni.us/Xb4wBk
📖 For a textbook, you can’t go wrong with Kotler’s name on it!
Marketing: An Introduction https://geni.us/q4gzVOw
Principles of Marketing https://geni.us/gsFeMT5
Marketing Management https://geni.us/i3FO
⭕️ Links to our book recommendations are affiliated through Amazon
Managers Need a Basic set of kit to do your job well. Here are my top recommendations: https://kit.co/MikeClayton/manager-s-work-kit (the links are affiliated)
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00:00 – Jean Claude Larréché
00:56 – Why some products don’t need aggressive marketing
01:13 – The Momentum Effect: Upstream and Downstream Marketing
01:26 – Downstream Marketing
01:40 – Upstream marketing
02:19 – Where to spend your marketing budget
02:50 – Momentum Strategy: The Twin Engines of Marketing Momentum
03:18 – Momentum Design cycle
03:33 – Momentum Execution cycle
03:48 – The cyclical metaphor of the Twin Engines of Momentum
04:01 – Marketing and Business Strategy
#Marketing #ManagementCourses #Jean-ClaudeLarréché