Lochrie & Associates Marketing Philosophy
According to the 40th Anniversary Edition of Fortune (May 15, 1995)
1)One of the Golden Management Rules is that
Marketing & Innovation are the Key Functions of a Business
2)One of the Disciplines that Businesses Must Master is
Marketing which is messy and may be the hardest to grasp.
The two statements reflect and reinforce the basis on which we at Lochrie & Associates have built our Marketing Philosophy and structured our Marketing Strategies. During our 31+ years of experience, Lochrie & Associates constructed a marketing theory, refined it based upon actual data from our clients as well as business stories, successes and failures, as reported in the leading business publications, and promoted it through seminars.
With the business alliance between General Electric Information Services and Lochrie & Associates, it provided to us tremendous opportunities to interact with Fortune 500 companies. The GE-Lochrie Seminars on Forecasting and Strategic Planning extended over four (4) days of formal training including hands-on experience with computer time-sharing. We benefitted greatly from the inputs of the participants over the numerous years. Our clients provided the impetus for us to start putting the pieces together for the new and different approach to marketing, it would enable our clients to have a structured, quantitative approach. Our friends from the Strategic Planning Institute, Mr. Sidney Schoeffler and Mr. Donald Heany, had pioneered a concept, which we modified and called Relative Product Quality (RPQ). Mr. Schoeffler stated that it was a colleague of theirs who had the original idea when they worked together at General Electric.
The Lochrie & Associates Teams quantitative marketing methodology focuses on end users. We pioneered the concept for the purpose of assisting our clients improve their forecasting of products the key to business planning. The cornerstone for building a quantitative marketing structure is the concept of Relative Product Quality (RPQ), which has two components RPQ1s: Performance (Intrinsic) Features to handle innovation and RPQ2s: Marketing (Extrinsic) Features to handle the marketing aspects. The RPQ2s represent the Brand Equity Features and Brand Value Features of a product or service. With the RPQ1s and RPQ2s as the cornerstone, we were able to establish an interdependent, quantitative structure incorporating...
In order to assist in communicating the quantitative marketing planning approach, the Lochrie & Associates Team coined the label of Lochrie 5 Boxes. They covered every aspect of a companys complex marketing puzzle. The Lochrie 5 Boxes methodology allows top management to ask the right questions, albeit it does not automatically provide all of the answers. It gives a tangible structure to the marketing puzzle by pointing people in the right direction. The Lochrie 5 Boxes methodology has been used by Consumer Packaged Goods firms, who have an unbelievable amount of data, and by small firms, who are always scrambling to find data.
Based upon our 23+ years of applying our quantitative marketing approach, we have learned a tremendous amount. We have concluded that, on average