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TUCKWELL JAFFEY

MARKETING Third Edition

Contents About the Authors Preface

xiii

Economic Forces 41 Social, Environmental, and Demographic Forces

Acknowledgements

xxiii

1 Contemporary Marketing

Demographic Forces

Marketing Today: Keeping Pace with Change Marketing Defined 3 The Importance of Marketing 4 The Nature of Marketing Has Evolved 6

Think Marketing All Profits to Charity

The Marketing Process

Technological Forces

Assessing Customer Needs 14 Identifying and Selecting a Target Market 16

Product Strategy 18 Price Strategy 19 Distribution Strategy 20 Marketing Communications Strategy 20 Public Image and Its Influences 22

Maximizing Customer Value: Building Customer Relationships 23

Think Marketing Good Marketing Considers Today and the Future 27 Experience Marketing To experience marketing, you must assess situations and make recommendations to change marketing strategies when necessary. What would you do in the following situation? 28

Competitive Strategies

Regulatory and Legal Forces

Competition Bureau 39 Office of Consumer Affairs 39 Self-Regulation 40

3 Strategic Marketing Planning

The Business Planning Process

Strategic Planning

Corporate Planning

Discussion and

Corporate

64 65

Marketing Plan Background—Situation Analysis 66 External Influences 66 Market Analysis 66 Product (Brand) Analysis 67 Competitive Analysis 67 SWOT Analysis 67 Marketing Plan—Plan Section 68 Marketing Objective 68 Marketing Strategies 69 Target Market 69 Marketing Mix 69

Some Fundamental Marketing Strategies

Market Penetration 72 Market Development 73 Product Development 73 Diversification 74 35

Think Marketing Google’s Reach Extends into Our Homes and Vehicles 36 37

Experience Marketing To experience marketing you have to assess situations and make recommendations to change marketing strategies when necessary. What would you do in the following situation? 55

Budget

External Forces That Impact Marketing Competitive Forces 33

The Competitive Position

The Internet and E-Commerce

Think Marketing Boston Pizza: A Brand Linked to Sports 70

29 Discussion and

Think Marketing Artificial Intelligence Presents New Marketing Opportunities 53

Marketing Planning The Marketing Plan

2 The External Marketing Environment

Technology and Marketing

Mission, Vision, and Values Statements 60 Objectives 60 Corporate Strategies 61

Loyalty Programs 24 Customer Relationship Management (CRM) Programs 24

Chapter Summary 28 Review Questions Application Questions 30

Managing Customers 52 Communications 52

Chapter Summary 55 Review Questions Application Questions 56

The Marketing Mix: Developing a Marketing Strategy 17

Evaluating Marketing Activity 25 Ethical Considerations for Marketing

Size and Age 46 Location 47 Family Formation and Household Size 48 Spending Power and Wealth 49 Education 50 Multiculturalism 50

Production Orientation (Early 20th Century) 6 Selling Orientation (1920s to 1940s) 6 Marketing Orientation (1950s to 1990s) 7 Socially Responsible Marketing Orientation (1990s to 2000s) 7 Social Media Marketing Orientation (2006 Onward) 9

Market Structures

Lifestyles 44 Social Responsibility and the Natural Environment 44

Marketing Control and Evaluation Keeping Pace with Change

Think Marketing Retreat to Core Revives Molson Canadian 77 Experience Marketing To experience marketing, you have to assess situations and make recommendations to change marketing strategies when necessary. What would you do in the following situation? 78

viii

Contents Chapter Summary 78 Review Questions Application Questions 80

4 Marketing Intelligence

Business-to-Business Markets

Marketing Research: Definition, Role, and Scope Collecting and Managing Information

The Marketing Research Process Problem Awareness

Secondary Data Collection Internal Data Sources

Primary Research

6 Business-to-Business Marketing and Organizational Buying Behaviour 126

79 Discussion and

Exploratory Research

External Data Sources

Sample Design 88 Data Collection Methods Qualitative Data and Quantitative Data 91

Think Marketing Mark’s “Lab” Store Tests New Ideas 92 Data Transfer and Processing Interpretation 95

Data Analysis and

Think Marketing Timberland Aims for Outdoor Lifestylers 96 Recommendations and Implementation

Information Collection and Consumer Privacy

Experience Marketing To experience marketing, you have to assess situations and make recommendations on what actions need to be taken to solve a problem or pursue an opportunity. What would you do in the following situation? 100 Chapter Summary 100 Review Questions Application Questions 102

5 Consumer Buying Behaviour

101

Discussion and

103

Psychological and Personal Influences

Social Influences

109

117

117 Cultural Influences

119

Think Marketing The NBA’s Multicultural Marketing Strategy 121 Experience Marketing To experience marketing you have to assess situations and make recommendations to change marketing strategies when necessary. What would you do in the following situation? 123 124

130

131

Demand Characteristics Practical 133

133

The Buying Criteria Are

Business-to-Business Buying Process

134

Buying Committees and Buying Centres 134 Centralized Purchasing 135 Personal Characteristics 135 Relationships Are Sought 136 Integration and Partnering in Business-to-Business Marketing 136

E-Procurement

139

Steps in the Buying Decision Process

139

Problem Recognition 139 Need Description 140 Product Description 140 Supplier Search 140 Proposal Solicitation 140 Supplier Selection 141 Order Routine Specification 141 Performance Review 141 Buying Situation 142 Experience Marketing To experience marketing you have to collect information, assess situations, and make recommendations to change marketing strategies when necessary. What would you do in the following situation? 142 144

Discussion and

145

146

Mass Marketing 147 Market Segmentation 147 Niche Marketing (Sub-Segmentation) 149 Direct Segmentation and Behavioural Targeting 150

Identifying and Selecting Target Markets Demographic Segmentation

152

153

Think Marketing What’s Inside Counts the Most for Women 156

Personal

Chapter Summary 124 Review Questions Application Questions 125

Location of Buyers

Think Marketing Amazon and Walmart Disrupt the Grocery Industry 132

Market Segmentation

Think Marketing Men Are from Canadian Tire, Women Are from Nordstrom 115

Social and Cultural Influences

130

7 Market Segmentation and Target Marketing

Problem Recognition 106 Information Search 106 Evaluation of Alternatives 107 Purchase Decision 108 Post-Purchase Evaluation 108 Influences on Consumer Behaviour 108 109

Number of Buyers

Chapter Summary 143 Review Questions Application Questions 144

Understanding Consumer Behaviour 105 Consumer Purchase Decision Process 105

Psychological Influences Influences 113

Characteristics of Organizational Buying Behaviour

Think Marketing Interface Sources Discarded Fishing Nets to Make Its Carpet Tiles 137

Managing Information and Customer Relationship Management 97 The Database and Data Mining

128

Manufacturers or Producers 128 Governments 129 Institutions 129 Wholesalers and Retailers 130 Professions 130

Discussion and

Psychographic Segmentation 157 Geographic Segmentation 157 Behaviour Response Segmentation 160

Market Positioning Concepts Types of Positioning Repositioning 166

163

161 Lifestyle Positioning

165

Think Marketing Percy the Penguin Helps CIBC Reposition 167 Experience Marketing To experience marketing, you have to assess situations and then make changes to marketing strategy when necessary. What would you do in the following situation? 168 Chapter Summary 169 Review Questions Application Questions 170

169

Discussion and

Contents

8 Product Strategy

10 Services and Not-for-Profit Marketing

171

Total Product Concept and Product Mix The Product Mix

172

Product Classifications

Services Marketing

175

Consumer Goods Goods 176

175

Branding Strategies

178

Defining the Brand

178

Packaging and Labelling Strategies

188

Brand Design

Benefits of Brands 190 Brand Loyalty and Brand Equity

179

Nature and Scope of Not-for-Profit Marketing

Characteristics of Not-for-Profit Marketing Think Marketing

187

190

Think Marketing Are Millennials as Brand Loyal as Their Parents? 191 Experience Marketing To experience marketing you have to assess situations and make recommendations to change marketing strategies when necessary. What would you do in the following situation? 192

9 Product Management

194

Discussion and

Organizational Structures Used to Manage Brands 196 Brand Management 196 Category Management 197 Target-Market Management 198 Regional Management 198 Continental and Global Management 198 New Product Decisions

227

199

Think Marketing DeeBee’s TeaPops: The Newest Pop Star! 202

229

Experience Marketing To experience marketing you must assess situations and make recommendations to change marketing strategy when necessary. What would you do in the following situation? 230 Chapter Summary 230 Review Questions Application Questions 231

231

Discussion and

11 Pricing Decisions: Objectives, Strategies and Tactics 232 The Definition and Role of Price 233 Factors Influencing Price Decisions 235 Consumer Demand for the Product Consideration of Channel Members and Marketing Costs 236

195

New Product Development Process

226

Types of Not-for-Profit Marketing 228 Marketing Strategy in a Not-for-Profit Organization

188

Chapter Summary 193 Review Questions Application Questions 194

221

The Services Marketing Mix 222 Nature, Scope, and Characteristics of Not-for-Profit Marketing 226

183

Think Marketing Too Much Plastic!

219

220

Think Marketing Snakes and Lattés

The Role and Influence of Packaging 184 Components of a Package 185 Functions of a Package 185 Labelling

218

218 Characteristics of Services

Buying Behaviour in Services

Industrial (Business)

Brand Names

217

Characteristics and Behaviours of Services Marketing

173

235 236

Production

Think Marketing Sound Strategy or Deceptive Strategy? 238

Pricing Objectives Influence Price Decisions

238

Maximizing Profit 239 Return on Investment Maximizing Sales Volume (Market Share) 239

Price Strategy

239

Price Skimming 240 Price Penetration Competitive Pricing (Status Quo Pricing)

Price Tactics

239

240 241

242

Product Modification Decisions 203 Product Mix Expansion Decisions 203 Packaging and Brand Design Decisions 204 Product Maintenance or Withdrawal Decisions 204

Source Pricing and Offering Discounts 242 Cash Discounts 242 Quantity Discounts 243 Trade or Functional Discounts 243 Seasonal Discounts 244 Rebates 245 Trade-In Allowances 245 Promotional Pricing 245 Flexible Pricing 246 Geographic Pricing 246

Think Marketing E-Waste is Piling Up!

Think Marketing Dynamic Pricing Takes Hold

Managing Current Products 203

205

The Product Life Cycle 206 Introduction Stage 206 Growth Stage 207 Stage 208 Extending the Product Life Cycle Decline Stage 210

The Length of the Product Life Cycle Product Adoption Process 213

Mature 208

211

Experience Marketing To experience marketing you have to assess situations and make recommendations to change marketing strategies when necessary. What would you do in the following situation? 214 Chapter Summary 215 Review Questions Application Questions 216

215

Discussion and

Other Pricing Tactics

Pricing and the Law

247

248

249

Ordinary Price Claims 250 Double Ticketing and Bar Code Price Variances 250 Bait and Switch 250 Predatory Pricing 251 Price Fixing 251 Experience Marketing To experience marketing, you have to assess situations and make recommendations to change marketing strategies when necessary. What would you do in the following situation? 252 Chapter Summary 252 Review Questions Application Questions 254

Pricing Supplement 255

253

Discussion and

Contents

12 Distribution and Supply Chain Management Distribution Planning

263

264

Basic Role of Intermediaries 265 The Structure of Distribution Systems 266 Channel Length and Width 270

Distribution Channels and Competitive Advantage

270

Electronic Marketing Channels and Multi-Channelling 270 Direct Marketing and Electronic Marketing 271

Contract Marketing

273

Channel Relationships Channel Control

275

277 278

278

Horizontal Marketing

Supply Chain Management 280 Logistics Functions in a Supply Chain

282

Think Marketing UPS to the Rescue 283 Warehousing 283 Inventory Management Transportation 284

284

Experience Marketing To experience marketing, you have to assess situations and make recommendations to change marketing strategies when necessary. What would you do in the following situation? 286 Chapter Summary 286 Review Questions Application Questions 288

13 Retailing

288

Discussion and

290

Think Marketing Velofix Makes House Calls Products and Services Offered 295

295

296

Think Marketing Amazon Continues to Disrupt the Retail Industry 298

The Retailing Marketing Mix

298

Location 299 Brand Identity 302 Atmosphere 303 Merchandise Assortment Merchandise Control 305

Marketing Communications Strategy E-Retailing

Placing the Message: Selecting the Right Media Assessing Media Alternatives 322

320

329

304

305

307

Experience Marketing In order to experience marketing you have to assess situations and make recommendations to change marketing strategies when necessary. What would you do in the following situation? 308 Chapter Summary 308 Review Questions Application Questions 310

309

Think Marketing American Express Goes Social

Discussion and

332

Types of Social Network Advertising and Marketing Communications 332 Display Advertising 332 Sponsored (Suggested) Posts 333 Video Ads 333 Brand Page (Fan Page) 333 Company Blogs 334 YouTube Channels 334 Viral Marketing and Communications 334 Benefits of Social Media Communications 334

Mobile Media Communications Mobile Applications 336 Game Advertising 337

335

QR Codes

336

Video

Discussion and

15 IMC: Sales Promotion, Public Relations, Experiential Marketing, and Personal Selling

293

Non-Store Retailing

320

Chapter Summary 338 Review Questions Application Questions 340

289

Retailing and Its Position in the Economy Retailing and Its Functions 291 Retailer Classifications 292 Ownership

Think Marketing Reinventing the Nissan Rogue

The Social Media Environment: Consumers Are in Control 330

Integrated Marketing Systems and Partnerships

Order Processing

Marketing Communications Objectives 313 Marketing Communications Strategy 314

Social Media Communications

276

Vertical Marketing System Systems 280

312

Internet (Online) Advertising 323 Television and Video 325 Radio and Online Audio 325 Newspapers 326 Magazines 326 Out-of-Home Media 326 Direct Response Advertising 328

273

Product and Service Characteristics 273 Competition 274 Company Resources Intensity of Distribution 275

The Integrated Marketing Communications Mix Marketing Communications Planning 313

Advertising and Its Role 315 Creating the Message 315

Think Marketing Amazon Go: From Digital to Physical 272

Factors Influencing Channel Selection

14 IMC: Media Advertising, Social and Mobile Communications 311

341

Sales Promotion 342 Consumer Promotion 343 Coupons 343 Free Samples 344 Contests 344 Cash Refunds (Rebates) 345 Premiums 346 Loyalty (Frequent Buyer) Programs 346 Delayed-Payment Incentives 347 Think Marketing Canadian Tire “Money”: As Good as Cash 348

Trade Promotion

349

Cooperative Advertising 349 Trade and Performance Allowances 349 Dealer Premiums 349 Dealer-Display Materials 350

Public Relations: Its Role in Marketing Communications 350 Corporate Communications 350 Reputation Management 351 Publicity Generation 352 Fundraising 353

Public Relations Strategies

353

Press Release 353 Press Conference Websites 354 Social Media 355

Experiential Marketing

Think Marketing

353

Event Marketing and Sponsorships 356 Strategic Considerations for Event Marketing 361

Personal Selling

The Steps in the Selling Process

16 Global Marketing

Product

Price 385 Marketing Communications Distribution 387

Chapter Summary 388 Review Questions Application Questions 389

372 Consumer

384

386

Experience Marketing To experience marketing you have to assess situations, develop strategies, and make decisions that fit a particular situation. What would you recommend in the following situation? 388

Discussion and

Canadian International Trade and the Movement to Global Markets 370 Analyzing Global Marketing Opportunities 372

382

383

Think Marketing Starbucks Opens in South Africa

369

Economic Environment Environment 372

379

Marketing Strategies for Global Markets

363

364

367

376

Direct Investment and Acquisitions 379 Joint Ventures 380 Indirect and Direct Exporting 381

Experience Marketing To experience marketing, you have to assess situations and make recommendations to change marketing strategies when necessary. What would you do in the following situation? 366 Chapter Summary 366 Review Questions Application Questions 368

L’Oréal Adapts to Grow Sales in India

Global Business Strategies

362

363

The Role of the Contemporary Salesperson

Political Environment 376 Legal and Regulatory Environment 378 Technological Environment 378 Competitive Environment 379

355

Think Marketing Subban a Good Fit for Sponsors

Contents

Glossary

390

Endnotes

405

Index

419

389

Discussion and

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About the Authors

Keith J. Tuckwell

Marina Jaffey

Keith Tuckwell is a graduate of Ryerson University in Business Administration Marketing. Following graduation, he held various marketing and advertising management positions with leading consumer goods companies, including Reckitt & Coleman, Maple Leaf Mills, and Quaker Oats Company of Canada. Having a desire to teach young marketers, Keith joined St. Lawrence College in 1980 and has taught courses in Introductory Marketing, Advertising, Advertising Management, Media Planning, Integrated Marketing Communications, Public Relations, Business Marketing, Marketing Research, and Personal Selling. He was Coordinator of the Marketing and Advertising programs for many years, and Chair, Marketing and Management, for a three-year term. Keith was also an Adjunct Instructor at Queen’s University teaching Introduction to Marketing, Marketing Communications, and Marketing Strategy in the Bachelor of Commerce program and the former two-year MBA program.

Marina Jaffey holds a Master’s degree in education from the University of Victoria and a Bachelor of Commerce degree from Carleton University. She has an extensive background in strategic planning, trade marketing, and sales management with Unilever, a global consumer goods firm. In her role as district sales manager with Unilever, Marina was a three-time recipient of the Sales Excellence Award. Marina has also worked as a consultant for organizations including the National Gallery of Canada and the B.C. government. She is currently Director and Student Engagement Chair on the Canadian Public Relations Society board and has served as Program Director on the Sales and Marketing Executives Victoria board.

Keith has authored several uniquely Canadian textbooks, the first of their kind in the Canadian marketplace. Among his titles are Canadian Advertising in Action (now in its eleventh edition), Canadian Marketing in Action (eight editions), and Integrated Marketing Communications: Strategic Planning Perspectives (now in its fifth edition).

Her position as Instructor and past experience as Sustainability Developer and Program Leader at Camosun College in Victoria, B.C., enable her to share her passion for marketing and sustainability with students. Marina develops and delivers a variety of courses in the Bachelor of Business Administration–Marketing and Post-Degree Diploma programs, including Introduction to Marketing, Marketing Communications, Communication Tools and Media, Business-to-Business Marketing, Sales Management, and Global Business Strategies.

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Preface The Third Edition of Think Marketing: Creating More Value for You! The third edition of Think Marketing makes learning and teaching marketing more effective, easier, and more enjoyable than ever. Its streamlined approach strikes a careful balance between depth of coverage and ease of learning. The third edition’s design enhances student understanding, and when combined with our online homework and personalized study tool, Think Marketing ensures that you will come to class well prepared and leave class with a richer understanding of basic marketing concepts, strategies, and practices. The chapters are presented in a logical sequence that reflects the development of a marketing plan. The initial chapter presents a general overview of marketing today. In Chapter 3 students learn about the strategic marketing planning process. Other chapters in this first section present the various inputs considered when a manager develops a marketing plan covering topics such as the external environment, marketing research, and consumer and business buying behaviour. The focus then shifts to the various components of the marketing mix. Strategic and execution details about product, price, distribution, and marketing communications are presented in detail. The authors’ objectives in preparing this edition were to 1. Present content in a clear and engaging manner. 2. Reflect the changing environment in the marketplace and indicate how change is influencing the practice of marketing. 3. Offer examples and illustrations that students would be familiar with so that students can link theoretical concepts with marketing applications. 4. Retain a sound balance between theory and practice and introduce students to the process of strategic marketing planning. 5. Be as current as possible, recognizing that new technologies are rapidly changing the ways that marketing is practised.

Marketing: Creating Customer Value and Relationships Top marketers all share a common goal: putting the consumer at the heart of marketing. Today’s marketing is all about creating customer value and building profitable customer relationships. It starts with understanding consumer needs and wants, deciding which target markets the organization can serve best, and developing a compelling value proposition by which the organization can attract, keep, and grow the number of targeted consumers. If the organization does these things well, and does so in a socially responsible manner, it will reap the rewards in terms of market share, profits, and customer equity. In the third edition of Think Marketing, you’ll see how customer value—creating it and capturing it—drives every good marketing strategy. You will also see expanded discussion of key topics that influence market decisions. More specifically, coverage of ethics and social responsibility, technology, and analytics has been expanded. These topics play a more significant role in marketing decisions today. Some resequencing of chapters and content within certain chapters has occurred in the third edition of Think Marketing. Reviewer input during the development stage of this edition revealed that some resequencing was necessary to match the order of content coverage in a typical introductory marketing course. Specific details about these changes are indicated in the section below—New in the Third Edition.

xvi Preface

The third edition of Think Marketing is truly a Canadian textbook that includes examples and illustrations with which students will readily identify. Illustrations and photographs are presented in a colourful format, with each illustration demonstrating how an important marketing concept is applied. As well, each chapter offers two Think Marketing boxes that each contain a unique story outlining how an organization or brand has successfully applied the marketing fundamentals students will learn about. Finally, an Experience Marketing exercise is included at the end of each chapter. The purpose of these exercises is to have students assume the role of marketer and outline a plan of action to resolve a marketing problem or pursue an opportunity.

New in the Third Edition Think Marketing is the most up-to-date book on the subject. The third edition of Think Marketing has been thoroughly revised to reflect the major trends and forces that affect marketing in this era of customer value and relationships. Here are just some of the major changes you’ll find in this edition.

Overall Presentation of Chapters Some chapters have moved forward in the book in response to the requirements of the typical introductory marketing course. Strategic Marketing Planning is now Chapter 3 (formerly Chapter 7). Services and Not-for-Profit Marketing is now Chapter 10 (formerly Chapter 16). Coverage of services and not-for-profit organization marketing is now included with the traditional elements of product planning. Reviewers also requested a more concise presentation of price strategy and management. Price content is now presented in one chapter (Chapter 11) and has been retitled Pricing Decisions: Objectives, Strategies, and Tactics, to reflect the changes in content. Finally, all chapters include new chapter opening stories that set the stage for the content presented in each chapter. ■■ Chapter 1 (Contemporary Marketing) presents a simplified marketing process

model that allows students to quickly grasp the essentials of marketing planning and decision-making. The model focuses on five essential steps: ■■ Assessing customer needs ■■ Identifying and selecting target markets ■■ Devising marketing strategies to attract target markets ■■ Creating customer relationship management programs to build customer loyalty and establish long-term relationships ■■ Evaluating and controlling programs ■■ In Chapter 1, a greater emphasis is placed on ethical practices and socially responsible marketing. New illustrations and stories demonstrate how companies are reacting to the changing needs and expectations of consumers regarding how they market products and how their actions will benefit society. Both Think Marketing boxes examine the importance of ethical practice and socially responsible marketing. Chapter 1 also presents more insight on the importance of tracking change in the marketplace, the expanding role of social media as a marketing tool, and the importance of effective two-way communication between an organization and its customers. The impact of analytics on marketing decisions and the customer relationship management programs that are implemented based on analytics is introduced in the chapter and expanded upon in Chapter 4 (Marketing Intelligence), Chapter 6 (Business-to-Business Marketing and Organizational Buying Behaviour), and Chapter 13 (Retailing). ■■ In Chapter 2 (The External Marketing Environment), updates and new illustrations of all external influences affecting the development of marketing strategies are provided. Recent trends in artificial intelligence applications in marketing, mobile marketing, and the opportunities smart technology is creating for marketers are explored here.

Preface ■■ Chapter 3 (Strategic Marketing Planning) has moved forward in the book. This

change allows students to gain an overall insight into the planning process earlier. The new location complements the initial discussion of the marketing mix in Chapter 1. A strong focus on strategic planning remains a foundation of this textbook. The chapter draws the links between corporate (executive level) planning and marketing (functional) planning. Many new illustrations and both Think Marketing boxes portray the marketing planning process. The content of a typical marketing plan is presented in this chapter. ■■ In Chapter 4 (Marketing Intelligence) the discussion of the marketing research process has been streamlined modestly. Since the purpose of gathering information is to eliminate risk in the decision-making process, many new examples of how an organization collects and uses information are presented. Both Think Marketing boxes effectively demonstrate how research insights are used to make astute marketing decisions and to devise new marketing strategies. ■■ Canadian consumers are changing their shopping habits. Chapter 5 (Consumer Buying Behaviour) explores how and why these habits are evolving. The desire for experiences, the influence of the sharing economy, explosive growth in e-commerce, as well as the increasingly multicultural nature of the Canadian marketplace are just some of the trends examined in detail. An expanded discussion of consumer involvement and level of risk has also been included. ■■ In Chapter 6 (Business-to-Business Marketing and Organizational Buying Behaviour) sustainable business practices and the circular economy are highlighted. New examples of marketing organizations that have successfully adopted a triple bottom line philosophy are included. ■■ Chapter 7 (Market Segmentation and Target Marketing) includes new examples to illustrate the social and demographic trends presented in Chapter 2. Staying abreast of age, gender, ethnic, and lifestyle trends is crucial in order to identify new target markets to pursue. New stories embedded in the chapter and two new Think Marketing boxes show how organizations are attracting diverse targets or repositioning their product offering to keep pace with changes in customer expectations. ■■ Chapter 8 (Product Strategy) examines how organizations are taking socially responsible marketing to the next level and making it an integral part of their brand’s DNA. How companies are developing brand narratives to engage customers is also explored. ■■ Chapter 10 (Services and Not-for-Profit Marketing) highlights the growth of the sharing economy and explores the role of social media and customer ratings and reviews in building a brand. ■■ Chapter 11 (Pricing Decisions: Objectives, Strategies, and Tactics) is a blending of the key elements from the former Chapter 10 (Price Strategy) and Chapter 11 (Price Management). Reviewers requested a more concise presentation of pricing. The new chapter is organized based on the planning sequence of establishing price objectives, formulating price strategies, and implementing price programs. A new Pricing Supplement (Financial Statements and Pricing Methodologies), located at the end of the chapter, complements the content within the chapter. ■■ In Chapter 12 (Distribution and Supply Chain Management) there is greater emphasis on the impact of technology on distribution decisions for both products and services. The expanding role of e-commerce, direct distribution, digital distribution, and automated ordering systems are presented with new examples and illustrations. A new Think Marketing box about AmazonGo—a new digital application and physical retail experience—presents a new distribution system that meets the needs of time-pressed consumers. ■■ Chapter 13 (Retailing) explores the changing nature of Canada’s retail landscape and the impact of e-commerce and applications of artificial intelligence on retailer marketing strategies. ■■ Chapter 14 (IMC: Media Advertising, Social and Mobile Communications) presents a balanced discussion of all media alternatives and highlights the trends in media consumption exhibited by Canadians. The shift to digital consumption and

xvii

xviii

Preface

the advertising opportunities it creates is presented through new examples and illustrations. More specifically, the increasing role of social media communications and the impact of influencers (influencer marketing) is highlighted. The exponential growth of mobile communication devices in recent years and the advertising opportunities it has created is presented in more detail. Effective marketing involves developing strategies that are in tune with rapidly changing market conditions. Therefore, key topics such as ethics, corporate social responsibility, sustainability, multiculturalism, shifting demographics, customer relationship management, social media communications, and advancing technologies are themes woven throughout the book. An effort has been made to include brand and corporate examples of small and medium-sized enterprises from across the country, in addition to examples of successful Canadian-owned global companies.

Success Stories Dramatize Marketing Practice Think Marketing features in-depth, real-world examples and stories that show concepts in action and reveal the drama of modern marketing. In the third edition, every chapter contains an opening vignette and Think Marketing stories that provide fresh and relevant insights into real marketing practices. By way of example, students will learn how ■■ Molson Canadian retreated to its core principles and implemented an innovative

advertising campaign based on Canadian pride and its connections to hockey, to revitalize the brand. ■■ Google goes head-to-head with Amazon in an effort to provide the most userfriendly smart home technology. ■■ Mark’s is using a state-of-the-art retail store (one of its largest ever) for research purposes. The store acts as a test market for new products and merchandising strategies designed to attract different types of customers. ■■ IBM and its artificial intelligence computer, dubbed Watson, has teamed up with companies like The North Face and Bear Naked Granola to wow consumers. ■■ Interface, a business-to-business (B2B) marketer, embraces the circular economy by sourcing discarded fishing nets from communities in the Philippines to produce its commercial carpets. ■■ Airbnb provides a range of value-added services to capitalize on consumers’ desire for experiences. Students will also see how the firm has expanded its luxury accommodation listings and high-end service offerings to appeal to the wealthy globetrotting traveller. ■■ CIBC is using an animated character “Percy the Penguin” in a featured role to reposition the bank as a flexible and convenient option for consumers. Initially an advertising campaign only, the character now extends to all aspects of CIBC’s marketing strategy. ■■ Amazon.com implemented a new distribution strategy by opening technologydriven physical locations along with a mobile application to meet the constantly changing time and convenience needs of consumers. ■■ Canadian Tire remains as an undisputed leader among loyalty programs in Canada. Its rather simple cash rewards program (Canadian Tire money) is the backbone of a customer relationship marketing program that differentiates Canadian Tire from its competitors. ■■ The National Basketball Association (NBA) engages fans around the world through culturally relevant communications. Beyond these features, each chapter is packed with countless real, relevant, and timely examples that reinforce key concepts. No other text brings marketing to life like the third edition of Think Marketing.

Preface xix

Students Will Experience Marketing Decisions For students to fully appreciate the nature and impact of marketing, it is important that exercises be offered to immerse them in the role of a marketing decision maker. Each chapter includes a section titled Experience Marketing. Each Experience Marketing exercise presents a situation that must be analyzed. Based on the analysis, students are asked to present suitable recommendations and marketing strategies to resolve a problem or pursue an opportunity. Among the exercises, students are asked to ■■ Develop a business-to-business marketing plan that will enable Slack to grow its

sales in the post-secondary education sector. ■■ Evaluate the benefits and drawbacks of a number of sensory marketing cam-

paigns and explore the new technology that makes these innovative campaigns possible. ■■ Develop a fundamental research proposal to determine the feasibility of launching Boost—a new chocolate bar—in the Canadian marketplace. ■■ Devise a marketing strategy for Zipcar, a car-sharing business, which will allow the company to expand its service offerings and increase market share in city suburbs. ■■ Devise a new marketing strategy that will make Post 100% Bran cereal an attractive breakfast option for the millennial target market. Going younger calls for some nontraditional marketing strategies. ■■ Assess the marketing implications of increasing the price of a Pillsbury food product. Will consumers be accepting of the price increase? How will the change impact sales volume? ■■ Evaluate the disruption Amazon is creating in the Canadian food retailing industry and then devise a strategic marketing response for Loblaws Company Ltd., one of Canada’s largest grocery chains. ■■ Develop a marketing communications campaign that will relaunch Gold Peak iced tea in Canada. The objective is to create awareness and interest in this relatively new Coca-Cola product.

Valuable Learning Aids A wealth of chapter-opening, within-chapter, and end-of-chapter learning devices help students to learn, link, and apply major concepts: Chapter-Opening Content. The new, more active and integrative opening spread in each chapter features Learning Objectives and an opening vignette—an engaging, deeply developed, illustrated, and annotated marketing story that introduces the chapter material and sparks student interest. Learning Objectives. Each learning objective (LO) is tied to chapter content, helping students make connections between examples and key concepts easily. Think Marketing Boxes. Each chapter contains two highlight features that provide an in-depth look at the real marketing practices of large and small companies. Experience Marketing. To experience marketing, students must assess situations and make recommendations to change marketing strategies when necessary. The Experience Marketing section in the end-of-chapter content challenges students to consider the details of a given situation, and asks what they would do to resolve it. Reviewing the Concepts. A summary at the end of each chapter reviews major chapter concepts and links them to chapter objectives. Key Terms. Key terms are defined in the margins. Review Questions. These questions ask students to recall the content that was developed throughout the chapter. Chapter questions are linked to learning objectives.

Preface

MyLab Marketing MyLab Marketing delivers proven results in helping individual students succeed. It provides engaging experiences that personalize, stimulate, and measure learning for each student. MyLab Marketing has been thoroughly revised for the third edition to include the most up-to-date learning resources and a wealth of engaging assessment and teaching aids to help students and instructors explore unique learning pathways. MyLab Marketing online resources include: ■■ Interactive Lesson Presentations. Students can study key chapter topics and work

through interactive assessments to test their knowledge and mastery of marketing concepts. Each presentation allows students to explore through expertly designed steps of reading, practising, and testing to ensure that students not only experience the content, but truly engage with each topic. Instructors also have the ability to assign quizzes, projects, and follow-up discussion questions relating to the online lessons to further develop the valuable learning experiences from the presentations. ■■ Updated Study Plan. MyLab Marketing offers students an engaging and focused self-study experience that is driven by a powerful Study Plan. Students work through assessments in each chapter to gauge their understanding and target the topics that require additional practice. Along the way, they are recognized for their mastery of each topic and guided toward resources in areas that they might be struggling to understand. ■■ NEW Dynamic Study Modules. These new study modules allow students to work through groups of questions and check their understanding of foundational marketing topics. As students work through questions, the Dynamic Study Modules assess their knowledge and only show questions that still require practice. Dynamic Study Modules can be completed online using a computer, tablet, or mobile device. ■■ Decision-Making Simulations. Decision-Making walk students through key business decision-making scenarios to help them understand how marketing decisions are made. Students are asked to make important decisions relating to core marketing concepts. At each point, students receive feedback to help them understand the implications of their choices in the marketing environment. These simulations can be assigned by instructors and graded directly through MyLab Marketing. ■■ NEW MediaShare. Consisting of a curated collection of videos and assignments, MediaShare helps students understand why they are learning key concepts and how they will apply those in their careers. Instructors can also assign favourite YouTube clips or original content and employ MediaShare’s powerful repository of tools to maximize student accountability and interactive learning, and provide contextualized feedback for students and teams who upload presentations, media, or business plans. ■■ Writing Assignments. Assisted-graded writing assignments are based on questions covering key marketing topics and provide the perfect framework for instructors to efficiently assign, review, and grade students’ written work. Questions are accompanied by a clickable rubric that allows instructors to review written work, provide immediate feedback, and assign a grade quickly and consistently. ■■ NEW Learning Catalytics. Learning Catalytics is a “bring your own device” student engagement, assessment, and classroom intelligence system. It allows instructors to engage students in class with a variety of question types designed to gauge student understanding. New questions for each chapter have been created and added to the Learning Catalytics library for the third edition of Think Marketing. ■■ Glossary Flashcards. These provide a targeted review of the Key Terms in each chapter. The Glossary Flashcards allow learners to select the specific terms and chapters that they would like to study. The cards can also be sorted by Key Term or by definition to give students greater flexibility when studying. The third edition of Think Marketing provides an effective and enjoyable total package for moving students down the road to learning marketing!

Preface xxi

Teaching and Learning Support A successful marketing course requires more than a well-written book. Today’s classroom requires a dedicated teacher and a fully integrated teaching package. A total package of teaching and learning supplements extends this edition’s emphasis on effective teaching and learning. The aids that follow support Think Marketing. These instructor supplements are available for download from a password-protected section of Pearson Canada’s online catalogue (http://catalogue.pearsoned.ca). Navigate to your book’s catalogue page to view a list of available supplements. Speak to your local Pearson sales representative for details and access. NEW Instructor’s Manual with Active Learning Guide. This new instructor resource presents detailed group activities related to specific topics and content presented in each chapter of the textbook. The activities are designed to engage and involve students in learning beyond the page. Test Bank. The test bank includes about 100 questions per chapter, with true/false, multiple choice, and essay questions. The testbank is available in Microsoft Word format. PowerPoint® Presentations. PowerPoint slides are available with this edition, with about 25 slides per chapter. The PPTs can be accessed on the Instructor’s Resource section of the catalogue. Pearson eText. The Pearson eText gives students access to their textbook anytime, anywhere. In addition to note taking, highlighting, and bookmarking, the Pearson eText offers interactive and sharing features. Instructors can share their comments or highlights, and students can add their own, creating a tight community of learners within the class. Learning Solutions Managers. Pearson’s Learning Solutions Managers work with faculty and campus course designers to ensure that Pearson technology products, assessment tools, and online course materials are tailored to meet your specific needs. This highly qualified team is dedicated to helping schools take full advantage of a wide range of educational resources, by assisting in the integration of a variety of instructional materials and media formats. Your local Pearson Education sales representative can provide you with more details on this service program.

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Acknowledgements I would sincerely like to acknowledge the contribution of Marina Jaffey in the development of the third edition. Marina introduced many new ideas, insights, and exercises based on her examination of external trends influencing contemporary marketing practice. I would also like to thank the many source suppliers of images that appear in the book. Their support is absolutely critical in order to show how marketing strategies are implemented. As always, a very special thank you to my wife, Esther, for her unwavering support. The journey continues! KJT I would like to acknowledge and thank Keith Tuckwell for the insight, creativity and wealth of experience he has contributed to this project. I am also deeply grateful to my students whose energy and ideas inspire me. Above all, thank you to my family… Joe and Matthew, I couldn’t do this work without you! MJ Both authors would like to thank various people at Pearson Canada and their external suppliers who have helped in so many ways to make this book a success. In particular, we would like to thank Anne Williams, Vice President, Editorial; Scott Hardie, Acquisitions Editor; John Polanszky, Senior Content Manager; Lila Campbell, Content Developer; Kim Blakey, Project Manager; Shruti Jamadagni, Project Manager Permissions; Monika Schurmann, Freelance Permissions Researcher; Heather Macdougall, Copyeditor. Keith J. Tuckwell Marina Jaffey

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Discovering Diverse Content Through Random Scribd Documents

—«Ah! ma Sœur... vous que j’appelle ainsi maintenant, et à qui j’ai fait tant de mal!... Ne croyez pas qu’il n’y ait en moi rien que de l’égoïsme, de la lâcheté, une avidité ignoble. J’ai été léger surtout. Je ne pensais pas agir déloyalement par l’espèce de contrat qui m’engageait à vous. D’un côté, il y avait mon nom, et toute l’énergie déployée pour vous faire restituer votre héritage, de l’autre côté, il y avait cet héritage même, que vous m’apportiez en m’accordant votre main. —Il y avait autre chose,» dit la jeune fille. «Et cet autre chose, vous l’avez trahi, par une trahison double puisque vous séduisiez la malheureuse Bertrande. —C’est vrai... c’est vrai,» reprit vivement le prince. «Et je n’invoquerai pour excuse ni l’indulgence de la morale mondaine à l’égard des passions masculines, ni même la franchise avec laquelle je vous ai avoué dès le début que mes sentiments ne répondaient point aux vôtres. Certes, j’ai été coupable. Mais, ma Sœur, je ne puis reconnaître en moi-même une bassesse qui n’existait pas. J’avais foi en votre droit, je m’imaginais vous rendre un service égal aux exigences de mon ambition.» —«Soit!» interrompit Françoise. «A quoi bon remuer ces tristes souvenirs? Je ne vous accuse ni ne vous condamne. Que voulez-vous de moi? —Votre pitié,» répliqua-t-il. «Le châtiment, que vous ne me souhaitez pas, m’atteint. Ce que j’avais de meilleur en moi s’est éveillé juste à temps pour l’expiation. Depuis quelques mois, je sais ce qu’est la lutte pour la vie, ce qu’elle a de sain, de purifiant, les satisfactions qu’elle laisse. Depuis quelques jours, je sais ce qu’est la famille, la douceur d’un foyer, la présence d’une femme, d’un enfant, qui vous aiment, qui attendent de vous leur bonheur...» La voix de Villingen trembla un peu. Il ajouta plus bas: —«Enfin, je sais ce que c’est que d’aimer.» Une souffrance furtive crispa les traits de Sœur Séraphine. Mais elle prononça, calme en apparence, les doigts étreignant le petit crucifix de son rosaire, comme pour en tirer une force:

—«Je vous l’avais prédit, Gilbert. J’en suis sincèrement heureuse. Épousez-donc Bertrande, et reconnaissez votre enfant. —Ce matin, j’y songeais,» dit-il. —«Ce matin...» répéta-t-elle étonnée. «Et maintenant?... —Maintenant,» s’écria Gilbert, «il est trop tard. L’Affaire Valcor est rouverte, par la nouvelle extraordinaire qui remplit les journaux. Dès demain, l’assassinat d’Escaldas, prouvé sans doute, acculera l’imposteur à une catastrophe, qui, cette fois, sera définitive. Or, cet imposteur, qui est-ce? Bertrand Gaël, le père de Bertrande. A celle-ci reviendront les millions de cette Valcorie, qui, en dépit de ce nom, est bien l’œuvre industrielle du bandit génial. S’il ne l’a pas fondée, il l’a dirigée, étendue, développée depuis vingt ans. Rien ne peut lui ôter cela. Les biens patrimoniaux du marquisat vous seront attribués. Vous les consacrerez à la charité, m’avez-vous dit. Soit!... Mais le reste... mais la colossale fortune?... Comprenez-vous?... Moi, prince de Villingen, je pouvais, sans m’avilir, épouser l’héritière de Valcor, surtout quand cette héritière était, avant les vœux éternels prononcés, la noble Françoise de Plesguen. Je pouvais hier encore faire mon devoir, en donnant mon nom à la mère de mon enfant, à l’honnête et pauvre créature que j’ai séduite. Mais je ne puis dire à Bertrande «Sois ma femme,» quand le monde entier, et elle-même, et moi peut-être, traduiront cette parole en une impulsion si vile, que, aux pires heures de mon existence, je n’en aurais pas été capable. —Comment, vous, peut-être?...» interrogea Françoise. «Vous auriez, du moins, votre conscience pour vous. —En suis-je si assuré que cela?» riposta le jeune homme. «Voyons-nous toujours clair au fond de nous? Mon intention n’était pas formelle. La pensée de ce mariage s’insinuait seulement en moi. La vie commune me tentait. Elle existe en fait, depuis que Bertrande est venue s’asseoir à mon chevet de malade. Elle m’a sauvé, peutêtre. Les derniers jours furent si doux, avec cet enfant entre nous deux! Je les eusse prolongés. Nous serions restés ensemble. La situation se serait régularisée plus tard. Voilà... Voilà la vérité de ce qui se passait en moi. Puis, j’ai ouvert ce journal. J’ai lu ce fait

divers. Les conséquences me sont apparues. Je me suis dit: «Jamais, maintenant... Jamais!... Bertrande, riche... effroyablement riche... C’est mon rêve qui s’effondre dans la boue!» Alors, et seulement à ma souffrance, j’ai découvert ce qu’il y avait de changé en moi. Ce rêve, je l’avais donc vraiment entrevu. Déjà il me tenait au cœur. Toutefois, je me demande, avec la méfiance et le dégoût de mon ancien moi-même, si la lueur de l’or ne l’a pas fait surgir tout à coup. Et, enfin, je suis très malheureux... Comprenez-vous?» Françoise avait écouté dans un silence rêveur. Quand Villingen se tut, elle demeura encore un instant pensive. Puis elle se leva, pour s’approcher de son père, dont l’immobilité l’inquiétait. Elle toucha les mains du vieillard,—la température en était à peu près normale,— écouta sa respiration, qu’elle jugea régulière, mais inclina vainement son visage vers le regard terni, qui n’exprima pas s’il la voyait. Avec un soupir, elle revint à Gilbert. Celui-ci se tenait debout, prêt à se retirer. —«Vous m’excuserez,» balbutia-t-il. «Je ne vous aurais pas entretenue si longuement de moi-même... Mais ma détresse est une réparation pour vous. Je vous en devais l’aveu.» Elle lui répondit froidement: —«Votre confidence ne m’a pas été importune. Mais elle était encore moins nécessaire. Comment compatirais-je à vos peines? Je ne les conçois pas. Voyez mon pauvre père: au bord de l’éternité, il ne communique plus qu’à peine avec le monde des vivants. Je suis ainsi, sous mon habit de nonne. Sans doute, l’orgueil d’un Villingen doit être une chose fort précieuse. Mais ses tardives subtilités m’échappent. Où règne l’amour, qu’importe le reste? Bertrande vous aime, et vous lui rendez aujourd’hui une tendresse égale. Je ne saurais vous plaindre, ni l’un ni l’autre.» Ce qu’il y avait, sous ces paroles, sous ce ton détaché, sous la rigidité toute monacale où s’enfermait l’âme déçue, Gilbert le devina, mais trop tard. Il saisit ce qu’avait eu de douloureux, pour celle qui saignait toujours des sentiments qu’elle prétendait morts, certaines des phrases qu’il venait de prononcer, surtout avec l’ardeur qu’il y avait mise. En demander pardon eût été aggraver le mal. Il n’avait

plus qu’à dire adieu, ce qu’il fit avec une émotion et un respect dont la Sœur Séraphine garda l’impression comme le dernier souvenir de sa vie profane. En la quittant, Gilbert de Villingen éprouvait une nostalgie affreuse. Ce n’était pas précisément du remords, mais bien l’écœurement de son rôle. Cette navrante figure de femme, si ravagée de désespoir humain sous l’impassibilité voulue de la religieuse, entre ces linges serrés autour du visage comme des bandelettes de momie, le suivait de son déchirant regard. Ensuite il songeait à l’autre, à Bertrande, qu’il avait tant fait souffrir, et dont il ne pouvait plus effacer les larmes sans paraître former le plus vil calcul. Il se trouvait enfermé dans son égoïsme, dans ses mauvais désirs, au moment même où il en prenait conscience et souhaitait de s’en évader. Ah! que cela eût été bon de rejeter le poids du passé, d’accueillir les bouffées d’air pur qui lui dilataient la poitrine, de se reprendre à une vie plus saine, de se relever dans sa propre fierté, par une action généreuse! «Que ne l’ai-je fait hier!» se disait-il. «Que n’ai-je pris Bertrande et Claude sur mon cœur, en les appelant «Ma femme... Mon fils...» Aujourd’hui, c’est trop tard.» Tout en marchant rapidement par les rues, Gairlance jetait des regards exaspérés à tous les étalages de journaux, à ces flots de feuilles imprimées qui, sous tant de titres divers, se gonflaient sous le vent, palpitaient aux devantures, glissaient jusqu’aux trottoirs. Tous, tous, reproduisaient le fait divers à sensation. Rien au monde ne pouvait plus empêcher, s’il offrait d’épouser Bertrande, qu’il n’eût l’air, lui, prince de Villingen, de vendre son nom à la fille du bandit dont il avait jadis poursuivi la perte. Bertrande Gaël, et son héritage suspect, après Françoise de Plesguen, et son patrimoine restitué... Ce serait glisser du mariage d’intérêt à l’alliance d’ignominie... Quelle chute pour le petit-fils d’un héros!... Il rentra rue Cambacérès. Le vieux Firmin souriait de joie en le débarrassant de son pardessus, parce que le petit Claude, caché derrière une tenture, venait de lui crier:

—«Dis pas... Coucou!...» L’enfant bondit avec des éclats de rire hors de sa cachette, et courut, les bras ouverts, enchanté de répéter le mot qu’on lui avait permis: «Papa!... Papa!...» Bertrande, radieuse, parut au seuil de la salle à manger, les mains encombrées d’argenterie, car elle dressait la table. Mais tout ce rayonnement s’éteignit devant la physionomie sombre de Gilbert. Il souffrait, le malheureux, d’une souffrance qu’il n’aurait jamais imaginée ni prévue. Durant le déjeuner, il se crut près d’éclater en sanglots. Cependant, ce fut avec son sang-froid de duelliste sur le terrain, qu’ensuite il dit à celle qu’aujourd’hui, vraiment, il aimait: —«Ma pauvre Bertrande, il faut nous séparer. Tu ne peux pas rester chez moi avec notre fils. Je n’ai pas mérité ce bonheur. Ta tendresse admirable me l’a fait souhaiter, je te le jure. Mais tu comprendras plus tard pourquoi je dois y renoncer. Il m’en coûte. Aime-moi assez pour ne pas me montrer ton chagrin. Va, pars! J’irai vous voir chez toi. Firmin va te chercher un fiacre.» Elle devint très pâle, mais elle répondit simplement: —«Je n’étais venue que pour te soigner, Gilbert. Depuis que tu es guéri, je m’attendais d’une minute à l’autre... —Ne dis pas cela!» cria-t-il impétueusement. «Non, tu ne pouvais pas t’y attendre. Je ne m’y attendais pas moi-même... Ah! Bertrande... Claude et toi, vous m’aviez fait un nouveau cœur. —Tu nous aimes?...» balbutia-t-elle, fondant en larmes. —«Oui, je vous aime. —Alors...» (et elle sourit tout en pleurant) «j’aurai du courage. D’ailleurs, même si tu avais voulu nous garder, c’est moi qui t’aurais demandé de partir. Tu es le prince de Villingen. Nous ne devons pas encombrer ta vie. Garde-nous ta tendresse. —Quelle âme adorable tu as, Bertrande!» murmura-t-il en la serrant sur sa poitrine. Il parvint à conserver sa fermeté apparente, même en embrassant le petit Claude. Mais quand il les eut vus partir, quand il entendit les roues du fiacre ébranler le silence de la calme rue,

Gilbert s’enferma dans sa chambre, se laissa tomber sur un fauteuil, et pleura.

XVIII

COMPLICES C’ est un fait bien établi maintenant qu’Arthur Sornières, dit le Beau Rouquin, dit le Baladeur, étrangla José Escaldas, par un coup de lasso brusque,—souvenir de la pampa argentine, sans doute,—au moment même où le Bolivien l’accueillait avec enthousiasme, croyant que l’Apache allait lui livrer Valcor. Ensuite, le meurtrier organisa la mise en scène du suicide. Il importait, non seulement qu’Escaldas disparût, mais que tout fît croire à sa mort volontaire. Cette abdication tragique serait un aveu d’imposture. Nul ne douterait que le métis ne se fût pendu pour ne pas subir le châtiment de ses frauduleuses manœuvres. Le calcul était juste. La logique d’une telle fin s’imposa avec tant de force, que les plus directement frappés même, Villingen et Plesguen, l’admirent avec consternation. Le projet de cet assassinat fut ébauché entre le faux Valcor et Sornières, précisément dans cette nuit d’hiver et de neige, où Micheline, toute frissonnante d’angoisse, de pressentiments, veilla pour attendre le retour de son père. Quel retour!... Et de quel tressaillement avait été secoué cet homme, pourtant si fort, lorsque dans l’éclair jailli d’une lumière électrique, il avait rencontré les yeux

purs de son enfant, lui qui sentait encore sur sa face hagarde le reflet des effroyables résolutions, sur ses lèvres le frisson des monstrueuses paroles! L’Apache de Montmartre, l’effrayant Arthur Sornières, avait été l’instrument digne de cet infernal esprit. Mais il avait compté sans la femme. Le soir qui suivit son crime, accablé d’horreur, malgré son cynisme, et d’autant plus abattu que, pour se créer un alibi et expliquer sa présence dans la maison de la rue Lévis, il avait joué la comédie de vice après la tragédie de meurtre, et passé une heure près de Rosalinde,—il laissa échapper des phrases étranges. Sa petite amie Angèle, la Môme-Cervelas, le supposait parfaitement capable de se mêler à quelque affaire sanglante. Elle fut bien vite sur la voie, et ne douta plus guère, le lendemain. Car, ayant lu dans les journaux qu’Escaldas s’était pendu avec une cordelière bleue, elle avait dit en riant à Arthur: —«C’est donc pour lui que tu m’as chipé ma cordelière?...» Puis elle ajouta sérieusement: «Le hasard fait que je l’ai justement cherchée tout à l’heure, au fond du placard où je l’avais jetée. Rends-la moi... J’en ai besoin.» Minute terrible. La pauvre créature avait plaisanté. Mais à la façon dont son tendre ami lui interdit pour l’avenir des plaisanteries de ce genre, sans, d’ailleurs, lui restituer la cordelière, elle eut sa conviction faite. Il lui donna de l’argent, après l’avoir à moitié assommée. Nouvelle preuve. D’où tenait-il cet or et ces billets de banque? Il disparut le lendemain. Et cette confirmation de ses conjectures n’était pas nécessaire à la triste fille. Elle pleura le brutal amant, qu’elle trouvait peut-être, non pas diminué, mais grandi, par le mystère de l’épouvantable. Jamais l’idée ne lui vint de le livrer. Nulle somme d’argent, nulle promesse, nulle tentation, ne l’y eût incitée. Mais quand elle crut comprendre que son «petit homme» l’avait quittée pour une autre, quand elle s’imagina qu’il avait peut-être commis son crime de connivence avec

cette Rosalinde,—puisque Escaldas habitait la même maison,—alors son secret lui échappa dans une ivresse de vengeance. Dès le lendemain, d’ailleurs, elle se contredisait. Sanglotante de regret et de frayeur, elle essayait de rattraper ses révélations. Trop tard! Non seulement on la tenait, mais on tenait l’autre, la Rosalinde. Et les souvenirs de celle-ci, les rapprochements d’heures, de bruits, maintenant éclairés par un soupçon net, loin de disculper le visiteur de la rue Lévis, comme lorsqu’on raisonnait dans la suggestion du suicide, précisaient son rôle—rôle effarant d’ingéniosité froide, d’audacieuse vigueur, de sournoiserie et de férocité. Mais il s’agissait de retrouver cet homme. Était-il seulement en Europe? Angèle,—la Môme-Cervelas,—assurait que, muni d’argent, il avait dû retourner à Buenos-Ayres, pour y fonder une maison de jeux. C’était un rêve du bandit, en effet. S’il ne l’avait pas réalisé, c’est qu’il s’était dit: «Une fois de l’autre côté de l’Océan, je ne pourrai plus faire chanter le Valcor. Quand on tient en cage un rossignol comme celui-là, ce serait trop bête de se priver de sa musique.» Le gredin vivait dans une tranquillité parfaite depuis que le suicide d’Escaldas s’était trouvé admis sans conteste. Sûr de la discrétion de sa «môme», il ne prévoyait pas le seul hasard qui pût la faire parler,—une rencontre avec Rosalinde, les vanteries de cette dernière, la certitude s’imposant à Angèle qu’il l’avait quittée pour cette nouvelle conquête. Justement, ses fonds se trouvant en baisse, il formait le projet de faire un tour à Paris, pour arracher de nouveaux subsides au marquis de Valcor. «En même temps,» songeait-il, «j’irai revoir la môme. Quoique habituée à mes absences, il ne faut pas lui laisser oublier que son Rouquin peut surgir quand elle l’attend le moins, et qu’elle risquerait sa peau à lui jouer des farces.» C’est à Monte-Carlo, où l’escarpe, singeant l’homme du monde, menait ce qu’il appelait la grande vie et étudiait des martingales au trente-et-quarante, qu’il lut dans les journaux la foudroyante nouvelle. La Môme-Cervelas avait, suivant sa propre expression «mangé le morceau». C’était, pour lui, l’arrestation imminente, la

Cour d’assises, la guillotine certaine. Escaldas pendu, Pabro jeté à la mer, cela se tenait,—réuni par le fil formidable de l’Affaire Valcor. Le second crime amènerait la découverte du premier. Quelle journée pour le misérable! Les feuilles du matin avaient raconté la scène entre Rosalinde et Angèle, relaté les révélations de cette dernière. Des éditions spéciales parurent deux heures après, qu’on criait autour des hôtels, devant le Casino, et qui déjà donnaient le signalement d’Arthur Sornières, son portrait, sa mensuration d’après le service anthropométrique, où, jadis, il avait passé. On indiquait assez exactement son plus récent itinéraire. Toutes les polices étaient en éveil, toutes les gendarmeries sur pied, toutes les gares, tous les ports en surveillance. Ce n’était point tant le vulgaire assassin que l’on traquait. C’était l’Affaire Valcor qui ressuscitait avec fracas. Rien ne serait épargné maintenant pour donner satisfaction à l’anxiété publique, à l’opinion divisée, exaspérée, haletante. Sornières se dit: «Je suis fichu!... Si j’ai une chance sur mille de sortir de France sans être pincé, à quoi cela me servirait-il, ayant boulotté mon argent? Aujourd’hui, Valcor me donnerait ce que je voudrais... La moitié de sa fortune pour me mettre en sûreté... Malheur!... Et il est au bout du monde... En Bretagne, dans ce moment... Je l’ai vu sur les journaux. Tant pis!... je joue ma tête, mais je ne perdrai pas cette aubaine. On ne peut rien contre lui tant qu’on ne me tiendra pas. Si je parviens jusqu’à lui, je suis sauvé, je suis riche... Car il a des ressources de toutes sortes, le bougre!... Je le verrai, ou j’éternuerai dans le panier de son. Allons-y!... Le coup vaut le risque.» L’Apache avait un atout dans son jeu: pour faire la fête à MonteCarlo, il s’était transformé si complètement que cela lui assurait au moins une certaine avance. Se donnant pour un riche Américain du Sud, il avait foncé ses cheveux et sa moustache, et évitait de parler français, n’employant que l’espagnol, dans lequel il s’exprimait avec une aisance parfaite. Grâce à ce rôle—adopté par prudence et plus encore par gloriole,—il se trouvait momentanément en sécurité. Cela

ne durerait pas. Déjà son brusque départ allait éveiller les soupçons. Mais enfin, ce fut sous ce personnage qu’il commença son odyssée de Monaco à Brest. Voyage qui dura quatre jours, avec des zigzags, des retours, des haltes cachées de bête qui «se rase», des fuites audacieuses, des ruses de fauve. Durant ce trajet fécond en péripéties, Sornières changea plusieurs fois de costume et de langage. Un soir, enfin, il aborda au Conquet, dans un bateau de pêche, qu’il avait loué à Douarnenez pour cette courte traversée. Il portait maintenant des favoris roux comme ses cheveux, rendus à leur couleur naturelle, et il faisait usage de l’anglais. —«C’est un milord excentrique,» avaient dit les sardiniers, quand il demanda, sur le port, lequel d’entre eux, avec son bateau, le conduirait au Conquet, alors que le train ou le service à vapeur l’y transporterait plus vite et plus commodément. Quand il partit de Douarnenez, il ne remarqua pas, qu’avec le patron et le mousse, il y avait encore, au fond de la barque, à demi caché par des filets, un gars breton, grossier d’aspect et de costume, bestialement endormi. A la hauteur du cap de la Chèvre, comme on tournait la voile, Sornières l’aperçut. —«Qu’est-ce que cet homme?» fit-il avec un fort accent britannique. Le patron, négligent, expliqua: son beau-fils, un fils de sa femme, un propre-à-rien qui avait toujours un verre de trop. Au retour, il aurait cuvé son eau-de-vie, et donnerait un coup de main, pour la pêche. Milord excuserait. Le garçon n’était pas gênant. De fait, quand le rustre parut se réveiller, il souleva une physionomie si ahurie, exhala un tel relent d’alcool, et le patron lui envoya de si solides coups de pied pour lui faire reprendre ses esprits, que le passager ne tint plus compte d’une pareille brute. Il en aurait tenu compte, s’il avait vu le stupide Breton sauter, peu après lui, sur le quai du petit port, et courir avec une vélocité qui démentait sa prétendue ivresse. C’était un agent de police, qui le filait depuis quelque temps déjà. Il avait fait connaître au patron de

la barque les instructions officielles enjoignant à celui-ci de faciliter sa mission. Le marin s’y était conformé, sans même savoir quelle était cette mission, ni l’identité du faux Anglais qu’il prenait à son bord. Maintenant, à cet agent, venaient de se joindre deux autres personnages, qui avaient semblé surgir sous ses pas. Le télégraphe avait marché, de Douarnenez au Conquet. Sans qu’il en eût le moindre soupçon, Arthur Sornières se trouvait enveloppé comme d’un réseau humain. D’ailleurs, on l’attendait ici. Dès la première heure, un cercle d’observation s’était installé autour de Valcor. Mais le mot d’ordre était d’attendre, au cas où l’assassin paraîtrait dans la région, qu’il fût entré en rapport avec le marquis, et de ne l’arrêter qu’ensuite. Une seule entrevue prouvée suffirait à faire citer Renaud de Valcor comme témoin, et peut-être, suivant la marche de l’instruction, à le retenir comme complice. Malgré son habileté prodigieuse, celui qu’on appelait toujours «monsieur le marquis» donna dans ce piège. Ou plutôt, ayant suivi tout ce que disaient les journaux depuis cinq jours, et se voyant sous le coup du péril actuel, alors qu’il restait accablé par sa terrible conversation avec Mme de Ferneuse, le lutteur, à bout d’efforts et de désespoir, glissait à un fatalisme résigné. Malgré le défi jeté à Gaétane, Bertrand Gaël se demandait s’il tenterait de poursuivre encore l’effroyable tâche. A quoi bon, maintenant? Cette femme savait tout et le méprisait... Cette femme, en qui s’était finalement incarné son rêve de passion et d’orgueil. Que lui importait le reste du monde? Au cours de ce débat intérieur, où fléchissait sa redoutable volonté même, un soir, vers huit heures, on lui apporta un billet. Tout de suite, malgré l’écriture déguisée, l’absence de signature, il sut qui lui adressait l’injonction: «Au dolmen de Kerg’houât. Je vous attends.» La main qui tenait le papier trembla. C’était la première fois qu’une telle secousse d’épouvante brisait le sang-froid de celui qui, si hardiment, portait le nom de Valcor. Un murmure atterré s’échappa de ses lèvres: