Following your training session, a new client has decided to work with TMS to develop their marketing strategy. They have asked to work with you to explore how marketing strategies can be used to give them greater competitive advantage. Your task is to create a report which:
(1) Information Guide for new clients
Role of Strategic marketing
Strategic marketing is the catalyst for a successfully rising trajectory of success of an organization build with an aim of collaboration, competence and customization. Strategic marketing is aimed at collaborating all the activities and analyzing all the areas of operations so as to craft suitable and matching techniques as per the requirements. For a company of any scale, it is essentially important to focus and aggregate their resources into one or the other form of strategic marketing to become successful in this flexible era and dynamic market.
So, the formula for success of your organization is to leverage the resource in the domain of strategic marketing. A strategic marketing approach helps in creating services and products having maximum chances of making some profit. This is due to the fact that, marketing strategy is initiated with the marketplace research by analyzing the optimal target and taking care of the competitors to build up changing trends and features.The practices of strategic marketing helps in determining the optimal pricing for the products. It will also guide the organization with the path of effective distribution techniques matching up with the requirements and expectations of different genres of consumers. The forms of strategic marketing in an organization assists with marketing communications to establish a brand value and create a better organizational impact over the operational regions.
Strategic marketing therefore is a secret bridge to map strengths of the products with target audience taking care of market competition. Marketing strategy is a comprehensive plan including the mission and vision statement of the company in addition to business objectives with a unique value proposition and positioning statement.
Corporate Strategy and Marketing Strategy
A major focus of the marketing strategies include development, pricing and distribution of a product or a service. Corporate strategy is more inclined towards profitable initiatives whereas marketing strategy is more oriented towards sales and development of product or service.Amalgamation of principles of product orientation and profit orientation will lead a complete package of strategies deployed in an organization. The alignment of both the strategies is crucially important for every aspect of the organizational success and development. The executive branch of a company must go hand in hand and in complete collaboration with the marketing department so as to devise either of the strategies aligning with each other. For a lack of collaboration is some case studies may lead to a complete loss in the organization. To cite and example, a corporate cost containment strategy including usage of cheap materials for products might contribute in damaging an upscale business having a high brand value. Marketing strategies lack momentum without corporate strategies and on the other hand corporate strategies lack a sense of direction without marketing strategies. Work of both the strategies in close collaboration are the actual keys for success and survival in this competitive environment. Most of the marketing plans devised and formulated by a company are served to go in greater details for the proposed marketing plans.
A corporate strategy comprises of all the functional units with a complete detail of decisions, resources, objectives of the company and further details are given in in marketing plans based over 4 P’s of marketing including analysis of product uniqueness, consumer demographic, brand management strategies, promotions, social media etc.
Procedure to develop marketing strategy
There is a set and defined procedure for development of marketing strategy including well defined steps.The first step is to define and describe the products and the services that are offered by the company with the intentions of their marketing approach. A complete knowledge of the product should be the first priority to know the market in a better way. A rough draft for the marketing plan is essential after brainstorming session. A market study is required to know about the demographics of the customers. Segmentation, targeting and positioning must be carried out in this marketing strategy for devising profitable plans. Marketing analysis includes knowing about the size of the market, pace of the market, lifestyle of the customers etc. It is really essential to compare and contrast the services of the company with those of the competitors evaluating the positive and negative aspects of it in both of the direct and indirect ways. The unique value of the product should be determined so as to formulate and craft marketing and advertising strategies.Unique Selling Proposition of the company must be described for gaining a competitive advantage. The next step should be mapping up of the marketing budget with the current plans and goals to fit into the parameter. Finally, steps for marketing methods like internet marketing, mail advertising, promotional events etc. must be planned. This marketing strategy must be flexible enough to be modified at regular basis incorporating the changing needs of the customers. Communication of this marketing strategy to the customers and employees of the company.
Decisions at Corporate level
Corporate decisions shape up the future of whole business and hence must be taken with utter care and focus. Corporate level decisions and strategies give a bigger picture of the organization in terms of marketing products or services being operated upon within the company’s boundaries. Resource management, staffing and capital management are corporate decisions including sense and roles of diversification. The scope of business operations, level of diversity, enterprise activities, nature of diversity, organization of business, structure and culture of the business, business boundaries and limitations, beneficial relationships like mergers or acquisitions etc. all are the key decisions taking up at the corporate level of the organization.
(2) TRAINING SESSION
Internal environment analysis
Internal environment analysis is based over a realistic profile of the company determining its competencies and weaknesses.
Development of the profile of the company must be carried out by audits by managers to seek out key operational areas for future policies (Wall, 1991). A comparative basis linked to the external market is analyzed within the organization by evaluating the current competencies.
To formulate an effective strategic management plan, it is highly essential to blend careful planning, efficient execution, coordination of functions of operations, production, marketing, finance, accounting, research, development, human resource management etc.
Collaborative performance by each of the responsibilities have a direct effect and bearing over the performance of the business. According to McKinsey 7S model it is essentially important to make the strategies devised fit into the culture of the organization to have one of the best utilization of resources and key skills.
Value chaining which includes both primary and supporting activities is a tool to identify the moving assets of the company and control the internal environment.
External environment analysis
The external environment and its impact over the internal environment and functioning of the organization is more complex than internal environment analysis.
Demographics and socio cultural considerations of the customers is one of the most highlighting factor for external environment.
Technological trajectories are relevant to the organizations for developing their future strategies and functions.
Suppliers have storehouse of power as they have a control over the necessary inputs to the organizational operational processes (Kotler, 1995). The dynamic and regulating environment is a matter of concern for every organization which when considered seriously will lead to a feasible strategy.
Economic changes in the forms of recessions or booms should be tapped as opportunities by overcoming the threats in the business.
Competition and problems of labor markets must be strategically poised to understand the unique value of the company and to ensure a feasible strategy that is critical to success.
Alliance of Both the features
It is critically important to amalgamate the knowledge and analysis of both the internal and external environment analysis so as to devise some of the most efficient marketing strategies. To blend both of the views a marketing analysis term is SWOT analysis having strengths and weaknesses that are internal to the organization clubbed with opportunities and threats external to the organization. This SWOT analysis is carried out so to review the present strategies of the marketing of a business and to formulate a bunch of further strategies in the field of marketing.
(3) STRATEGIC MARKETING REPORT
Strategies for competitive advantage
For the company to excel in the field of their functions decisions taken at the corporate level contributes to a greater limit as they have a long term impact over the whole of the business. There can be an endless range of techniques that can be implemented in the business to have a sense of competitive advantage over other companies in the market.
- Adoption of internet marketing by the means of online social media sites by making the strategies go viral by the means of advertisements and promotions. With a huge use of intent and social networking websites, it is a great opportunity for any kind of business to have an attractive website and tags and pages in social networking sites to promote their business and attract a wide customer base.
- Adoption of lean and agile methodologies to be able to use best of the techniques in the business and minimize waste along with becoming flexible. Agility is an essential feature of contemporary business so as to include the changing demands of the customers in a dynamic market.
- Cross promotion techniques can be adopted by making a collaboration or alliance with a company as it is a way of experimenting and creating value for the business. The more number of publicity and promotion, more will be impact over the customers. The company can also hire human billboards for the process of advertising.
- It can be highly beneficial for the business to sponsor a charity cause before launch of a product or a service to promote their business in such fields to gain customer attraction. The marketing strategies are based over choosing right tools possessing right triggers to fit into the marketing framework (Lovelock, 1983).
- Advertisements and the modes of advertisements must be carefully chosen with help of some consulting agencies so as to target the message in a better and widespread way.Sponsorships shall be distributed for the sole purpose of advertisement.
Marketing Communication Strategies
- The main motive to refine the marketing communication strategy is to sharpen the brand look, mission and vision statement with innovative logo and a marking statement. The brand of the business must actually speak to the customer in a relevant manner to appeal to their palate and interest.
- USP of the company must be exposed and uncovered so as to drive the sales of the product or the service offered by the company. This USP must be motivating and compelling to attract people and build up mediums for communications.
- A consistent and comprehensive communication is suggested with constant feedbacks, updates, recommendations etc. The prime strategy should be to generate some of the key positioning statements for featuring the service or the product in the line of communication. Use of descriptive and short words having inherent meaning must be used for innovative marketing communication.
- The communications for the marketing must be analyzed in the terms and perspectives of quantitative aspect i.e. that the communications are measurable. This can be possible by monitoring social media exposure, email open or click rates, mail response rates etc. This data should be mapped with the sales metrics to have a thorough knowledge of the strategies employed.
- It is highly essential to maintain a CRM, Customer Relationship Management system which is a database to ease up the channels and paths of communications in order to scale the sales and marketing processes of the company. This database can actually help to understand the clients in a better way to craft further communication strategies.
- Use of videos, mobile applications, content marketing and eCommerce are some for the major strategies to be focused upon for fostering a smooth communication with the clients or the potential customers.
- Kotler, P., & Fox, K. F. (1995). Strategic marketing for educational institutions.
- Lovelock, C. H. (1983). Classifying services to gain strategic marketing insights.The Journal of Marketing, 9-20.
- Heath, E., & Wall, G. (1991).Marketing tourism destinations: a strategic planning approach. John Wiley & Sons, Inc..