Marketing Strategy Argumentative Essay Example

and documents between San Francisco and Honolulu.

In 1970, the company's services were expanded. At that time, DEL had three individuals involved: Adrian Dashed, Robert Lynn, and Larry Holmium. Instead of using couriers, they focused on delivering documents by air due to the time it took to ship them. While there was no security guarantee for document delivery, they prioritized ensuring the security of freight.

DEL airways is located and operated in San Francisco, handling inter-country transportation in the U.S. DEL international is based in Brussels. DEL is well-known for its cost-effective domestic shipping and services, earning the trust and loyalty of customers. As a reputable logistics company, they have successfully delivered 3% of all shipments within the U.S. Additionally, their international deliveries have grown by 20% since 1990. With 90,000 accounts, DEL has generated 10% of its revenue.

The company has a 15% share of the global shipment market, with a strong presence in Mac products. Individual customers contribute only 10% of its revenue, leading the company to prioritize large business corporations with significant investments and international operations. Its diverse range of products and services allows for differentiation from competitors. DEL operates internationally through regional managers who have decision-making autonomy, although overall business decisions are made centrally (Fill, 2002).

Competitive strategy and DEL: There are four fundamental competitive strategies in marketing. It is known that business organizations must choose attributes that will give their products an edge over those of their competitors. Thus, companies can opt for one of four types of competitive advantage outlined by Porter (1985), known as Porter's four generic competitive strategy model: cost leadership, differentiation, cost focus, and differentiation

focus. Now we will assess DEL's situation to determine which competitive advantage the company has adopted.

According to Kettle and Armstrong (2007), the company implements a differentiation strategy by offering a wide range of products and providing services at moderate prices, with a focus on high service quality. The company's advertisements emphasize its commitment to timeliness and service quality. Overall, the company's competitive strategy revolves around differentiation. Below are some key points about the company's competitive strategy for better understanding.

The company acknowledges that valuing its customers' taste and demands is crucial for its success. This recognition plays a vital role in the company's marketing strategy, aiding in identifying its market niche. Additionally, the company places significant emphasis on research and development to consistently enhance its services. Understanding the essential nature of long-term goals for achieving success, it avoids solely focusing on short-term objectives as they can impede profitable growth. DEL also shares this belief and underscores the significance of establishing long-term goals for attaining sustained success.

Team spirit and enthusiasm are essential characteristics of the employees and staff of DEL, and creating a competitive environment within the organization is a positive sign for the company. Rewarding and motivating employees is crucial for management in any business organization. Additionally, the use of information and technology is indispensable in today's business landscape. It showcases the significance of information and technology in the business world. DEL is also enhancing its business operations by integrating the use of technology and information.

Inter-city transportation poses a challenge in various countries, as logistics support and efficient transportation methods may be lacking. This can hinder the corporate operations of many businesses.

However, DEL operates as a logistics support company and successfully manages regional branches to overcome these obstacles. The company has 189 branches spread across 189 countries, and it strives to enhance business activities within these branches. As a result, the networking among these countries has become stronger, enabling the company to allocate resources more efficiently. Decision making at the local branches is carried out by regional managers.

The central authority is responsible for the overall strategy and decision-making, resulting in a decentralized management system but centralized control that demonstrates the company's efficiency. DEL is making efforts to expand its business by introducing new services and products to capture new market opportunities. Anticipating changes in demand and taste is crucial, and DEL is capable of adapting quickly to overcome these changes.

The marketing strategy of DEL, a logistics support company, focuses on the timeliness and reliability of its services. The company's media marketing communication also reflects its vision. To better understand the formulation of the marketing strategy, the target market and segmentations of logistics support companies are provided. The company's advertisement emphasizes the importance of timeliness with the slogan "DEL same day, when tomorrow is late." According to Kettle (1988), there are multiple segments in the market.

The market is segmented geographically, which most logistics companies maintain. Additionally, the market can be segmented in other ways, but geographic segmentation is the most useful. The company has also segmented its market based on individual and business organization. The company serves its segments through various service packages and offers. As the leading logistics company, the target market of this company is larger than any other companies. It is

able to provide service to a large segment of the market due to its available resources. Furthermore, the company's service quality is high.

The company's strong brand image ensures a larger target market. DEL targets business organizations worldwide. The service charge of the company is relatively high, but this guarantees timely delivery and secure handling of documents. The company's positioning strategy emphasizes the importance of punctuality and reliability in its services. Therefore, the company's positioning statement is dependent on these attributes. The company follows a "more for the same" value proposition.

The text discusses the additional benefits customers receive when they pay for a service from DEL in exchange for the assurance of timely product delivery. It also touches on the concept of marketing mix and how it is crucial for creating a marketing strategy. DEL, like any other business organization, has its own marketing mix that includes selecting its products and determining their number.

In order to differentiate the company, the marketer must ensure the quality of DEL's variety of intangible products. Price is a crucial element in the marketing mix as it determines the market and should be set to cover costs, generate profit, and remain reasonable for customers. Additionally, the distribution of the product plays a vital role in ensuring sales and is an essential component in the marketing mix.

The product should be placed in a convenient location accessible to customers for easy collection. Promotions play a crucial role in capturing the market, as they help communicate the product to customers and boost sales. DEL's promotion strategy is moderate, with mild advertising in foreign countries. The company has achieved a leading

position in many companies due to its superior service quality. According to Peter (1981), the business organization has both strengths and weaknesses.

The company's situation is influenced by external factors that can be positive or negative. Analyzing the company's situation can be done through SWOT analysis, PESTLE analysis, or Porter's five forces analysis. Here, we will focus on analyzing the company's market position, which is the largest because it is the leading logistics company. Moreover, the company has a robust network of 220 Mounties and a significant workforce of approximately 275,000 employees.

The company is a leader in the worldwide freight industry and specializes in central and e-procurement. It gains a competitive advantage by utilizing information and technology. Furthermore, it has a significant and loyal customer base, which enables it to use its strong market reputation as an effective means of capturing market share. Moreover, the company's achievements can be credited to its imaginative and forward-thinking work environment.

Weakness: An obstacle for the company is the fierce competition in the market, specifically from government-owned rivals. This poses challenges in achieving steady business growth. Furthermore, due to the company's extensive operations, it relies on agencies, ministries, and other regulatory bodies for various matters, resulting in bureaucratic complexity that impacts its business activities.

Opportunities: Nevertheless, there are significant opportunities and potential within the logistic support market.

The DEL has a promising chance to seize the market. The company's offerings and products are broadening due to open market policies in different countries. Technological advancements have greatly contributed to the company's expansion. Moreover, optional services are being expanded by the company in order to attract more customers. Nevertheless, there are

also risks that should be taken into account. The market is confronted with intense competition and new companies are anticipated to be extremely capable. Hence, it is crucial for the company to take precautions against any unforeseen downturns in the market. Furthermore, economic recessions have been prevalent over recent decades.

During a recession, the company encounters difficulties in sustaining itself. The negative impact of implicit costs can be detrimental to the business. With high overhead costs, losing customers would not be advantageous for the company. An economic slowdown has resulted in a price war within the market, with companies reducing prices to attract customers. Furthermore, the emergence of large e-commerce sites due to technological advancements may suddenly pose a threat to the company.

According to Dates (1999), having a negative impact on the company, DEL, as a dominant player in the market, strives to maintain its position by retaining loyal and profitable customers. To achieve this, ensuring the quality of service is crucial in keeping customers engaged. It is important for DEL to have a long-term goal to preserve its strong brand image and reputation.

The company's recommended goals and objectives are as follows: to maintain its position as the market leader, focus on retaining market share rather than penetrating the market, achieve this through moderate advertising and promotional programs, uphold brand value by providing high-quality service, and diversify product range to cater to target markets.

The company intends to implement promotional packages to incentivize their devoted customers, thereby enticing new customers and enabling them to broaden their range of services. The loyalty of their customer base is vital in order for the company to

reach its objectives, particularly considering they are currently at the market's pinnacle. Hence, it is imperative for the company to prioritize their loyal customers. As stated by Baker (2008), marketing strategy plays a pivotal role in every business organization, including DEL.

The formulation process of a marketing strategy is an ongoing task that demands careful attention from the company. Currently, we are examining DEL's market situation and have identified various factors that could affect our business. Being the top logistics company, our marketing strategy may vary slightly from other competitors in the market. The steps below describe our approach: collaborating with marketing agencies to revamp our overall marketing strategy. In today's world, specialization is increasingly prevalent.

The racketing specialist can be highly effective for the company. Social media presence is crucial for effective communication with customers and creating a positive image. It serves as the most successful marketing communication channel. Digital marketing is also a powerful tool that companies utilize to capture the market rapidly. DEL should consider implementing this type of marketing. Direct marketing strategy is currently proving highly effective.

The logistics company can benefit from using networking to reach remote customers effectively. By having a large and strong communication channel across different countries, the company can compete with its competitors. Creating a customer database is another important strategy for the company, as it allows them to store all kinds of customer information. Additionally, integrated marketing should be considered by the company.

Integrated marketing is when a company creates a thorough marketing strategy that includes all types of strategies. In conclusion, DEL is a logistics company that is exceptional and continues to grow. However,

like any company, DEL also has its drawbacks (Lure, 1998). It is crucial for businesses to acknowledge their weaknesses. This report aims to give an overview of the current situation of the company, along with its competitive strategy and strengths, weaknesses, opportunities, and threats.