Strategic Marketing Essay Example

may involve increased competition, escalating production costs, and technological advancements.

When examining the external situation, it is vital to compile a detailed list of potential buyers and organizations that can serve as ideal target markets. Each new aspect should be regarded as a distinctive persona when developing a marketing plan. Understanding their needs and establishing effective communication methods can be accomplished by empathizing with them and creating a communication plan.In conclusion, it is crucial to prioritize strategy after analyzing both internal and external factors. To effectively assess the business situation, combine both lists to define your business identity and target market. Focus on aspects that align with your strategic plan while disregarding others. For example, a restaurant specializing in healthy, organic, and fine dining would cater to environmentally conscious individuals with above-average disposable income. This may exclude those who prefer fast food or prioritize finding bargains. It is important to narrow down your focus on points that align with your business identity and strategy in the market.

After identifying strengths, weaknesses, opportunities, threats, and developing a communication strategy for attracting customers, establish measurable steps. Your marketing strategy should have quantifiable metrics such as monthly reviews, tracking and measurement of sales forecasts, expense budgets, as well as non-monetary metrics for monitoring progress like leads generated or blog posts published.

Assign important tasks to specific team members and hold them accountable for their successes and failures. Lastly, regularly review progress and revise strategies accordingly.The marketing plan, like the business plan, should undergo constant evolution and revision to meet market requirements and competitor plans. This ensures that the business and market plans are interconnected. Reviewing and revising the plan helps adapt

to changing conditions.

A strong marketing strategy is vital for achieving corporate strategy and targets. Businesses that fail to align their market plan with corporate strategy often face setbacks in this competitive market (Bezel et al 1987). Corporate strategy focuses on overall profitability and mission objectives, while marketing strategy supports these goals.

Without a strategic marketing plan aligned with corporate strategy, businesses struggle to survive in competitive markets for long periods of time.KEF's corporate strategy focused on global expansion to achieve maximum market share and growth. The marketing manager implemented a penetration strategy with the slogan "go globally, act local" to position the company as a local entity and successfully meet their goals.

Different models in strategic marketing, such as PEST analysis, SWOT analysis, BCG matrix, Ansoff Matrix, business portfolio analysis, Porter's model for industry analysis, and product life cycle, are valuable tools for analyzing a company's situation and formulating effective marketing strategies. These models can be used individually or in combination based on the company's needs.

This report will discuss two specific models – Porter's five forces and product life cycle analysis. Porter's model is widely recognized in strategic management and provides insights on competitiveness within an industry. Marketing managers need to proactively consider various factors that impact competitiveness according to this model: 1) the threat of new entrants into the industry; 2) substitute products or services that may replace those of companies in the industry; 3)The factors that affect a supplier's ability to control costs of materials and inputs, the bargaining power of buyers, and the level of competition among firms within the industry are essential for analyzing the position of a business or specific goods/services.

In the case of Coca-Cola, potential new entrants and the cost of switching are low. However, there is an increasing threat from substitute products as several new brands enter the market with similar prices. The bargaining power of buyers and suppliers is low for Coca-Cola, while there is high rivalry with main competitor Pepsi. Another important marketing model is the Product Life Cycle, which identifies four stages: introduction, growth, maturity, and decline. To ensure prolonged growth during the growth stage, it is crucial to develop a well-implemented continuous improvement strategy (V. Scandal 2014) (Riley).Microsoft is a prime example of a company that advertises and enhances its product based on customer demands, thus maintaining a strong and positive brand image. The link between strategic positioning and marketing tactics is also significant. A strategy refers to a plan for achieving specific goals or tasks, while tactics are the means employed to accomplish those goals. In the business world, strategies involve long-term planning to achieve objectives like sales growth, high market share, or establishing a favorable brand image for a particular product. Tactics in building an image or brand may include utilizing pricing strategies to position oneself as either affordable or high-end. Marketing managers support their strategies by effectively positioning products and employing tactical marketing methods. Tactical Marketing entails setting goals, developing strategies, and implementing them to attain these goals. One tactic used to increase sales and revenues involves raising prices while rebranding goods or services as trendy. Relationship marketing is a contemporary concept in customer retention. Market leaders such as Coke, Wall Mart, and Hyperspace employ tools like birthday wishes, membership schemes, annual diaries, and annual dinners

to retain and satisfy customers. This approach expands the customer base through positive word-of-mouth recommendations.
Relationship management is important for controlling customer loyalty and direct communication. The benefits of relationship management include customer retention, market reputation, brand value, positive word-of-mouth from existing customers, and reduced promotional and marketing expenses. Anions model provides techniques to identify growth opportunities by utilizing four approaches: market penetration, market development, product development, and diversification strategy. Another group of researchers suggests that effective product positioning, segmenting the market based on customer needs, and targeting specific markets can benefit marketing managers. Marketers have various options for marketing strategies such as price skimming and penetration pricing. They can also employ Porter's generic strategies of cost leadership, focus, and differentiation to achieve company goals. For example, a new business like Peer Peer Grill may use price skimming to attract more customers and establish itself in the market. Similarly, Next follows a differentiation strategy by offering customized products for a specific target audience at higher prices.Strategic marketing objectives play a crucial role in supporting overall corporate strategy objectives. It is important for these objectives to be realistic and achievable, such as increasing market share. The strategic marketing objectives include creating a brand image, achieving a high market share, increasing revenue generation, and building customer loyalty to gain a competitive advantage.

The Marketing Mix encompasses several elements. Product is the main focus, including attributes such as name, size, color, and taste. Place refers to making goods or services easily accessible to customers at nearby locations. Location of the business is crucial for growth in the market. Price is a sensitive tool that requires careful consideration. The company must

set prices wisely for the goods and services they offer.

Promotion is a crucial element of strategic marketing as it helps build brand image and realize goals more easily.For example, Primary offers a variety of products under one roof at reasonable prices to attract more customers and generate more revenue than competitors.They also use promotional strategies such as offers and discounts to retain customers long-term.Through their marketing mix efforts, they are working towards achieving their objectives and have achieved some level of success.

1.The impact of changes in the external environment is significant for businesses.The strategic model of external analysis allows businesses to examine the political factors that impact their business and marketing efforts. This analysis provides a comprehensive overview of these factors, including domestic and international political stability, tax legislation, labor laws, tariffs, trade embargos, and environmental regulations. Economic factors such as the state of domestic and international economies, interest rates, exchange rates, and inflation rates are also important considerations. Additionally, social factors like demographic shifts and social values should be taken into account when creating a market plan. Factors such as technological innovation rate, automation advances, skilled workforce availability, process innovation, and recent technological developments should also be considered. For example, let's analyze Peer Peer Grill Cottage's external environment. They can expand their business through relationship strategies and gathering customer feedback (social factor). By utilizing the latest technology systems and equipment they can enhance overall business performanceThe company can attract more customers by implementing an online ordering system and engaging in promotional activities. Additionally, they can establish their business with low setup costs. The internal analysis of the company's environment should include market research to

gain a comprehensive understanding of the business environment. It is important to categorize and prioritize the main opportunities and threats. Only those opportunities and threats that align with the company's strengths and financial capacity should be targeted in the marketing plan since it is not feasible to address all possible ones.

SWOT (Strengths, Weaknesses, Opportunities, and Threats) analysis is a modern tool that allows for a comprehensive analysis of both internal strengths and weaknesses as well as external opportunities and threats faced by an organization. This analysis helps businesses carefully assess their current situation. Threats may become apparent to business owners who prioritize long-term market plans over constructive strategies for ensuring organizational success.

Strengths may include factors such as inexpensive labor, a solid market plan, clear career paths for employees promoting loyalty, and utilization of cutting-edge technology. On the other hand, weaknesses could manifest as costly or unskilled workforce, outdated technology, or employee unions hindering the execution of business plans.Various opportunities exist for businesses, including attracting potential customers, achieving a competitive pricing advantage, implementing effective promotion policies for products or services, and introducing new offerings. However, businesses also face threats such as new market entrants, competitors, and political instability. For instance, Peer Grill Cottage has the chance to utilize the latest technology and employ effective promotional strategies to attract customers but must contend with strong competitors who hold a significant market share. To gain an edge over competition, companies require robust business and marketing plans along with a dedicated workforce.

The dynamic nature of the business landscape necessitates key marketing responses to emerging trends resulting from constant innovations and technological advancements. The continuous evolution and progress in technology

are driving rapid changes in the business world. In order to adapt to these changes effectively, various responses can be implemented.

One response is globalization which has transformed the entire world into a global village. This means that regardless of geographical distance between customers and companies, interaction has become easier than ever before. To successfully embrace globalization and gain a competitive advantage, companies need to have technological adaptability.

Another response is product customization. Previously, the notion of "one size fits all" was prevalentHowever, in today's business era, companies are realizing the importance of catering to individual customer needs. Product customization is now a trend across various markets, regardless of product cost. Social media platforms like Facebook, Twitter, and Tumblr have become crucial tools for communication and marketing. By posting on these platforms, companies can reach millions of customers instantly. To succeed in this competitive era, businesses need to advertise through social networks as it is more cost-effective than other methods. Blogs and public forums also allow for quick interaction with customers. Marketing is considered crucial for any organization's success in this global period. Over time, different marketing concepts have emerged and evolved. For Peer Peer Grill cottage, developing marketing mix objectives and analyzing the environment wisely is recommended. Utilizing techniques like new product development aligned with customer wants and considering pricing strategies can attract customer attention effectivelyImplementing various promotional strategies such as event discounts, kid meal deals, and other special offers can be advantageous in attracting and retaining customers.