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What is marketing?
According to prominent Marketing journals, “Marketing is the process of communicating the value of a product or service to customers, with the objective of selling the product or service. It is a critical business function for attracting customers.” There are numerous ways by which a product or a service can be introduced to the public. Every way brings a new branch of study to marketing. Marketing studies involve researching, making market strategies, and executing them.
The 4 Ps of Marketing
In 1960’s E Jerome McCarthy introduced the 4 Ps of marketing: product, price, place,and promotion.
These 4 Ps explain how marketing communicates with each stage of business.
Product: For instance, you came up with an idea to introduce and sell through your business. You would not be successful if you just start selling it. Instead, your team should do market research and answer a question like who is your potential audience? Is the market suitable for this product? To what amount will it increase sales?
These questions are used by Marketers to help a business know the demand for the product and improve product quality by focused survey and research.
Price: The marketing team checks competitors’ product prices, and use surveys to calculate how much your customers are willing to pay. High pricing can lose a solid customer base while price if too low might lose more money than gain. Luckily, marketers have an access to use industry research and consumer analysis tools to measure a good price range.
Place: The marketing department uses their knowledge and analysis of the customers to provide suggestions for how and where to sell the product. They believe that an e-commerce site works better than a retail location. It offers an insight to which place would be most suitable to sell the product.
Promotion: Promotion involves any online advertisement, event, or discount that your marketing team creates to increase awareness and interest in your product which would eventually lead you to more sales.
The four Ps help you understand the objective and definition of marketing. Marketing is a relation between all areas of business. It's important to know how to use marketing to increase the efficiency of your business.
What is Strategic Marketing?
Strategic marketing is used to develop a plan for better reach and customer satisfaction along with an increase in the profitability and productivity.
Strategic marketing is used by companies to identify customer wants, to build a marketing plan, to achieve customer satisfaction, for the company’s performance improvement, and profit maximization. An organization creates a written marketing plan that narrates the type of marketing plan it will use during a given period of time and how those programs will be executed. By structuring how it will communicate with customers and use new sales and marketing techniques, an organization can develop and increase market command. Strategic marketing can also support a business to become more creative.
There are different departments ina business which usually cooperates to build a strategic marketing plan. A strategic marketing manager fixes a date for goals to be achieved.
The objective of Strategic Marketing
Business undertakings execute strategic marketing to enhance the performance of the business, to upgrade and develop the business strategies effectively, set priorities to accomplish organizational change, to attain organizational goals and objectives.
Elements of a Successful Strategic Marketing
Analysis of the present Market Position: In order to evaluate your business position in the market, sales and analytics report of the previous years must be reviewed. They will also uncover the marketing plans that worked as expected and also which were unperformed. Evaluation is a key which is often not used as it should be. It is of great importance to gather the right data, so as to be able to make strong marketing and business decision. You should depend heavily on your Google Analytics, to collect essential data.
This exercise will help you measure the success of marketing efforts against result gathered through financial results.
This is one of the best methods to discover your strength and weakness. It allows you to determine what parts of your business you require to keep promoting, and what part requires maintenance.
For some businesses this data is ideal but on the other hand, for many businesses, it is not systematically recorded and reviewed. Lack of evaluation is one of the reasons why your marketing strategy struggles to achieve the intended results.
Market Opportunities: You will find enough opportunities to make sales but you need to identify them first.
Your marketing team should interact themselves in extensive buyer research. Recognizing new and existing customers can be the aim of your marketing exertion. Marketing personnel is generally limited. Proceeding further on the wrong leads will bring you poor Return on Investment (ROI).
Goals: Every effort taken to encourage a business should reflect their aim and goals. They are the building blocks of the company’s image. The goals of every business are generally focused around growth. These goals will play a key role in executing any marketing strategy plan. Goals are not always with a long-term aim. Small goals can also be considered. It will give your team a clear picture of what you are working together towards.
Stakeholders and Shareholders interest: There are more people, other than the owner of a business who hasan interest in the success of a business such as the stakeholders. It includes your boards, customers, industry, government undertakings and even targeted public. All of them should be contemplated when developing your strategic marketing plan.
In-depth Description of Target Market: The marketing team you possess should be capable of identifying the groups of people who want your products and services. This can be done by initiating customer and market research that will provide the necessary information for preparing marketing plans.
Targeted customers tend to attract towards your company when they get the feeling that you understand them. You need to assure them that you can provide a solution to all their wants and challenges. Your overview should also cover existing customer. This will add to your understanding of their wants and will maintain their loyalty.
Media Usage: The media is an important tool in your marketing plan. It offers an opportunity for direct communication between you and your targeted and existing customers.
The media options i.e. traditional and digital, you choose should be the one that is quite popular amongst your potential audience. Strategic marketing aims at being precise with selecting an ideal audience. This means that every marketing effort taken should include either traditional or digital media efforts and should interact directly with the targeted people.
Anticipated Risks: Whenever time and money and other resources are invested in a marketing effort, there is always an uncertainty on the no-productiveness against expectation.
Risks are not just expected but also planned with strategic marketing. It’s obvious that a brand cannot isolate itself from all uncertainties but it can at least, be prepared to face and fix them. Your company should have a proper practical guide. It helps employees in situations which can cause harm to you and your brand. This will enable them to respond quickly and tackle further damage, instead of looking around helpless.
Allocation of Budget: All expendituresneeded to execute your marketing strategy should be taken into consideration when preparing your plan. A budget should be provided to all departments. Nevertheless, all departments in a company are not allocated an equal amount of resources, that’s quite alright as that is how it works. If your department has been informed and provided with their allocated budget and is working within it, then you are going on the right track.
Your company’s growth in its market share industry, revenue and profit depend highly on the implementation of your strategic marketing plan, that also, to be implemented effectively and efficiently.
Developing and executing a strategic marketing plan is not as easy as it seems. For sure, you will make mistakes, and that is quite alright. Only if you manage to identify the factors that are disabling the functioning of your marketing strategy, and take the essential actions in order to get back on the track.
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