A marketing strategy is a plan adopted by the management of any business to promote that business and its products, services, or brand name. It helps businesses craft a marketing and sales campaign that can yield the desired results. The marketing strategy aims to come up with a promotional program that uses the resources at its disposal in the most efficient way to achieve a marketing goal. The ultimate goal is usually measured in sales volume, profits, and customer satisfaction.
Marketing strategy is essentially the planning process of conceptualizing, organizing, and implementing a firm’s marketing efforts. How are you going to attract more and more people to your business? What special plans do you have in store for that? What do your clients think about your products? If you don’t have an idea on how to get customers, then this article is for you.
Why Is Marketing Important?
Marketing is essential to any good business.
It helps you reach and connect with your target audience and ultimately is how you will grow your business in the long run.
Marketing is important because, without it, your business simply will not go anywhere. After all, it won’t be seen.
But it’s one thing to market your business without any direction, and it’s another thing to market your business with a clear plan.
The results are quite different.
That’s where a marketing strategy comes into play.
Consequences Of Not Having A Marketing Strategy
Why do most small businesses fail? Why do 50% of companies fail after 5 years?
Remember that common saying? Failing to plan is planning to fail.
If you fail to recognize the importance of a marketing strategy and don’t fully integrate digital marketing into your marketing plan.
Then these will be the consequences:
- losing out to competitors
- losing market share to existing and start-up competitors
- gaining and retaining fewer customers
- missing out on opportunities for better targeting and optimization
- Lack of planning often leads to suboptimal execution.
This means that competitors will pose more of a threat, filling in the gaps of the lackluster service you offer.
And finally, given the effectiveness of digital marketing, many businesses don’t allocate enough resources towards it.
This presents an opportunity for the wise business owner.
Knowledge is power, and after you finish reading this post, your business will have a leg up over the competition.
You’ll also be ready to overcome the initial hurdles that are common when trying to come up with a marketing strategy.
Importance of Marketing Strategy :
1) Helps to gain a competitive advantage
The first and foremost on the list of the Importance of Marketing Strategy is that it helps the firm gain a competitive advantage in the market amidst the tough competition with an edge over the existing players and the new entrants who are trying to establish their brand presence in the market.
A well-defined marketing strategy harps on the unique selling propositions of the brand along with the features and benefits of the products and services offered by the firm in a creative, strategic, and planned manner highlighting how the brand and its offerings are better than the ones of the competitor. The consistent and continuous messaging and communication strategy helps the brand to curate a distinctive identity in the volatile and competitive market.
2) Brand Recognition
Along with the promotion of the goods and services offered by the firm, having a powerful marketing strategy helps the brand and the overall company to attain a remarkable feat in the target market and industry as a whole with the customers and industry peers looking up to the brand and its offerings in a niche and positive manner.
The main fundamental of marketing strategy is to highlight and promote the attributes, legacy, and USPs of the brand to start with followed by its offerings.
3) Attract a new set of customers
The management and the marketing department of the firm need to understand the Importance of Marketing Strategy if they want to attract a new set of customers from the same operational market plus the untapped markets as well.
The promotional tools and techniques that are an integral part of the marketing strategy are planned and selected considering the taste, lifestyle, income levels, and other such parameters of the targeted customers that work as a pull factor for them and help the sales department to convert the fence-sitters to qualified prospects and the customers of the brand.
4) Plan the nature of products and services
Market research and study is a significant part of marketing strategy and this aspect helps the management of the company to plan the features and unique selling propositions of the products and services that are in pipeline or are in the launch planning phase.
There are thorough research and study on the current market scenarios, what do the competitors offer, government policies, the factor of profitability, and other such changing dynamics that can affect the sales and operations of the products and services. Hence, the company and its promoters must pay due attention to the Importance of Marketing Strategy.
5) Plan the marketing budgets
Every department of the company right from the marketing, sales, HR, and others is given annual budgets by the management that needs to be spent for the benefit of the company.
Having a planned and aligned marketing strategy makes sure that the allocated budgets don’t go haywire by spending on the promotional activities that have a low return on the investments plus there is optimal use and allocation of the marketing budgets on the marketing tools and promotional tactics that help attaining not only marketing goals but the overall business goals and objectives too.
6) Creative Edge
Next in the line of the Importance of Marketing Strategy is that the brand and all overall marketing and promotional activities get an edge of creativity as the brand cynosures and the marketing departments liaise with the design agencies, media planners, PR agencies, and other such vendors that dedicatedly understand the nature of the brand and its offerings and come up with the unique, out-of-the-box, and exclusive ideas that give the brand a creative edge and helps to curate a distinguished personality in the market.
7) Effective distribution plan
Once the management understands and grasps the essence and Importance of Marketing Strategy, it can have an effective distribution plan in place. With the introduction of online selling and the growing impact of social media the company needs to have a wide network of distribution as the young generation prefers to buy the products and services online directly from the company website or through its online promotional partners.
This is different from the middle-aged or older generation who still believes in indulging and finalizing the purchase by visiting the physical store our outlet of the brand. The company needs to march ahead with the latest advancements and the evolving tastes and preferences of customers of all age groups.
8) Optimal pricing
With the competitive research and in-depth study of the market dynamics along with the spending capacity of the target market, the marketing strategy helps the company to arrive at an optimal pricing plan for its products and services that is as per the market yardstick, competitive in nature, and helps the company to generate higher sales and profits. This point holds a lot of significance in understanding the Importance of Marketing Strategy.
9) The overall growth of the firm
Marketing strategy facilitates enhanced brand value, increased market share, competitive advantage, higher sales, and elevated profits that result in the overall growth of the firm drawing a larger picture. It helps the company to carve a niche in the market with a distinguished brand identity and the offerings of the products and services that are planned with unique attributes and features.
Benefits of Marketing Strategy for Your Business
When you have a thoughtful marketing strategy you can rest easy knowing your day-to-day marketing decisions and actions are informed by research and driven by your company goals.
Following your marketing strategy simplifies your daily execution of marketing tasks when your branding, messaging and goals are clearly defined. Every marketing and sales tool in your arsenal is there for a reason, your team knows what to use each for, and the use of a marketing and sales tactic is deliberate.
Aligning your marketing strategy with your overall company growth goals ensures all of your marketing efforts and dollars are contributing to further developing your business. Your marketing strategy will inform your marketing team where to spend the most time, what channels to invest the budget in, and who to focus your messaging on for the highest ROI.
Having a thought-out and informed strategy helps filter out the distractions of less effective tools, tactics, and personas so you can stay competitive in your market. Abiding by the guidelines of your marketing strategy helps your marketing team stay focused on your brand’s mission, vision, values, and goals.
When you thoroughly research your market and current best clients, you can boost your marketing efforts by engaging more qualified leads. Your messaging (content) is more meaningful to the right people (personas) at the right time (context). Make it easier for your customers, clients, or patients to make their next step or decision!
Strategy Development Before Tactics
Having a marketing strategy for growth and a plan for reaching the right people online (where they already browse for information), you can now outline your content plan for the next week, month, quarter, and year. This is where the tactics we mentioned earlier come into play in a solid marketing strategy. Now that you have information from your actual clients, you know what traditional and digital marketing tactics will give you the highest return. Interested in the tactics you should consider shortly? You can gain inspiration and ideas from various sources. Here’s a list of marketing podcasts and blogs to follow in addition to your blog.
The most important thing our agency stresses to our clients is to align your tactics with a solid marketing strategy — and that strategy comes from having a thorough marketing plan designed and developed specifically for you and the way you do business. Your business’ marketing strategy helps ensure you are making the most of every resource, every dollar, and every minute you put into your marketing and advertising efforts. So make it count, take the time, and invest in a marketing plan for your business or company!
Understanding the intricacy and Importance of Marketing Strategy is very imperative for the management of the company if it wants to accomplish its long-term and short-term goals successfully.