Marketing strategy definition defines marketing objectives and types of marketing campaigns. Marketing strategy definition is a short-term plan that outlines how you will use marketing tools to reach business goals.
There are five (sometimes six) main aspects of a marketing strategy that you should consider. They are: segmentation, targeting, differentiation, positioning, people, and perhaps the most important – strategy.In this comprehensive guide to types of marketing strategies, we will look at each of these in turn and explain how they work.
Marketing strategy definition
Marketing strategy is used by different companies to collaborate with their consumers. It is also employed to aware the customers about the features, specifications and benefits of company’s products. It is basically focused on encouraging target population to buy those specific products and services. The marketing strategies might be totally innovative or they can be previously tried or tested strategies.
Effective marketing strategies help to get ahead in the competition.
Understanding Marketing Strategies
A clear marketing strategy should revolve around the company’s value proposition, which communicates to consumers what the company stands for, how it operates, and why it deserves their business.https://37f9689c90a6e1bb4b6d90b86e772304.safeframe.googlesyndication.com/safeframe/1-0-38/html/container.html
This provides marketing teams with a template that should inform their initiatives across all of the company’s products and services. For example, Walmart (WMT) is widely known as a discount retailer with “everyday low prices,” whose business operations and marketing efforts are rooted in that idea.1
Marketing Strategies vs. Marketing Plans
The marketing strategy is outlined in the marketing plan, which is a document that details the specific types of marketing activities a company conducts and contains timetables for rolling out various marketing initiatives.
Marketing strategies should ideally have longer lifespans than individual marketing plans because they contain value propositions and other key elements of a company’s brand, which generally hold constant over the long haul. In other words, marketing strategies cover big-picture messaging, while marketing plans delineate the logistical details of specific campaigns.
Benefits of a Marketing Strategy
The ultimate goal of a marketing strategy is to achieve and communicate a sustainable competitive advantage over rival companies by understanding the needs and wants of its consumers. Whether it’s a print ad design, mass customization, or a social media campaign, a marketing asset can be judged based on how effectively it communicates a company’s core value proposition.
Market research can help chart the efficacy of a given campaign and can help identify untapped audiences to achieve bottom-line goals and increase sales.
Why Does My Company Need a Marketing Strategy?
A marketing plan helps a company direct its advertising dollars to where it will have the most impact. A 2019 study found that firms with a documented marketing strategy were 313% more likely to report success in their marketing campaigns.2
What Does a Marketing Strategy Look Like?
A marketing strategy will detail the advertising, outreach, and PR campaigns to be carried out by a firm, including how the company will measure the effect of these initiatives. They will typically follow the “four P’s”. The functions and components of a marketing plan include market research to support pricing decisions and new market entries, tailored messaging that targets certain demographics and geographic areas, platform selection for product and service promotion—digital, radio, Internet, trade magazines, and the mix of those platforms for each campaign, and metrics that measure the results of marketing efforts and their reporting timelines
What Do the 4 Ps Mean in a Marketing Strategy?
The 4 P’s” are product, price, promotion, and place. These are the key factors that are involved in the marketing of a good or service. The 4 P’s can be used when planning a new business venture, evaluating an existing offer, or trying to optimize sales with a target audience. It can also be used to test a current marketing strategy on a new audience.
Points to ponder for marketing
There are different types of marketing strategies available. You have to pick one as per your business requirement. Before choosing the right marketing strategy for your business, consider following points.
1. Define the target population
Defining target population is main and necessary step in choosing your marketing strategy. It gives the proper demographics which help in selecting the most appropriate marketing plan for your business.
2. Test your audience
Create a hypothetical process of buying to test your audience. Once you know the buying behavior of your target audience, you can select more appropriate marketing strategy.
3. Consider marketing strategies
Once you know the demographics; their knowledge, attitudes and behaviors. You can select more appropriate marketing strategy.
4. Evaluate those strategies
Once you have considered the marketing strategies and found the applicable ones. Asses them, apply them and evaluate them. This process must be for testing purposes and the most suitable and productive strategy must be applied.
How to Choose Marketing Strategy
There are different types of marketing strategies and it is not possible the implement all types of strategies at the same. Now, the question is how to choose an effective marketing strategy for your business. Here are some of the points that you should keep in mind while choosing the marketing strategy;
Identify Your Marketing Goals
Identifying and defining your marketing goal is the most important step; your whole marketing strategy relies on this stage. Therefore, you should choose your marketing goals carefully. For instance, where you want to reach in terms of finances, you should know your target audience, and how you would reach them. You should know the answer to these questions at this stage.
Who Is Your Target Audience?
Knowing your target customers is equally the next most important thing after identifying your marketing goals. Where they live geographically and other demographic details like their age, education level, income level, their preferences and choices, their needs and wants, and their product requirements. When you know your target audience, then it becomes much easier to prepare your product accordingly.
Choose the Right Marketing Strategy
After setting your overall goals and identifying your target audience, the next thing you should do is choose the right marketing strategy based on your audience’s demographic.
Evaluate those Strategies
Once you’ve found the right marketing strategy based on the needs and wants of customers, you should carefully implement the marketing strategy and evaluate its results. If the results meet your initial goals, it means that you’ve chosen the right marketing strategy. Otherwise, you should follow different marketing strategies until you achieve your goals.
Type of Marketing Strategies
Some of the main types of marketing strategies under the category of business to customer (B2C) marketing are as follows;
Cause-Marketing is the type when businesses and companies support social causes to raise funds or spread awareness and receive marketing benefits like customers and brand loyalty in return. According to some recent studies, approximately more than 90% of the customers say that they would purchase from those companies and businesses that support their social cause like; breast cancer, anti-bullying, anti-smoking, anti-suicide, etc.
Example: Slap her by Fanpage.it
Domestic violence is a serious issue across the world. Fanpage.it created a video in 2015, where they ask the young children to slap their female friend and their reaction and response are so innocent. The point was to make adults realize that what changed them from innocence to cruelty. Slap-Her video went viral and it gained more than 50 million views since then.https://404974b8510f90ae3182314797ec5250.safeframe.googlesyndication.com/safeframe/1-0-38/html/container.html
In return, Fanpage.it received a lot of personal branding and customers’ loyalty worldwide which they couldn’t have done it without it.
Relationship marketing is the art and process of developing a long-term relationship with customers. It’s much more than a conventional transactional sale relationship, where your primary focus is on just selling the product/service.
Technological advancement has made customers more informed and empowered. Nowadays, the customer has all the power and businesses follow this principle that the customer is always right. Relationship marketing is all about satisfying the needs and wants of customers, getting their feedback, and making the product/service better.
Example: Customer Lifetime Value (CLV)
Some companies offer CLV to those customers who make repetitive purchases over time. Some companies make their loyal customers “brand ambassadors” to their brand. The point is to recognize their importance to the company and it attracts many new customers towards the brand.
Worth of Mouth Marketing
Word of mouth marketing is based on the principle of making a good impression on customers. If the customers have good experience with the company’s product/service, they would refer it to their friends and relatives and do the same in return. Word of mouth marketing creates a chain reaction; if it works then it’s one of the most interesting marketing techniques.
Example: Happiness Machine by Coca-Cola
Coca-Cola, of the world’s leading soft drinks brand, started a campaign by the name of ‘Happiness Machine’ in 2012. It means that the company has installed specific machines at different location points worldwide. If you hug the machine, then it would give you free coke.
Later on, Coca-Cola launched a WOM campaign, where the company installed phone booth in Dubai that allowed customers to make telephone calls using the coke-cape instead of real money.
Paid marketing also goes by the name of digital marketing, it’s a marketing strategy where businesses and companies target customers based on their interests and previous interaction with the brand. It’s a costly technique, but if you plan it well, then it would give you better results.
Businesses usually use different channels for paid marketing campaigns like social media platforms, search engine result pages, sponsored posts on social media, affiliate marketing, pay-per-click, TV advertisements, banners on different websites, and guest posts.
Social media ads pay per click, banner ads, influencer marketing, and ad retargeting are some of the prominent examples of paid marketing that companies and businesses employ to reach their target audience.
Diversity marketing is a technique that businesses employ when they have to deal with a diverse population. It means devising a different marketing plan for different customer segments based on their attitude, behavior, beliefs, views, and needs.
Marketing strategies are the result of a meticulous market analysis. A market analysis forces the entrepreneur to become familiar with all aspects of the market so that the target market can be defined and the company can be positioned in order to garner its share of sales. The marketing strategy is the foundation of a marketing plan.