Many businesses have started to incorporate market strategies as a way of increasing profitability. Small business can create market strategies to target their market more effectively and have a competitive edge over competition. Lyndon Simkin, (2000) stated “If the “right” opportunities are pursued, customers are properly probed, the “right” customers targeted with a marketing proposition designed to give a business an edge over its rivals, it is highly likely that customers will be satisfied, market share will rise in core target markets and profitability will accordingly support a viable future.” Having a strategy in place will allow you to set objectives such as increasing your share of the market that your business currently is in. Market strategies for small businesses are to develop the growth of the company. Analysing you target market and introducing a way in which you can target this market. The following are how marketing strategy allows business to set objectives
Current product/current market
Market penetration is a strategy of increasing your share of existing markets. You might achieve this by raising customers’ awareness of your products and services or finding new customers.
Current product/new market
Market development is a strategy of finding and entering new markets with your current product or service range. The new market could be a new region, a new country or a new segment of the market.
New product/current market
Product development is a strategy for enhancing benefits you deliver to customers by improving your existing products and services or developing new ones.
New product/new market
Diversification is a strategy that usually carries high costs and high risks. It often requires firms to adopt new ways of doing business and so has consequences far beyond simply offering new products/services in a new market. It is therefore usually a strategy to be adopted when other options are not feasible. http://www.is4profit.com/business-advice/sales-marketing/marketing-strategy.html
Marketing Tools Online
There are many marketing tools available for businesses to use and utilising the best one to fully create brand awareness for your product is vital. Geoffrey J. Simmons, (2007) realises “Companies are finding that they are having to redefine their marketing and branding strategies due to the unique characteristics of the internet and its capacity to change old rules.”. Due to the growth of users using internet, marketing tools have been developed so that businesses can market their products online.
Marketing online has been as an important way for business to create brand awareness and target customers effectively. Online advertisement is now seen as the most effective way of marketing therefore many different ways have been introduced to advertise on the internet. Amalesh Sharma, (2011) stated “The development of data intensive instruments, transformation of societal and relationship management, optimization of Search engine marketing, exclusive networking and other online resources are eliminating the traditional form of marketing.”
Search Engine Optimization Marketing
Search engines are seen as essential way of companies to be seen by potential customers. Kristin Kennedy, Bonnie Brayton Kennedy, (2008) stated “The key to being found by the right people at the right time lies with search engines. There are essentially two ways a customer will find a business site via a search engine, through an organic or a pay-per-click (PPC) listing.” Using a search engine you are allowing yourself to be found new customers but search engines don’t offer differentiation so many of your competitors can be listed alongside you therefore not giving your business the competitive edge. Search engine optimization can be a less effective way for small business as it is marketed alongside big companies which was found out by Kristin Kennedy, Bonnie Brayton Kennedy, (2008) they stated a “small manufacturer of gold jewelry will probably not get top billing over Tiffany’s on the organic list, unless they spend a significant amount of time and money on developing their web site design and advertising.”
Small businesses have been using email marketing as a way of marketing their products and reaching out to the target market. Anita Jackson, Ray DeCormier,stated “E-mail offers a promising tool to enhance brand loyalty as it helps marketers keep in touch with their customers on a regular basis at low cost.” Small businesses are using this method to create and reach out to their target market. Using this mthod to market their business and product to create more brand awareness.
Do you feel other ways of online marketing would benefit your company more?
http://www.emeraldinsight.com/journals.htm?issn=0263-4503&volume=18&issue=3&articleid=854495&show=html ) Lyndon Simkin, (2000) (http://www.emeraldinsight.com/journals.htm?issn=0263-4503&volume=25&issue=6&articleid=1628110&show=html#idb72) Geoffrey J. Simmons, (2007) .”( http://www.emeraldinsight.com/journals.htm?issn=1751-5637&volume=12&issue=4&articleid=1937676&show=html ). Amalesh Sharma, (2011) Kristin Kennedy, Bonnie Brayton Kennedy, (2008) (http://www.emeraldinsight.com/journals.htm?issn=0140-9174&volume=31&issue=10&articleid=1746719&show=html)