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ARTICLES
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Home page » Articles » Marketing strategies articles
- Creativity Techniques used by Winning Companies - Companies formerly won their marketing battles through superior
efficiency or quality. Today they must win through superior creativity.
One does not win through better sameness; one wins through uniqueness.
Winning companies such as IKEA, Harley Davidson, and Southwest
Airlines are unique.
Uniqueness requires developing a culture that honors creativity.
There are three ways to increase your company’s creativity:
1. Hire more natur... » read more
- Financial Marketing - How to improve marketing’s financial returns - I have always urged marketers to be strong in financial thinking. This
is not a natural inclination of marketers. They are marketers because
they are more interested in people than in numbers.
Yet few marketers will rise to the top of an organization unless
they have a good grasp of financial thinking. They need to understand
income statements, cash flow statements, balance sheets, and
budgets. Concepts such as asset turnover, return on investment
(ROI), return... » read more
- Focusing and Niching -
Wise companies focus. An old saying is that if you chase two monkeys,
both will escape.
The mass market is made up of many niches. The problem of
being a mass marketer is that you will attract nichers who will take
better aim at specific customer groups and meet their needs better.
As these groups are pulled away, the mass marketer’s market shrinks.
Your choice therefore is whether to be a “gorilla” or a “guerrilla.”—to... » read more
- How does Marketing Research work - Marketing research in the early days was aimed more at finding
techniques to increase sales than to understand customers. Researchers
applauded the development of store audits, warehouse
withdrawals, and consumer panels to provide needed information
on product movement.
Over time, marketers increasingly recognized the importance of
understanding buyers. Focus groups, questionnaires, and surveys
came into vogue. Today the marketer’s mantra is about the im... » read more
- How to build a Marketing Strategy - Strategy is the glue that aims to build and deliver a consistent and
distinctive value proposition to your target market. Bruce Henderson,
founder of the Boston Consulting Group, warned: “Unless a
business has a unique advantage over its rivals, it has no reason
to exist.”
If you have the same strategy as your competitors, you don’t
have a strategy. If the strategy is different, but easily copied, it is a
weak strategy. I... » read more
- How to build Marketing Plans - Your company needs a vision, the vision demands a strategy, the
strategy requires a plan, and the plan requires action. A Japanese
proverb says: “Vision without action is a daydream. Action without
vision is a nightmare.”
You need to prepare a detailed marketing plan. But it makes
more sense to call it a battle plan. Your plan should give you confidence
that you will win the war before you engage in the first battle.
If you aren&... » read more
- How to sell Products - Most companies define themselves by a product. We are a “car manufacturer,”
a “soft drink manufacturer,” and so on. Theodore Levitt,
former Harvard Business School faculty member, pointed out years
ago the danger of focusing on the product and missing the underlying
need. He accused the railroads of “marketing myopia” by failing
to define themselves as being in the transportation business and overlooking
the threat of trucks and airpl... » read more
- Image and Emotional Marketing - Companies are increasingly turning to image and emotional marketing
to win customer mind share and heart share. Although this has
gone on from the beginning of time, today it is accelerating. The old
marketing mantra advised companies to outperform competitors on
some benefit and to promote this benefit: “Volvo is the safest car”;
“Tide cleans better than any other detergent”; “Wal-Mart sells at the
lowest prices.” Going under the na... » read more
- Innovation as a basic Marketing element - Firms face a dilemma. If they don’t innovate, they will die. And if they
do innovate—and their innovations are not successful—they may also
die. Given that only 20 percent of consumer packaged goods introductions
are successful and maybe 40 percent of new business-to business
products are successful, the odds are discouraging.
Yet innovation is a safer bet than standing still. The key is to
manage innovation better than your competitors. Innovat... » read more
- International Marketing - A company that masters only its domestic market will eventually lose
it. Strong foreign competitors will inevitably come in and challenge
your company. It is now business without borders.
One of the best growth paths for a business is to go regional or
global. But most companies hesitate to go abroad. They see obstacles
and risks stemming from tariffs, language differences, cultural differences,
devaluation and exchange control risk, and bribery.
But there ... » read more
- Marketing Department Interfaces - Each company department carries images or stereotypes of the other
departments. Most often they are not flattering. Furthermore, the
departments compete for the available resources, each making the
case that it can spend the money better. All this interferes with harmonious
working relations between departments.
Some members of other departments will stereotype the marketing
department as consisting of fast-talking salespeople who cajole
a large budget from man... » read more
- Marketing Goals and Objectives - The most generic goal of business is to earn more than the cost of capital.
The goal is to make today’s investment worth more tomorrow. If
this happens, the company has achieved economic value added (EVA).
Companies may add other goals, but they must be thought
through carefully:
• Corporate growth. Companies need to grow, but it must be
profitable growth. Too many companies go on acquisition
binges or geographical expansions only to grow the... » read more
- Marketing Roles and Skills - The marketing department’s role in too many companies has been
limited to carrying out marketing communications. R&D invents the
product, and marketing writes the press releases and does the advertising.
Too many CEOs think marketing comes into play only after
the product has been made and must be sold. Marketing is run like a
one-night stand instead of a long affair.
In this case, it would be better to operate two marketing
groups, one doing strategy... » read more
- Marketing skills: Communication and Promotion - Among the most important skills in marketing are communication
and promotion.
Communication is the broader term, and it happens
whether planned or not. A salesperson’s attire communicates, the
catalog price communicates, and the company’s offices communicate;
all create impressions on the receiving party. This explains the
growing interest in integrated marketing communications (IMC).
Companies need to orchestrate a consistent set of ... » read more
- Performance Measurement - Marketers have traditionally focused on a company’s sales, market share,
and margin to set its objectives and judge its performance. But gains in
market share, while desirable, need further examination. Did you gain
the right or wrong kinds of customers? Are they the staying or the
switching kind? Are you “buying” share or “earning” it? Are you gaining
a greater share of a shrinking market? Consider the following:
... » read more
- Recession Marketing - When a recession strikes, most companies rush to cut their expenses,
the most obvious one being advertising. Those in top management
(mostly finance guys) don’t believe in advertising, anyway; they tolerate
it as a form of defensive insurance, not as a profit generator. They
have set the whole marketing budget as a percentage of expected revenue,
and when expected revenue drops, they see every reason to cut
marketing expenditures. But this exposes the illogic of... » read more
- Relationship Marketing - One of the things of most value to a company is its relationships—
with customers, employees, suppliers, distributors, dealers, and retailers.
The company’s relationship capital is the sum of the knowledge,
experience, and trust a company has with its customers, employees,
suppliers, and distribution partners. These relationships are often
worth more than the physical assets of a company. Relationships determine
the future value of the firm.
A... » read more
- The Importance of Information and Analytics in Marketing - A former CEO of Unilever said that if Unilever only knew what it
knows, it would double its profits. The meaning is clear: Many companies
sit on rich information but fail to mine this information. This
has led to an explosion of interest in knowledge management: organizing
a company’s information so that it is easily retrievable and
learning can be extracted from it.
Many companies, especially those resulting from mergers or acquisitions,
have ended... » read more
- Trends in Marketing Thinking and Practice - Here are the main marketing trends that are generally accepted:
• From make-and-sell marketing to sense-and-respond marketing.
Your company will perform better if you view the marketing
challenge as that of developing a superior understanding of
your customer needs rather than as simply pushing out your
products better.
• From focusing on customer attraction to focusing on customer
retention. Companies need to pay more atten... » read more
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