John Johnson Sales Company - New Marketing Strategies - Essay Example

JOHN JOHNSON SALES COMPANY, INC. New Marketing Strategies Proposal Executive summary Marketing involves getting products from the warehouse to the customers on the ground. Marketing involves more than just advertising; it provides an opportunity for the company to prove its superiority in the market, as it helps in acquiring more market share for the company. In a highly competitive and dynamic business environment, an integrated marketing strategy goes a long way than just winning customers; it gives the company a competitive advantage over other firms in the same business. John Johnson Company, being a sales company, requires more than just advertising in order to capture target markets. Generating revenues will require the integration of the various departments, to push our brand to the market, transforming the company into a successful business entity. Mission After analyzing the market structure of the company, understanding its clients and manufacturers, this proposal seeks to transform the weaknesses into strengths, by analyzing the opportunities available. It is important to understand that although the company has successfully managed to win in the current market, there is no guarantee of competitor threats. As such, this proposal seeks to capture the current market, gaining total control as well as diversifying into new markets. Strengths of John and Johnson Strong market presence The company has a strong presence in its current market, evidenced by the high sales turnover. Having concentrated in the current market for a considerable amount of time, John and Johnson Company has successfully managed to win the largest market share. Strong brand image Quality satisfies customers even more, as with quality, a customer gets the value for their money. To satisfy customers, it is important to provide them with high quality products and services, which meet their needs and interests. Therefore, the company, by collaborating with manufacturers, has provided them with the customer’s views on the desired quality of goods. As a marketing organization, the company has direct contact with its customers, and thus conducts research on the reception of different products, as well as collecting their views and sentiments regarding a particular product. The company then compiles this in form of a report, then advices its manufacturers accordingly. Subsequently, the manufactures have responded to these views by adding features to the products, thus winning more customers. Business ethics The company exhibits strong business ethics whenever conducting its business. While collaborating with the manufacturers, John and Johnson ensure that there is a strong client-customer relationship. It feeds the manufacturers with the required information on the products customers require, defining their features and characteristics. Additionally, the company ensures good relationships with its customers, especially in meeting their needs and responding to their queries. Thus, it observes morals and ethical business relations with its customers. It avoids the use of child labor, provides the customers with safe products, and even educates the customers von the various products they provide to them. Weaknesses of the company Low market penetration Although in its current market John and Johnson Company have a strong market presence, there is little penetration levels in new markets. The main advantage of diversifying in new markets is the increased opportunities for making a sale. A company that diversifies its operations to different regions benefits from new customers, who offer new opportunities to make sales. Additionally, the increased level of globalization increases competition for the firm, and thus, new markets are important in protecting its sales in highly competitive markets. Discount sales Discounts entice customers to purchase a commodity, as they get either a price or a commodity discount. Discounting, a marketing strategy seeks to attract customers towards purchasing a product, and in the event of purchasing, receives either another commodity free, or a reduced price (Jugenheimer and Larry 23). Subsequently, this affects the company’s profit5aboility, as it cannot maximize on its income, despite having extremely high sales volumes. Failure in marketing a product leads to this problem. The strategy With a well-established marketing network already in place, turning over the company’s sales into a success is an easy task. However, it is important to put in to consideration essential elements of a successful marketing strategy. Putting into consideration the company’s weaknesses and analyzing its strengths contributes to a successful plan. An evaluation of these two elements reveals the position of the company in its struggle to achieve its goals and objectives. Targeting The very first step into our marketing strategy is defining target market that we hope to capture. Currently, there are many markets available for the company to exploit. Targeting helps us in defining the ways and means of acquiring control over the markets. Not all markets share the same tastes and preferences. Thus, targeting will help us define the kind of markets that we need to capture. Market differentiation Our mission, being achieving sales for our manufacturers, it is important to offer highly differentiated products through diversifying their features. This, of course might involve the manufacturers, where we have to come up with different designs for a particular commodity (Lambertini 5). This helps us in gaining a competitive advantage over our competitors, as we provide a wide range of commodities in the market all serving similar purposes. Market segmentation Dividing our market into properly designed and carefully measured markets helps a company satisfy the needs of every segment. Market segmentation allows classification of customers into various characteristics and qualities, which a marketer targets to satisfy (Wedel and Wagner 4). Since every market has its unique needs, product differentiation helps in satisfying these needs. Choosing the marketing strategy for each segment Different people have media preferences; they prefer different media to others. For instance, using age as a segment, different people have different for the media they prefer. While the old prefer the print and newspapers, the young prefer the internet and the television. Therefore, while placing our advertisements, we will target these two groups trough the preferred media that they use. In order to reach to more numbers of youth and the young adults, we will have a strong market presence, while products targeting the old will have more print advertisement coverage. With the understanding of the importance of online presence, we need to take pour brand to an online platform. With the understanding of the unlimited opportunities available by using the internet, and the success of other companies in selling products online, we too will specifically consider this new market, and seek to have a share by having a strong online presence. Keeping in touch with our customers Since it costs less to maintain an unhappy customer than winning a new customer, we will keep in touch with our current customers, even as we try to capture new markets. Emailing our existing clients is one of the main ways in which we can win their loyalty. Conclusion This proposal seeks to transform the marketing strategy for John and Johnson. Not only does it propose the methods available for the company to achieve a competitive advantage over other companies, it also proposes on the strategy of winning more market share. Works Cited Jugenheimer, Donald W, and Larry D. Kelley. Advertising Management. Armonk, N.Y: M.E. Sharpe, 2009. Print.Wedel, Michel, and Wagner A. Kamakura. Market Segmentation: Conceptual and Methodological Foundations. Boston: Kluwer Academic, 1999. Print. Lambertini, Luca. The Economics of Vertically Differentiated Markets. Cheltenham [u.a.: Elgar, 2006. Print. Read More