Strategic Marketing Managment - Assignment Example

Strategic Marketing Management Contents Contents 2 Part A 3 Task 3 STP (Segmentation, Targeting and Positioning) 3 ANSOFF’s Matrix 4 BCG matrix 5 Task 2 6 Cost Leadership 6 Differentiation 6 Focus 6 Part B 7 References 10 Part A Task 1 Strategic marketing is the process of implementing the concepts of marketing in the core level of the organization. Corporate strategy is the process or the direction that an organization implements with the aim to achieve the common goal and objective of the company for long time. Both the strategic marketing and corporate strategy are different from each other but both of them are majorly done for the success of the company as in whole and the company looks to implements certain corporate strategy in various departments and strategic marketing is a part of the corporate strategy and this is majorly to attract the market and for creating a better market share and also for creating a competitive advantage over the competitors in the market (Jones, 2010, pp. 23-25). The models used in strategic marketing are STP (Segmentation, Targeting and Positioning), ANSOFF’s matrix and the BCG matrix. For corporate strategy the models are Portfolio model, Resource –allocation model and Simulations model. STP (Segmentation, Targeting and Positioning) Segmentation is done to understand why people buy the product or service of the particular company. The segmentation is done based on the demographic, psychographic and based on the behavioural aspects of the customers of that particular place (Hutt and Speh, 2012, pp. 134-137).This helps to understand which segment of customers will take the product or the service. Targeting is done to decide the exact target customers based on their age group, their income level and other factors which are important to understand the exact group of people who are major customers for the product and the particular service that is been launched by the company in the market (OaShaughnessy, 1995, pp. 35-37). Positioning is the technique of placing the particular product in the market for the target customer and in the correct segment so that the company can make the customers understand the exact message and the exact value that the company creates to the customers (Kozami, 2002, pp. 23-29). ANSOFF’s Matrix This provides four strategies for marketing. These four strategies are been listed and explained below. Penetration of the market The company gets the growth with the existing products and in the current market segment looking to increase its market share. Market Development The company looks to grow with existing products and by entering into the new market segments. Product Development The company develops new products and target to increase its market share by launching the new product in the existing market segment. Diversification The company grows by developing new product and also by moving into the new market segment (Rogers, 2001, pp. 45-58). BCG matrix Cash cows The product which helps the company to get maximum market share and also helps to get the maximum revenue are under the cash cow category. Dogs Dogs are the products which have low market share and also are not been sold too much in the market. Question Marks The products which have high market growth but low market share are under the category of question marks (Stonehouse and Houston, 2012, pp. 27-34). Stars Stars are the products with high market share and are in a fast growing industry. The models for corporate strategy are been discussed below Resource-allocation model in which the importance of prioritization of strategies, objectives and business management for achieving the objective is been allocated. Portfolio models, in this the company makes strategy based on the type of product or the services (Lüdicke, 2006, pp. 143-146). Process models, in this model the company looks to design the process flow and also the way the process goes around. Thus both the marketing and corporate strategies help the company to grow in the competitive market but in their own way and are different in the way they work and help the company to grow. Task 2 Porters Generic Strategy is an analysis for competitive advantage that the company has over other competitors. Cost Leadership In this the company tends to set the lowest cost for its products in the industry. This gives a lot of cost advantage to the company over the competitors. Differentiation In this strategy the company sets to be unique in the industry with some dimensions in its product or service or in the selling process. Focus This strategy helps the company to focus on a particular having a narrow competitive edge in the industry over its customers. This Porter’s generic model helps to understands how the company creates a particular strategy in the industry to get a competitive advantage over the other companies. Like Samsung has got the competitive advantage in the mobile industry because of its focus on the technology and the features in the mobiles which helped the company to capture the maximum market share in the global market of mobile industry (Sekhar, 2009, pp. 34-42). Part B Market strategy of Samsung is been studied using different theories ad concepts which will help to understand the market analysis of the company in the market of UK. a) The market in UK for the television industry for the Television marketing is been growing at a very fast rate. There are many companies in the market like Samsun, LG etc. which have strong strategies to grow fast and capture the maximum market share and also create a good brand image in the mind of the customers so that they can capture more and more customers. The companies conduct huge marketing activities for creating good brand awareness in the market and to attract maximum customers. The market share among the companies have kept fluctuating at a constant rate in the past few years with many companies coming up in this industry with latest technology and innovations (Kotler, 2001, pp. 26-34). b) Internal analysis of Samsung in UK in the segment of TV can be seen looking at the strengths and weakness of the company. Strengths High Quality Innovative Products. Availability of Resources- good relationship with suppliers High focus on R&D Weakness High Quality thus the price of the products is also very high. Lack of 3D gaming Content in the TV’s (Pride and Ferrell, 2011, pp. 223-225). c) The current strategy of the company in UK has been very aggressing in the segment of Television. The company has acquired 88% of the market share in the segment of 3D television market. The marketing campaign made by the company in UK is very aggressive and the company looks to invest a lot of amount in the marketing of the product in the market to get more competitive advantage. The company invested around 12.25 million dollar in the marketing campaign. Currently the strategy is progressive and the company is making lots of attempt in increasing the market share 3D-TV market in UK. The strategy made by Samsung to make continuous innovations in the flat-panel TV market and this strategy has allowed the company to deliver superior value created products for the customers in the global TV market. This growing market in the television industry has forced all the companies to take serious steps towards implementing aggressive marketing strategy for the company and its products (Kotler and Pfoertsch, 2006, pp. 34-45). d) Looking at the current trend Samsung to hold on to its position as the leader in the TV market in UK needs to continue its aggressive marketing strategy and also have a strong focus on its research and development team so that it can come up with latest technology equipped more better television which can not only meet the expectations of the customers but make the customers feel wow looking at the features and designs of the televisions that will be launched in future. The company’s promotional activities must be very good and it must use different mediums for promotions and for making sure that the correct message is been conveyed across to the customers in the correct way (Abrams and Abrams, 2003, pp. 234-243).. The customers should understand the value that the product launched by Samsung creates in their life and they should find it worth investing their money for buying televisions made by Samsung. Thus the two strategies that Samsung should continue to implement should me strong R&D and quality check and the second being their strong marketing, advertising and promotions that will give the company more and more opportunity to capture bigger market (McLoughlin and Aaker, 2010, pp. 125-126). e) The best market strategy for the company to hold on to its position is by continuously coming up with latest technology equipped televisions and take care of the fact that the customers get overwhelmed by the facilities that they get from the televisions. Apart from continuous innovation the company needs to have a planned and well-designed marketing plan based on which it needs to launch its products in the market. The marketing activities should be made focusing upon the factor that it can serve well to the company’s objectives and help the company to achieve its goals (Marr and Gray, 2012, pp. 156-164). References Abrams, R. and Abrams, R. M. 2003. The Successful Business Plan: Secrets & Strategies. Canada: The Planning Shop. Hutt, M. D. and Speh, T. W. 2012. Business Marketing Management: B2b. USA: Cengage Learning. Jones, R. F. 2010. Strategic Management for the Plastics Industry. USA: CRC Press. Kotler, P. 2001. Marketing Management. London: Prentice Hall. Kotler, P. and Pfoertsch, W. 2006. B2B Brand Management. Berlin: Springer. Kozami, A. 2002. Business Policy and Strategic Management,2e. Tata McGraw-Hill Education; India. Lüdicke, M. K. 2006. A Theory of Marketing: Outline of a Social Systems Perspective. Germany: Springer. Marr, B. and Gray, D. 2012. Strategic Performance Management. USA: Routledge. McLoughlin, D. and Aaker, D. A. 2010. Strategic Market Management: Global Perspectives. Spain: John Wiley & Sons. OaShaughnessy, J. 1995. Competitive Marketing: A Strategic Approach. New York: Routledge. Pride, W. and Ferrell, O. 2011. Marketing. Stamford: Cengage Learning. Rogers, S. C. 2001. Marketing Strategies, Tactics, and Techniques: A Handbook for Practitioners. USA: Greenwood Publishing Group. Sekhar, G. V. S. 2009. Business Policy And Strategic Management. New Delhi: I. K. International Pvt Ltd. Stonehouse, G. and Houston, B. 2012. Business Strategy. UK: Routledge. Read More