Download Marketing Strategy

MARKETING
STRATEGY
MAN-120
Professor Renata Mayrhofer
Marketing Mix
• Decisions regarding controllable variables
• Product, Price, Promotion, Place
• At least one of these surpasses competitors
• Other 3 dimensions at least acceptable
Product Development
 Thousands of new
products introduced
annually, few succeed
 It takes time to get a
new product to market
 Sometimes a product
or idea is shelved, only
to be returned to later
Product Strategy
Product Strategy
Product Line & Mix
• Product Line: A group of closely related products treated
as a unit because of similar marketing strategy, production
or end-use considerations
• Product Mix: All the products offered by an organization
Branding
• The process of naming and identifying products
 A brand is a name, term, symbol, design or combination
that identifies a product
 A brand name is the part that can be spoken and
consists of letters, words and numbers
 A brand mark is the part of the brand that is a distinctive
design, such as McDonald’s arches
Trademark
• A brand registered with the U.S. Patent and Trademark
Office and is thus legally protected from use by any other
firm
World’s Most Valuable Brands
Brand Value
• $229 billion
• $107 billion
$228 billion
$103 billion
$122 billion
$101 billion
Product Strategy
• Manufacturer Brands
• Initiated & owned by manufacturer
• Identify products from the point of production to the point of
purchase
• Private Distributer Brands
• May cost less than manufacturer brands
• Owned and controlled by a wholesaler or retailer
• Generic Products
• Products with no brand name
• Often come in simple packages
• Carry only their generic name
Pricing Strategy
Almost anything of value can be assessed by a price
o
Consumers vary in their response to price
o Price determined by
o
o
o
Product’s perceived value in the marketplace
Production costs
Calculating the Value
Pricing Objectives
• Maximizing profits
• Boosting market share
• Maintaining status quo
• Survival
Price is the most flexible variable – can be
set or changed in minutes
Pricing Strategies
• What pricing strategies have you seen
recently?
• What pricing strategy has worked to get
you to buy something?
Distribution Strategy
Promotion Strategy
• Encourages consumers to accept products
and influences opinions and attitudes
• Communications
• Advertising
Importance of Marketing Strategy


Marketing creates value through the marketing mix

Companies with an effective marketing mix gain
competitive advantage

Advantages often come when a company excels at one
or more elements of the marketing mix

Companies must monitor demand and adapt the
marketing mix when needed
The marketing mix must be carefully integrated into an
effective marketing strategy