What are some essential marketing strategies

Marketing strategy

Marketing strategies are fundamental decisions for the achievement of established marketing goals. The task of marketing strategies is to define an orientation framework for the targeted alignment and channeling of operational marketing measures. Marketing strategies thus determine the long-term, market-oriented alignment of the company.
The planning and coordination of marketing strategies is an essential task of marketing management. The basis for formulating the strategy is a comprehensive analysis and forecast of the internal and external actual situation as well as clear marketing goals. In general, one can differentiate between basic and instrumental strategies in marketing.

A compilation of global and holistic principles and behavioral plans developed as part of long-term marketing planning, with which a company wants to act in the market in order to achieve the long-term competitive position it strives for. It includes: • Marketing models, ie general behavioral norms for marketing, in which the entrepreneurial self-image (corporate identity) is expressed, • General and long-term imperatives for the choice of sales markets as well as the type and content of market activities, • Essential reference points from the future marketing environment to which the marketing policy is to be aligned, as well as • fundamental decisions about the development and distribution of marketing resources. The main objectives of such a strategic anchoring of marketing are: • the timely anticipation of long-term opportunities and threats from the marketing environment, in particular the competitive dynamics, the technological and sales-related product dynamics (product life cycle) and the overall economic development as well as the industry-specific market evolution, • the best possible use of Synergy effects, • the planned alignment and coordination of all operative and tactical marketing plans, through which the strategic framework for action is concretized and filled. The key elements of the marketing strategy are the selection of strategic business areas and the - thereby co-determined - fundamental alignment of the product and program policy. The basic alternatives for this can be shown using the so-called product-market matrix. Due to the increasing saturation of many markets, market segmentation and diversification among the strategies shown in the figure are becoming increasingly important. In addition, disinvestment decisions (exit from the market) are increasingly to be considered. Portfolio planning, long-term forecasts and simulation models serve as specific analytical tools for developing marketing strategies. Literature: Becker, Marketing-Konzeption. Basics of Strategic Marketing Management, 4th edition, Munich 1992. Kotier, Ph./Bliemel, F. W., Marketing-Management, 7th edition, Stuttgart 1992.

The marketing strategy is a long-term concept based on the competitive conditions and performance potential of the company. It consists on the one hand of the specification of general goals that are to be pursued, on the other hand of the specification of which measures (marketing mix, sales policy instruments) are to be taken. The market strategies can be divided into basic strategies and growth strategies. The basic strategies are divided into so-called fixed point strategies, which are based on the fundamental entrepreneurial idea, the product idea that is to be marketed, and into competitive strategies. With regard to the competition, according to Müller-Hagedorn, two dimensions can be distinguished in the basic orientation of the marketing strategy: on the one hand, adaptation or differentiation, on the other hand, aggressive or defensive behavior. Adaptation and differentiation are the two alternative basic directions in the choice of the target group and the use of resources. Aggressive and defensive behavior represent the alternative basic directions that should be pursued in relation to the competition. The growth strategies include market penetration, market segmentation, product innovation and diversification.

(1) Term: In the medium to long term, marketing strategies define the necessary framework for achieving the strategic marketing goals of a company by using operational (tactical) marketing instruments. They contain decisions on market selection and market development and are fixed in the form of conditional, medium to long-term, global behavioral plans for strategic business units (SBUs) of the company. Conditionality expresses that marketing strategies are geared towards the requirements and competitive situation as well as the performance potential of a company. The formulation of a marketing strategy should be based on an existing competitive advantage or, if none can be identified, help establish one. Another feature of the marketing strategy is globality, which means that as a link between strategic marketing goals and operational marketing measures, no individual measures are described, but rather focal points ("thrusts") of the marketing policy are defined. This definition of a strategic thrust helps to better communicate the design of the marketing instruments to managers and employees and to increase the company's internal identification with these measures. Outside the company, the marketing strategy should lead to an unmistakable profile and enable a clear differentiation from the competition. The development of a marketing strategy is both a planning task (target-oriented definition and control of a market- and customer-oriented behavior plan with the help of strategic analysis instruments such as SWOT, life cycle or portfolio analyzes) and a creative task, as it applies within a given framework of activity. to develop alternative or innovative solutions. The development of the marketing strategy is an element of strategic marketing (see also Marketing, Basics).
(2) Types of marketing strategies: Since marketing strategies are formulated on different levels and in different degrees of detail, it makes sense to differentiate between market selection and market cultivation strategies. Market selection strategies deal with the question in which markets and sub-markets the company should or should not be present. At the core of the market choice is the definition of the relevant market and the formation of strategic business units (SBUs). In a further step, market segments (segmentation) are then formed within the strategic business units. Following the market selection, the development of market development strategies takes place at the level of the strategic business units, which deal with the question of behavior towards customers, competitors and sales intermediaries (market participant strategies) as well as the definition of priorities in the use of marketing instruments (instrumental strategies). See also Marketing, Basics and Communication Policy, Price Policy, Product Policy, Sales Policy, each with references.

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