The Development of Marketing Strategy in Companies

Outline

The marketing strategy of any company can be successful if the correct plans are followed in pricing, product, promotion and place decisions. This paper analyzes how a convention centre can successfully market its products and maintain a competitive edge in its geographical vicinity.

Introduction

Marketing is the process which involves and affects members of any organization. The process of marketing is influenced by various factors like social, political, economic, technological and competitive. These factors play an important role in the development of an organization’s marketing plan. Marketing is the process of planning and executing the pricing, promotion and distribution of goods, ideas and services which increase the competitive edge of organizations.

It is also an organizational function which involves the creation of processes that are used to communicate and deliver value added services and goods to customers. An organization’s marketing strategy places emphasis on the integration of shared goals throughout an organization. It assists in managing the lifetime customer relationships which are helpful for the growth and prosperity of the organization. This paper analyzes the marketing strategy of a convention centre which wants to target organizations that seek to hold seminars, functions and workshops. The company also has the benefit of having no competitor in the geographical area in which it operates.

The paper seeks to identify the factors which are involved in the product, pricing, promotion and placing strategy decisions for the organization. Marketing is the core business philosophy which identifies and fulfills the requirements of individuals and organization by a process of exchange which creates superior value for all parties. Susan says that “The marketing strategy provides the goals for your marketing plans. It tells you where you want to go from here” (Ward, 2007).

She further says that “The marketing plan is the specific roadmap that’s going to get you there” (Ward, 2007). Crawley says that “Successful processes are followed religiously and are gates/foundations to other corporate processes. While the strategy itself may change during the year based on internal or external factors, the product strategy process happens every year according to a pre-defined time table. Other key deliverables (such as the annual budget) depend on the completion of this product strategy definition before they can occur” (Crowley, 2007).

Product Strategy Decisions

The convention centre needs to have a product strategy which is based on focusing at the benefits and services which the customer wants to buy. The most fundamental level is the core benefits which the centre offers to organizations that seek to conduct seminars and workshops. The second factor which is essential in the product strategy of the company is what basic product is offered by the company. The third essential factor is the augmented product which can exceed the expectations of the customers.

The augmented product is the extra services which are provided by the organization. The company must also utilize its existing assets, business and marketing systems before launching any new product or service. Crawley says that “They have a method for incorporating external market information early in the process as a basis for setting basic product strategy priorities. Good product strategy processes are not formed in a vacuum” (Crowley, 2007).

He further states that “They incorporate a keen understanding of the market needs, market dynamics, and market trends” (Crowley, 2007). A well defined target market can be created by extensive market planning which will help the company to understand how it can effectively sell its products. The understanding of the core capabilities of a business and a well defined target market will assist the company to have a better understanding of their business.

It will also enable the company to save huge amounts of money by using existing marketing resources. The product strategy of the convention centre will use a focused marketing strategy that understands the various market segments when promoting its products and services. Cindy says that “the key to creating a usable marketing strategy is to follow a clear, structured, well-thought-out process. Doing so helps you keep the team focused, ensures the consistent use of information, and streamlines decision-making” (Kennaugh, 2007). She further states that “A more structured process also involves some front-end preparation, but this process ultimately saves you time and money” (Kennaugh, 2007).

Price Strategy Decisions

The convention centre will use a strategic marketing planning which creates important benefits to further develop a market plan. A strong market orientation can assist the organization in the pursuit of customer, competitor and market intelligence to create value added customer solutions. The convention centre should not pursue a low priced strategy to format its brand. The affect of low priced strategy would be negative if the convention centre seeks to upgrade the value of its products.

The convention centre should set a price strategy which is based on the size of companies. It should offer different packages which will allow its clients to select the best package for their seminars, workshops, conventions and functions. An attractive discount rate would also assist the convention centre in gaining a good reputation. The price strategy should be adjusted after the rapid occupation of the market.

The convention centre should also rapidly grow to a certain size in order to maintain its monopoly in the geographical area it operates. Reducing the process will cause a decline in profits. Customers become sensitive to price as they believe that the organization will continue to drop its prices. Crowley says that “Developing a realistic product strategy involves multiple functions within the company, and close collaboration between these functions. These functions often have conflicting objectives” (Crowley, 2007). He further states that “the product strategy consists of both a planning (defining the strategy) and execution (developing the products) phase” (Crowley, 2007).

Place Strategy Decisions

The convention centre can enhance its place strategy by designing a sophisticated service system which can deliver service. It should also offer its employee’s career development plans which would assist in increasing the morale of the employees. It should also monitor the needs and values of the target market. Since the convention centre is the only one of its kind in the geographical location it operates, it can have tremendous growth in developing businesses.

Every local and international company located in its vicinity can conduct workshops, seminars and conventions to promote their own products and services. Business organizations can be targeted by the convention centre to conduct their programs which would assist in their marketing strategy. The place strategy of the company will be concerned with the decisions which are needed to ensure that the right product is sold to the target market.

It would also involve objectives, market exposure, locations, service levels and managing channels for the organization. The place strategy of the convention centre should be based on how it will sell its product or service to its customers in the geographical region it operates. It must determine the best strategy to sell the product or service for the proper target markets. Susan says that “Marketing is all about letting people know about the product or service you offer and persuading them to buy or use it” (Ward, 2007). She further states that “And for effective marketing you have to let people know about your product or service repeatedly” (Ward, 2007).

Promotion Strategy Decisions

The promotion strategy of the company will focus on the target market and the channel of distribution for its products. The product must be positioned correctly for the success of the marketing strategy of the convention centre. It also consists of strategy decision areas like objectives, salespersons, advertising, sales promotion and publicity. The convention centre can advertise its products and services by using the media, sales people, special discount packages and community involvement.

It should employee people who can make decisions and encourage them to make the workplace a good environment. The market environment must be studied to attract opportunities and plan new strategies. It will also specify a target market which would assist the company in promoting its products and services. A set price can be created after estimating the customer reaction to the total offering and the costs of getting it to them. The target markets must be matched with marketing mixes that the company can offer.

Effective strategy planning can assist the convention centre in surviving the competitive markets. The company can launch an effective promotion strategy using the media and internet to promote the advantages and facilities it can offer for business organizations. Being the single convention centre in its area, it can effectively market its services and packages for various types of companies to conduct their seminars and workshops. Susan says that “The marketing strategy is shaped by your overall business goals. It includes a definition of your business, a description of your products or services, a profile of your target users or clients, and defines your company’s role in relationship to the competition” (Ward, 2007).

Conclusion

The convention centre is uniquely placed in its area for promoting its products and services. Its marketing plan should be based on providing value added services and products to its clients. Local and international business organizations operating in its vicinity can take advantage of the facilities offered by the company. The convention centre should offer various packages which would assist organizations to select the right package for their use.

The convention centre should promote its packages and services using the media, internet, sales persons and interacting with the community. The product strategy of the company should be based on providing quality services to customers. It should also develop marketing plans which can offer core benefits for the organization. Another important factor is the augmented product which would exceed the expectations of the customers.

The company should launch an extensive market planning process which would identify the requirements of the target market. The understanding of the well defined target market will ensure that the company has a better understanding of their business. The product strategy of the convention centre will use a focused marketing strategy that understands the various market segments when promoting its products and services. The marketing strategy of any company can be successful if they pursue the correct place, product, pricing and promotion strategies.

References

Kennaugh, Cindy (2007). Develop an effective marketing strategy. Web.

Ward, Susan (2007). The Key to Marketing: The Marketing Plan. Web.

Crowley, Ed (2007). Product Strategy Doesn’t Just Happen. Web.

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NerdyRoo. (2021, October 31). The Development of Marketing Strategy in Companies. Retrieved from https://nerdyroo.com/the-development-of-marketing-strategy-in-companies/

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"The Development of Marketing Strategy in Companies." NerdyRoo, 31 Oct. 2021, nerdyroo.com/the-development-of-marketing-strategy-in-companies/.

1. NerdyRoo. "The Development of Marketing Strategy in Companies." October 31, 2021. https://nerdyroo.com/the-development-of-marketing-strategy-in-companies/.


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NerdyRoo. "The Development of Marketing Strategy in Companies." October 31, 2021. https://nerdyroo.com/the-development-of-marketing-strategy-in-companies/.

References

NerdyRoo. 2021. "The Development of Marketing Strategy in Companies." October 31, 2021. https://nerdyroo.com/the-development-of-marketing-strategy-in-companies/.

References

NerdyRoo. (2021) 'The Development of Marketing Strategy in Companies'. 31 October.

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