Stages of developing a marketing strategy
A marketing strategy is a long-term, far-sighted approach for any organization or business, the main goal of which is to achieve a sustainable competitive advantage by understanding the needs and desires of customers. It covers many aspects and areas of activity: positioning, selection of strategic partners, relations with the media, the implementation of advertising activities and even the definition of business tactics.
The strategy you choose affects how you run your business, so it should be planned and developed in consultation with the team and marketing experts. Marketing Strategy is a comprehensive strategic planning tool that:
- describes the business, its products and services
- explains the position and role of products and services in the market
- profiles customers and competitors
- defines marketing tactics
- allows you to develop tactics for implementation and measure its effectiveness
Marketing strategy refers to the overall plan of a company to attract potential customers and turn them into buyers of products or services. This plan also contains the company's value proposition, key brand messages, target audience data, customer demographics, and other high-level elements.
The main stages of development
The main steps in the formation of a marketing strategy will be:
- Market Research
In the process, it is necessary to collect information about the market, such as its volume, dynamics, social trends and demographic data (population statistics, age, gender and family type). A comprehensive study of trends and identification of consumer preferences of the target audience will give an understanding of the development directions and characteristics of the market or niche.
- Analysis of competitors and assessment of the company's competitiveness
Competitive analysis usually involves creating a list of competitors and a profile for each one. Profile data includes information about how competitors sell products and services, what market share firms hold, competitors' marketing strategies, and their strengths and weaknesses. Evaluation is also carried out as a comparison between a company's specific products and services and competitors' offerings.
- Goal setting
Define a set of specific goals based on the company's business process. They will motivate the work team and track success. Examples of marketing goals include greater market penetration (selling more existing products to existing customers) or growth (selling existing products to new target markets). These goals may be long-term and may take several years to successfully achieve. However, they must be clear and measurable, and have a time frame to achieve. Make sure the overall strategies are also practical and measurable. A good marketing strategy will not change every year, but will be reviewed when the goals are achieved.
- Market segmentation and selection of target segments (consumer research)
Use market research to profile your target customers and determine their needs. With a profile, you can model the actions and desires of customers, including how they buy, where they buy, and what they buy.
- Analysis of strategic alternatives and choice of marketing strategy
Based on the results of competitive analysis and the conducted SWOT analysis (determining the strengths and weaknesses of the company and competitors), it is necessary to choose the most effective way for business development. Thus, you also take into account the previous experience of market participants, choosing a development method in accordance with the capabilities and characteristics of the company.
- Positioning strategy
Firms use positioning to communicate a value proposition and create an image for a brand, product, or service. Positioning relative to competitors determines how unique a brand is and how it provides a clear benefit to customers.