Successful Marketing Stories - Essay Example

? Successful marketing stories Many organizations seek success. Several factors like excellent information systems, qualified workforce and modern technology all contribute to business success. However, today’s successful companies have one thing in common; they are strongly customer oriented and heavily invest in marketing of their products and services. Marketing consists of the strategies and tactics that are used to identify, create and maintain satisfying relationships with customers that result in value for the organization and the customer. Successful companies dedicate efforts to sensing, serving and satisfying the needs of customers in the unique target markets. Companies like Apple have attained brand equity through constant innovation and excellent customer service. Apple products like iPod are built on advanced communication technology and additional features like e-mail and messaging capabilities, which have increased the level of customer satisfaction. Apple has been able to segment the market by offering products that meet the different customer needs. Apple has been able to implement technology and innovation in all the marketing mix elements such as the price, promotion, place and product. Successful marketing stories Introduction Marketing is practiced nearly in every business in the world regardless of the size of the business or the nature or industry in which the business operates (Hartline & Ferrell, 2010). The basis of all marketing activities is to create and deliver value to the customer (Hartline & Ferrell, 2010). Customer value can be defined as; the difference between the value the customer gains from owning and using the product and the costs of obtaining the product. The first thing all marketers should remember is that successful marketing starts with identifying the right market for the products and services, and designing the appropriate marketing communication messages which are tailored to the particular market and target customers (Hartline & Ferrell, 2010). The marketer should also choose the right communication media, which can either be audio or print, hence, the channel selected should effectively deliver the message to the target customers (Shimp, 2008). The marketer should also strive to do a follow-up of the effectiveness of the marketing strategies by evaluating either the growth in business revenues or market share. This paper will discuss the marketing principles and strategies which successful organizations have used to gain a leadership position in market share in the industry. Marketing is to most sensitive function of the organization since it deals closely with the customers, hence, creating customer value and establishing good working relationships with the customers is the heart of modern marketing efforts. The paper will discuss the principles of marketing, and how the business can utilize them to gain a competitive edge over the competitors. Thesis statement The success of the business is dependent on the marketing strategies used by the business. Elements of marketing strategy The marketing strategy of a business is composed of various elements which interrelate. The key element is the market selection and the product planning which is choosing the product line and the product offerings for the target market. A firm can either choose a single market strategy or multi market strategy. In a single marketing strategy, the firm will concentrate its efforts in serving a single unique market segment while avoiding competition with the dominant players (Hartline & Ferrell, 2010). In a multi marketing strategy, the firm will serve several distinct markets, hence, the firm should carefully select the target markets which are viable. In a total market strategy, the firm will offer differentiated products to different market segments; hence, it should utilize the marketing variables like the price, promotion, product and distribution strategies in competing effectively in the entire market (Hartline & Ferrell, 2010). The firm should also choose the market entry strategy; hence, if it chooses the first entry strategy, it should be able to anticipate and bear the market risks and effectively promote the products while creating the demand (Hartline & Ferrell, 2010). The firm can also choose an early entry strategy where it enters a new segment after the market leaders; hence, for the firm to be successful in this strategy it must have superior marketing strategies and sufficient resources to compete with the market leader (Shimp, 2008). The firm can choose a laggard entry strategy where it enters in the mature markets by imitating the market leaders, hence, it should have excellent promotional abilities and enough market research capabilities (Hartline & Ferrell, 2010). Marketing mix The marketing mix consists of the product, the price, promotion and the place. Marketing mix strategies determine the success of the product in the market (Shimp, 2008). The product decisions comprise one aspect of the marketing mix. The product includes attributes such as packaging, services, warranty, and product quality and product design. Apple utilizes modern technology in its product design (Hartline & Ferrell, 2010). The company products are light in weight and slim, hence, this enables the customer to easily carry the product. The Apple product packaging also prevents physical damage of the product while in the stores or during transportation to the market. The iPod brand is well packaged, slim and contains a warranty; hence, the company has been able to attain customer loyalty due to the added attributes of the product (Hartline & Ferrell, 2010). Apple utilizes the premium pricing strategy where its sets a higher price than that charged by the competitors (Shimp, 2008). The company also uses discounts and allowances in its pricing strategy in order to encourage demand during the off-peak season. The place includes the channels of distribution, which get the products to the target customers. This includes the transactional, logistical and facilitating functions in taking the products to the customers. Apple has a wide distribution network. The company has overcome the distribution challenges by offering online music stores and online selling facilities. Brands like iPod are easily accessible in major shopping malls and stores globally. Promotion decisions in the marketing mix include the marketing communications which are geared at notifying, persuading and reminding the customers of the existence of the products in the market (Shimp, 2008). Apple utilizes different marketing communication strategies like advertising, public relations and publicity in persuading the customers to purchase the product. Most of the promotion decisions of Apple are indented at educating the customers on the use of the products and notifying them of new launches. (Shimp, 2008). Brand equity According to Philip Kotler, a product comprises of three levels where the first level is the core product and the benefits of purchasing the product (Boone & Kurtz, 2010). The second level of the product is the actual product that comprises of the branding or the additional features which the product offers to the customer. This is the differential advantage that the company offers to the market over the competitor’s products (Boone & Kurtz, 2010). The third level of the product is the augmented product, which are the additional non-tangible benefits, which the product can offer. The product features in this level include the after sale services, warranties and other services which the company can offer the customer after the sale. The augmented product is designed to give the customers peace of mind after the purchase (Boone & Kurtz, 2010). Apple is one of the most respected brands in the world (Boone & Kurtz, 2010). The company has consistently reinvented its brand identity over the time to suit the changing trends. The company is an exception in continuous branding and developing pioneering products that have changed the nature of the computer and communication industry (Boone & Kurtz, 2010). Some of the products that Apple offers to the customers include Mac book, PowerBooks, iPod, MP3 music players, iTunes, iPad and personal computers. Apple has created brand equity through constant innovation. Innovation and the effective commercialization of the new products have helped the company to achieve customer loyalty (Boone & Kurtz, 2010). Brands such as iPhone and iPod have reinforced its innovation capability, hence, the company is able to retain its market share. The company has created brand equity through establishing working relationships with customers. The company has established seamless experience for customers across online, telephone and personal touch points in its products like the iPhone. The company offers training facilities for employees working with the target customers, which is essential in maintaining brand equity. The customer service level offers the customers exciting experience (Boone & Kurtz, 2010). Positioning strategy Marketing strategies should be built on segmentation, targeting and positioning. The company should discover the unique needs of the customers in the market and offer products that satisfy these needs (Shimp, 2008). Market segmentation involves specifying the groups of customers with similar needs and offering a product that meets their needs (Boone & Kurtz, 2010). Apple has segmented its market according to both demographics and income levels of the customers. Apple also segments the market according to customer lifestyles (Boone & Kurtz, 2010). Apple targets price insensitive customers and quality conscious customers. Apple has targeted the business travelers. Apple has positioned itself in the market as an operationally excellent firm through implementation of superior manufacturing technologies. The company has positioned itself also as a customer intimate firm by serving the unique needs of customers and providing excellent customer care service. Apple brands like iPod have positioned the company as an innovative and technologically excellent firm, which is conscious of the quality of its products. Conclusion Marketing involves all the strategies which are geared at creating and maintaining relationships with customers and satisfying their needs. The marketing strategies chosen by a business will determine its competitive strength in the industry. The marketing mix of the company decisions involves determining the pricing, promotion, place and product strategies that create customer value. A successful business should segment the market and target the market where it has competitive strengths in meeting the customer needs. Apple has positioned itself as an innovative and customer intimate firm, hence, has been able to attain customer loyalty. Apple products are properly designed since they are low in weight and slim. The company uses premium-pricing strategy in order to emphasize the quality of its products. The company has wide distribution networks and promotional strategies that reach the targeted customers. References: Boone, L and Kurtz, D. (2010). Contemporary business. New York. Routledge. Hartline, M and Ferrell, O. (2010). Marketing strategy. London. Springer. Shimpss, T. (2008). Advertising, promotion and other aspects of integrated marketing. New Jersey. Cengage Learning. Read More