Marketing Strategies - Essay Example

? Marketing Strategies Marketing strategies are the steps taken by a certain company/business to beat fellow competitors in terms ofcustomers turn out hence increased returns. It can also be described as the optimal utilization of a business or company resources to be top of fellow competitors and increase the sales. The process begins with analyzing the current situation of a certain business then formulating ways to achieve specific goals (Bowie & Buttle, 2004). Some of the common marketing strategies include economic friendly advertisement, free samples and gifts among other initiatives to attract more customers. This work would focus on the marketing strategies in Compass group and its associates like Sodexo catering company among others. There are some analyses to ascertain the current situation of Compass Group Company in terms of its branding and marketing strategy. There are internal and external environmental analyses in this matter. Pestel analysis forms abbreviations for Political, Economic, Social, Technological, Environmental and Legal analysis. The company adheres to tax policies, labor legislations and environmental requirements among other political requirements. Economically, the company has enjoyed the advantage of favorable exchange, interest and economic growth rates. The company capital is always on a growing trend since it seeks loans from regional and international lenders like banks at humble interest rates. The company has used the acquired capital to expand its territories. Social aspect is observed when the company codes require workers from different ethnicity, race or academic background to be treated equally to promote work place diversity within the company, its regional branches and associates. In terms of technology, the company has incorporated advanced and environmental friendly technology like solar panels as required by the government. The company through its environmental department has ventured in its quality management system by going ISO, so that its products can be accepted globally. The legality of the company is at par since it has never been involved in a serious legal pursuit with its internal and external stakeholders. Porter’s five forces is another important analysis in business strategic management. This strategy implies that business is likely to be faced by five major influences, which must be economically and comprehensively addressed for the prosperity of the business. The company handles the threat of new entrants by providing quality services to its customers at a friendly cost to disadvantage new comers in the same business (medium to high pressure). The threat of substitute goods is handled by the company providing unique tastes and flavors of its food products to its clients; however, there is no much difference between the company’s food and Sedoxe hence, medium to high pressure. The company has a low pressure threat of bargaining power of customers. This is because the company deals with reputable companies like IBM, Microsoft and Caterpillar among others. It has a low pressure of supplier bargaining due to its vast chain of suppliers. Finally, the company has a high pressure of rivalry among existing firms like coca-cola and Pepsi among other fast beverage companies. Marketing mix analysis uses the 4p’s principle to ascertain the viability of the business. Compass Group Company has recommended quality food products at affordable price. It has good distribution channel since their products can be found in almost all corners of the country. It has a working and economic promotion strategy through free samples, gifts and advertisements. Compass group is foodservice industry whose headquarter is in Charlotte, North Carolina. The company has the advantage of serving economically stable clients like United Technologies Corp, Microsoft, IBM, Caterpillar and SAP among others. Furthermore, it also serves customers from neighboring learning institutions like Louisiana State University, public schools in Chicago and the University of Arkansas among others. The company has a famous brand name in major parts of the North America. This can be demonstrated by its clients from several states and institutions. Furthermore, reputable companies like Microsoft and IBM among others would only deal with certain companies after ascertaining their suitability. Compass group has always contracted in several occasions to provide catering services in the United State’s special functions like US open, Academy Awards as well as the famous and greatly attended Ryder cup. All these indicate the fame or reputation of the company (Proctor, 2000). Furthermore, the company was once contracted to provide its services to spectators in the 2002 Olympic as well as Paralympics winter tournament. The resent financial analysis indicates that the company made an annual return estimate of $ 11.7 billion. It got more than 200,000 associates in major parts of US as well as Canada (Morr, 2009). Sodexo is also catering company whose headquarter is based in Washington. Furthermore, the company provides facility management, motivation solutions and business strategy services to its clients. The company has got several clients on only in the US but in all pars of the world since it serves some of its clients online. Sodexo basically designs, manages and provide quality solutions through their blogs and websites (Sharma, 2011). However, the company also engages in the daily food delivery to its clients who are majorly staffs or students from neighboring learning institutions among others. Positioning strategy is another important element of marketing strategy. Compass company and its branches are located in the heart of wealthy or economically stable community. It is surrounded by reputable companies like IBM, Microsoft and Caterpillar among others. This provides the wealthy community opportunity to access Compass food and other products with ease, hence high returns. Compass company is also located near learning institutions whose wide range of population provides good market to the company’s food products. Supply is a very important consideration in the food industry. The annual sales are subject of the supply expenses. Compass is located near its suppliers to cut on supply transport costs. Sedexo is also located near learning institutions like Universities and high schools to enjoy the good demand from the students as well as staff. It also ventures on online services delivery to serve more customers in all parts of the world. Both compass company and Sodexo are involved in food services; this would mean the two companies are in competition. This work would tackle the different strategies employed by each of them to remain in the completion. Sodexo greatly ventures on the online community. The company has a famous website through which clients make their orders. The company then makes the daily delivery to the door step of the clients. Sodexo believes on quality, its food is of recommended nutrition values and hygiene. Furthermore, the company expands the pool of its clients by providing other related services like designs, management and business solutions among others. It also renders services at relatively subsidized prices compared to other related companies in the US. Compass company on the other hand has ventured into reputable companies like Microsoft and IBM among others. This saves the company from making expensive adverts to attract more customers. Compass ensures it maintains its reputable clients by offering special discounts, gifts and free samples. Furthermore, the company has partnered with other companies like Levy restaurants, Crothall Healthcare, Bonn Appetite Management Company among others. Such business partnership enables compass company to acquire its food materials among other inputs at subsidized prices. The company is also ISO certified to attract more customers in all parts of the universe. Business research indicates that companies observing Quality Management Services (QMS) are more likely to make more sales than their competitors; this is because their products or services are universally accepted. Both the companies are doing well in terms of their efforts to attract and maintain their clients (Cravens, 2009). They both advertise their products through the internet, broadcasting television and radio channels, bill boards and posters among others. They also organize occasional road trips and campaigns to sensitize people of their respective products. There are several characteristics of marketing strategies observed by Compass Company and its relations. Intangibility is the essence of providing customers with services than can neither be seen, smelt or tasted, in other words these are virtual services provided to the clients. Although they seem to be of no value, they really attract and maintain clients. Compass Company provides food nutrition lessons or advertises to their esteem customers. This is like a bonus but it really helps to attract and maintain clients with nutrition problems like the obese and diabetics among others. Sedoxe provides business solutions to the online communities as a bonus to their services. This compels majority of people or companies to regularly visit Sedoxe company’s blogs or websites and in the process they learn about the company. Inseparability is the fact that a certain demand can never do with a specific product or services. Both the companies supply food which forms basic needs of human. This keep the companies running on a daily basis since people require food to live. Variability is the essence of providing more than one service or products to the clients. The companies offer catering and business consultancy services to clients, regionally and globally through internet among other platforms. Perish ability is the ability of the companies to maintain their daily delivery schedule of products with short life span. They have inbuilt cooling systems in their delivery tracks to keep the food fresh till it reach the clients’ destinations (Brown, 2010). Finally, the companies have no specific ownership of the business, what they do is to attract several associates to operate under the common brand name. This ensures work place diversity which comes with increased annual returns among other advantages. References Brown, E. (2010). Compass Company. Company facts . Cravens, D. (2009). Strategic Marketing. USA: McGraw Hill Irwin. Bowie, D., Buttle, F. (2004). Hospitability Marketing. USA: Elsevier. Morr, E. (2009, December 14). Business Boosters. Marketing Strategies. Retrieved March 24, 2013, from: www. entrepreneur.com Proctor, T. (2000). Strategic marketing: An Introduction. USA: Routledge. Sharma, G. (2011, May 12). Forbes. Retrieved March 24, 2013, from: www. forbes.com Read More