Marketing Strategies and Objectives
Marketing strategies and objectives.
A) Build Marketing Strategy (Market development)
The Marketing objective in a Build Marketing strategy is to increase sales and market share. This is a rather aggresive, relatively expensive however dynamic Marketing business approach aiming at growth markets. In this sense, an organization that incorporates a Build Marketing strategy focuses at increasing sales and establish its competitive position position in the market (e.g. development of market share). A Build Marketing approach is also desirable in mature markets where there are exploitable competitive weaknesses and hence exploitable corporate strengths.
B) Hold Marketing Strategy (Maintain current investments)
The Marketing objective in a Hold Marketing strategy is to maintain market share. This is the case of a market leader firm in a mature or declining market. An organization can also apply Hold marketing strategy in a growth market where the costs incurred by trying to build market share outweigh the benefits.
C) Harvest Marketing Strategy
The Marketing objective in a Harvest Marketing strategy is to maximise profits whilst sales and market share are falling. This is the case of a firm that has decided to reduce promotional budgets, rationalize product line and possibly increase prices in maximizing profit margins. Such a firm obviously needs a loyal core customer base (e.g. see development of loyalty schemes) as well as better use of financial and human resources. Indeed, "no money to waste" may be the slogan of the firm. This is a Marketing strategy suitable for recession times.
D) Divest Marketing strategy
The Marketing objective in a Divest Marketing strategy is to drop or sell the product out of its entire product portfolio. There is obviously poor performance and inappropriate fit with the rest of the product family. It is hard to make such Marketing decisions but there is only one reality: Sales at a Profit Reality
Giannakis, Damianos (2012) Marketing strategies and objectives Retrieved from http://actingmarketing.blogspot.com/2012/01/marketing-strategies-and-obj...