Price *Improve competitiveness in pricing with a totally different strategy or approach than competitors. Need competitors’ selling prices, strategies by benchmarking. *Low prices as a long‐term approach to business to attract more customers. They can implement this strategy by lowering transportation and storage costs. Need supply chain, inventory, order processing, replenishment, and manufacturing process data.
Customers will choose to buy a product that they believe offers them the most value, this perception of value leads to created expectations. The consumers assessment of the value they receive from a purchased product will influence their satisfaction and repurchase behaviour. A company can influence a customers perceived value by strengthening or augmenting the product offer with services, personnel and image benefits. By having a customer-centred approach, a company will achieve higher customer satisfaction through adding more value to the core product. A satisfied customer is more likely to repurchase, and also create new
As such educating consumers can direct more customers towards those businesses provided that retailers still have products the consumers want to begin with (Dickson, 2008). In this line of thinking, this is something that managers of second-hand stores should consider as a second-hand shop is a socially responsible business. While it is impossible due to the very nature of second-hand shops to have complete control of the offering, educating consumers about the benefits to second-hand shopping may appeal to those consumers who have personal values or ideologies related to not wasting resources, sustainability, the environment or helping others. The benefits that can be mentioned are things like how much resources are consumed when producing new clothing and then in comparison how much resources it takes for a consumer to buy a piece of already used clothing. An approach like this can appeal to those who are ethics and ecology motivated and perhaps even to those who want to distance themselves from the
Discuss when, and why to use single-sourcing and when and why to use multiple sourcing E.x. include advantages and disadvantages/challenges with the two sourcing principles/concepts When deciding whether to use single or multiple sourcing, the management has to evaluate suppliers out of quality, delivery, technology and suppliers support. Single sourcing is common when the product and/or service are directly linked to the core- competence and the demand for JIT is important for the buying firm. Firms using single source will get a better price (economic of scale) and also a better contact with the supplier and more. However single sourcing can be devastating for a firm, worst scenario the firm would not receive any products.
Hubspot Case Write-Up Situation Analysis Hubspot is facing a market segmentation and targeting opportunity where they need to which type of customer to serve and whom they should turn away. They also need to figure out an appropriate pricing model for the customers they decide to serve. The third decision management is tasked with is deciding if inbound marketing is sufficient enough to achieve Hubspot’s goal of large and quick scale. Within this scale, Hubspot, like the services they provide to their customers, is seeking to maximize the efficiency of the prospects they pursue, these include Owner Ollies and B2C/B2B Marketer Marys. Hubspot has a diverse customer base, from many industries, that it has already segmented.
What value added features will you use to gain leverage over your competitors? Increasing efficiency and innovation, increasing quality and achieving superior customer responsiveness are ways for managers to improve business functions. These are the four function level strategies. There is durability of competitive advantage also. The durability of competitive advantage depends on the ease or difficulty to imitate distinctive competencies.
The success of strategies depends on ability of an organization to satisfy customer needs better than its competitors in market. Krishna & Vasant (2006). Therefore it can be said that marketing mix strategies in retail are highly influenced by the customer’s needs and requirements and strategies adopted by competitors. That aim of marketing mix strategies in retail sector is to satisfy specific customer needs with price strategy that can make some profit for the organization (Kurtz et al,2009) Blankson(2010) explain that retail marketing mix strategies should aim to create distinct image in the mind of consumer while mix can vary on the basis type of specific market requirements. Many elements can be placed to form marketing mix of any organization but most significant elements are given as follows (i) Store location (ii) Merchandise and Category Management (iii) Pricing (iv) Inshore marketing (v) Customer Relationship Management These retail marketing mix strategies at Argos are discussed here in detail (i) Store Location:- The selection of store location is most significant and important decision and success of business heavily relies on this decision.
Companies that develop effective marketing strategies achieve high sales volumes at the desired profit margins. A key marketing strategy is the segmentation of the market into parts that the company can analyze. Since customers have different characteristics and various needs, it makes sense to group similar customers together. These groups have common characteristics and needs. The rationale behind implementing such a marketing strategy is that the company can better satisfy the needs of segments of similar customers.
In other words, companies who implement this strategy aim to provide consumers with a product that is unique, in that it provides consumers with features that are so desirable that they will remain loyal to that brand. The key to successfully implementing broad differentiation begins by performing an in depth consumer evaluation to pin point the different elements and attributes that will attract attention from the public. This element of broad differentiation is perhaps the most important piece and will likely determine
In an age where consumer’s having-the-next-best-thing is a promising idea for competing businesses, Sonic is focused on these markets in hopes of a stronger market share. Sonic’s target market is very specific and better defined due to simplified consumer access. Kotler and Keller provide an understanding for this by explaining innovative two-way communication and its aid in more effective target marketing (2009). a. What specific needs does the Sonic PDA address for each target market?