Business Marketing Strategies
In this unit I will be demonstrating how businesses need to achieve their business objectives by effective marketing in order to become successful. This would involve understanding the needs and wants of their target markets as well as providing and offering goods or services in a more effective and efficient way than any other competitors.
I will show in this unit how businesses need to know what they are selling, who they are selling to and the price in order to be successful. Businesses also need to know where that particular product is being sold, and why people buy that product. Businesses need to identify their marketing aims and objectives. Different businesses will use different marketing activities depending on the objectives they are aiming to achieve.
These objectives could include understanding customer wants and needs, diversification, improving profitability, improving market, and increasing brand awareness. In order for the businesses to achieve these objectives they would need to identify their target market through the use of target through the use of market segmentation and consider niche or mass marketing or how markets are segmented. Businesses would also need to understand the purpose of market research by identifying the target markets and identify sized, structure and dynamic of market and to identify competition.
I will also show in this unit how businesses need to carry out appropriate research using primary research such as questionnaires and also secondary research. I will also show how businesses need to show appropriate marketing mix which is intended to influence the customer’s needs in order to make the businesses sales. I will show how factors such as the price, product, place and promotion go towards determining the marketing mix for the business.
Finally I will be looking at how other factors could possibly be influencing the businesses marketing mix. This would include seeing how businesses are affected by both internal and external constraints such as environmental or ecological factors, legal factors, costs and political and economic factors.
Marketing objectives are important within a business because they are involved in developing new products and understanding customer needs, as well as increasing and developing brand awareness. Marketing objectives are basically the goal that a business tries to achieve through its marketing activities. Marketing is one of the functions that make up a business’s activities. Marketing decisions contribute to achieving the overall business objectives.
The marketing objectives have a major influence on the marketing activities of the business. This shows how managers of businesses cannot know whether their marketing activities had been successful, without setting their own marketing objectives at the start. This would determine whether or not the particular marketing activity had been success or not.
Understanding the customer needs
It is important for businesses to understand the customer needs as fully as possible, whether the business was small or large. Most well managed businesses would do research to find out what customers want which is why most businesses try to match the needs of the customers by selling certain products or offering certain services to meet the customers needs and wants.
As I will be promoting a new product for Wrigley’s which is a chocolate flavoured chewing gum it is important to find out the needs of the customers and the target market of which the product is aimed at. So in order to create the new product for Wrigley’s, market research would have been needed to find out what different products could be created.
I had done a questionnaire which is a form of primary research to see what customers would want or expect of the business. This is how I had come up with the idea of creating a new product which was to be chocolate flavoured chewing gum. Therefore it is important to follow customer’s needs in order to ensure that the customers would like the products enough to buy them. Consequently this would increase the chances of that product being a success and the business gaining profit as a result of following the customer’s needs and expectation.
Developing new products
Developing new products affects the businesses marketing objectives, because all businesses need to develop new products in order to satisfy their customers. Some businesses either introduce customers to an entirely new good or service, or simply copy an existing product that is already on the market. As the product I will be promoting for Wrigley’s is chocolate flavoured chewing gum, this is a part of developing new products and it is a totally new idea of a product which is being introduced.
Improving profitability would be one of the objectives all businesses use. All businesses would look towards finding ways in which they can do this. The first way in which a business can improve its profitability is to raise prices, for the products. However this may be a disadvantage because a business may risk losing its customers, as a result of charging more for the product. Also another way in which a business could improve profitability is if they cut the costs, this could also become a disadvantage because, the materials used may be too cheap. Therefore it may be a possibility that they could lose their customers, and lose out of profit.
To improve profitability a business could change the product mix this means that they could introduce new products to their customers. Therefore they can increase their profit for the business. As I am creating and introducing a new product for Wrigley’s it means that I am changing the product mix, as this is one of the ways which could be used to increase profit.
Increasing brand awareness
Most businesses would want to increase their brand awareness and have their business well known, in order to receive a good reputation. As I am introducing a new product for Wrigley’s it means that the customers must know that it is from Wrigley’s. Therefore this means that when it comes to promoting the new product, customers will be brand aware and be familiar with Wrigley’s.
Increase market share
All businesses would aim to increase their market share, and this is one of the marketing objectives. As I am creating a new product for Wrigley’s one of their objectives would be to increase market share. Although Wrigley’s has the entire market share within the chewing gum market as there are no other competitors it means that they gain all the profit in the chewing gum market. However Wrigley’s does not have all the market share within the confectionary market, therefore this would be one of Wrigley’s objectives to increase the amount of market share within the confectionary market.
The Advertising Standards Authority
The ASA is an independent body; it is created to make sure that advertisements were legal, decent, honest, and truthful. The Adverting Standards Authority is responsible for drawing up rules, to make sure that the advertisements were in line with fair competition principles. However the ASA not have the power to be able to force a business to remove an advertisement. They would only encourage and put pressure on the business to alter the advertisements or to remove the advertisements altogether.
Below is a complaint for the advertisement by the Mars UK ltd company, promoting the sweets. This advertisement was brought to attention by the Advertising Standards Authority.