A good marketing strategy is one of the keys to success in your business. With a competitive marketing strategy, you have the opportunity to win the market competition. The American Marketing Association defines a marketing strategy as a plan of action of a company or organization designed to sell, offer, or advertise products and services.
A detailed and comprehensive marketing strategy will be discussed, starting from the concept and definition of “market” and “marketing.” Meanwhile, the core substance of the marketing strategy includes essential aspects of marketing: strategic plan, marketing mix, and market. The following discussion is on factors that affect marketing, marketing strategies according to business position with market analysis, and finally, what will present conclusions and tips for success in marketing strategies.
Before we understand marketing strategy in detail and comprehensively, we must first understand the market and marketing.
Definition and Understanding of the Market
The market is conventionally defined as a place for buying and selling between sellers and buyers. This definition refers to the notion of a market based on Location. The following is the definition of the market according to experts:
A market is a place provided to plan, determine, offer, and distribute goods or services needed by potential consumers.
As for the understanding of the market, according to Dr. Winardi, it is a place where prices are ideally formed for both sellers and buyers.
William J. Stanton
Understanding the market is a group of people who have money and want satisfaction by using their money to shop to satisfy their desires.
“Market refers to the place or Location used to distribute goods from producers to consumers. This understanding relates to a place for transacting goods or services between producers (sellers) and consumers (buyers).
A location or place where sellers and buyers gather to exchange goods or services with a medium of exchange.
From the definition and understanding above, we can conclude that the market can be understood as a place, process, individual, or group. The sense of this conclusion is the same as the market definition formulated by Handri Ma’ruf. According to him, the market includes:
- The market is defined as a place, that is, a place where sellers or producers meet with consumers or buyers.
- The market is a process of interaction between supply and demand. In this case, the market is a process of buying and selling transactions between sellers and buyers.
- A market is defined as a group of individuals with needs and purchasing power.
For marketing analysis, the market is classified into several types or types.
- A potential market is defined as a group of people who have a desire for goods or services.
- Available market: a segment of the potential market with the resources (income-money) to be used as a medium of exchange for the goods or services they require and legal access to buy and sell transactions.
- A target market (or “market target”) is the part of the available market targeted by the company to be served or provided for its needs. This is because the target market meets three requirements: the need for and interest in goods or services, resources (income or money), and legal access to transactions.
In addition, the market is also distinguished by Location, place, time, and competition. Here’s the chart:
We need to understand that, factually, the market is not only physical but also virtual. Maybe in the past, we only heard the terms “traditional market,” “modern market,” and “supermarket. However, virtual market share is becoming increasingly popular, as evidenced by e-commerce and marketplaces.
Marketing is a social and managerial process that allows individuals or groups to get what they need through information communication networks to create and exchange reciprocity.
In simple terms, marketing is the activity of companies, or producers-sellers, to promote or offer goods or services they have to the market.
Marketing includes many things, not only in the process of offering but also in distributing goods to consumers, which is part of marketing practice.
Marketing is not the same as selling, despite the two terms being frequently used interchangeably. Sales are one of the essential activities and functions of marketing executives.
Marketing is an essential part of the business through the offering process because it enables products from companies or sellers to be distributed to consumers.
The following is the definition of marketing according to experts:
Marketing is a buying and selling business that includes commercial activities concerning the flow of goods and services between producers and consumers.
“Marketing is a social process by which individuals and groups obtain what they need and want by creating and maintaining products and value with other individuals and groups.
He does not define the market definitively. According to him, marketing is the function that has the most significant interaction with the company’s external environment. The company is very limited in controlling the external environment. This shows that marketing is a different challenge that companies must face. Therefore, marketing plays a significant role in supporting business success.
William J. Stanton
A system of business activities designed or designed to plan to determine prices, promote, and distribute goods or services that can meet consumer needs, both current (retaining existing customers) and potential (attracting potential consumers).
The American Marketing Association (AMA) defines marketing as:
Thus, we can conclude that marketing is a series of interrelated activities to determine the needs of potential markets or consumers and develop promotions and distributions to satisfy consumer needs while meeting specific profit targets.
Marketing does not run alone. Marketing is related to company goals, including operations, finance, and marketing. The purpose of marketing is to increase the value of sales. Marketing also attracts new customers from potential markets while retaining existing ones.
The Function of Marketing
Marketing, as an essential part of business, has many functions. Among them:
- Consumer analysis: The first function is consumer analysis. Where this function is to map and conclude consumer needs according to the segment; with this function, marketing will recommend products or services that are feasible and potentially needed by consumers. Thus, the chances of a sale will be high.
- Sales, or the sales function, is one of the essential functions of marketing. We can even say that the primary purpose of marketing is sales.
- Product and service planning: various activities in this function can be identified as product and brand positioning, marketing testing, warranty, product features, customer service, analysis of existing products, etc.
- Pricing: the pricing function is influenced by five stakeholders, namely: consumers, suppliers, distributors, competitors, and government regulations.
- Distribution is the distribution of goods from producers to consumers. Of course, this distribution can go through several parties before it reaches the consumer.
- Marketing research is the collection of data and analysis of various matters related to marketing. For example, the character of consumers, consumer tendencies, market response to a product, and so on. The results of marketing research analysis are used to prepare marketing strategies, branding, or product promotions to the market.
- Opportunity analysis is performed on marketing decisions based on costs, opportunities, and risks. This analysis is generally carried out as a cost-benefit analysis by calculating the total costs, estimating the comprehensive benefits (profits), and comparing the total prices with the benefits received. Suppose the benefits are more significant than the total costs incurred. In that case, it means that the market opportunity is quite promising and is feasible to run.
Overall, you can read business feasibility studies to create your Business Plan and strengthen your business position for business. analysis.
Now it’s time to enter the critical part of marketing.
A Marketing Strategy: What is a Marketing Strategy?
After understanding what marketing is, it’s time to discuss marketing strategy. Among the marketing strategies that are widely applied are the 4P marketing strategies. We will address this in the following article.
A marketing strategy is a series of systems that You will use to promote products, goods, and services, aiming to get a higher profit value than before.
A good marketing strategy helps companies identify their best customers. It also helps them understand consumer needs. A good design makes it possible to implement the most effective marketing methods.
A clear marketing strategy should revolve around the company’s value proposition, which communicates to consumers what it stands for, how it operates, and why it’s viable for their business.
Is your marketing strategy sustainable or sustainable? Stewart Dunlop, the founder of LinkBuilder.io, says that marketing strategy is a long-term, forward-looking planning approach. Their fundamental goal is to achieve a competitive advantage.
Create a marketing strategy.
Because market competition is so intense, many factors play a role in business competition. However, marketing strategy is still quite dominant in determining market competition. Speaking of marketing strategy, we assume that the goods or services to be offered are already available. This means focusing on how to develop a marketing strategy, no longer talking about goods and services, both quality and brand.
Create and specify a marketing strategy.
The steps in developing or creating a marketing strategy are very diverse. The following are the steps in making a marketing strategy.
Released from nibusiness.co.uk, four things are critical elements in creating a marketing strategy. Market segmentation, targeting and positioning, promotion tactics, monitoring, assessment, and evaluation.
Here are the 4 critical elements of a marketing strategy.
The company’s current and potential customers fall into specific segments or groups. It would help if you classified them according to their needs.
You can identify these groups and their needs through market reports and research. Once you know what it is, you need to meet that need more effectively than your competitors. It would be best if you also met consumer expectations.
Targeting and positioning
It would be best to target the market segment representing the most significant profit for your business. What your product or service offers must meet the needs and expectations of your chosen target market.
Once you have designed your marketing strategy, you need to decide how to make sure your target segment knows about your product or service. It would help if you also told them why and how your product could meet their needs.
Through advertising, public relations campaigns, exhibitions, and Internet marketing, you can do this. Internet marketing means the same as digital marketing, namely online marketing.
Monitoring, assessment, and evaluation
You must monitor and evaluate or assess your strategy. That’s important. Unfortunately, many people in business skip this part.
Monitoring and evaluation help companies see how well their strategies are performing. It also helps them devise future marketing strategies.
In other words, it has both short-term and long-term benefits.
John Romero once said:
I see only one strategy that should not be missed in marketing – market to your best customers first.
What online product marketing strategies can you apply to your business?
Of course, everything is digital and automatic in the current era of digital society 5.0. Of course, this has also penetrated the business sector and its various supports. Online marketing, for example, is a form of transformation from conventional marketing.
An online marketing strategy is a series of efforts (communication) online to introduce, promote, offer, or advertise products or services to satisfy the needs of individuals or groups (potentially available market) through the Internet. The basic concept is how to get new customers or consumers by retaining old ones.
Here are some facts about online marketing.
Based on the data collected by WebDAM, it’s been a long time, but we can assume that it’s much more developed now…
In 2014, marketers spent about 135 billion dollars on new online marketing costs.
78% of CMOs think that online marketing is the future of marketing.
Internet advertising will account for almost 25% of the entire advertising market by 2015.
Meanwhile, the survey results by iContact and ContentPLUS show the fact that
- The average return on online marketing investment is $44.25 for every dollar spent; that’s a 4000% increase.
- Consumers who use online marketing spend 83% more money when shopping and placing orders, and 44% spend more money overall. more significant and 28% more common;
- Personalization boosts click-through rates by 14% and conversion rates by 10%.
- Blogs are 63% more likely to influence purchasing decisions than magazines.
You can use the philosophy of SISTEM in an online marketing strategy.
- S – Search and Research. Carry out the process of searching and researching your market niche and competitors. This can be done with tools or manually. You can do online surveys—map market opportunities to the level of competition.
- I – Initiate Strategy. At this stage, you determine the strategy used to reach potential and available markets.
- 3. S – Start content engine. You must prepare and use different content to attract people to your business.
- 4. T – Traffic .Bringing visitors to your site or your other online business media, for example, social media,
- 5. E – Embrace relationship. Build relationships with customers through various means and strategies, such as providing live chat, various exciting offers, or simply presenting useful interactive information for your customers.
- M – Money . Brings income and profit. Of course, this is after the steps above that you have taken.
Here are some tips and recommendations for online marketing strategies that you can try.
Technological developments and advances in marketing methods have given birth to many new marketing strategies, both offline and online. Of course, on the one hand, this causes us to ask questions: which strategy is the best and most effective?
The answer is relative. Many other indicators support the effectiveness of marketing strategies. For example, the target market (which we have presented above), competitors, products, the external environment, and our resources.
In order not to be confused, you can read the following description later. Please match it with your business model, product, and target. Which is the most suitable? You will determine this based on this reference.
What are the advantages of this online marketing strategy?
- Increase brand awareness of your product: Billions of internet users in this world. This is an excellent opportunity for sellers to introduce their brands to potential markets. Advertising can now be tailored to your preferences, such as target market specifications such as gender, age, interests, geolocation, etc.
- Increasing leads and conversions: targeted advertising on the Internet is more effective than radio listeners, television viewers, or magazine readers. With this method, the opportunity to determine a specific target market is more accessible. It will have a high chance of buying.
- Higher revenue: When you reach your audience with online marketing, you will be able to increase your overall income. For example, you can do this with digital marketing if you sell health products. Better yet, a health product marketing strategy with an SEO and content strategy. Providing helpful health information and then slipping your product (soft selling) will allow you to attract quality leads, which results in higher ROI and more significant revenue for your business.
The Best Online Marketing Strategy-Tips and Recommendations
SEO (Search Engine Optimization)
This strategy is most important for positioning your website or online store to compete in search engines such as Google, Bing, Yandex, and others. With a good position on search engines, the chances of bringing in traffic or visitors to your website or online store are even more significant.
There are many ways to optimize for SEO that you can do. Suppose you are not an SEO expert. In that case, you can use professional services for the SEO optimization of your online store.
PPC (Pay-Per-Click Advertising)
is an ad whose cost is calculated based on the number of clicks on your ad. This means that you only pay when a click is linked to your product.
PPC is a budget-friendly strategy, as it allows you to decide precisely how much you want to spend per month and how much you’ll pay each time your ad is clicked instead of just viewed.
PPC works on the bidding system in search engines. You first decide which keywords you want to target with your PPC ads, and then you bid on how much you will pay each time.
Suppose you bid higher than other advertisers who want to advertise for specific keywords. In that case, your ad will appear above the regular search results. Then, if a user clicks on your ad and visits your website, you will pay a predetermined bid amount.
Content creation is an integral part of any digital marketing strategy because it gives users a reason to visit your site or online store. It gives search engines something to crawl and index.
No matter what type of content you create, it should always be helpful and interesting to your target audience. When your readers find your valuable information, they are more likely to share it. And, of course, this will put your site in a good position in search engines and increase the chances of visitors to your website.
Posting informational content can increase your authority in two ways: one, by changing how readers see you, and two, by creating information that other site owners want to link to.
Your content can take many forms, including written content, articles, infographics, and videos.
Marketing on Social Media
Social media platforms have billions of users worldwide, presenting excellent opportunities for any business. The best social media platforms to market your business are Facebook, Twitter, LinkedIn, and YouTube. You can even use social media itself to build your business.
How to create the most appropriate strategy?
The measure of the effectiveness of this strategy is relative. It can be based on theoretical analysis, the results of academic studies, guides and tutorials, and experiences shared by internet marketers.
Suppose you want to create the most effective online marketing strategy for your business. It is essential to consider how You can combine various strategies to form the one strategy you think is most effective.
Here’s an example:
A combination of SEO and PPC
Combining SEO and PPC as strategies very well, using both will help you maximize your visibility in search and search engine results. SEO is a long-term strategy that helps a website rank in search engine results. PPC advertising is an effective way to get instant traffic or visitors, especially for competitive keywords.
A Combination of SEO and content marketing
You can combine SEO strategy with content marketing. The combination of the two is perfect as an online marketing strategy.
Search engine optimization will make your website pages rank highly in search results on search engines. Content marketing, or “marketing,” produces content that answers your audience’s questions and can rank well.
Visitors come to your website through SEO strategies, and they get quality information or products from your marketing content. So this is the best combination you can try.
A Combination of Social media and any strategy
You can effectively combine social media marketing with any online marketing strategy. Because you can use your social media accounts to drive visitors to your website (bringing traffic). Traffic is the most significant opportunity for selling your product.
On the other hand, you can also mention your social media profiles on your other marketing platforms. For example, you can guide people to your social media profiles with content, email newsletters, and even other social profiles.
Okay, so this is a description of a marketing strategy to build and enlarge your business. You can do marketing strategy by systematically understanding the market, marketing, and marketing strategy.
Based on the magnitude of online marketing opportunities, we share tips and recommendations for online marketing strategies, namely, SEO, Content Marketing, PPC, and Social Media Marketing. To increase its effectiveness, you can combine some of these online marketing strategies, for example, SEO with content marketing, SEO with PPC, and social media with any strategy. Thank you.