How companies identify attractive market segments and choose a target marketing strategy

Philip kotler, the eminent writer, has discussed the military-type marketing strategies for competitors. He adopted many terms from military science to suggest suitable strategic actions against the enemy. His work is based on many research projects and studies carried out in the United States of America.

How companies identify attractive market segments and choose a target marketing strategy

Assignment Term Paper Executive summary Giant soft drink company Coca Cola has come under intense scrutiny by investors due to its inability to effectively carry out its marketing program.

When establishing a re-birthed marketing plan every aspect of the marketing plan must be critically examined and thoroughly researched. This consists of examining market research, auditing business and current situation situation analysis and carefully scrutinising the soft drink industry and possibilities for Coca Cola in the market.

Once Coca Cola have carefully analysed the internal and external business environment and critically examined the industry in general the most suitable marketing strategies will be selected and these strategies will be administered by effectively and continually monitoring external threats and opportunities and revising internal efficiency procedures.

The market analysis investigates both the internal and external business environment. The main attributes in the internal environment include efficiency in the production process, through management skills and effective communication channels.

External Business Environment The External business environment and its influences are usually powerful forces that can affect a whole industry and, in fact, a whole economy.

Changes in the external environment will create opportunities or threats in the market place Coca cola must be aware off. SWOT analysis is a technique much used in many general management as well as marketing scenarios.

SWOT consists of examining the current activities of the organisation- its Strengths and Weakness- and then using this and external research data to set out the Opportunities and Threats that exist. Coca-Cola has been a complex part of world culture for a very long time.

The Coca-Cola image is displayed on T-shirts, hats, and collectible memorabilia. It allows them to conduct business on a global scale while at the same time maintain a local approach.

The bottling companies are locally owned and operated by independent business people who are authorized to sell products of the Coca-Cola Company. Because Coke does not have outright ownership of its bottling network, its main source of revenue is the sale of concentrate to its bottlers.

Coca-Cola on the other side has effects on the teeth which is an issue for health care. It also has got sugar by which continuous drinking of Coca-Cola may cause health problems. Being addicted to Coca-Cola also is a health problem, because drinking of Coca-Cola daily has an effect on your body after few years.

The primary concern over the past few years has been to get this name brand to be even better known. Packaging changes have also affected sales and industry positioning, but in general, the public has tended not to be affected by new products.

This strategy gives Coke the opportunity to service a large geographic, diverse area. Currently, the threat of new viable competitors in the carbonated soft drink industry is not very substantial.

The threat of substitutes, however, is a very real threat. The soft drink industry is very strong, but consumers are not necessarily married to it. Possible substitutes that continuously put pressure on both Pepsi and Coke include tea, coffee, juices, milk, and hot chocolate.

Of course, both Coke and Pepsi have already diversified into these markets, allowing them to have further significant market shares and offset any losses incurred due to fluctuations in the market. Consumer buying power also represents a key threat in the industry. The rivalry between Pepsi and Coke has produce a very slow moving industry in which management must continuously respond to the changing attitudes and demands of their consumers or face losing market share to the competition.

Furthermore, consumers can easily switch to other beverages with little cost or consequence.

How companies identify attractive market segments and choose a target marketing strategy

When referring to each and every product or service ever placed before the consumer i. So every product is born, grows, matures and dies.

Accounting Service Business Plan - Mission statement, Executive summary, Market analysis summary

So in the commercial market place products and services are created, launched and withdrawn in a process known as Product Life Cycle.

To be able to market its product properly, a business must be aware of the product life cycle of its product. The standard product life cycle tends to have five phases: Development, Introduction, Growth, Maturity and Decline.

Coca-Cola is currently in the maturity stage, which is evidenced primarily by the fact that they have a large, loyal group of stable customers. Furthermore, cost management, product differentiation and marketing have become more important as growth slows and market share becomes the key determinant of profitability.

Insert the picture of the product lifecycle Marketing Objectives The objective is the starting point of the marketing plan. The purposes of objectives include: Specific, Measurable, Achievable, Realistic, and Timed.

Specific — Be precise about what you are going to achieve Measurable — Quantify you objectives Achievable — Are you attempting too much?

MISSION STATEMENT

Realistic — Do you have the resource to make the objective happen men, money, machines, materials, minutes? Timed — State when you will achieve the objective within a month?Postcode geographies have been designed by the Royal Mail a UK-wide system to identify postal delivery timberdesignmag.com are approximately million postcode units in England, Scotland and Wales with each acting as a unique reference to identify an average of 15 addresses.

Explain how companies identify attractive market segments and choose a target marketing strategy. To target the best market segments, the company first evaluates each segment's size and growth characteristics, structural attractiveness, and compatibility with company objectives and resources.

The Marketing Strategy of Ford Motor - Free download as Word Doc .doc), PDF File .pdf), Text File .txt) or read online for free. Explain how companies identify attractive market segments and choose a target marketing strategy.

To target the best market segments, the company first evaluates each segment's size and growth characteristics, structural attractiveness, and compatibility with company objectives and resources.

Business Strategy

MKTG Chapter 6. STUDY. PLAY. Learning Objectives - Define the major steps in designing a customer-driven marketing strategy: market segmentation, targeting, differentiation, and positioning. - Explain how companies identify attractive market segments and choose a market-targeting strategy.

All types of business need advertising and marketing assistance to help generate awareness, interest, and ultimately, profit.

Obviously the Internet has changed the landscape of advertising by adding another media form, the presence of which appears to be everywhere.

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