The competitive market is an unstable and ever-evolving medium. Products change, companies rise and fall, and new trends and demands fluctuate from one point to another. In this environment, a business cannot allow itself to remain static unless it wants to be swept away by its competitors. Large companies have, arguably, an easier time facing the winds of business fortune. The big players tend to have resources, brand names, and teams of analysts and planners to prevent and predict every possible fluctuation of the market. Yet many large and successful companies have fallen victim to a trap known as market myopia. What Is Market Myopia? The concept of Market Myopia was first introduced in 1960 by Theodore C. Levitt, a professor of marketing at Harvard Business School. In his article, “Marketing Myopia,” published by Harvard Business Review, he described the mechanism of this faulty approach to marketing. Marketing Myopia is Continue reading
Marketing Management Basics
Understanding the Importance of Branding for Businesses
Branding is part of strategic management, and the primary responsibility of the brand is not merely communicating with customers, luring their attention, but representing the company. Nevertheless, for most firms, marketing and corporate communications are the most powerful, but not the only, branding tools. That is why, in order to achieve the greatest benefit for the company, the communicator must have a global vision of the brand, its essence, role, features. Branding may be perceived as an action aimed at creating a long-standing choice in favor of a product founded on the joint influence on a customer of trademarks, packaging, and advertisement, unified by a particular notion, which distinguishes the product from rivals. It should also be mentioned that the concepts of brand and trademark should not be confused; the former is a broader concept. In addition to the name, images, and certain symbols, the brand also includes the product Continue reading
Keller’s Brand Equity Model or Brand Resonance Model
A brand is defined as a name, term, sign symbol (or a combination of these) that identifies the maker or seller of the product. In order for a brand to succeed in the ever increasing market, brand building activities such as promotion and advertisement must be conducted in order to gain awareness to establish and promote the company. Financially, Brand Equity is described as the total value of a brand which is a separable asset – when it is sold or included in a balance sheet. Kotler (2013) defines Brand Equity as the “differential effect that knowing the brand name has on customer response to the product or its marketing.” Aaker (1991) defines Brand Equity as, “a set of brand assets and liabilities linked to a brand, its name and symbol, that add to or subtract from the value provided by a product or service to a firm and/or that Continue reading
Monitoring of Economic and Social Environments in Marketing
In this day and age, economic and social environments are developing at a rapid pace, also it plays a crucial role in deciding consumption. The economic and social environments belong to the marketing environment. According to Kotler, marketing environment can be defined as consisting of the actors and forces outside marketing that affect markers’ ability to develop and maintain successful relationships with its target customers. The marketing environment offers both opportunities and threats. Some assert that the monitoring of the economic and social environments greatly contributes to anticipating customer requirements. However, others consider that it is not the significant element for anticipating although it sometimes proves successful. This article will attempt to demonstrate that the monitoring of the economic and social environments greatly contributes to anticipating customer requirements, although it also brings some problems, and companies should constantly watch and adapt to the marketing environment in order to seek opportunities Continue reading
Key Characteristics of Online Marketing
With the maturity of Internet technology and low cost of networking, the Internet is like an “adhesive” to bind businesses, groups, organizations and individuals together across time and space, and making the exchange of information between them become “so easy.” Of Marketing, the most important and most essential is information dissemination and exchange between organizations and individuals. If there is no exchange of information, then the transaction has no source. For this reason, the Internet has certain features which are required in marketing to make internet marketing possesses the following characteristics: Not subject to the limitations of time and domain. The ultimate goal of marketing is occupy market share. Because the Internet can exchange information by transcending time and space constraints, firms have more time and more space for marketing. They could provide global marketing anytime and anywhere. Rich media. The Internet was designed to transmit multimedia information, such as Continue reading
3Ps of Marketing Communication
An organisations marketing communication strategy are represented by 3Ps: Push, Pull and Profile. Push strategy: This strategy promotes products to retailers or wholesalers in order to force the product line down the distribution line. Pull strategy: This strategy is the opposite to push strategy where communication reaches to consumer or end user first with an aim to attract the retailer wholesaler channel to purchase the product line. Profile Strategy: In order to satisfy an organisations promotional goals profile strategy is used. This strategy mostly aims towards satisfying stakeholder needs. 1. Push Strategy Main focus of push strategy is to use minimal or no advertising to get the product to the buyers. This strategy acquires customers by personal sale. One of the places can be trade-shows where products are shown to interested business. In trade shows distributors get to know about product line up of a company with their business expertise Continue reading