Business – 8.2 Marketing strategy – Approaches to marketing strategy | e-Consult
8.2 Marketing strategy – Approaches to marketing strategy (1 questions)
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The development of a marketing strategy to increase market share typically follows these steps:
- Situation Analysis
- Conduct internal audit (resources, capabilities, current performance).
- Perform external analysis (PESTEL, Porter’s Five Forces, competitor review).
- Identify gaps and opportunities related to market share.
- Set Clear Marketing Objective
- Define a measurable target (e.g., “increase market share by 5 % within 18 months”).
- Ensure the objective is SMART.
- Segmentation, Targeting & Positioning (STP)
- Segment the market using relevant variables (demographic, psychographic, behavioural).
- Select the most attractive segment(s) that offer the greatest potential for share growth.
- Develop a positioning statement that differentiates the brand in the chosen segment(s).
- Design the Marketing Mix (4 Ps)
- Product: Adjust features, quality, or range to meet target needs.
- Price: Choose a pricing strategy (penetration, competitive) that supports share gain.
- Place: Optimise distribution channels to increase availability.
- Promotion: Plan communication tactics (advertising, sales promotion, digital) aimed at persuading the target segment.
- Implementation & Resource Allocation
- Develop an action plan with timelines, responsibilities and budgets.
- Allocate resources (human, financial, technological) accordingly.
- Control & Evaluation
- Set key performance indicators (KPIs) such as market‑share percentage, sales volume, and brand awareness.
- Monitor progress regularly and adjust tactics as required.