The difference in cost for various marketing strategies
If you are in the midst of creating a marketing plan you are probably already aware of the fact that the different marketing strategies are going to have a difference in cost. The reason for this is that the different marketing strategies are going to require different marketing techniques, what you use and how you do it will depend on what you are trying to accomplish. The various marketing techniques that you can use can be absolutely free or they can get very expensive, a lot depends on what you are trying to do. But another factor that goes into determining cost is how much you know about the various marketing techniques.
Here is a look at the different type of marketing strategies and what they entail so you can get a better idea as to what it might cost you to use one of these strategies.
This type of marketing strategy is designed to grow overall sales in two different ways.
- Grow sales with existing products - this approach is when the marketer is trying to greatly increase the sales of products that the company currently has. This type of marketing can be accomplished in three different ways; a company can use a single approach or multiple approaches. The first approach would be to get existing customers to be more of the products, the second approach would be to attract new customers to buy the products, and the third approach would be to sell the current products in new markets.
- Grow sales with new products - this approach is when the marketer is trying to increase overall sales for the company by introducing new products. Like the current product method the new product method can be accomplished in one of three ways or by a combination of the three ways. The first approach would be to introduce updated versions or make improvements on the current products. The second way would be to introduce products that are extensions of the existing products. And the third approach would be to introduce a new product that has never been marketed.
Market growth share:
Market growth share is a strategy that is used by marketers to increase a company's overall share of the market. Basically the only way to increase your share of the marketplace is to take away sales from your competitors, which might not be that easy to do. You are going to have to come up with a way to convince their customers that you are better than the other company and to do this you are most likely going to have to use aggressive marketing tactics.
In marketing the niche market is a specialized group of the overall market that your company is targeting their products too. A niche marketing strategy is aimed at the smaller group rather than at the overall market and it tries to have the product viewed as being different from companies who are targeting the larger market. Niche marketing is used in a small business setting or with a company that sells a specialized product.
This kind of marketing strategy is designed to maintain the company's current place in the market. It is not designed to take more of the market share or increase sales. All this strategy is doing is keeping the company at the same level year after year. Not very many companies will use this type of strategy because most people want to increase their sales and market share so that they can increase the bottom line.
This type of strategy is designed to eliminate a product from the company's current market line because they are going to introduce a new product or want to switch what type of business they are. There are two ways to go about eliminating a product from your company. The first way would be to sell the product to another company and the second way would be to just remove the product from your shelves by clearance the item out and not replacing it. Many retail stores practice this kind of strategy because they are always introducing new products and getting rid of products that are not selling very well, this is how they cater to the overall market.