Developing a Winning Competitive Strategy: Analyzing Target Market - Essay Sample

Introduction

The primary responsibility of developing a competitive strategy is to draw customers to the products and services of an organization. Marketing of products and services has an explicit and implicit influence on the buying behavior of the customers (Peighambari, Sattari, Kordestani & Oghazi, 2016). Before formulating a marketing strategy, the first element to take into consideration is analyzing the target market, including the extent of competitiveness. Elements to consider when developing the marketing strategy include feedback from customers that influence the development of new products and services (Manyiwa, 2001). Most successful companies in developed and developing economies have robust marketing strategies, targeting specific customer segments. The essay discusses how companies produce better products and services, how they acquire meaning to the customers, and how marketers create needs.

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Companies can produce new and better products into the market aiming to improve organizational success. Because of the competition in various sectors, companies must develop new and valuable products to gain favor among the clients (Chaubey & Pant, 2017). The first element to consider when developing better services is customer feedback and market trends. The marketing team of an organization should evaluate customer trends and anticipate future trends and develop superior products compared to the competitors. The primary purpose is to offer value more than customer expectations. For example, Netflix Company has been successful because of its innovative techniques, such as cutting out the use of middlemen to supply its products and services (Moore, 2019). In the process, customers access their products directly through online platforms; thus, reducing the cost of operations. As a marketing strategy, the organization advertises its products in various online platforms with prompt messages that welcome customers to create a portal with the company and buy its contents. In this regard, the company has maintained its competitive advantage in the entertainment industry.

The second consideration when developing better products and services is assessing the extent of competition in the sector. Another objective of developing products is to give customers reasons to buy the items and draw them from the competitors (Hawkins, Mothersbaugh & Kleiser, 2020). Competition is healthy in any industry since it allows organizations to modify their products to give customers better value. Through successful product development, customers differentiate products and services. For example, Safaricom Company has succeeded in the mobile money transfer (Safaricom Plc, 2020). Because of the money transfer services, it has attracted many subscribers. Furthermore, the company has retained its market position because it developed new products; such as mobile loans and these are unique products its competitors have not copied.

Additionally, products acquire meaning to consumers by influencing their perceptions and attitude regarding the use of products and services. The type of marketing strategy a company uses defines the connection with the target audience. Advertising messages should be persuasive and assure customers that they will get value for their money (Hawkins et al., 2020). In this era of technology, many customers depend on online platforms to search for information about products and services. Therefore, the advertising message creates meaning to consumers by changing their perceptions and possible misleading conceptions. Although most advertisements contain brief information, it is crucial to direct customers where they can get sufficient and detailed information, such as the company website.

Also, products acquire meaning to consumers based on the accuracy and relevance of information disseminated. Successful products should include features and designs that meet the needs and expectations of the customers (Hawkins et al., 2020). For complex products and services, there should be a manual, guiding users on how to operate them. Companies, such as Wal-Mart offer after-sale services to inform customers on how to utilize products and services effectively. Some customers consider buying products they know how to use and operate. Therefore, accurate and after-sale services create product meaning since they know how to use and operate the products.

The negative consequence of marketing products to encourage purchases although consumers do not need them is that some clients may think that the company does not understand their needs. One successful element to consider in marketing is the fact that advertising messages should make customers feel that the company understands their wants (Chaubey & Pant, 2017). Therefore, attempts to encourage purchases of products customers do not need would make then shun the company’s items since they would develop a feeling that the organization is not interested in their needs but the selfish interest in generating profits. Consequently, companies should understand the needs of customers before making attempts to encourage purchases since there is a potential opportunity. For example, Netflix carefully selects marketing platforms for different products. For example, there are different sites to promote children and adult content.

Marketers create needs because of the ways they present their ideas and messages. A need in marketing is the state of feeling that one lacks a basic need. Marketers understand drafting an effective marketing message would influence the attitude and behavior of the target consumers (Chaubey & Pant, 2017). For example, Netflix advertises its new content in a unique way that makes customers feel that they are missing a basic need (Moore, 2019). In the process, they decide to buy the contents to satisfy their feelings.

The analysis is essential since it helps to understand promotional techniques to apply to improve organizational performance. Marketers need to understand consumer behavior, as well as their needs and expectations before formulating a marketing technique. One of the mistakes marketing managers make is standardizing their marketing techniques in the international market (Peighambari et al., 2016). The analysis has provided appropriate information for marketers to understand the significance of investing adequate resources for developing a marketing strategy since it influences the buying behavior of consumers. Because of the ever-changing needs of the consumers, the invention of new products and services is critical since it helps to maintain customers, as well as a competitive advantage.

Based on these findings, companies must embark on developing new and better products to meet the changing needs of the market. The best way to modify products is to identify market trends and expectations of the consumers and develop superior products that offer value more than customer expectations (Peighambari et al., 2016). Importantly, marketers should update marketing information regularly to keep customers updated to give customers reasons to continue buying items from the same brand. The ultimate goal is to develop brand loyalty among customers.

Conclusion

Marketing is an essential function in every organization. It influences the success or failure of any company. Marketers must understand customer requirements and recommend product modifications that would improve encourage purchases among consumers. Also, marketers should assess competition in the industry, as well as unmet customer, needs to develop better and valuable products. Therefore, marketers should critically evaluate the target audience and the prevailing market conditions before developing a competitive marketing strategy.

References

Chaubey, D., & Pant, M. (2017). Analyzing marketing strategies and its impact on consumer’s purchase intentions and purchase behavior of green products. International Journal of Applied Business and Economic Research, 15(22), 1-13.

Hawkins, D., Mothersbaugh, D., & Kleiser, S. (2020). Consumer behavior: Building marketing strategy 14ed. McGraw- Hill.

Manyiwa, S. (2001). Determining linkages between consumer choices in a social context and the consumer’s values: A means–end approach. Journal of Consumer Behavior, 2(1), 54–70.

Moore, A. (2019). Netflix’s generic strategy, business model & intensive growth strategies. https://www.rancord.org/netflix-business-model-generic-strategy-intensive-growth-strategies-competitive-advantage

Peighambari, K., Sattari, S., Kordestani, A., & Oghazi, P. (2016). Consumer Behavior Research: A Synthesis of the Recent Literature. Sage Open, 2016, 1-9.

Safaricom Plc. (2020). About us. https://www.safaricom.co.ke/about