Summary: Marketing is a complex and multi-layered field. What works for one company may not work for another, and what works today might not work tomorrow. That said, there are some key types of marketing strategy that all businesses should consider in order to be successful.
In this blog post, we’ll outline the 5 basic types of marketing strategy that every business should be aware of. We’ll also provide examples of each type of strategy so you can get a better understanding of how they work.
Defining Marketing Strategy
There are a million ways to define marketing strategy. One way to think of it is as the specific actions that a company takes in order to achieve its marketing goals.
A marketing strategy needs to be well-thought-out, and it should include specific goals, target markets, and a plan for how you will reach those markets. It should also include a budget and a timeline.
Your marketing strategy should be tailored to your unique business and your unique target markets. There is no one-size-fits-all marketing strategy.
There are different types of marketing strategy. How do you know which one is right for your company? The answer to this question can be quite daunting, but it’s important to start somewhere. Defining your marketing strategy is the first step in making your business successful.
Some things you’ll need to consider when crafting your marketing strategy are your target audience, what you want to achieve, and how you plan on accomplishing your goals.
Once you have a good understanding of these things, you can start developing marketing campaigns that will help you reach your target audience and achieve your desired results.
The 5 Types of Marketing Strategy
There are five types of marketing strategy which are product, price, place, promotion and process. In order to have a successful marketing plan, a business must understand and implement at least one of these five strategies.
- 1. Product-based: Focuses on the product and how it can be sold to customers.
- 2. Price-based: Uses discounts and other pricing strategies to get customers to buy products.
- 3. Place-based: Concentrates on getting the product to the customer in the right place, at the right time.
- 4. Promotion-based: Uses advertising, personal selling, and public relations to get customers interested in the product.
- 5. Process-based: Looks at the entire process of creating and delivering the product, from research and development to delivery and customer service.
Product based marketing strategy
Product-based marketing is a strategy where a company focuses its marketing efforts on promoting and selling a particular product or line of products.
This type of marketing can be very successful, as it allows businesses to target a specific audience and create a campaign that is specifically tailored to that group.
There are several advantages to using a product based marketing strategy
First, it allows businesses to focus on one product instead of trying to promote several products at once. This makes it easier to create a strong marketing campaign that will capture the attention of potential customers.
Second, it allows businesses to drill down and learn more about their customers’ wants and needs. By doing this, businesses can create products that better meet the needs of their customers.
Finally, it helps businesses to stand out from the competition. By focusing on one unique product, businesses can set themselves apart from their competitors and increase their chances of success.
In product-based marketing, the name of a product or service is used as the basis for marketing communication. It is one of the oldest and most fundamental forms of marketing, and involves creating an association between a product and its benefits to the consumer.
In product-based marketing, the product becomes the hero. The goal is to create an emotional connection between the consumer and the product by emphasizing its features and benefits. The message is simple: if you buy this product, you will be happy, healthy, wealthy, or popular.
Price based marketing strategy
Price-based marketing is a promotional strategy that focuses on reducing the price of a product or service in order to increase its sales volume. The goal is to sell more products or services by sacrificing profit margins.
Here a company sets different prices for its products and services in order to appeal to different markets. This type of marketing can be very effective, as it allows a company to target specific consumers who are willing to pay more for a product or service.
There are a few different ways to execute a price-based marketing strategy. One way is to offer different versions of a product or service at different prices. Another way is to create separate brands that cater to different price points. A company can also use price as a way to differentiate its products from those of its competitors.
There are two main types of price based marketing
- 1) Price discounts: This is when a seller offers a product or service at a lower price than the regular price.
- 2) Price wars: This is when two or more sellers offer products or services at a lower price in order to undercut their competitors.
Place based marketing strategy
There are many different types of marketing strategy that businesses can use, but one that is becoming increasingly popular is place-based marketing. This type of marketing focuses on using a specific location to drive marketing efforts and connect with customers.
There are a few different ways to go about place-based marketing. The first is geotargeting, which is when you use GPS to identify a customer’s location and then send them targeted ads. This can be done through social media, email, or text message marketing. Geotargeting is most often used by local businesses who want to reach people in their area.
Another way to use place-based marketing is by creating a store locator on your website. This allows customers to find the nearest store and see what products and services are offered at each location. You can also use this tool to see what hours each store is open and how to contact them.
A third way to use place-based marketing is by creating a loyalty program. This allows customers to earn rewards for shopping at your store or using your services. You can also offer discounts to customers who visit your store frequently or spend a certain amount of money.
Promotion based marketing strategy
There are a number of ways to promote your business. The most common way is through advertising. Advertising can be done through different mediums such as television, radio, newspaper, and the internet. However, there are other ways to promote your business that are becoming increasingly popular. These methods are known as guerrilla marketing or word-of-mouth marketing.
Guerrilla marketing is a form of advertising that uses unconventional methods to promote a product or service. These methods can include street stunts, flash mobs, and viral marketing. Guerrilla marketing is often less expensive than traditional advertising methods, and can be more effective because it catches consumers’ attention.
Some companies use guerrilla marketing to create a buzz around their product or service. For example, a company might send a flash mob to a popular location to promote a new product. This type of advertising can be very effective in generating publicity for a product or service.
Process based marketing strategy
Process-based marketing is all about breaking down the steps you take to deliver a service or product to your customer. It’s a way of thinking about marketing that can help you create more effective campaigns and measure their success.
When you have a process-based marketing strategy, you can identify the steps you need to take to reach your goals. You can also measure how well each step is working and make changes if necessary. This approach is particularly useful for businesses that offer services, as it can help you track the progress of each individual sale.
Process based marketing creates a system where customers are able to interact with your business on a more personal level. It allows customers to understand how your business works and the steps involved in order to provide them with a service or product.
When using process based marketing, it is important to be transparent and communicate effectively with your customers. This will help to build trust and a long-term relationship with them. Additionally, it is important to keep your processes up-to-date and accurate. This will ensure that your customers are getting the best possible experience.
Let’s look at some examples
Example of product based marketing
The bicycle company Schwinn is a great example of a business that uses a product-based marketing strategy. Schwinn doesn’t just make bicycles- it makes a lifestyle. From its very beginning, Schwinn has been about getting people active and outside. Over the years, the company has evolved to appeal to different age groups and types of riders, but the fundamental idea has always been the same: get on a Schwinn and have fun.
Because Schwinn’s marketing strategy is based on its products, the company has been able to create a very clear brand identity. Its advertisements are always cheerful and show people enjoying Schwinn products. This is a clever way to remind people that Schwinn is not just a bicycle company, but a lifestyle brand as well.
Example of price based marketing
A company that has found success with price-based marketing is Amazon. Amazon is able to offer low prices on products because they sell directly to the consumer. This eliminates the need for a middleman, which allows Amazon to keep prices low. In addition, Amazon offers free shipping on orders over a certain value, and Prime members receive free one-day shipping on all orders.
Another common example of price-based marketing is airlines. Airlines often charge more for a ticket if it’s bought closer to the date of travel. They also charge more for a ticket that’s bought on a high-traffic day, like a weekend or holiday.
Example of place based marketing
One great example of place-based marketing is the work that Red Bull does. They are very active in sponsoring extreme sports events and athletes, as well as creating their own events. This helps them to associate their product with a sense of excitement and adrenaline. They also have a strong social media presence, with a heavy focus on visual content. This allows them to share photos and videos of their sponsored events and athletes, which helps to create a sense of excitement and community around their brand.
Another great example of this type of marketing strategy is the “I ♥ NY” campaign. The slogan was created in 1977 by advertising agency Wells Rich Greene to promote tourism in New York City. The campaign has been revised a few times over the years, but the message is still the same: New York is a great place to visit.
The campaign has been very successful. It has generated billions of dollars in revenue for the city and helped to make New York one of the most popular tourist destinations in the world. Now you could see many cities across the world using similar slogans and strategy.
Example of promotion based marketing
One company that has been particularly successful with its marketing strategy is Coca Cola. For over a century, the company has been using promotional campaigns to engage customers and increase sales. In fact, Coca Cola is recognized as one of the most successful companies when it comes to marketing.
A large part of Coca Cola’s success can be attributed to its ability to adapt its marketing strategy to the latest trends. For example, in the early days of the internet, the company used banner ads and website sponsorships to promote its products. In more recent years, Coca Cola has turned to social media platforms like Facebook and Twitter to reach consumers.
Another famous example of a promotion-based marketing strategy is McDonald’s “dollar menu.” This menu offers customers a variety of items, all for just one dollar. This has been so successful for McDonald’s that it has become a global phenomenon.
Example of process based marketing
The approach that a company takes to marketing will be based on its own unique processes. Some well-known companies that use process-based marketing include Apple, Coca Cola, and Nike.
Each of these businesses has a very specific and well-defined process for creating and delivering their products or services. This allows them to be very efficient and effective in their marketing efforts, as they know exactly what they need to do to reach their target audience.
Conclusion
You could use one or a combination of different types of marketing strategy to promote your business. The solution for your company will depend on a variety of factors, including the size of your business, the products or services you offer, and your target market.
Each of these strategies has its own advantages and disadvantages, so it’s important to choose the one that will work best for your business.
In this article, we have outlined the five main types of marketing strategy that business owners should be using. If you would like more information or would like to discuss implementing a marketing strategy for your business, please comment below or contact us. We would be happy to help!
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