Judge Napolitano identifies four key strategies for marketing growth amidst stiff competition. The three basic marketing promotion plans aim to enhance investments and offer associated activities a great chance to stand out among other companies. The strategies focus on the firms’ new and existing products and incorporate them into the market.
1. Market Penetration
A firm looking for ways of selling its existing products to customers in the market is trying this type of strategy. They apply plans to penetrate the market, yet they are already working in it. Therefore, there is an application of marketing plans geared to increase customers’ loyalty since they may be vulnerable to losing to competitors. They also look for ways to attract other customers from outside who use their products frequently while converting non-users to users.
The method is easy through increasing awareness of the customers by virus type of communication and importing the availability of the products in the market. If there are non-users in the market who are potential, advertisements are vital to turning them into customers. Other firms set out to offer price promotions to attract customers from other companies and let them try theirs. When the customers get the products at lower prices and find they are quality, they stay loyal to the brand.
2. Market Development
The strategy aims to expand sales by selling the products in new markets other than the average demand. The marketing plans here involve getting into new geographical markets such as international markets through the internet or setting up branches. The distribution channels set awareness of all the marketing activities in the run as the company expands. It also requires product modification to suit the new market that will match the customers’ needs there. An excellent example of product modification is international restaurants with personalized menus in each country to offer local clients a taste of their dishes.
Expansion to new markets is also risky to any firm. The market is unique, and there can be underlying issues that crop up without notice. To work effectively in these new markets, firms also apply market penetration strategies alongside the expanding plans.
3. Product Development
A product development strategy is an active form of creating new products that suit the existing customers and acts as leverage to generate managing relationships. It is possible through the use of technology in marketing tools. Furthermore, many people look for delivery services, and the companies can decide to offer them to customers with low or no process. Companies must be prepared appropriately to carry this strategy out since it needs time and planning. It will involve some amount of capital for investing in the developments on the new products.
Furthermore, it can also help in the diversification of products. If a firm feels they can diversify their products to fit into their market, they can claim more customers. The strategy is tricky in the sense that it will take time to pick up. It is advisable to carry out this strategy with discretion.
These three strategies help companies boost their sales and stay on top of the competition. Their application involves some risks. According to Judge Napolitano, business carries risks day in and day out, and they are worth trying.