There are four moves to competitive marketing strategies:
Posted: Sun Jan 19, 2025 9:42 am
Leader: The organization is in a dominant market position, but is seeking new target audience segments through marketing, advertising channels, and expanding the scope of its products.
Follower of the leader. The company monitors the leader and can copy his decisions or use offensive tactics (in this case, the company looks for the leader's weak spot and market segments not occupied by him). The main goal is to capture key market positions.
Nischer. This marketing strategy is often used by organizations with a highly specialized business, focused on one or several target audiences. The main tactic is to conquer those segments where the market leader is not present.
Challenger: A challenger's actions student database involve adjusting the price tag and attacking the vulnerable market positions of competitors.
All of the listed marketing strategies are based on competitive advantages that are used to capture new market segments and attract consumers.
As an example of the "nicher" strategy, let's consider the Nike brand. This concern mainly specializes in the production of high-quality sportswear (global market). But in parallel, Nike is also developing in narrower niches.
Competitive Marketing Strategy
Source: unsplash.com
In this case, the company produces special footwear: sneakers or boots for a certain sport, hiking, cycling, etc. Then Nike also “divides” its niche products: footwear for those who run fast or walk slowly, suits in small and large sizes, etc. This strategy allows the brand to attract a narrow target audience and thus provides protection from competitors.
Development strategies
Such marketing strategies are aimed at scaling companies, increasing production volumes and steadily increasing market share in terms of sales or geographic coverage:
Market entry. The company sells its products in the same market niches, but tries to expand its presence in them. For example, a reduction in the price tag of the product can contribute to an increase in market share.
Expansion of the sales market. In this case, the company's products are introduced to new markets if there is no prospect for further development in the previous niches.
Product development. The company increases the volume of the product it produces or expands its functionality.
Diversification. When choosing this marketing strategy, the business develops new products and promotes them in new markets. There are high risks here, so successful development requires high-quality marketing research and careful selection of the target audience.
Acquisition. Business development is based on the purchase of another company, which allows increasing production volumes and occupying new market segments.
The choice of a specific marketing strategy option depends on the financial capabilities of the enterprise, the competitiveness of a specific market niche and a number of other factors.
An example of the application of the diversification strategy is the Wildberries online store.
Wildberries Koshiro K Shutterstock.com
Source: Koshiro K / Shutterstock.com
At first, the main areas of this site were clothing, footwear and various accessories. As the business developed, against the backdrop of an increasing customer base, cosmetics, books, sports equipment, children's toys and food, healthy sweets and other goods appeared on the website of the online store.
Reduction strategy
Follower of the leader. The company monitors the leader and can copy his decisions or use offensive tactics (in this case, the company looks for the leader's weak spot and market segments not occupied by him). The main goal is to capture key market positions.
Nischer. This marketing strategy is often used by organizations with a highly specialized business, focused on one or several target audiences. The main tactic is to conquer those segments where the market leader is not present.
Challenger: A challenger's actions student database involve adjusting the price tag and attacking the vulnerable market positions of competitors.
All of the listed marketing strategies are based on competitive advantages that are used to capture new market segments and attract consumers.
As an example of the "nicher" strategy, let's consider the Nike brand. This concern mainly specializes in the production of high-quality sportswear (global market). But in parallel, Nike is also developing in narrower niches.
Competitive Marketing Strategy
Source: unsplash.com
In this case, the company produces special footwear: sneakers or boots for a certain sport, hiking, cycling, etc. Then Nike also “divides” its niche products: footwear for those who run fast or walk slowly, suits in small and large sizes, etc. This strategy allows the brand to attract a narrow target audience and thus provides protection from competitors.
Development strategies
Such marketing strategies are aimed at scaling companies, increasing production volumes and steadily increasing market share in terms of sales or geographic coverage:
Market entry. The company sells its products in the same market niches, but tries to expand its presence in them. For example, a reduction in the price tag of the product can contribute to an increase in market share.
Expansion of the sales market. In this case, the company's products are introduced to new markets if there is no prospect for further development in the previous niches.
Product development. The company increases the volume of the product it produces or expands its functionality.
Diversification. When choosing this marketing strategy, the business develops new products and promotes them in new markets. There are high risks here, so successful development requires high-quality marketing research and careful selection of the target audience.
Acquisition. Business development is based on the purchase of another company, which allows increasing production volumes and occupying new market segments.
The choice of a specific marketing strategy option depends on the financial capabilities of the enterprise, the competitiveness of a specific market niche and a number of other factors.
An example of the application of the diversification strategy is the Wildberries online store.
Wildberries Koshiro K Shutterstock.com
Source: Koshiro K / Shutterstock.com
At first, the main areas of this site were clothing, footwear and various accessories. As the business developed, against the backdrop of an increasing customer base, cosmetics, books, sports equipment, children's toys and food, healthy sweets and other goods appeared on the website of the online store.
Reduction strategy