Categories
Online Marketing

Distribution Strategy – An Introduction

However, before we start, let us just list the learning goals for this article. The goal is to understand what distribution strategy is, why we need to know about it and how we could go about using it. We will do this through establishing a general understanding of the actual purpose of distribution strategy and look at what might impact the success of our distribution blog choice.

We will also provide an overview of some additional available tools and theories that we, as marketers, can use when determining the blog choice of a product or a service. So, let’s start what is the purpose of distribution strategy and what is the connection to the rest of the marketing mix? When you are asked to design the marketing mix, you need to make decisions on four or seven core elements, also known as the four of the seven P’s.

First of all, any issues concerning the product. This would include packaging and all other elements in connection with the products. Secondly, a decision on price. Thirdly, you will need to decide on the place, which is what this article will address. We will also need to make a plan of which promotional activities we will carry out in order to tell our customers about our products and encourage them to buy if we’re dealing with an offering that is better described as a service or perhaps a product.

That includes large elements of service. We might also want to look at the additional three piece: the people that are involved in delivering the service, the process that our customers will go through in order to receive our service and the physical evidence any visible or tangible elements that the customer will see. Here. Point other ways experience when receiving the service. None of the four or the 7ps should be decided on in isolation.

However, place is the P which we will focus on in this article. So why is it important to make sure we choose the right distribution blogs? Let us use an example: this business produces French cakes and desserts in these modern production facilities, well-educated confectioner’s, develop recipes and create delicious cakes and desserts ready to be sold and distributed to cake, loving customers. What will impact the success of the chosen distribution, blogs and subsequently, which considerations are relevant when making their choice of distribution set up? Let us imagine that they had the idea of selling their cakes and desserts in rural areas through roadside self-service booths, while customers were expected to show up and purchase the products without any assistance.

In this case, we could argue that they should first of all, have considered some market factors. Firstly, what is the location and concentration of their customers? Is it likely that they will be able to sell to a suitable amount of customers with this kind of setup? Secondly, do their customers expect to buy these types of cakes and desserts at roadside booths? If not, it could be a challenge to convince them of the value in doing so.

Thirdly, we would advise them to consider whether the customers would be able to get the information and service expected when using this type of setup. Our recommendation for French cakes corporation would, amongst other factors, depend on their answers to these questions about market factors. Let us imagine another scenario where French cakes are considering establishing a chain of French cakes cafes through which they will sell their cakes and desserts.

In addition to the market factors which we have already discussed, we as marketers would also advise them to consider some factors about themselves. Firstly, do they have the required resources to undertake such an investment regarding both time money and people? Secondly, what level of control do they desire from their distribution blog owning the distribution? Blog gives ultimate control, but it comes at a price.

Thirdly, we might discuss with them whether their product range is wide enough to meet customers needs, so our recommendations for this company would, amongst other factors, also depend on their answers to these questions about themselves. We could also imagine that the company were keen on creating an online web shop where their customers could order their cakes and desserts and get them delivered directly to their homes.

In addition to the market and producer factors which we have already discussed, we would also advise them to consider some factors about the actual products. Firstly, does the perishability the fairly short shelf life of a cake of desert suit, this type of distribution? Would they be able to deliver the product while it’s still edible? Would there be ways of overcoming this obstacle? Secondly, our cakes and desserts suitable for handling in this way, and thirdly, with other types of products, complexity could be an issue, so our recommendation for this company would, in addition to the factors already discussed, also depend on the answers to the questions about the actual products.

We might also imagine that the company is keen on distributing their products through supermarkets in order to reach a large number of people from their target group. In this way, in addition to the previously discussed factors, we would also ask them to consider some facts about their competitors. Firstly, which blogs are their competitors using, and, secondly, is it possible to achieve differentiation through choice of blog? Let us imagine that in one particular supermarket chain, consumers are not exposed to the competitors.

Cakes of desserts distributing the products through this chain would therefore enable them to differentiate from the competition and ultimately have a better chance of selling their products to the end consumers. So our recommendation for French cakes corporation would, in addition to the other already mentioned. Factors also depend on their answers to these questions about the competitors. So when advising the company on their choice of distribution blogs, we would look at some market factors.

Some factors about the French cakes corporation itself, factors about the products and some factors in connection with a competitive situation. And finally, we would look at the rest of the marketing mix to ensure that the choice of place corresponds with how French cakes cooperation wishes to be positioned in the minds of the customers. We have now established the purpose of distribution strategy, what it is and why we need to know about it, and we have established that there are many factors which we need to look at before.

We can decide on the best place to distribute our product or service. So, let’s move on in addition to the factors we have just discussed, we as marketers have some additional tools and theories. We can use to guide us when determining which distribution blogs to use. These will not be described in detail in this article, but let us just introduce an overview of some of the tools and theories we might want to use.

We would determine whether we’re dealing with consumer b2b, and/or services, distribution, blogs, distribution intensity should be looked at to what extent, and in which context do we want our product or service to be available to the end consumers? Thirdly, we would consider whether to use independent intermediaries setting up a franchise operation or perhaps go for blog ownership. We should also look at the physical distribution system, which would include decisions on transportation of goods, inventory issues and order processing procedures.

If we’re dealing with retail, we could also look at the process of retail differentiation. Finally, we should also look at how we could manage the relationships with our chosen distribution blogs so that it remains prosperous for both us and for the from parties within the blog. We have now established an understanding of the purpose of distribution strategy, the different factors that impacts our choice.

And lastly, we have presented an overview of some additional tools and theories available to us when determining a suitable place to distribute our product or service. To learn more about distribution strategy and how to use the different tools and theories introduced in this article, I recommend that you read chapter 17 in David Jabba and Fiona in this Chadwicks principle and practice of marketing management.

Seventh edition, my name is Tina Wade. Thank you for reading


Click here to get 2000 4K stock videos today!

 

Categories
Online Marketing

The Global Marketing Mix – Internationalisation – Global Marketing

As marketers, we talk about making decisions about an organization’s global marketing mix, in other words, to what degree the marketing mix should be standardized or adapted. However, before we start, let us list the learning goals for this article. Firstly, the goal is to understand the connection between choice of the global marketing mix and the rest of the internationalization process.

Secondly, we will gain an understanding of what it means to standardize or adapt an organization’s marketing mix and why an organization might be motivated to strive for a high degree of standardization. Thirdly, we will learn how to evaluate different factors that can help an organization decide. The most suitable degree of standardization or adaptation of the different elements of the marketing mix.

So let us begin so. How is the choice of the global marketing mix connected to the rest of the internationalization process when an organization goes for marketing their products and services? Only on the home market to also target one or several foreign markets, we talk about an organization’s internationalization process. The internationalization process starts with a choice of which foreign markets target.

We call this the market selection process. Secondly, we would decide on how to organize our entry to the foreign market. We would evaluate different factors and subsequently we will decide on which intra mode to use and ultimately, we would define our marketing mix the four or the 7ps for the foreign markets. The marketing mix we use on the foreign markets may vary to the one we use on the home market and we would address different factors that influence our choice regarding standardization and adaptation of the marketing mix.

Choice of the global marketing mix is what we’ll address in this article. So when deciding on the global marketing mix, what does standardization and adaptation actually mean and what might motivate an organization to strive for a move in either direction? Let us use an example. This French business produces French cakes and desserts in these modern production facilities, well-educated confectioner’s, develop recipes and create delicious cakes and desserts ready to be sold and distributed to cake, loving customers, the products, the cakes and desserts are typically French in style and tastes.

They are frozen immediately after production and then sold and distributed to organizational customers, a variety of catering companies, restaurants and cafes. Around France. They have developed a price structure which includes a specified discount system with lower prices at higher volume orders they attract new and retain existing customers through a range of promotional activities. Some of these are key account management.

They attend trade shows and they supply their customers with in-store point-of-sale materials, where relevant. If French cakes were to copy this exact setup off the four PS in France when entering a foreign market, for example the UK, we would call this a complete standardization of the marketing mix. If to the other extreme, they were to enter the UK with a different marketing mix, a different product sold through different distribution, blogs at different prices and supported by a different set of promotional activities.

Then this would constitute a complete adaptation of the marketing mix. However, it is unlikely that companies will end up at either of these two extremes. It is more likely that an adaptation of some of the elements in the marketing mix will take place and that others will remain the same. Therefore, marketers will most often talk about the degree of or different elements of adaptation or standardization of the marketing mix.

So why might French cakes be motivated to achieve a high degree of standardization? Entering new markets is a costly affair, both with regards to actual monetary costs and human resources involved, but it is also time consuming, and this will increase the company’s time to market and delay their internationalization process. Therefore, most organizations are naturally motivated towards achieving some degree of standardization.

Simply in order to minimize these types of costs. We have now established an understanding of the connection between the choice of global marketing mix and the rest of the internationalization process, and we understand what it means to standardize or adapt an organization’s marketing mix for foreign markets, and subsequently we have talked about why an organization Might be motivated to strive for some degree of standardization, so let us move on so what might impact French cake’s choice of a suitable degree of standardization or adaptation of the marketing mix when entering the UK market? Let us look at some of the factors that would speak for a move toward standardization and then as some factors which might indicate that some level of adaptation would be suitable.

Let us look at some other factors which would indicate the standardization of all or parts of the marketing mix could be suitable for French cakes when entering the British market. First of all, we will look at the level of globalization of the market that French cakes operates. On research has shown that the British consumers have different needs and values, and so therefore, this does not call for a high level of standardization.

For example, we would recommend that the product, the cakes and desserts be adapted slightly to suit the British consumers tastes. Some of the larger change of restaurants have a global presence and use centralized purchasing processes. This would indicate that French cakes would benefit by having a centralized approach to part of their sales organization in order to respond to these types of customers.

Secondly, we will look at the globalization of the industry, which French cakes operates in if an organization has high research and development costs. This is often the case when operating in technology heavy industries. They are usually very motivated to recuperate these costs as quickly as possible. They would therefore be keen to standardize their marketing mix and thereby be able to enter many countries quickly and achieve high volume sales.

In our example, French cakes does not have high R & D costs, so this will not be the most significant factor for them to consider when evaluating standardization potential. Thirdly, we would look at the globalization of the competition in addition to some local competitors. French cakes also face some larger competitors who supply the larger restaurant change on the British market. These competitors have a global presence and a relatively high level of standardization.

This indicates that French cake should also consider a standardized approach in some aspects of their marketing mix. An internal factor which could indicate standardization potential, French cakes, competitive advantage of the French market is their ability to quickly respond to changes in market needs due to their close cooperation with the distribution network. This also has potential on the British market, but will take time to establish in order to do this successfully.

We could, for example, advise French cakes to standardize certain elements of their sales and data collection processes. Moving on to some factors which would favor an adaptation of the marketing mix, firstly, some local market conditions: research has shown that there are significant socio cultural, economic and political differences, and that consumer needs differ from France. This would therefore favor an adaptation of the marketing mix.

Secondly, the presence of some local competitors would also favor an adaptation in order to compete. French cakes have identified both local and global competitors on the market. Therefore, some adaptation is recommended for parts of this target group. Thirdly, if legal conditions were very different to the home market, this would speak in favor of adaptation. Currently, many laws are the same due to both countries.

Membership of the you, however, due to brexit this might change in the future. If French cakes product was a service or carried large elements of service, this would indicate a move towards adaptation due to local staff being involved in producing the service like it would have been the case with, for example, a hair salon. However, French cakes offering is focused on a physical product, namely the cakes and desserts.

In summary, we have suggested that some elements of the marketing mix, namely place and promotion, would be suitable for a degree of standardization in order to compete with international competitors and adjust to the large restaurant chains purchasing processes. We have suggested that French cake standardized their sales processes. An option would be to standardize their key account management function and to standardize some data collection processes.

This way they will have the possibility of gaining close relationships with the distributors, enabling them to respond faster to market trends. We also uncovered a great need for adaptation, since French cakes also choose to distribute through smaller and independent restaurants and catering businesses, we suggest that they adapt their approach to these in order to compete with local competition. We also suggest an adaptation of the actual products.

The cakes and desserts due to social, cultural and economic differences, both the products, price levels and promotional activities should be adapted to suit the local market needs in cooperation with French cakes. We would now move on to plan these standardizations and adaptations in much more detail, thereby providing them with a ready to launch marketing plan. However, such level of detail will not be carried out in this short introduction article.

In summary, we have now obtained an understanding of what it means to standardize or adapt an organization’s, global marketing mix and the connection to the rest of the internationalization process. And finally, we have gained knowledge of how an evaluation can be carried out. Would you like to learn more about standardization or adaptation of the global marketing mix, the internationalization process and global marketing in general, then I recommend that you read global marketing 7th edition by Sven Hollander.

If you would like to learn more about defining the marketing mix in general, then I recommend that you read my for introduction articles addressing each of the four piece of the marketing six. You will find these articles on my youtube blog, my name is Tina Wade. Thank you for reading


Click here to get 2000 4K stock videos today!

 

Categories
Online Marketing

Introduction To Marketing | Marketing 101

So, if you’re interested in learning the Latest and greatest marketing strategies, tools, tips, tricks and tactics. You are reading the right blog post. Alright, let’s talk marketing something I love to do. As I fell in love with marketing years ago. I first got interested in figuring out why people buy and act the way they do and later how to influence and persuade. Essentially affect human behavior, Because whether you have a business or not marketing happens pretty much every day.

Anytime you try to convince friends or family to see a certain movie or eat at this restaurant or not that. Basically, try to convince them to do anything. Marketing is happening Also. Marketing is really important to understand because you are constantly being marketed to by everyone from everywhere. From something as simple as someone trying to sell you a pair of shoes. Or something a lot, bigger like buying a new house or moving across the country or even changing careers. All of this requires and uses marketing.

So with all that said, let’s Dive into it. But first, let’s cover what marketing is not so once we’ve got that Clear we can cover exactly what it is. Now, I know when I first got involved with marketing my understanding was pretty limited. I didn’t really have a clear picture of exactly what marketing was. So, I also kind of fell prey to the notion that marketing was advertising. Well in reality, marketing isn’t advertising advertising is marketing.

Let me explain. Basically, marketing is a Major business function. That’S made up of a bunch of other parts, one of which Of course is advertising, but there’s also a ton. Others like PR market Research, social media content, marketing search engine marketing or search engine Optimization pricing and pricing, psychology, copywriting and one of my Personal favorites direct response or direct response, marketing and quite a Few more So saying that marketing is just advertising and kind of like saying That finance is just taxes or HR is just hiring people or legal is just not Getting sued Sure these are all important, but there Just one piece of the entire puzzle: This is why, if you’re just getting started in Marketing can seem pretty overwhelming, which is why my suggestion is to find an Area that you find interesting, fascinating, like say, social, media or Content marketing start there really get some roots and branch out later.

Alright, So now that we’ve got that covered, what exactly is marketing Well as I’ve Just covered, you know that marketing is made up of a bunch of different sub Segments things like content, marketing, email, marketing and social media, all the Things we talked about, But what exactly is the nature of marketing, which sounds Like some kind of documentary “ The Nature of Marketing” on this week’s episode of The Nature of Marketing Well, one of the first things you learn in any first-year Marketing course is the four P´s of marketing product price place and Promotion Product being the details around whatever product or service is Being sold Price being the price kind of obvious, but there’s obviously a lot more That goes into it than just that Place is where the products being sold and Promotion we’re just kind of the fun stuff.

This is essentially how you’re Going to sell more of the product and what you’re going to do to get the word out. About your service, and while all of that is accurate and true and the four P´s do Make up a part of marketing? Well, I prefer a simpler, easier to understand. Definition, Marketing in its most basic sense, is communicating value to your Customers, It’s essentially answering the question of your customers “.

Why should I Care?” Marketing helps people solve their problems by clearly defining and Delivering solutions and really explaining the benefits of the solution. So they can get better results. Marketing is about connecting with people Understanding their pains and their problems and their frustrations making Them feel understood so that you can position your business as the solution. To their problems, and essentially just make them feel better and marketing is a Really powerful force As anyone that’s been in business for any length of time.

Can tell you it’s not always the best product or service that wins. In fact it Rarely is rather it’s the product or service with the best marketing, Like it. Or not, that’s just kind of how it works, which is why having good marketing is Just so important, So my favorite definition of marketing is that it’s Communicating value to your customers, but there’s another side entirely: that’s Rarely talked about, but still equally powerful and that’s creating value for Your customers, You see marketing, can create value and Your marketing, in and of itself, can be valuable.

An example could Be a blog post that helps someone out even before any money has changed hands. Or an advertisement, someone sees that brightens their day and makes them laugh. Whether they choose to buy or not or the way that a product or service is Delivered the packaging, let’s say which is so luxurious and over-the-top – that it Makes the customer feel special just for having purchased it? You see economics, Assumes that people make buying decisions rationally, logically and with Perfect information, but this is rarely pretty much, never the case.

We as humans, Are emotional often highly illogical and rarely have the full set of facts when Making any decision, which explains why marketing is so important and so Powerful, After all, if we made all of our purchasing decisions based solely on Logic and utility and the value we would get from these products. Well, the entire Luxury goods market wouldn’t even exist, but not all marketing is created.

Equal You see when it comes to marketing like when it comes to pretty much anything There’S good marketing and there’s bad marketing. Bad marketing is all of the Reasons that marketing gets such a bad reputation, It’s that hype, spammy Over-The-Top sleazy salesy icky kind of marketing that we all know we’ve all Seen and nobody likes It’s the stuff that looks cheap, makes people feel dirty. Even just looking at it and promotes bad products or bad services that really Helps nobody It’s the fake, countdown timers.

You sometimes see on websites, the Going-Out-Of-Business sales that never end and the pushy promotion of useless Products, That’s bad marketing. Good marketing, on the other hand, helps Customers achieve their goals, makes them feel better about themselves and has the Power to truly change the world, So my question to you is: What kind of marketer Do you want to be That that was a rhetorical question, If you say the bad Guy, I got nothing for you, but if you say the good kind – and I know you did then Make sure to check out this article right here, which I’ve got linked up on the Page, which is going to give you even more practical and effective marketing, Strategies to help take your business and your marketing to the next level and Way beyond that, Alright, so thanks so much for reading make sure to check out That article now and we’ll catch you next time on The Marketing Show

Website management packages are the way to go!