Digital marketing strategies have several varieties, the choice of which determines how successful the company’s marketing activities will be. It also includes a social media marketing strategy.
The classification of marketing strategies includes global, basic, functional, competitive, and growth strategies.
Having chosen one of the marketing communication strategies, the company determines which direction it will develop, what advantages it will build its promotion on, which directions it will develop in the first place, and what decisions it will make to fight competitors and choose a marketing mix.
Strategy for expanding the global market
Each of the categories of marketing strategies includes certain varieties. The global marketing strategy plan defines the main direction of the company’s development and is divided into five types:
- Internationalization strategy – based on entering new markets and their development.
- The diversification strategy – is to expand the range of manufactured goods.
- Segmentation strategy is the expansion of customer or consumer groups by covering different market segments.
- Globalization strategy – works on the basis of those qualities of the market that do not depend on a particular country.
- Cooperation strategy – provides for cooperation with other companies on mutually beneficial terms
Basic marketing strategies are necessary to assess the advantages of the company, which can be using to reach a leading position. There are three main types of basic strategies:
- The price leadership strategy is based on the company’s cost advantages. When choosing this strategy, an extremely careful control over costs is carried out, minimizing all costs for communication and sales. The lower the costs, the lower the company can set prices while earning higher profits than competitors.
- The differentiation strategy is based on giving the product such distinctive qualities that would have no analogs among competitors and would be attractive to consumers. Differentiation can be made on the basis of the company’s image, technological qualities of the product, appearance, level of service, and other parameters. Most often, differentiation strategies require a large investment in advertising to communicate these differences to the consumer.
- The concentration strategy works by working in a certain narrow segment. Having carefully studied the target market, it is much easier to reach a leading position in it. At the same time, it is important to provide a more effective satisfaction of needs than that of competing companies.
Growth strategies can be defining as one of the varieties of company development strategies. Also in this category are survival and stabilization strategies, but if the company is not experiencing difficulties, then the choice will be made exclusively within growth strategies.
The main growth marketing strategies are as follows:
- Intensive growth strategy – the development of the company is achieving through the most intensive use of the resources available to the company. This strategy is appliing when there are underusing resources. This may be the search for new markets, the creation of new products, etc.
- Integrated growth strategy – in this case, the development of the company is achieving by joint efforts. Intermediaries, suppliers, manufacturers, and even competing enterprises can act as promotion and development partners. In the latter case, the integration is calling horizontal, in all others – vertical.
- Diversified Growth Strategy – If a company cannot grow in the market with current products, a strategy based on the production of new products is used. It can be technologies, new types of goods, etc.
In relation to competitors, the company must have a certain marketing strategy. The main types of marketing strategies in this category are:
- Leader strategy – this strategy is available to a company that occupies a leading position in the market. A company can strengthen its leadership and improve its position through the following subcategories of strategy.
- The strategy of expanding the market capacity – includes the search for new consumers and the promotion of goods. Can only be using if there is little competition.
- Defensive strategy – used in case of serious competition to protect the positions occupied by the company.
- Offensive strategy – used when opening a new market to increase the share occupied in it, effective against competitors imitating the leader.
- Demarketing is a marketing approach that is employing when a company’s market share needs to be reducing. It may consist of raising prices, reducing the range, reducing advertising, and diversifying into other markets.
- Challenger strategy – based on the attack of the leader in order to take his place. The attack can be frontal or flanking. The frontal attack can be only if there are significant advantages. A flank attack on the leader consists of influencing those directions where he is least protecting or has weak positions.
- The strategy of following the leader does not imply an attack on competitors, it consists in following the strategies of the leader in order to stay in the occupied market segment.
- Nisher strategy – in this case, the company deals only with a separate segment or several segments of the market, without claiming to occupy it completely.