• Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month

Introduction to Marketing - strategies for growth, transactional marketing and relationship marketing

Extracts from this document...

Introduction

´╗┐Bukola Akanni P1 Task 1 Growth strategies There are four types of Growth Strategies which are: 1. Diversification 2. Product development 3. Market penetration 4. Market development Information from:www.wikipedia.com Diversification: this is a strategy for a company that seeks to increase profitability through greater sales volume obtained from new products and new markets. Diversification is the riskiest of the four strategies presented in the Ansoff matrix. Going into an unknown market with an unfamiliar product offering means a lack of experience in the new skills and techniques required. Therefore, the company puts in a great uncertainty. Because of the high risks explained above, many companies attempting to diversify have led to failure. Although, there are a few good examples of successful diversification like: 1. Virgin Media moved from music production to travel then to mobile phones, broadband, internet and TV. 2. Walt Disney moved from producing animated films then to theme parks and vacations places. 3. Canon diversified from a camera-making company into producing an entirely new range of media equipment for movies and music. 4. Apple store moved from PC laptop to iPod Shuffles and touch first, second, third and fourth generation. ...read more.

Middle

The word brand has continued to evolve to encompass identity; it affects the personality of a product, company or service. For example, Tesco offers more cheaper product to attract their customers, and Barclays bank service offer to save the customers money but the question is that is there money safe and they are doing their best to keep their reputation save by producing good services. They offer lost of services such as: 1. Bank account - Bank accounts, Student and graduate accounts, Young persons accounts, Currency accounts 2. Savings - Regular saving, Savings Bonds, Instant access ISAs, Children's saving 3. Mortgage - 4. Investments 5. Credit cards 6. Fraud prevention 7. Travel services 8. Help and support about the bank Buyer behavior is another thing in branding, this involves the psychological processes that consumers go through in recognizing needs, finding ways to solve these needs, making purchase decisions (e.g., whether or not to purchase a product and, if so, which brand and where), interpret information, make plans, and implement these plans (e.g., by engaging in comparison shopping or actually purchasing a product). This can sometimes affect the customer because are used to their previous product or they change to less profitable product and the company (Tesco) ...read more.

Conclusion

The use of customer lifetime value as a marketing metric tends to place greater emphasis on customer service and long-term customer satisfaction, rather than on maximizing short-term sales. Customer lifetime value has intuitive appeal as a marketing concept, because in theory it represents exactly how much each customer is worth in monetary terms, and therefore exactly how much a marketing department should be willing to spend to acquire each customer. In reality, it is difficult to make accurate calculations of customer lifetime value. The specific calculation depends on the nature of the customer relationship. Customer relationships are often divided into two categories. Magazine subscriptions and car insurance are examples of customer retention situations. The other category is referred to as customer migration situations. In customer migration situations, a customer who does not buy in a given period or from a given catalogue is still considered a customer of the firm because she may very well buy at some point in the future. In customer retention situations, the firm knows when the relationship is over. One of the challenges for firms in customer migration situations is that the firm may not know when the relationship is over as far as the customer is concerned. ...read more.

The above preview is unformatted text

This student written piece of work is one of many that can be found in our AS and A Level Marketing & Research section.

Found what you're looking for?

  • Start learning 29% faster today
  • 150,000+ documents available
  • Just £6.99 a month

Not the one? Search for your essay title...
  • Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month

See related essaysSee related essays

Related AS and A Level Marketing & Research essays

  1. Jollibee Foods Coporation case study. there are some alternative strategies that JFC can ...

    However, franchising strategy doesn't reach some other criteria of suitability. For example, JFC is a franchiser, who gives the franchisees brand name, systems and business methods, support services and other things. JFC's franchisees have the obligation of providing capital, payment for the franchiser for rights and for support services, and responsibility for the day-to-day running.

  2. BTEC BUSINESS UNIT 2

    ICT Fax - A fax is virtual information, it's a message which is sent through the telephone wire but is also connected to a computer. A message can will be sent and printed out of the other fax machine. Coca Cola Enterprises use fax to communicate from manager to colleague.

  1. Marketing Research. Explain how different marketing research methods have been used to make a ...

    This method can be good when the researcher is skilled and experienced. Convenience Sampling This method is not as reliable because it involves interviewing the people that are most convenient to sample, for example people in walking down the high street.

  2. The concept and principles of marketing

    Promotion Promotion is the business of communicating with customers. It will provide information that will assist them in making a decision to purchase a product or service. The razzmatazz, pace and creativity of some promotional activities are almost alien to normal business activities.

  1. Unit 3 - Marketing Research And Marketing Mix

    (Source: Zenith International) This graph (Source: Zenith International) presents the annual rise and fall of soft drinks from 2002 - 2008. As you can see the fruit drinks market has plummeted into the minus which mean a decrease in the income towards that market.

  2. Describe how marketing techniques are used to market products in two organisations. The two ...

    industry with the iPod, and presently, the smart phone market with the Apple iPhone. The Apple brand personality emphasises on making people?s lives easier they have done this by making their products accessible for their customers. Apple?s branding strategy has proven to be effective so far.

  1. Unit 11 P1 Describe the development of relationship marketing

    are unable to offer and in return the organisation will attract, retain lifetime partners. The needs and expectations of customers are competitive prices and good quality customer service Outline the growth of the service sector: The service sector includes business to customer/ business, this is part of the tertiary sector.

  2. Marketing Assignment - examples Tesco and Coca Cola

    Positioning is also a part of building a good brand image. Positioning mean where an organisation is placed within the marketing criteria. To have a good positioning within the marketing criteria a company must be clear of the service that they offer, this would mean brand name, image, service standards, product guarantees.

  • Over 160,000 pieces
    of student written work
  • Annotated by
    experienced teachers
  • Ideas and feedback to
    improve your own work