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M1 Compare marketing techniques used in marketing products in Microsoft and M & S

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Introduction

´╗┐Task 2 M1: Compare marketing techniques used in marketing products in two organisations A comparison discussing the similarities and differences of the techniques used to market the Microsoft Surface in Microsoft and the food services by M&S Market penetration ? This is when the business aims to grow by increasing the number of their customers in particular country or cities. How two businesses I have investigated have used market penetration to grow and increase their market share? I investigated the Microsoft corporate and the product that I am focusing on is the Microsoft surface. Microsoft did use this technique to expand the number of their customers and to grow. Some of the countries Microsoft sold their products in over the last 10 years are Britain Chile, Colombia, Czech Republic, Egypt, Ecuador, Finland, Greece, Hungary, Countries Microsoft markets share in 2014 Germany 7.1 UK 9.6 France 10.6 Spain 15.2 Italy 3.0 USA 4.3 China 0.4 Australia 6.2 Japan 0.9 EU5 9.2 The table above shows Microsoft market share in 10 different countries including their own territories (USA). As we can see, Spain is the country where they have got the most market share this year compared to Japan where they only have 0.9 % of the market share. ...read more.

Middle

They have introduced the food market to their customers and are currently planning on improving and develop these new products further. M&S have also diversified in to banking back in 2012 One similarity in the way both businesses have diversified to increase the number of their customers is introducing new product to the customers the customers they had. E.g. Microsoft sold their new surface tablets to their operating software and Microsoft office customers. M&S also marketed their new food products to their clothes customers. A difference I encountered when investigating the way they both used diversification technique is was that Marks and Spencers unlike Microsoft recently diversified in to banking which is a totally different market to the one they are used. Microsoft diversified into a field where they were familiar to and more comfortable in. How two businesses I have investigated have used survival strategies to grow and expand? In 2012, when Microsoft lost their market leadership after being the world?s largest phone producers, they used survival techniques such as cutting more than 10,000 jobs because they were forced to do so because of the lack of sales and the competition with other phone manufactures like Samsung and Apple. ...read more.

Conclusion

For their valuable customers, M&S offers special deals and prices reductions on most of their food product. This allows them and their customers to develop stronger relationships and build trust between them. There was no difference between the methods used by both businesses, the techniques were initially the same and it lead roughly to the same results which the companies expected. How two businesses I have investigated have used have shown that they value lifetime customers Life time customers are really important to Microsoft because they guarantee a percentage of the sales. The business can always relay on them to keep the sales up and generate benefits even in hard time. A weakness of it can only occur if the company loses these valuable customers as their commitments cannot always be trusted especially with competitor always looking to get more customers. Businesses like Microsoft sow their gratitude to their lifetime customers by making them offers on the products they buy. Some companies have loyalty cards with discounts on them, these cards are offered to the most loyal customers in exchange of their loyalty and devotion towards the business. M&S have shown that they value their lifetime customers by offering them special deals and offers, special discounts that other customers don?t have access to and they also have some loyalty card that provide to customers their devoted customers. ...read more.

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