Importance of Marketing Strategies in Business Success

This study emphasizes the crucial role of marketing in the success of any company. It discusses how demographic segmentation can help businesses target specific consumers based on age and income. The assignment also stresses the need for businesses to have control over their marketing plans and activities, enabling them to respond promptly to issues and resolve marketing-related problems.

MARKETING ESSENTIALS

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
PART 1............................................................................................................................................1
Role of marketing and key elements of marketing functions......................................................1
PART 2............................................................................................................................................5
Marketing mix and strategic marketing plan...............................................................................5
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................11

INTRODUCTION
Marketing is the systematic process that aids business in identifying needs of consumers and
creating value for potential buyers (O'Cass and Morrish, 2016). It is essential tool that supports
companies to develop healthy relationship with customers and retaining them in organsiation for
longer duration. Present study is based on Beauty Giant that sells cosmetics products to clients.
Entity has approx 50 branches all over the UK. Enterprise has planned to market its new anti-
ageing product “forever young”. Current assignment will explain role of marketing with wider
organisational context. Furthermore, it will explain interrelationship between marketing other
functional units. In addition, study will conduct marketing mix and will prepare strategic
marketing plan so that Beauty Giant can market its new product successfully.
PART 1
Role of marketing and key elements of marketing functions
Marketing can be defined as set of activities for communicating, exchanging value for
consumers. It is considered as management process that company’s apply to make people aware
with new products and it’s significant for them. In the earlier times most of the business were
taking support of print media and advertisement method in order to promote their items. But
now-a-days social media marketing concepts have changed scenario and has created
opportunities for organisation to deal with mass audience and expand their operations across the
world (Wrenn and Mansfield, 2014). Recently Facebook, Twitter, online websites are helpful in
making direct coordination with potential buyers and offering them goods and services as per the
needs of clients. Marketing is the significant tool that plays various role in business unit. These
are explained as below:
 Market research: marketing plays role of researcher in business unit, it conducts research
and find out needs of consumers. Beauty Giant plans to market its new forever-young
products but for that it has to find out actual requirements and desires of target audience.
If entity has all relevant details then it would be able to offer right products to right
consumers. Through marketing Beauty Giant can gain all insight information related to
market and can make plan to promote its goods and services (Chand, 2015).
 Relationship builder: Marketing is helpful process that supports manager in making
healthy relationship with buyers. Companies develops direct coordination with its clients
through communication channels. It aids business in identifying their needs and resolving
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their problems quickly. Marketing supports Beauty Giant in developing strong bonding
with its target customers so that they buy this new anti- ageing forever young beauty
products and give reviews to others as well (Davcik and Sharma, 2016).
 Branding: Marketing is the best option for promoting the brand. Most of the people buy
products of such companies that have strong marketing tactics. In order to enhance brand
image and create unique reputation companies are required to market their products.
Through implementing this strategy, Beauty Giant would be able to raise its market
image and will be able to expand its business across the world.
 Communicator: It is another role of marketing; it helps in raising communication
between customer and organisation (Fortier and Laws, 2014). Beauty Giant needs to
exchange information with consumers about its new forever-young products, through
marketing firm will be able to successfully exchange the details and would be able to
receive their comments as well. This is two-way communication that assists business in
identifying needs of target audience.
Key elements of marketing function
Marketing manager is responsible for promoting products and increasing sales of
particular items. Designing and development is essential function of marketing. This is
considered as key element. As before launching this new forever product in market Beauty Giant
is required to gather necessary information about demands and needs of buyers. This helps
business in designing and developing the existing products in such manner that can meet with the
desires of customers (Qureshi, Aziz and Mian, 2017). Product distribution is another main
function of marketing, Beauty Giant will have to distribute its new anti- ageing beauty item to
various locations but for that, it will have to develop its new image in that market. Through
social sites, etc it will be able to distribute this new products in the new market and will be able
to attract more consumers towards brand.
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Figure 1: functions of marketing
(Source: Marketing function, 2018)
Market planning is another important key function of marketing. Beauty Giant is
planning to raise its profit and increase sales of this new anti- ageing cosmetic product. But for
that marketer will have to make plan and have to set strategy through which it can achieve this
goal successfully. Standardisation and grading is another key element it can be defined as
determining size, quality, colour etc (Kladou and Mavragani, 2015). Authorities have made
industry standards and it is essential for each company to follow these set criteria. Beauty Giant
has followed all these guidelines in designing its new forever-young item. Through marketing
entity has become able to meet with the grading and offer high quality anti-ageing cosmetic item
to consumers. Entity has got A grade for this forever young beauty product, by this way this has
become easy for Beauty Giant to sell its goods in market. Packaging and labelling is another key
element of marketing function. Marketers have to emphases on this element and have to ensure
proper packaging and labelling of gods so that it can reach to the target consumers easily (Mora
Cortez and Johnston, 2018).
Interrelationship between marketing and other functional units
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There is close relationship between marketing and other function of the company. Beauty
Giant has various functional departments such as production, finance, customer service, human
resource etc. All these departments are interrelated and work for achieving the common goal of
business (Boles and Link, 2017).
Marketing and production
Adequate research assists Beauty Giant in gathering necessary information about needs
of target audience. By this way, entity will be able to produce its products accordingly. If
company does not have necessary detail then it would not be able to meet with expectation of
buyers. By conducting market research Beauty Giant can produce satisfactory goods and can
meet with future demands (Londhe, 2014). Marketing ensure manufacturing of right quality
items and design specification so that satisfaction level of consumers can be raised. Thus,
marketing department helps in stretching capabilities of production unit. if company avoids
marketing element then it would not be able to produce satisfactory goods for its target audience.
Furthermore, product development is also highly depends upon the marketing element. If
markers have adequate information about changing needs of buyers then they can make
modification in their existing products.
Marketing and finance units
There is significant interrelationship between marketing and financing departments. Role
of finance department is to set budget and allot funds to each activities properly. If there are
adequate funds then company will be able to spend money for marketing the products. Through
this marketing Beauty Giant can increase sales and can raise awareness among consumers
(Marketing function, 2018). This helps in increasing cash flow and finance department will have
sufficient funds to allot in every activity. The main objective of marketing is to raise profit of
business unit and enhance market share. This is also helpful in recovering the cost and gaining
high return over their investments.
Marketing and human resource management (HRM)
There is significant relationship between HRM and marketing departments. Through
marketing company becomes able to identify the future demands. By this way, HR department
can hire people accordingly so that it can meet the demand (Marketing and its relationship with
other business activities, 2018). This is helpful in developing ambitious sales team so that sales
targets of Beauty Giant can be achieved. Marketing function assist in analysing the actual skills
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require in employees to satisfy consumers so HR manager can arrange training programs for
them accordingly so that overall goal of business can be obtained. (Boles and Link, 2017)
PART 2
Marketing mix and strategic marketing plan
Marketing mix is set of tactics that apply by companies to promote their products and
achieve marketing objectives. This marketing mix element creates demand for products and
helps the firm in increasing its sales volume. Beauty Giant is cosmetic firm that is recently
operating in 50 locations all over the UK. Enterprise has developed its strong brand image and
has satisfied needs of consumers (O'Cass and Morrish, 2016). Recently Beauty Giant has
planned to launch its new anti- ageing product called forever young. It wants to target 30new
markets by launching this new cosmetic item. There are various competitors of this business and
it has to ensure implementing right strategies so that it can gain competitive advantage.
Marketing mix elements are described as below:
Product
Beauty Giant is the medium size firm that offer men, women toiletries, anti-ageing
products to consumers (Davcik and Sharma, 2016). Whereas L’Oreal is the biggest competitor of
Beauty Giant, it has wide range of cosmetic items. It provides vichy, sanoflore, shampoo, body
shop to its clients. This wide portfolio assists the firm in attracting more people towards the
brand. But Beauty Giant is now planning to provide forever young product that can be used by
ladies those who are above 35.This can make them beautiful and enhance skin shining. By
offering this new product company would be able to gain attention of mass audience (Fortier and
Laws, 2014).
Price
Price is most of the most essential factor that influence the buying decision of consumers.
If companies are offering low quality products at higher rate than it may make consumers
negative towards brand and they will not prefer to buy products of firm. Clients pay for any
product that is valuable for them, if worth of items is unmatched with the quality then individual
will not buy it (Kladou and Mavragani, 2015). Beauty Giant takes support of skimming pricing
strategy. It keeps its rates of products low so that each person can afford it. this strategy helps
business in attracting more people and raising profit of business unit. On other hand, L’Oreal
implements competitive pricing strategy. This tactic helps business in gaining competitive
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advantage and sustaining in market for longer duration. L’Oreal has wide distribution channels
and has many branches across the world (Mora Cortez and Johnston, 2018). Customers are ready
to pay high amount for such high quality goods and services thus, entity has kept its products
prices high but it has ensured to maintain quality as well. This strategy support business in
creating unique brand image and raising profitability of business. But Beauty Giant has
implemented skimming pricing method, that is also good to target mass audience and attracting
all income class people towards the brand (Boles and Link, 2017).
Place
Beauty Giant has 50 branches all over UK. Company has opened its retail stores at high
street locations. Company also distributes its products through wholesalers, this aid in reaching
to large people. On other hand distribution network of L’Oreal is wide and company has strong
market presence. It has online and physical stores. Entity generally sells its items through its e-
commerce website. It also gives franchises to other retailers so that sales of the company can get
increased (Qureshi, Aziz and Mian, 2017).
Promotion
It is most essential element that aids businesses in attracting more people and creating
unique brand image of firm. L’Oreal promotes its products through organising promotional
campaigns. It also involves celebrates for promoting its products. Furthermore, organisation
takes support of print media to make people aware with its goods and services. On other hand,
Beauty Giant takes support of social media channels. It uses Facebook, Twitter and uploads
images of its new products (Fortier and Laws, 2014). This strategy helps business in making
connection with mass audience and developing healthy relationship with potential buyers.
Process
Beauty Giant have smooth process, consumers can make connection with customer
services executives easily. Entity provides immediate services to customers and resolves their
quarries soon. On other hand, L’Oreal has lengthy process, people find it difficult to reach to the
service departments. But delivery services of business is too fast (Chand, 2015).
People
Employees are assets of any firm, Beauty Giant treats its workers well. It provides them
training and gives them rewards so that they feel motivated. That is why people are highly
satisfied with Beauty Giant and they put their hard efforts to meet organisational goal. On other
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hand, L’Oreal gives attractive salary packages to its staff members and ensure creating healthy
workplace environment for them. This aids business in retaining their talented people in firm for
longer duration (Wrenn and Mansfield, 2014).
Physical evidence
It is known as extended marketing mix element, Beauty Giant has developed good
infrastructure that attracts people. Tangible components of its stores are amazing. L’Oreal also
has good condition of its physical stores. But entity does not pay much attention on its retail
outlets, it emphases more on its online stores. But displays, lighting of L’Oreal stores are
amazing ( O'Cass and Morrish, 2016).
Strategic marketing plan
Marketing plan can be defined as comprehensive documents that disclose strategies of
business and support the firm to market its products significantly in market.
Figure 2Marketing plan
(Source: Marketing Planning (Overview), 2018)
Executive summary
The main agenda of Beauty Giant is to promote its new forever-young product and
increase its market demand. For that, manager is required to prepare a marketing plan through
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which overall objective can be accomplished. It will include marketing strategies, budget, and
controlling tactics.
Marketing objective
The main marketing objective of Beauty Giant is to promote its Forever young cosmetic
item and increase its demand in market. It wants to raise its profit and aims t gain competitive
advantage (Marketing Planning (Overview), 2018).
Situational analysis
Marketing environment consists of two major factors micro and macro. Both these
components impact on overall performances and activities of business unit.
SWOT analysis
It is done to measure internal position of the company, by this marketing manager can
find out existing capabilities of firm (Wrenn and Mansfield, 2014).
Strength
 It has strong reputation in market,
consumers have faith on its existing
products and services.
 Strong marketing strategies
 Standardised designing and packaging
Weakness
 Poor financial management
 Poor HR policies
Opportunities
 Globalisation
 Technological advancement
Threats
 High competition
 Changing market needs and fluctuating
economic conditions
PEST analysis
This analysis is done to measure external market position of the firm and its capability to
run its operations in macro environment (Qureshi, Aziz and Mian, 2017).
 Political factor: Beauty Giant follows rules and regulations strongly but changing
political parties or unstable government creates issue for business in running operations
smoothly. Globalisation has supported firm in improving the profitability.
 Economic factor: Inflation, deflation, employment rates impact on overall efficiency of
firm to great extent. If there is low employment rate then it affects purchasing power of
consumers. In such condition, people do not spend much amount in costly items. Where
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if economic condition is good then customers have adequate income sources that enhance
their purchasing capacity (Marketing and its relationship with other business activities,
2018).
 Social factor: Beauty Giant always concentrates on needs and preferences of buyers. It
ensures that it meet the requirements of consumers significantly. It considers ethical
issues and provides high quality goods and services to consumers.
 Technological factors: Another major external factor affects overall operation of business
unit. Beauty Giant implements upgraded technologies and always bring innovation in
business. It aids the firm in minimising operational errors and improving efficiency of the
firms (Londhe, 2014).
Marketing mix
 Product: Beauty Giant is planning to launch new Forever young products that can be used
by women above 35 year. This product will attract more people and it will help in
increasing sales of company (Mora Cortez and Johnston, 2018).
 Pricing: Skimming pricing strategy will be implemented by Beauty Giant Beauty Giant, it
will help in making it affordable to all so that mass audience will take interest in this high
quality low price product.
 Promotion: Entity will promote this anti-ageing cosmetic item through social networking
sites. This will help in making direct communication with potential buyers and
influencing their decision as well (Fortier and Laws, 2014).
 Place: Beauty Giant will distribute its product through direct distribution channel.
Segmentation, Targeting, positioning
Beauty Giant will emphases on demographic segmentation strategy, it will target people
on the bases of their age and gender. The main target market for this product will be women
above 35 years because they are more aware for their skin. Entity will apply differentiated
targeting strategy. Cost positioning strategy will be applied in order to improve market position
of the firm (Kladou and Mavragani, 2015).
Financial plan
The entire budget to market this new Forever young product of Beauty Giant would be
15000
Marketing cost 4000
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Administrate give cost 3000
Salaries 5000
Miscellaneous expenses 3000
Total cost 15000
Controlling and monitoring
In order to control over entire marketing plan manager will continuously supervise
activities. Individual will conduct meeting with employees in order to identify the actual
response in market (Davcik and Sharma, 2016). Furthermore, test-marketing strategy will be
implemented, if it is found that response is negative then company will element the product from
market.
CONCLUSION
From the above study, it can be articulated that marketing plays significant role in success of
any company. If the firm plan to launch its new products then it is very important for business to
implement right strategies so that demand of this new products can be increased. Demographic
segmentation is helpful for the cosmetic companies because by this way they will be able to
target right consumers on the bases of their age and income. Companies are required to control
over their marketing plan and activities so that if any issue take place then they can take
necessary action on time and can resolve issues related to marketing.
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REFERENCES
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Boles, J. and Link, A. N., 2017. On the R&D/marketing interface in knowledge intensive
entrepreneurial firms. International Entrepreneurship and Management Journal. 13(3).
pp.943-952.
Chand, S., 2015. Marketing Management: Meaning and Importance of Marketing Management–
Explained!.
Davcik, N. S. and Sharma, P., 2016. Marketing resources, performance, and competitive
advantage: A review and future research directions. Journal of Business Research. 69(12).
pp.5547-5552.
Fortier, R. and Laws, E., 2014. Marketing an established institutional repository: Marquette
Libraries’ research stewardship survey. Library Hi Tech News. 31(6). pp.12-15.
Kladou, S. and Mavragani, E., 2015. Assessing destination image: An online marketing approach
and the case of TripAdvisor. Journal of Destination Marketing & Management. 4(3).
pp.187-193.
Londhe, B. R., 2014. Marketing mix for next generation marketing. Procedia Economics and
Finance. 11. pp.335-340.
Mora Cortez, R. and Johnston, W. J., 2018. Marketing role in B2B settings: evidence from
advanced, emerging and developing markets. Journal of Business & Industrial Marketing.
O'Cass, A. and Morrish, S., 2016. Anatomy of entrepreneurial marketing. Journal of Strategic
Marketing, 24(1), pp.2-4.
Qureshi, M. S., Aziz, N. and Mian, S. A., 2017. How marketing capabilities shape
entrepreneurial firm’s performance? Evidence from new technology based firms in turkey.
Journal of Global Entrepreneurship Research. 7(1). pp.15.
Wrenn, B. and Mansfield, P. M., 2014. Marketing planning guide. Routledge.
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Marketing Planning (Overview). 2018. [Online]. Available through <
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