IMPORTANT MARKETING TERMS

• • IBPS SO MAINS /MARKETING 2019 LECTURE 4
  • IMPORTANT MARKETING TERMS
  • Ø  MEANING OF BRICKS AND CLICKS
  • ALSO KNOWN AS CLICKS AND BRICKS OR CLICK AND MORTAR,
  • OR BRICKS,CLICKS AND FLIPS, WOMBLE STORE METHOD
  • WAMBAM(WEB APPLICATION MEETS BRICKS AND MORTAR)
  • WHEN A CHAIN OF STORES ALLOWS THE CUSTOMERS TO ORDER PRODUCT EITHER ON LINE OR PHYSICALLY IN ONE OF THEIR STORES

  ---

  • PURE CLICK COMPANIES
  • ARE THE ONE THAT CONDUCT THEIR BUSINESS OPERATION ON LINE AND DON'T DO THE BUSINESS OFF LINE
  • THE KINDS OF PURE CLICK COMPANIES:-
  • SEARCH ENGINES:YAHOO AND ALTA VISTAA
  • INTERNET SERVICE PROVIDERS:AOL,COMPUSERVE
  • COMMERCE SITES:-AMAZON.EBAY.CO, FLIPCART.COM
  • TRANSACTIONS SITES: AUCTION  AND BROKERAGE FOR EXAMPLE FABMART.COM. CONTENT SITES SUCH AS THE STREET,NEW YORK TIMES.
  • ENABLER SITES: PROVIDE HARDWARE AND SOFTWARE THAT ENABLE COMMUNICATION AND COMMERCE,
  
  
  •  BRICK ,CLICK AND FLIP
  • THE TERM BRICK,CLICK AND FLIP IS USED TO DESCRIBE MULTI CHANNEL RETAILERS ALONG WITH SALE CHANNELS INCLUDE :
  •  A BRICKS AMD MORTAR STORE
  • E COMMERCE WEBSITE SELLING GOODS ON LINE ALSO INCLUDE MOBILE COMMERCE WEBSITES AND APPS
  • A PRINTED CATELOGUE
  ·         EXAMPLE : NEXT,WILKINSON,TESCO
  • DEFENSIVE STRATEGY(MARKETING)
  • MARKETING TOOL THAT HELPS THE COMPANIES TO RETAIN VALUABLE CUSTOMERS THAT CAN BE TAKEN BY THE COMPETITORS
  • THE OBJECTIVE IS TO PROTECT ITS MARKET SHARE,PROFITABILITY,PRODUCT POSITIONING  AND MIND SHARE ( THE AWARENESS OF A BUSINESS AMONG CONSUMERS) AGAINST COMPETITORS.
  • DEFENSIVE STRATEGIES
  1.     SIGNALING:-USE SIGNALLING TO ANNOUNCE THEIR INTENTION TO TAKE ACTION. ANNOUNCEMENT CAN BE MADE THROUGH INTERVIEWS WITH THE PRESS ETC
  2.     FORTIFY AND DEFEND
  3.     COVER ALL BASES
  4.     CONTINUOUS IMPROVEMENT
  5.     CAPACITY EXPANSION
  6.     DEFEND POSITION BEFORE ENTRANT BECOMES ESTABLISHED
  7.     ENGAGE IN CROSS PARY: WHEN  A FIRM THAT IS CHALLENGED BY A COMPETITOR IN ONE ARES CHOOSES TO CHALLENGE IN ANOTHER AREA
  8.     EXCLUSION: SET UP EXCLUSIVE ARRANGEMENT WITH SUPPLIER
  9.     PRICING : MATCH PRICE CUT
  
  
  • OFFENSIVE STRATEGY
  1.     DIRECT TARGET COMPETITORS FROM WHICH THEY WANT TO CAPTURE MARKET SHARE.
  2.     DIRECT ATTACK” REDUCE THE PRICE,INTRODUCE NEW FEATURES
  3.     END RUN:-AVOID DIRECT COMPETITION BUT ENTER INTO UNOCCUPIED MARKETS
  4.     PRE PREEMPTION: THE FIRST COMPANY INTO A MARKET GAINS A POSITION FROM WHICH LATER ENTRANT CAN NOT DISLODGE IT . THE FIRST COMPANY CAN ACQUIRE THE BEST LOCATION,CAN BUILD RELATIONSHIP WITH THE BUYER.
  5.     ACQUISITIONS
  • PREEMPTIVE DEFENSE
  • ATTACKING THE ENEMY BEFORE THE ENEMY COULD ATTACK. MAY ENTAIL NEW PRODUCT LAUNCHES,SPENDING MORE MONEY ON ADVERTISING
  • FLANKING
  • CAPTURING THE MARKET SEGMENTS THAT IS NOT BEING WELL SERVED BY THE FIRM’S COMPETITORS IT IS THE INDIRECT MARKETING STRATEGY
  • FUNDAMENTAL OF FLANKING:
  • ENTERING THE UNTAPPED MARKET
  • BY QUICK AND STEADY MOVEMENT BEFORE THE COMPETITOR RECOGNIZE YOU
  • MOBILE DEFENSE STRATEGY
  • KIND OF STRATEGY CHOSEN BY FIRM TO PREVENT COMPETITION FROM THE COMPETITORS. IT REQUIRES CONSTANTLY CHANGING POSITION AND BUSINESS SUCH THAT IT BECOMES DIFFICULT FOR COMPETITOR TO COMPETE.
  • FIRMS GET INTO MARKET BROADENING AND MARKET DIVERSIFICATION
  • A PETROLEUM INDUSTRY GETTING INVOLVED IN PRODUCING COALS,HYDROELECTRIC . SAMSUNG ENTERING INTO FOOD INDUSTRY
  • FLAK DEFENSE
  • IS ONE OF THE TACTICS OF MARKETING WHERE A MARKET LEADER NOT ONLY SATISFIES IN POSITION DEFENSE BUT ALSO PUTS UP AN OUTPOST TO DEFEND THE WEAK FRONT OR TO ACT AS A COUNTER INVASION BASE
  • FLANK POSITIONING
  ·         A FLANK STRATEGY OCCURS IN A DOMAIN THAT IS UNCONTESTED. THIS STRATEGY INVOLVES AN ELEMENT OF SURPRISE AND FOCUSES ON AN AREA OR SEGMENT WHICH THE COMPETITOR WILL NOT FIND THREATENING ENOUGH TO RESPOND IMMEDIATELY.
  ·         THE PRIMARY AIM IS TO TARGET  THE COMPETITORS ‘S CUSTOMER. FLANK STRATEGIES COULD BE OFFENSIVE
  ·         ( FLANK ATTACK) OR DEFENSIVE FLANK POSITIONING
  • FLANK POSITIONING
  • THE ORGANIZATION REDEPLOYS ITS RESOURCES IN ORDER TO STRENGTH ITS DOMAIN WHERE THE COMPANY IS MOST VULNERABLE IN THE MARKET AND CAN EASILY LOSE ITS MARKET SHARE TO COMPETITOR
  • CAN BE DONE BY THE INTRODUCTION OF NEW PRODUCT,PRODUCT LINES,BRANDS AND RE POSITIONING. FOCUSES ON PRODUCT DIFFERENTIATION AND MARKET SEGMENTATION
  • FLANK ATTACK, FLANKER BRAND
  • TO CAPTURE THE MARKET WHICH IS NOT WELL SERVED BY ESTABLISHED PLAYERS. FLANK ATTACK TARGET’S COMPETITOR’S WEAK POINT.
  • FLANKER BRAND:-ADDITIONAL OFFERING. EXTENSION TO A BRAND IN THE SAME PRODUCT FROM THE SAME COMPANY. COMPANIES EMPLOY FLANKER BRAND TO DEFEND      AGAINST FLANK ATTACK