Analysing markets and marketing
Carrying out Market analysis - what to look for?
Market size, Extent of market growth, Types of consumers in the market, Behaviour of consumers, Structure of the market, Markert position.
Reasons for market analysis?
New corporate obj due to takeover/merger, technological development, Change in market condition, Change in competitor behaviour, New marketing obj, New mkt strategy etc.
Marketing strategies (three main ones)
The single market strategy/niche marketing - focus on a specific part of the market where it belives the consumer needs are not being met.
Multi Market segment - seek to provide a generic product but modify it in some way to meet the needs of different markets.
Total market strategy - serve as many market segments that exist in their market as possible. e.g brewing firms, vehicle manufacturers and publishers.
Markets - analysing trends.
Looking forward - this way managers can identify the paticular segments of growth or decline and act accordingly. (more likely to be succesful than reacting after change has happened.)
If managers identify the correlation between the variables and level of sales it determines the demand for goods enabling them to try influence these or target there goods at a more specified market.
Enables erractic and seasonal factors in data to be smoothed out so that the underlying tred can be identified more cleary.
Identifying the trend - this allows the buss to predict what is likely to happen in the future.
Analysing markets and the use of technology.
Businesses have easier access to gather info about customes. e.g strore and loyalty cards.
Market Research can be conducted through EPOS systems and online questionnaires.
Once data is collected, software packages are available to process and present info.
Recently the growth of business blogs has become a common way to obtain feedback from customers.
- Disadvantages - Information overload (slow decision making), Data is available very quickly which may cause decision makers to overreact or misinterpret apparent trends leading to unfortunate decisions being taken.
- Advantages -