Marketing Strategy
What is Offensive Marketing?
When more than one company offers the same kind of product, each company only receives a percentage of all sales of that kind of product. This percentage is called a “market share,” and any effort to take some of the market share away from one company and bring it to another is called an offensive marketing plan. (See also Flanking Marketing)
In the above case of the motorcycle business of the mid-to-late 20th century, the Harley Davidson Company saw its market share declining while its competitors, like the Japanese company Honda and the Italian company Ducati, started to control more of the market, especially in the United States. Harley used an offensive marketing strategy to convince consumers that its competitor's motorcycles were inferior while simultaneously romanticizing the unique features of Harley's motorcycles. This proactive, image-driven campaign was designed to not only grow Harley Davidson's business, but also shrink the business of its competitors.
Defensive Strategy
Defensive strategy is a reactive strategy. It is a developed to protect market share, position and profitability. It is a strategy that can be used to keep up top position in local and existing market. An example for this could be if a company highlights its USP and advantages of its products and services to prove its better than competition. This is also done by introducing new products and services in the market which is better than what competition has to offer.
This strategy is predominantly useful for a market which is well established in the market but is merely looking at pushing competition away to hold top position or monopoly in some situations as the case might be. This strategy will never include attracting customer attention for the first time. It is to keep the reputation intact which has been built in the market. This methodology is most successful to keep up the customer’s confidence which no new competitor can disturb.
HOW IS
When more than one company offers the same kind of product, each company only receives a percentage of all sales of that kind of product. This percentage is called a “market share,” and any effort to take some of the market share away from one company and bring it to another is called an offensive marketing plan. (See also Flanking Marketing)
In the above case of the motorcycle business of the mid-to-late 20th century, the Harley Davidson Company saw its market share declining while its competitors, like the Japanese company Honda and the Italian company Ducati, started to control more of the market, especially in the United States. Harley used an offensive marketing strategy to convince consumers that its competitor's motorcycles were inferior while simultaneously romanticizing the unique features of Harley's motorcycles. This proactive, image-driven campaign was designed to not only grow Harley Davidson's business, but also shrink the business of its competitors.
Defensive Strategy
Defensive strategy is a reactive strategy. It is a developed to protect market share, position and profitability. It is a strategy that can be used to keep up top position in local and existing market. An example for this could be if a company highlights its USP and advantages of its products and services to prove its better than competition. This is also done by introducing new products and services in the market which is better than what competition has to offer.
This strategy is predominantly useful for a market which is well established in the market but is merely looking at pushing competition away to hold top position or monopoly in some situations as the case might be. This strategy will never include attracting customer attention for the first time. It is to keep the reputation intact which has been built in the market. This methodology is most successful to keep up the customer’s confidence which no new competitor can disturb.
HOW IS