Strategic Marketing Strategy
1
TABLE OF CONTENTS
Page 1. Introduction 1.1 Identifying the competitor 1.2 Direct competitors versus potential competitors 1.3 Identifying Woolworths‟ competitors 2. Analyse strategic groups 2.1 Characteristics for identifying strategic groups 3. Analysis of key competitors 3.1 Competitors‟ objectives and strategic thrusts 3.2 Competitors‟ strategies 3.3 Competitors‟ strengths and weaknesses 4. Forecasting likely response strategies 5. Conclusion References 2 2 3 3 3 3 4 4 4 4 5 5 5
2 1. Introduction
It is common knowledge in business practices that a successful marketing strategy from an organisation‟s point of view includes positioning of a new product or service (finding your market niche), pricing of products and services, promoting them through continued advertising, promotions, public relations and sales, and last but not least, analysing the competition. A marketing strategy is the way in which an organisation matches its own human, financial and physical resources with the wants of its customers. According to Jooste, Strydom, Berndt and du Plessis (2008), competitor analysis in strategic marketing management is an assessment of the strengths and weaknesses of current and potential competitors. This analysis provides both an offensive and defensive strategic context through which to identify opportunities and threats. Competitor analysis is normally with the focus on the competitors as „rivals‟ and the objective is to identify the strengths and weaknesses of the rivals in order to develop strategies to „fight the battle‟. The focus of competitor analysis is thus not only to gain an advantage over direct competitors but also to search for starting points for collaboration. (Jooste, Strydom, Berndt & du Plessis, 2008, p.96).
The focus will be to answer the following: Who Woolworths‟ present and potential competitors are What positions they have established in the market What their strategic objectives and thrusts are What their present and
TABLE OF CONTENTS
Page 1. Introduction 1.1 Identifying the competitor 1.2 Direct competitors versus potential competitors 1.3 Identifying Woolworths‟ competitors 2. Analyse strategic groups 2.1 Characteristics for identifying strategic groups 3. Analysis of key competitors 3.1 Competitors‟ objectives and strategic thrusts 3.2 Competitors‟ strategies 3.3 Competitors‟ strengths and weaknesses 4. Forecasting likely response strategies 5. Conclusion References 2 2 3 3 3 3 4 4 4 4 5 5 5
2 1. Introduction
It is common knowledge in business practices that a successful marketing strategy from an organisation‟s point of view includes positioning of a new product or service (finding your market niche), pricing of products and services, promoting them through continued advertising, promotions, public relations and sales, and last but not least, analysing the competition. A marketing strategy is the way in which an organisation matches its own human, financial and physical resources with the wants of its customers. According to Jooste, Strydom, Berndt and du Plessis (2008), competitor analysis in strategic marketing management is an assessment of the strengths and weaknesses of current and potential competitors. This analysis provides both an offensive and defensive strategic context through which to identify opportunities and threats. Competitor analysis is normally with the focus on the competitors as „rivals‟ and the objective is to identify the strengths and weaknesses of the rivals in order to develop strategies to „fight the battle‟. The focus of competitor analysis is thus not only to gain an advantage over direct competitors but also to search for starting points for collaboration. (Jooste, Strydom, Berndt & du Plessis, 2008, p.96).
The focus will be to answer the following: Who Woolworths‟ present and potential competitors are What positions they have established in the market What their strategic objectives and thrusts are What their present and
References: Jooste, CJ., Strydom, JW., Du Plessis, F & Berndt, A. 2008. Applied strategic marketing. 3rd edition. Sandown: Heinemann. Cant, MC & Machado, R (eds). 2010. Marketing Success Stories. 7th edition. Cape Town: Oxford University Press. www.themarketingsite.com Louw, L. & Venter, P. 2010. Strategic Management: Developing Sustainability in South Africa. 2nd ed. Cape Town: Oxford University Press Southern Africa.