Is There Any Marketing Strategy that Really Works?
Taken a closer look at business practices during hard times.
Lauren Kennedy
Issue date: 10/19/09 Section: Shopping
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A marketing strategy is when a business composes a plan that incorporates product development, promotion, distribution, pricing approaches and marketing goals within a stated timeframe in which the business wishes to reach these guidelines. The Entrepreneur magazines states that in order to have an excellent marketing approach a company must understand a few crucial lessons. They are:
Negative aspects of a company should
always be reflected in a positive
light
Various tools/outlets should be used in
order to spread how one's company/brand
is different than it's competitors
Slogans should have potential for
longevity
Honesty must shine through every arena
in one's corporation to gain consumers'
trust
A company should take advantage of the
media its audience mainly uses
A signature look should be used so
recognition is immediate.
Companies agree with these credentials and attempt to create their plan accordingly, while others steer in different directions hoping to create a new and more successful plan than the ones already in use. Either way, a business relies heavily on their strategies, it is their one secret that will allow them the chance to soar past competitors.
What is the ultimate secret behind success in retail? Is there one particular approach that works better than others?
Rachell, as sales representative for a popular young lady's clothing company Charlotte Russe, explains how business for them has actually remained the same or has increased in recent times. Charlotte Russe has placed an emphasis on promoting special discount sales along with providing shoppers with trends that reflect the most up-to-date runway fashions. The company has also created a new logo, shortening the name Charlotte Russe to CR, this logo is represented on items such as their shopping bag. Through the new logo they are trying to take their company to the next level and appeal to an even broader audience. During the harder times, instead of cutting money on advertising and promotions the company has tightened its payroll, shortened employee hours and has focused on providing even better consumer service than ever before.
Amanda Vaccaro, an Express representative, explained that even though business has slightly decreased, the constant supply of new merchandise the company presents along with loyal customers the loss has not been as bad as it could have been. Within the store they promote company credit cards that allow shoppers to save 15 percent off purchases. They also always have a "buy one get one half off" deal, and they train their employees to be fashion experts so they are capable of assisting shoppers with whatever questions they might have. Express has taken a different approach than CR by staying with a never-changing image, which is why their numbers in loyal customers might be higher than competitors. Similarly to CR however, the Express headquarters is putting a lot of pressure for them to stay within budget so they have also cut the amount of hours they are giving to their employees.
Sears representative Josh Arnez said that "As the fourth-quarter profit margin approaches, sales have steadily declined." The company has decided to stay with the same marketing tactics. One in particular is offering special incentives with the accumulation of a Sears credit card. Incentives include are cash rebates and zero percent financing with no payments for a year and also matching any competitors' price and reducing it by five percent for most appliances. Although a lot has remained the same, Arnez said that Sears' approach toward selling has become more aggressive. Little adjustments to the uniform have been made to engage the curiosity of shoppers and then inform them of other ongoing deals the company is having. Sears has also made cuts in the hours given to employees, though Sears has also decided to make their employees responsible for a broader range of tasks in order to have fewer workers on payroll and hire fewer people.
Many argue that in order to save the economy people need to start shopping. Thomas Friedman of the New York Times wrote that the American people need to go shopping and support the federal efforts in order to stimulate the economy. Although having recently started to come out of an economy crisis, people are still hesitant to spend their money, so it is the responsibility of these retail businesses to create this perfect marketing strategy to engage shoppers and promote profit increases to save both their business and the American economy.