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Defensive Offensive

Warfare Warfare
Is what market Is strategy for No.2
leaders wage or No.3 in a
category

Flanking
Warfare Guerilla
Smaller or new
Warfare
players that are Is often the land
trying to get a
foothold in a
of smaller
SIMPLY THINK OF COMPETITORS AS THE
ENEMY . ATTACK OR FLANK OR KEEP
INNOVATING DEPENDING ON YOUR
POSITION IN THE STRATEGIC SQUARE.

NEVER HESITATE TO DESTROY


COMPETITION OR ELSE
U WILL BE A PART OF HISTORY.
Principles of Defensive Marketing Warfare

 Only the market leader should consider playing


defensive.
 The best defensive strategy is the courage to
attack yourself
 Strong competitive moves should always be
blocked.

e.g : Gillette : The best a man can get.


 Owned wet shaving market with Blue and Super
Blue Blade.
 Launched Trac II (nonadjustable ) and ATRA
(adjustable double bladed razor)
 Launched Good News (inexpensive disposable
razor to counter BIC (French company which
launched disposable razor)
 Mach 3:- 3 bladed razors
Market share of over 60% in USA/Europe.

Other examples: INTEL (286,386,486,PENTIUM


etc.)
J&J : :- Tylenol :- reduced price from $2.85 for 100
to $1.85 to beat Bristol – Myer’s Datril.
Principles of Offensive Marketing Warfare:

 The main consideration is the strength of the leader’s


position.
 Find a weakness in the leader’s strength and attack at that
point.
 Launch the attack on as narrow a front as possible.
e.g. : AVIS :-- “Rent from AVIS . The line at our counter is
shorter”:- AVIS attacked Hertz:-- weakness inherent in
Hertz’s position as the largest Rent-A-Car company.
XEROX: Out-innovated the leader 3M (by developing a
better copying process-dry instead of wet copying)
 Fed Express used principle 3 by saying “ When it
absolutely , positively has to be there overnight”
(small packages less then 70 pounds)=
challenged the leader EMERY.

 Wall Street Journal was the leader (2 Mn daily) for


financial and business information. The name
positions it as a financial paper , so the business
side can be attacked == “Business Times” , The
daily business newspaper.
Principles of Flanking.
 A good Flanking move must be made into an
uncontested area.
 Tactical surprise ought to be an important element
of plan.
 The pursuit is as critical as the attack itself.

 Michael Dell flanked the computer industry and


Direct Marketed:- $ 500 Mn company in 5 years.
 Miller Lite flanked the beer industry with Lite beer.
 DEC flanked IBM (Minicomputers)
 Mercedes-Benz flanked GM (Cadillac cars ) at the high end.
 Volkswagen's Beetle flanked GM’s big cars.
 Avon flanked cosmetic companies who used traditional distribution
methods by resorting to direct door-to-door selling.

To launch a true flanking attack you must be the first to occupy the
segment.
Otherwise it’s just an offensive attack against a defended position.
Flanking skill requires exceptional foresight because there is no
established market for the new product or service.
Indian examples: Nirma, Close-up.
Principles of Guerilla Marketing Warfare.
 Find a segment of the market small enough to defend.
 No matter how successful you become , never act like a
leader.
 Be prepared to bug out at a moment’s notice.
e.g.: Rolls-Royce : High priced Guerilla : nobody competes
because
1) existing market is small
2) The company initially has an enormous advantage.
Indian examples: 1) Arun Ice-cream : T.N
2) Natural’s Ice-cream : Mumbai
3) Crown CTV : Gujarat. (Geographic
Guerillas)

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