Dr.

Saleh Azab Hasan

Marketing Strategy

sinaiuniversity.net
 What is Marketing?
• Marketing involves all of the promotional activities carried
out by an organization to make products a reality, and
available to customers from the manufacturer.

• Marketing increased substantially last two decades,

especially DTC(Direct to consumer)

• Marketing, therefore, exists heavily in both B2C (Business

to Consumer) and B2B (Business to Business)
pharmaceutical environments to inform stakeholders of the
options available to them.
 Why the Marketing?

• Marketing provides a competitive edge, penetration into

new markets, the acquiring of new customers, and
ultimately the achievement of the business objectives.

Marketing strategy is a strategy of coverage of

the market.
It represents the program of marketing activity of firm at the
target markets, defining basic decisions on achievement of
marketing purposes
 kinds of strategies :
1. Market Penetration. Means increasing of revenue by(e.g
promoting the product, repositioning the brand, and so on).
However, the product is not altered and we do not seek any
new customers.

2.Market Development. Here we market our existing product

range in a new market. This means that the product remains
the same, but it is marketed to a new audience. Exporting the
product, or marketing it in a new region, are examples of
market development.

3. Product Development. This is a new product to be

marketed to our existing customers. Here we develop and
innovate new product offerings to replace existing ones.
Such products are then marketed to our existing customers.

.
4. Diversification. This is
where we market completely
new products to new
customers.
There are two types of
diversification, namely related
and unrelated diversification. -
-- Related diversification means
that we remain in a market or
industry with which we are
familiar.
- Unrelated diversification is
where we have no previous
industry or market experience
 Marketing strategy pillars
• Marketing strategy is based on three main pillars:
segmentation, targeting, and positioning.
First: Segmentations is classifying customers into
groups, each group share similar need or want and can
be targeted by the same marketing mix.
Second: Targeting is the process of selecting the most
attractive segments among all segments.
Third: Positioning is the definition of the product
perception in consumers minds, relative to competition,
based on its attributes and benefits.
 First: Market Segmentation
Markets consist of various demographic characteristics,
needs and behaviours, therefore products/services and
marketing messages may not relate to all of these people.
So, strategic segmentation provides an opportunity to
target specific messages and campaigns towards specific
audiences.

Market segmentation, therefore is the measure whereby

a company seeks to gain a differential advantages over its
competitors.

An enterprise should assess the different market

segments and decide how many and what segments to
allocate for future marketing work for them.
 Differentiated-market strategy
•When an organization caters to many markets segments,
each with a differentiated marketing mix, then it is practicing
differentiated marketing strategy.
Advantages:
a) It minimizes or eliminates the vulnerability factors. It allows
the firm to be more flexible, and to pull out of an unprofitable
segment and rely on other segments.
b) Major marketing costs (like selling and distribution) are spread
over a number of products. This enables you to compete in
relatively smaller yet profitable segments more effectively .
c) To decide on the strategy to adopt ask
•Resources of the company (financial technology etc).
•What is the competition doing?
•Is the market new to the company?
•
 Undifferentiated-market strategy
• also known as a mass-market or an aggregation
market strategy.
• an organization treats its total market as a single
given.
• Management then develops a single product and
single marketing mix (one pricing structure, one
distribution system, and single promotional
program) for this mass audience that is aimed at
the entire market, in order to reach as many
customers as possible in this aggregate market
 strategy of multiple segmentation

--Two or more different groups of potential

customers are identified as target-market
segments
- Develop deferent variety of the basic
product for each segment
- However, the market segmentation can also
be accomplished with no change in the
product, but rather with separate marketing
programs, each tailored to a given market
 Second: Targeting
Every marketing strategy will involve an
element of targeting.
Targeting enables organisations to narrow
their focus and aim marketing campaigns and
messages at a specific segment of the
market, thus becoming more relevant to the
audience and increasing the chances of
conversion into a customer or client.
Essentially focusing on customers that an
organisation can serve best.
 Third: POSITIONING GOODS
- Positioning tells what the product stands for, what it is, and
how the customers should evaluate it.
As a matter of strategy:
a) The product should be so positioned that it stands apart
from competing brands.
b) the product should be matched with that segment of the
market where it is most likely to succeed.
-Positioning refers to placing a brand in that part of the
market where it will have a favorable reception compared to
competing products
-Differentiation is required to position a marketing product,
service or brand within the market.
With some products positioning can be
achieved on the basis of tangible
differences (e.g., product features); with
many others, intangibles are used to
differentiate and position products.

Marketing executives can choose from a

variety of positioning strategies, some of
which are as follows:
1. Positioning in relation to a competitor.
2. Positioning in relation to a target market.
3. Positioning in relation to a product class.
4. Positioning by price and quality
 Marketing Mix(4Ps)
The ultimate objective of marketers is to place the proper product in the
right place, at the proper price and at the appropriate time. Therefore
the marketing mix consists of four elements 4P: product,
price, promotion and place.
1.Product: brand name, quality, product life cycle (PLC),
dosages, indications, efficacy, packaging,
2.Price: Public price, price to retailers, pricing factors
3.Promotion: personal selling, DTC advertising, sales
promotions, public relations
4.Place: distribution channels, coverage, transportation,
inventory, online distribution.
 2. Price
• Generally, price is the value of a product for both the buyer
and the seller.
• Consumers perceive the price as a mix of product quality,
functionality, expected benefits, and competitors' prices.

• Successful pricing strategy comes after thorough evaluation

of customers' price perception and expectation.

• The price policy is the complex of measures including

determining of the price, extra charges and discounts,
conditions of payment.

• Management of the prices taking into account preferences

and possibilities of consumers the maintenance of profit of
the enterprise-manufacturer or the seller.
 PRICING FACTORS

• To the internal factors influencing pricing,

concern: the marketing purposes of the firm,
marketing strategy, expenses, and a stage of
product life cycle.
• Among the external factors influencing pricing,
consumers, state, regulation of prices, participants
of trade channels (intermediaries) and competitors
are allocated.
• Price increases may not be possible given
constraints imposed by regulation and large entity
control.
 3. Promotion
• Promotion is the process of marketing products to
customers. It includes advertising, personal selling
(detailing), public relations, and sales promotions .

4. Place
• Place refers to the physical distribution of the
product though different channels. Channel of
distribution is responsible to transfer the product
from the manufacturing site to the hands of
consumers.
 The Product’s Life Cycle
• Products tend to go through different stages, each stage being
affected by different competitive conditions. These stages require
different marketing strategies at different times
• The length of a product's life cycle can last from weeks to years
depending on the type of product.
• Usually it is divided into four stages known as introduction,
growth, maturity and decline
 1. Introduction stage

• It is the period, during which the initial market acceptance may

be in doubt; thus, it may be a period of a slow growth.
• Profits are often few or nonexistent because of the low price and
high marketing and production expenses.
• The marketing strategy during this stage is based on different
marketing mix combinations of product, price, promotion and
distribution variables.
 2. Growth stage
-Substantial profit improvement: Increased sales will
make some economies of scale possible.
-The strategy in this stage takes the following shape:
(a) product improvement—addition of new features and
models;
(b) development of new market segments;
(c) selective demand stimulation; and
(d) price adjustments.
-Prices will tend to go down, because of the increase in
the number of competing firms
 3. Maturity stage,
• competition reaches its peak.
• The total sales of the product class, which have been rising
through the early stages, continue to increase, but at a
decreasing rate, until reaching to its peak.
• The product variations may be expected to appear.
• Strategy’s steps in the maturity stage comprises the
following steps:
 search for new markets and new uses for the product;
 improvement of product quality through changes; and
 new marketing-mix perspectives.
 4. The decline Stage
• Declining is related to the effectiveness of the product as
compared to other means.

• If the decline is caused by a new product development, the

decline may be rapid.
• Sales and profits continue their downward trend.

• Some firms may now drop from the competition leaving a

potential marketing opportunity for those remaining.

• The rate of decline is governed by how rapidly consumer

tastes change to adopt the substitute products.
 True and False
1. Marketing strategy is a strategy of coverage of the market.
2. Consumers state is one of the internal factors influencing
pricing.
3. Consumers perceive the price as a mix of product quality,
functionality, expected benefits, and competitors' prices.
4. In the growth stage of PLC, competition reaches its peak.
5. If the decline of a product is caused by a new product
development, the decline may be rapid.
6. Marketing of products exists heavily in both B2C and B2B
environments.
7. Targeting is classifying customers into groups, each group
share similar need or want and can be targeted by the
same marketing mix.
9. Undifferentiated-market strategy is required to position a
marketing product, or brand within the market.
10. Targeting refers to placing a brand in that part of the market
where it will have a favorable reception compared to
competing products.
11. In strategy of multiple segmentation an organization treats
its total market as a single given.

12. The length of a product's life cycle should be at least one

year.
13. In Introduction stage usually a firm achieves substantial
profit, because of the height price and no competition .
 MCQ
1. The enterprise, which has reached high figures of sales
volumes of production and recognition of buyers, gets the
maximum profit at the following stage of the product life cycle:
A. Decline B. Introduction C. Growth D. Maturity E. Development

2. . Marketing executives can choose from a variety of

positioning strategies, the follows: are some them except:
A. Positioning in relation to a competitor.
B. Positioning in relation to a target market
C. Positioning in relation to funding sources.
D. Positioning in relation to a product class.
E. Positioning by price and quality
3. The firm produces and sells a product is homogeneous
and is offered to the whole market. What type of the
marketing strategy is used by firm?
A. Non-differentiated marketing
B. The strategy of the single-segment
C. The strategy of multiple segmentation
D. Balanced marketing
Е. Individual marketing

4. The company produces and sells goods differing by a set

of qualitative and quantitative characteristics. What type of
the marketing strategy does the company keep?
A. Non-differentiated marketing
B. The strategy of multiple segmentation
C. The strategy of the single-segment
D. The balanced marketing
5. Marketing strategy is based on next pillars Except
A. segmentation B. targeting C. positioning D. Diversification

6. The PLC has ____ stages.

A. 5 stages B. 3 to 4 stages
C. 4 stages D. 5 -6 stages

7..Under product concept of Marketing focus is on

A. Quantity B. Selling and promotion
C. Integrated marketing D. Quality

8. When the firm remains the same product, but it is

marketed to a new audience. Firm follows strategy
A. Product Development B. Market Development
C. Market Penetration D. Diversification
9. Strategy in the maturity stage comprises all the
following steps Except:
A.search for new markets and new uses for the product;
B. improvement of product quality through changes
C. new marketing-mix perspectives.
D. new pricing policy

10. The product is not altered and we do not seek any new
customers, it’s the strategy of:
A. Product Development B. Market Development
C. Market Penetration D. Diversification

11. Which is not feature of Marketing

A. Identify needs and wants of Customer
B. Create market offering
C. Preparing balance sheet and profit and loss
D. Customer Value