Consumer Price Loyalty

Consumer Price LOYALTY

Research on retail 

In today business and the changing environment, As retail businesses boost  for the holidays and for what they hope will be a profitable fourth quarter, a research done,  on Retail Industry indicates that businesses will have to do more than just encourage shoppers this year with great deals - they will have to wow them. 

This is find out 76 percent of survey respondents claimed that their customers are still price-sensitive and are shopping for deals, while 24 percent of respondents say their shoppers are brand-loyal, regardless of price. This survey has represented every major retail category from electronics, Home appliances, fabrics and fashion.

Today in the retail sector this is important to find a clear picture of the customer spending habits to make a strategic decision regarding the product innovation.

This is not surprising to us that many of merchants, regardless of their offerings and product promotion say that their customers are still cautious when it comes to their spending expenses on shopping.

 Marketers spend an average of 2.5% of their total company revenue on digital marketing activities and Social Media currently makes up an average of 7.6% of respondents’ total marketing budgets. This share of spend is expected to jump by more than 40% in the next year to 10.7%.

In the retail sector When asks what strategies retailers are finding success on the marketing and brand communication it comes to online advertising, Search Engine Marketing (31%) and email campaigns (31%) tie at the top of the list.

Email performance remains at average levels for most retailers (47%) while many are actually seeing an improvement over last year (36%), and only 10% are seeing a decline in performance compared to previous three years. 

A majority of retailers surveyed (49%) reported that they are seeing an increase in their affiliate marketing programs compared to 2009, and about forty-four percent of merchants surveyed believe that Search Engine Optimization (SEO) strategies will bring in about 5-20% of their sales, while only 24% believe that they'll receive 20-50% of sales from SEO. 

Another standout trend is the proclivity for retailers to use social media. While it's no surprise that retailers rely on sites like Facebook pages and Twitter to advertise products and sales (59%), the survey revealed that they also use social media to communicate news (64%) and even address customer service needs (34%), while giving customers a forum for discussion (43%). Facebook tops the list of most retailers' primary social media tools (82%) while Twitter (67%) and blogging (54%) follow suit. Only nine percent of the retailers claim not to use social media at all. 

With respect to mobile marketing, a large percentage of retailers (52%), while they may not engage in it now, have plans to. Thirteen percent currently use mobile marketing as part of their strategy and thirty-five percent do not and do not plan to in the future.

HOW TO DRIVE THE CUSTOMER IN REPEAT PURCHASING

A pricing strategy takes into account segments, ability to pay, market conditions, competitor actions, trade margins and input costs, amongst others. It is targeted at the defined customers and against competitors.  Pricing strategy is very important to survive in the market because if it does not match with consumer perception this will drive the organization in downgrade. There is some question and answer that will help the organization to prepare a pricing strategy.  

How an organization does perceived better product in terms of pricing?

Today Indian consumers are not necessarily happy with cheap offerings. Now consumer is very savvy when it comes to pricing; if you put the product price something right, they will perceive the value to be correct. The consumer has an affinity with the brand and the product quality is perceived good then they will be loyal with the brand. Pricing is a good bet for the organization and leads to focus on competitors comparisons on the product. In the market there are many good local players who have larger footprints and one tends to compare with your brand offering with their price points.

How do you compare yourself? 

Many companies are looking the market in terms of revenue at the share of the consumer’s wallet. An Organization should try to see how we can make money on the investment.  The most important things are that how the organization ensures that the iconic nature of the brand would preserve and establish for a long term.  There is lot of competition is founded at different price points but the pricing model is chosen to attract the consumer towards brands. Organization should looks at aggressive growth and would be gaining a double-digit market share soon

What is your marketing campaign?

In the digital arena it is important for the organization focus on the digital campaign. The digital space is most important the brand to be in mind of the consumer. When organizations enter in any field of the industry, Number of interesting campaigns is run in the digital space as well as in market place. In the competitive market this is very important to find the target group and where they spend their time. Social media like Facebook, Twitter and LinkedIn this is best medium for the organization to run their digital space campaign to visualize the brand in mass new generation where consumer really wants to see the brand.

This is also important to the organization to run different promotional activities to induce the customer so that be loyal with our brand. Promotional activities can be loyalty card, discount offer, combo offer, membership card and many more.  

Can merger & acquisition enhance the market growth?

Merger & acquisition has the best option to the organization to increase their brand presence in the local market. This helps the organization to achieve long-term plan by local chains that increase the market share and growth. In the merger and acquisition both the partners decide to put in their own investment which reflects the leadership’s view and the opportunity to achieve the revenue.

EASE THE TRANSFERRING PROCESS BY CHEQUE RECOGNITION TECHNOLOGY

Your Market Asia, 22 January 2015:  Cheque Recognition Technology has been implemented in the bank to ease the transferring process of the client. Paris-based A2iAa Tech Company has signed a deal with India to help the bank in automating the cheque image truncation process.

15 million cheque will be collected from more than 6oo branches of the bank by the company and will be processed by A2iA cheque reader technology.

A2iA Check Reader is the global standard for advanced image analysis and intelligent recognition software used to seamlessly, precisely and securely process checks and other payment documentation by banks, financial institutions and other progressive corporations around the world.  

Company is coordinating with the Reserve Bank of India (RBI) and the National Payments Corporation of India (NPCI) to bring in this technology in the Bank. This technology will help the bank in the process of Check Truncation System (CTS). A2iA Check Reader is used during millions of successful transactions every day, helping to minimize errors and detect fraud within the global payment market. 

Ansoff Matrix

Ansoff Matrix

Ansoff matrix is used to analyze the company growth or position and help to prepare to strategy to entice the customer and be in the mind of the consumer.

There are four figurative diagrams which is used before planning for any action taken by marketing head.

1.   Market Penetration - This is a marketing strategy of developing business by selling more of existing products in existing markets. There is many method is used to make the product available and increase brand presence in the market.  This may be undertaken through cross-selling, increasing promotions or distribution, taking competitors‟ customers, expanding the market or increasing product usage.                                     

Cross –Selling- This is the process where two offer is given in the market to increase the sales lead.  This is very strategically prepared by the organization head so that customer get satisfaction from offer and also company could stock out their product.

Promotion – This is very important part of the product success. This is the one and only important factors which increase brand presence in the consumer mind. Today consumer is very psyche mind if you are not shown you will not get noticed. Therefore company give 70% focus on the promotion and rest on the sales strategy. 

 2.    Market Development- In the competitive market to be first, organization should always focus on expansion by finding new market. This can be done analyzing market demand and needs of the consumer.   A marketing strategy of taking an existing product to new markets needs market research so that company finds the right market.

 3.      Product Development- Product Development increases the revenue and sustain in existing market when existing products sales goes down. Company should concentrate on the product quality and use latest technology to make the product excellence. Product development is the only source for the growth when existing market does not take any interest in their brand.

 4.       Product Diversification-  A marketing strategy that a firm may pursue to develop new products in new markets. Diversification refers to situation where a firm stays broadly within the industry, but needs to acquire new competencies and resources. Product diversification gives the least place of the organization leverage from the existing competencies and resources.

There are several diversification Strategies:

·         Horizontal Diversification: The Company is developing a new product or activity capable of satisfying the same clientele, even if the new products are technologically independent of the existing products.

·   Vertical Diversification: The Company starts to make the work of its suppliers and/or customers.

·  Concentric Diversification: The Company develops new products/activities with a complementary technology to existing products/activities. These products may attract a new group of customers and there will be a transfer of key skills.

·         Diversification by conglomerate: the company has different products/activities for various markets. The firm now settles on a market where it has no previous experience nor industry but it could attract new groups of customer

Glossary-

Cross Selling - Selling different parts of a product range, that they have not previously bought, to an existing customer

Competitors - May be direct or indirect. Direct competitors provide the same products or services in the same market; indirect competitors provide similar benefits, or substitute benefits in the same market.

Distribution - The Place element of the marketing mix. It involves the process of getting the goods from the supplier to the user and involves channel management and physical distribution management.

Market Research- Gathering, analyzing data about the market to reduce risk and enable better marketing decisions to be made.

Positioning - The third stage of the target marketing process following segmentation and targeting. It is the creation of an image for a firm, product, service or brand in the minds of customers and compared with competitors. Firms and brands may be positioned by feature, benefit, user, country of origin and so on

Driving Inbound Marketing Results

We start our business in which we are capable to do and the consumer either like your product or trust on your brand. But in the online marketing, this is not working 100%. Entrepreneur are often frustrated when they focus on marketing activities like SEO, PPC and e-mail marketing and then find that those channels aren’t bringing them the ROI and results they were expecting. The reason is why the company doesn’t get expecting ROI. They have lack of co-coordinating strategy, focus on targeting the ideal buyer with content and creating a system for nurturing visitors to leads, and leads to customers.

Ensuring that your marketing strategy involves “closing loops” while nurturing those who are not in the buying stage of the process can really increase your results over time.

Most important thing in the online marketing are creating trust and earning the attention of your ideal buyer is most easily done by creating useful, informative and educative content on your website.

Inbound marketing isn’t a quick fix for business, or a single way to improve SEO. It is instead a way to pull all of your marketing strategy and marketing channels together in a way that attracts ideal buyers, increases long-tail organic traffic, engages consumers and helps direct your ideal buyer to take action.

Assuming that you have a good brand and valuable product or service inbound marketing can build more traffic, more leads, more sales and happy customers. What’s more; inbound marketing can differentiate you from your competition which is crucial in this day and age of competition.

15 practical way can be used in inbound marketing to drive more traffic, leads and customers to your business. These are:-

Know your ideal buyer

To be successful your brand must be able to identify and pinpoint your ideal buyer(s). You can do this by building what are known as buyer personas — working models of your ideal buyers. Ideally you would involve employees from marketing, sales, customer service and management to collaborate on the process.

By understanding the ideal buyer you can refocus your inbound marketing strategy, content and flow to speak directly to the needs of those people or teams.

You can learn more about buyer personas here.

Set your campaign goals

To know how many leads typically convert to proposals or quotes, and how many of those convert to sales helps forecast and goal-set for the amount of traffic you will need to support those goals. You should know those goals inside and out, and preferably work backwards from traffic / leads and revenue, building a strategy that supports those goals. There company needs to Set SMART (specific, measureable, actionable, realistic and timeframe-based) goals in all areas of marketing. By setting goals you are able to forecast content generation, strategy development and tasks to stay on track. Additionally, this helps you to properly measure your efforts since you will define what is important to you as a business.

Map your content

The next step is to map your content, based on those buyer personas to stages in the buying cycle. The purpose is to build high quality content that tells a story, solves a problem and entertains and educates at each step of the buying cycle so that you can nurture leads through the buying cycle, closer to your brand, to a sale.                                                                                                                                                                                                      

Create your content calendar

Your content calendar serves to help co-ordinate content development for your campaigns. Ideally the calendar is shared amongst all relevant team members so that the team can contribute to ideas in the form of blog topics. Most often they are built based on a three-month projection. The calendar is also used to plan out promotional content such as press releases for new product / service releases and news. There are lots of great content calendar templates – here is one that includes instructions to help guide you through the process.

Plan your marketing / lead nurturing workflow

Not all visitors to your website are in the position to buy. In fact, most are in one of two stages in the buying process – awareness or contemplation. Because of this those visitors will likely be turned off by sales-orientated content. Conversely, prospects closer to purchasing might lose interest if you do not generate relevant tailored content to them that serves to help move that prospect from consideration to close. This content is most often delivered using email and additional content suggestions that support the goal you have for that visitor at that stage of the funnel.