After reviewing the segmentation table above, we can see that there are distinct social groups – one which would be less likely to welcome our services and one which would. Rather than expend time and resources on an unlikely group, we should focus our attention to the likely/very likely demographics.
Having established who Macro should be targeting, the next question is how do we actively target these potential customers? According to Ivy (2008) the traditional marketing tools are grouped, historically, into the 4 P’s; Price, Product, Place and Promotion (The Marketing Mix). There are also 7P’s (CIM 2009) but for this report, we will concentrate on the more typical 4.
Source: The Marketing Mix (2018)
In devising our marketing strategy, Macro must consider the various elements of these 4 P’s
• Product – Where will the service be used – home or work?
What trades will Macro offer?
Are there any trades Macro need to add?
What terms of engagement will be available?
How are Macro different to the competition?
• Price – Pricing strategies
What is the cost to Macro to offer the service?
Do customers believe they receive value for money (perception)?
Can Macro lower their price point, but increase market share?
• Place – How will customers discover Macro’s services?
How can Macro differentiate their distribution strategy from that of their competitors?
Do Macro require a dedicated sales team?
Should Macro attend trade exhibitions?
• Promotion – How best to communicate with potential customers?
When is the optimum period for promotion?
Is social media a good medium to consider?
What do our competitors do to promote their businesses?
Table 2 illustrates how Macro should interpret the descriptors and the subsequent actions.
Item Description Macro Action
Product What do the customers want? Not to presume that we know best, speak with and engage the clients as to their specific wants and needs
Price Only worth what the customer is prepared to pay Cheapest is not always what the client wants, Macro can offer additional services which can enhance the value for money our clients feel they receive
Place Delivery of service at the right place and at the right time Adhering to our own internally agreed KPI’s and with the clients KPI’s. Late delivery of services will inhibit the likelihood of repeat business or recommendations
Promotion Brand advertising, PR, special offers, exhibitions Macro to raise their profile by attending expo’s, articles in magazines, press releases on successes, increased use of social media, sponsoring charitable events etc.
No matter how good the Macro product is, unless it is heard of or seen, there will not be the growth or expansion that is planned. Macro have to be mindful that marketing is not just advertising or selling, but it is a key management discipline that enables the suppliers of services to interpret customers wants, needs and desire; and to match or exceed them, in delivery to their target customers.
Whilst not part of the marketing mix, further clarification can be provided by the use of the 4 C’s, developed by Lauterborn (1990), with their interaction and complimenting of the 4 P’s. This interaction is shown in Fig. 10.
• Customer Value – rather than placing the emphasis on the product, the emphasis is shifted to something missing from the customer’s life
• Cost – whilst the selling price is important, the overall cost of the service must be established
• Convenience – it must be straight forward and uncomplicated for the customer to purchase our service, and believe the service they receive is cost effective
• Communication – constant dialogue is required between Macro and its customers
Having an existing presence in the region (Macro is present across the whole of the UAE) will be a distinct advantage when considering new possible avenues: it will provide a more informed