The task here is to organize a business to strengthen the brand's position, refine existing products or create new ones in an already occupied niche and, in general, develop the company in a specific market segment.
This type of planning provides for three models of possible business development, consisting of:
in bringing a product to a leading position using an effective advertising campaign or by acquiring competitors;
searching for untapped markets for the company's products;
launching new products in a niche already mastered by the organization.
The implementation of the architect data package specified business strategy for any of the listed development vectors requires significant optimization of internal processes and serious expenses on marketing activities. To strengthen its position in a specific market segment, the company needs:
in conquering a new target audience;
retaining regular customers.
To increase the level of loyalty of consumers of products or services, an organization needs to conduct various advertising campaigns and introduce new tools that increase conversion.
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Vertical integration
The main strategies of any successful business should include measures to expand it by adding new divisions. This task can be solved in two ways:
By acquiring companies in related industries (manufacturers, suppliers, retailers).
Opening new divisions. For example, a company engaged in the sale of third-party products under its own brand may, at a certain stage of development, organize its own production.
Vertical integration involves movement both “backward”, to the starting point of the business process, and “forward”, to the consumer.
Vertical integration
The way back is to strengthen control over the activities of suppliers and manufacturers. This approach has the following advantages:
the company's dependence on third-party manufacturers and suppliers' pricing policies is reduced;
new divisions or merged structures may become a source of additional profit in the future.
For example, you can not only set up your own production of products, refusing the services of a third-party manufacturer, but also produce goods for other companies that will sell them under their own brand.
The "forward" path implies control over all stages of product sales, between the company itself and end consumers. This task can be solved by building a sales network and refusing to cooperate with intermediaries, which will allow saving on their services. By opening branded stores, the company also gets the opportunity to organize personnel training in accordance with the brand policy, advertise exclusively its own products and