QUESTION: FROM THE CONTEXT OF WHAT WE HAVE DONE THIS SEMESTER HOW DO YOU RATE THE EFFECTIVENESS OF MARKETING

STRATEGIES OF FIRMS YOU WERE ATTACHED TO?

NAME

: MAKETA KNOWLEDGE

REG NO

: R082509A

COURSE

: MARKETING MANAGEMENT

PROGRAMME

: HBBS IV- MARKETING

LECTURER

: MR MUZONDO

DUE DATE

: 17-10-2011

INTRODUCTION

Kingstons Limited is a leading retailer in the provision of school and tertiary textbooks, stationery,
school furniture, school uniforms and accessories ICT products and other related items to schools, educational institutions, corporate world and the general public. Kingstons is able to provide competitive and high quality services in the supply of these products.

1.1 MARKETING STRATEGY DEFINED There are many definitions of marketing strategy but Ferrell, O.C., and Pride, W.M. (1996) defines marketing strategy as a plan for selecting and analysing a target market and creating and maintaining a marketing mix. At Kingstons the marketing plan act as the most important tool in strategy formulation and implementation, this is used as a guide in the formulation of strategies and when implementing them. However in drafting their marketing plan they use the SOSTAC approach an acronym which stands for Situational analysis, Objectives setting, Strategy formulation, Tactics, Action, and control, each element asks a simple question and provides an easy starting point. Each of these six elements contributes an essential piece of the overall marketing plan. We can also look at it in another manner: Often at Kingstons people deal with the SOS as a wish-list of achievements and then use it to develop and implement a detailed, controllable and measurable action plan (the TAC). This leads to a statement of great goals.

2.0 SITUATION ANALYSIS

(where are we now?)

Kotler, (2002), explains that situational analysis is the initiating gruesome task in marketing strategies crafting. Firms will only get a clear picture of their market position when they have completely performed marketing audit exercise, it is constituted by three areas namely macro environment, micro environment and internal environment, and these variables determine the current and future business operations. A marketing Audit which was described by Ferrell, O.C., and Pride, W.M. (1982) as a systematic examination of the objectives, strategies, organisations, and performance of a firms marketing unit can best review the situational analysis of Kingstons.

The marketing mix of Kingstons is not very effective in the sense that they charge prices which are very low and there is no appropriate pricing strategy prices must constantly change arcoding to the situation in the market however they try to fix this by focusing on the right customers which are schools colleges and other institutions. Kingstons will apply an ownership Leadership style underpinned by Kingstons values to deliver the strategy therefore it have a greater competitive advantage over its competitor which are: Countrywide retail infrastructure strategically located. Competent and professionally leadership Strong relationships with both foreign and local suppliers. Well known brand name and reputation

Kingstons identified the organisation strengths, weaknesses, opportunities and challenges reflected below.

2.1 ENVIROMENT ANALYSIS 2.1.2Micro enviroment

STRENGTH Strategically positioned

WEAKNESSES

OPPORTUNITIES

CHALLENGES

Inadequate finance

Relationship marketing

High rentals

Brand loyalty

Inadequate point of sale system Weak delivery system

Branding and brand Development

Competition from international brands

Product and market knowledge

Corporate products and services

Low margins

2.1.3 Macro environment Baker M. J (2000) indicated that there are a number of factors that affect trading some are avoidable and some are imminent and inevitable in trading. These include Industry business cycle, Number of buyers and sellers, Government tariffs, Bank interest rates, financial industry or market liquidity, Exchange rate. The business environment is highly volatile, highly dynamic and constantly ever-changing and as such Kingstons constantly restructure and formulate new strategies which allow for the continued existence and strategic positioning of the company in the industry. 3.0 OBJECTIVES (where do we want to go? )

To provide quality services that meets or exceeds customer expectations. To increase the sales revenue by 20% from last years To command the market share of each brand by 40%. 3.1 Mission

To be a global player in the provision of educational, information and entertainment solutions that are superior and consistent quality which foster a Zimbabwean and Pan-African identity anchored on best technology and business process through highly skilled and motivated human resources

The marketing strategies of Kingstons are effective because the objectives which guide them are practical and measurable. They fit the following criteria? Specific (with numbers) Measurable (to monitor progress and confirm achievement) Actionable (can we do it?) Reasonable (realistically attainable Timed (incorporate deadlines)

However one of the major problems faced by Kingstons Limited in having effective marketing strategies is that there is normally a tension between departments for example the marketing department might have a marketing objective of improving the quality of the product by altering its shape and designing attractive packaging materials whereas the finance department will be wishing to reduce costs to a greater extent therefore at the end of the day a poor product will be produced while in actual fact Baker M. J (2000) stipulated that for an organisation to have effective strategies its department must work hand in hand. 4.0 STRATEGIES ( how are we going to get there picture)

Lumpkin (2003) defines a strategy as the end product of strategic market planning process which can be used as a framework for a marketing plan. 4.1 Penetration pricing strategy Kingstons use the penetration pricing strategy in which they charge low prices so as to attract more customers and gain greater market share over competitors since most of the customers favour products which are cheap.

4.2 Promotion strategy Kingstons continuously engage in sales promotions on various products that will be underperforming and help stimulate demand at the same time increasing sales which is one of their main objective. For example if one purchases a certain product he or she is given an additional product on top of the one purchased, one can get an extra pen after buying exercise books.

4.3 Segmentation, Targeting and Positioning Kingstons segment its market arcoding to customer needs and wants so as to clearly focus on them and satisfy them more than what competitors do for example at Kingstons their main target customers are Schools, Colleges, Government Departments, Church Organisations, Early learning Institutions, Non governmental, organisations, Cooperate and Institutions. Kingstons have created a well known brand and reputation in the minds of its customers for their marketing strategies to be effective.

5 TACTICS

( how are we going to get there detail)

5.1 Advertising Advertising is a major competitive tool to Kingstons as it is one of the most appropriate channel of communication in which they use to provide essential information to their customers. The use of flyers, road shows and television advertising facilitates the effectiveness of the companys strategies. After the formulation of these strategies they then need to be implemented and the only way to implement them effectively is by the means of communication which is done through advertising it might be form of informative (providing essential information to customers) or persuasive (persuading customers to buy your products) advertising

5.2

Budgets

To have an effective marketing strategy the company must have enough resources for example at Kingstons when the budget is prepared the marketing department is entitled a certain proportion so as finance their marketing activities such as carrying market researches and advertisements, however this is not appropriately followed as in some circumstances the budgeted money was not forwarded to its respective departments such that the marketing department would end up foregoing other major activities because of the unavailability of these resources and this had an impact on the effectiveness of the marketing strategies.

ACTION

(who is going to do what and when)

6.1 division of labour The marketing department of Kingstons have some few sub-departments which follow under it such as sales, merchandising, customer relations therefore there is division of labour and specialisation in which each of these departments have their duties and normally they prepare a week plan where they list the activities which they want to carry during that week.

7 CONTROL (how can we measure and develop the process) 7.1Performance Appraisal At Kingstons they use a performance appraisal system in which ones efforts is measured according to the desired level of standards and the performance will be recoded at the balance score card. This enables them to have effective marketing strategies because they will be able to identify whether they are working towards the same direction. 7.2 Market Research Kotler (2002) outlined that the major importance of conducting a research is to analyse the effectiveness of a marketers strategy and this is practised at Kingstons. Market researches constantly carried out so as to identify whether the implemented strategies are being effective. 7.3 Marketing Audit At Kingstons they carryout a marketing audit which is a rigorous and periodic analysis of the organisations environment which is undertaken with the objectives of identifying an organisations strength, weakness, and opportunities with the purpose of designing an appropriate marketing strategy. Mainly it is taken to review the measurements take corrective actions on variance.

8 CONCLUSION One can safely conclude that the marketing strategies of Kingstons limited were effective to some extent since they are able to meet some of their objectives; however there is only a need to mainly focus on the pricing strategies since they are the main contributor to their objectives. Furthermore the marketing plan must be clear as it is a guideline which clearly describes how the organization is going to carry out its activities so as to achieve its objectives.

BIBLIOGRAPHY: 1. Kotler P. (2002), Marketing Management (10th ed ), Prentice Hall 2. Lumpkin (2003), Strategic Management (1st ed) McGraw Hill 3. Baker M.J (2000), Marketing Strategy and Management (3rd ed) McMillan Business 4. Armstrong G, Kotler (2009) Marketing: An Introduction, Prentice Hall, Upper schedule, New Jersey, USA 5. Kotler. P, Armstrong G, Saunders J and Wong V,(1999) Principles of Marketing 2nd edn Prentice Hall, New Jersey, USA