MARKETING OBJECTIVE AND STRATEGIES

The B2Bmarketsplace Company Analysis

MARKETING OBJECTIVE AND STRATEGIES

-Based on initial business model as a long-term model to build a solid foundation for B2B:

– Presenting a database,

– Aiming to gain revenue from transaction Subscription,

– Following up services provided on e-commerce platform,

The key success factors for this business models are to build critical mass quickly to generate value and then, to audit the members: build trust by creating a transparent environment

STRATEGIES EMPLOYED BY THE COMPANY IN THE PRESENT MARKET SCENARIO FOR THEIR SUCCESS

The term marketing mix refers to the primary elements that must be attended to in order to properly market for understanding the fundamentals of what makes a good marketing campaign. Here is a brief description of each component of the 4 Ps of the marketing mix.

MARKETING STRATEGIES

Effective marketing is a key element in any business enterprise. Companies/ business enterprises which do not have experience in marketing a service/product will often overlook its importance. Part of marketing is identifying the mix of the four “Ps” that makes a service/product unique. (Armstrong, 2004) The four “Ps”

are product, price, promotion, and place/distribution. The four “Ps” are among the factors that have contributed to the success of B2Bmarketsplace on business to business marketing.

PRODUCT/SERVICE STRATEGIES

“Product strategy is like a roadmap, and like a roadmap it’s useful only when you know where you are and where you want to go”. (McGrath 2001)

Product is anything that can be offered to a market to satisfy a need or want. The products, which can be marketed, include physical goods, services, persons, places, organizations, and ideas. In deeper sense, the product is not a physical item but a perception of the consumer or the user. Product means satisfaction of the customer rather than a physical good.

—An online marketplace does not connect the buyer and seller physically, therefore so as to ensure the safety of the buyer and seller B2Bmarketsplaceoffers trust and safety; it offers account protection tutorials to both the buyers and the sellers, it also helps customers on how to identify a genuine supplier, B2Bmarketsplace also enables its buyers/suppliers to be able to report disputes that may arise.

-It also offers an about me page, where as suppliers can express themselves through their own personal page.

-Listing solutions, listings displayed on (B2Bmarketsplaceonline) marketplaces cover a range of products and services in various industries including apparel, chemicals, telecommunication and many more

-Moreover, B2Bmarketsplacehas a trade manager whereas buyers and suppliers can trade instantly. Suppliers using the trade manager can send product photos or file of any size in an instant.

PRICING STRATEGIES

Determining a product’s price is a critical marketing tactic. A product’s price has to be high enough to cover the total cost of producing the product yet not too high so that it discourages potential customers from purchasing the product. (Edward, 2008)  b2bmarketsplace Groups has adopted a number of pricing strategies such as;

-Competition pricing is setting a price in comparison with competitors.  B2Bmarketsplace Groups uses competitive pricing so that the price they offer does not have an extreme difference with its competitors. The company gives low prices and yet good quality product so that it can attract the targeted market.

-Product line pricing involves pricing of different products within the same product range at different price points.  B2Bmarketsplace Groups has variety of similar products at different prices depending on the suppliers. Suppliers offer a range of similar products at a competitive price. Buyers can have a wide choice when they want to purchase products.

-Penetration pricing is when an organization sets a low price to increase sales and market share.  B2Bmarketsplace Groups emerged as a leading B2B company due to the price they offered to the customers.

-Discount is another way of pricing used by  B2Bmarketsplace Groups. The company chose this method because it stimulates sales as well as retaining customers. Discounts by  B2Bmarketsplace, are given to customers when they buy products in bulky and during festival seasons. Some suppliers apply the BOGOF (buy one get one free) method.

–Value-added services is also one of the pricing approach that  b2bmarketsplace Groups has applied; whereby the product is offered at a lower price but the services money add up the price such services include shipping charges, fast delivery, guarantees, warranties, custom design and many more.  b2bmarketsplace Groups uses this method to ensure that the total cost of the products together with the value added services is more than the production cost so that the company can earn profit.

PROMOTION STRATEGIES

Promotion is a term used to describe the advertising, promotion, publicity and selling of a product or service. Promotion aims at creating awareness about the organization’s products or services to the target market. Promotion can be broken down into two distinct categories; face to face selling and advertising, promotion and publicity. (Kotler, 2004)

-B2Bmarketsplace uses the internet promotion strategy because internet is the best cost effective and fastest promotion tool in the export/import market place. The presence of B2Bmarketsplace company profile and product/services in major search engines like google gives the company a global exposure and creates awareness among buyers/importers effectively. The availability of internet banners about B2Bmarketsplacethat take the searchers direct to their main website.

-Get on B2Bmarketsplace to make it happen.” these taglines encourages struggling entrepreneurs and they tend to reach a large number of potential customers.   Social network advertising is mostly practiced when the company wants to enhance promotional prices or launch new services/products.

-B2Bmarketsplacehas also promoted its product/services through sponsoring of events.

PLACE/DISTRIBUTION STRATEGIES

Place refers to a general concept describing how the product will get to consumers. Place includes all of the targeted market outlets and distribution tactics needed to deliver the product for sale to consumers. The channel of distribution involves the logistics, wholesalers and other intermediaries. Efficient distribution is very essential in achieving the company’s marketing objective. (Hutt, 1997)

There are various types of channel intermediaries;  B2Bmarketsplace Groups uses the internet as its intermediary. The internet has a geographically disperse market therefore niche products will be able to reach a wider audience.  B2Bmarketsplace Groups has several online B2B marketplaces that potential buyers and suppliers from around the world can obtain its products and services.

www.b2bmarketsplace.com  An English- language marketplace which is the global trade market for exporters and importers thus reaching the whole world.

B2BMARKETSPLACE’S TOMORROW OPPORTUNITIES:

Increased sales and profits: Selling goods and services to a market the company never had before boost sales and increases revenue

Gain global market shares: By going international, companies will participate in the global market and gain a piece of the huge international marketplace.

Lower Per Unit Costs and Sell excess production capacity:  B2Bmarketsplace capturing an additional foreign market will usually expand production to meet foreign demand. Increased production can often lower per unit cost