Marketing strategies enable an organization to focus on its scarce resources and identify the greatest opportunity it can use to increase sales and maintain a sustainable competitive edge. Marketing strategies assist the organization in filling the needs of the market and reaching the market objectives. In determining the best marketing strategy, it is vital for the marketer to scan carefully the internal and external environments. In the given case study of Cima Mountaineering, I would recommend the marketing proposal by Margaret. The proposal suggests that the company enters into a new market segment of the hiking boots, which is the Weekender. This segment is new, it is growing rapidly, and thus entering into this segment would enable the company to tap new customers. The company will target a new segment in this proposal by marketing two new hiking boots.
Consumers in this market segment are recreational hikers who enjoy occasional hikes on weekends with their families. Since this is a new but growing market segment, the best marketing strategies would be to advertise them on magazines and the internet sources to reach a wide pool of customers. The company should position this product to include male and female recreational hikers that enjoy hiking on weekends with their families. The marketing strategy would be to target weekend hikers that prefer comfortable and light hiking boots with lower prices and suitable for casual wear and short hikes. Since this is a new market, a combination of marketing strategies such as advertising through the print media, through the internet and by word of mouth would go a long way in attracting a large pool of customer base.
Cima Mountaineering can maintain its market leadership in the weekender segment by increasing the number of users of the product. The company should defend and expand its market share in this segment by offering personalized services not offered by competitors. To ensure the company maintains its competitive advantage, it is important to carry out a SWOT analysis for Cima. The strengths of this company is the strong brand name that the company has managed to build through its weekender segment. The company is known for its hiking boots, which are the best and have established a patent for the group. The weaknesses include the high cost structure that could hinder the customers from purchasing the hiking boots and moving to the organization’s competitors. These weaknesses can hinder the company from becoming a market leader in the industry and losing to its competitors.
Some of the opportunities the company has are the unfulfilled customer needs. The company can segment the market further to include hiking boots for other parties not presented in the segmentations such as children. Children are potential customers for this organization and thus, the company needs to consider and meet their needs. The company can thus segment its market to target the youngsters that prefer hiking and provide them with comfortable boots fit for casual hiking and adventure.
The threats facing this organization include the increased competition from the market. This competition from companies such as Timberland, Nike, and Reebok could be using better marketing strategies from Cima Mountaineering hence reducing the market share. The organization needs to position its products to make them attractive than those of competitors. The positioning suggested in the proposal for the weekender hiking boots is to advertise them as boots that deliver performance and style for the casual outdoor wear. This statement aims at beating the present competition.
The marketing strategy will include the marketing elements of the marketing mix, which include the place, product, price, people, and promotion. The marketing strategy for the weekender segment will target males and females looking for a casual wear on the weekends. These people need something different that is comfortable and can give them a casual look on the weekend as they go on with their hiking business. People are the essential in the marketing mix because they are the ultimate consumers of the product offered by the company.
The marketing strategy for Cima Mountaineering will have to consider the pricing of the product. The pricing should be in consideration of other prices offered in the market by the competitors. It should not be prohibitive and neither should it be too low, which could suggest poor quality of the company’s product to the consumers. The suggested price for the new product lines introduced to the weekender segment in this case will be R99 and R89 for product WX550 and WX450 respectively. This price is adequate and ensures that the company maintains a market leadership strategy for the two product lines.
The products the company is offering are unique and branded to include features such as waterproof inner liner, leather and nylon uppers and cushioned midsole. These features provide the boots with a unique characteristic. The promotion for these products will include magazine advertising, product brochures, trade shows and independent sales representatives. These promotional methods are useful in maintaining a leadership strategy and ensuring people are aware of the new product lines in the weekender segment.
For the mountaineers segment, the people who are the major consumers of the products on offer include mountain climbers and high altitude hikers. The boots will be designed to provide maximum stability and support for the hiker. The branding for this design of boots will include a unique design of boots that can offer the required support. The promotion methods for the product in this segment will include independent sales representative because the product needs specialized attention to convince potential customers. The price for this product should be flexible and affordable to the consumer.
The segment for serious hikers targets serious outdoor individuals that love nature and have a strong interest in health and fitness. These people are the major consumers of the products and thus this segment should offer quality boots. The people in this segment are interested in tough hiking boots that can withstand rough trails, extended backpacking and hiking excursions. The company should brand these products to offer quality boots that are durable and can perform highly. The price should be affordable to consumers but also provide returns to the company. The company should promote the product through advertising, sales promotion and independent sales representatives.
