Good Effective Marketing Strategies For A Recession Essay Example

Value marketing refers to the meeting of customer needs through the provision of high value. The aim of value of value marketing is simply retention of customer loyalty to the business enterprise. Loyalties that can help a firm survive such client through the very hard business conditions of a recession. A company can survive hard economic conditions and prosper greatly by developing an effective marketing plan. Determining ways of pricing a product is a market strategy decision that the management has to deal with adequately. Prices that are very high can make a company lose on its number of customers. Low prices result in revenue losses to the enterprise. Effective marketing plans demand that firms consider the demand elasticity in relation to price, before raising or lowering prices (Civi, 2013). Elasticity is a necessary indicator of a company’s competitive edge or monopolistic power of a product. Managers must consider all factors that relate to price elasticity before price alteration. Customers need reassurance that they are getting value for money during the recession. Companies have to get ways of making products attractive to clients. Pricing using the lifetime cost of ownership is a tool that can demonstrate to the customer that the upfront payment represents a small percentage of the whole cost, over the product life (Civi, 2013). Customers can then believe that lifetime expenses can reduce to minimal levels by buying a more expensive product. Firms can alter payment terms and conditions and pricing structures to accommodate the changing requirements of clients. The customers also face the recessionary pressure. Alternative pricing approaches like leasing and upfront payments can attract consumers and retain existing ones (Civi, 2013).
In conclusion, good marketers need to target product offering to market segments that value their products. Firms need also to rationalize their product line and focus on their established brand identity. Product development and value addition can also attract more customers to the business while retaining existing ones.

References

Civi, E. (2013). Marketing strategies to survive in a recession. International Journal of Business and Emerging Markets, 5(3), 254-267.