 Good strategies result from making conscious decisions that provide rules for making operating choices. Winning strategies define how you intend to meet or exceed your target customer’s needs so you can beat your competition on a sustainable basis.
To develop strategies that win start with where you want to take your organization. Where do you want to see yourself in five to ten years? (Or two to three years in fast changing technology markets.) Don’t use a general description be specific. Include hard numbers for market share, volume, geography and profit. Having specific measurable numbers gives you benchmarks and provides a way to measure your real progress along the way.
Include key factors for success. Make a statement about what is really important to your business. Limit this statement to at most two or three key success issues. The internal discussion alone on this topic is worth the effort. Once you decide what is really important for your success you and your organization can do more of it and you can minimize those activities that don’t lead directly to success.
Your strategy document should also include a statement of your understanding of the “five C’s” Category, Company, Customer, Cost, and Competition. You should know your customer’s key current and future needs. Identify realistically and objectively what your competition brings to the party and on what basis they like to compete. Know what direction the category you compete in is going and if there are any new disruptive alternatives on the horizon that could change the basis of competition. Be objective about what your company’s capabilities and resources are. Don’t develop strategies that you are not capable of delivering. Once you have defined the “5 C’s” you should be prepared to constantly monitor and measure any changes.
Winning strategies will also specify how you will adjust your marketing tools (the 4 P’s) of Price, Place, Product and Promotion in relation to the 5 C’s. For each decision you make keep in mind the importance of your brand(s) and the image you want to represent. As you refine your strategies keep these guiding thoughts in mind. 1) Never give your customer a product reason to switch to a competitor. Have all of the preferred forms flavors sizes etc. that your customer needs/wants. 2) Always determine if a product innovation is or can be specific to your brand or if it is generic to the category you compete in. 3) Remember competition will always follow your technology not your brand positioning. Everything you do should help position you in the mind of your consumer as the best solution for their wants and needs. Forms, flavors, sizes and technology come and go but your brands positioning in the minds of your customers should stand the test of time.
Technical, organizational and interpersonal issues will challenge the success of your strategies. Each of these “soft” factors should be identified so you can work to constantly measure and improve them to help obtain your goals. Constantly work to improve your organization by evaluating and improving the “soft areas” that help you deliver on the specific objectives that will achieve your “5 C” objectives. Failure to address these issues can doom even the best plans. Addressing the realities of individual’s personalities, capabilities and proper reporting relationships will clear the way for strategic success.
About the Author – Scott Francis is President of Topline Development LLC a Strategic Marketing Consulting Group that provides helps companies determine how they can make the most amount of money with the least amount of resources. To learn more about Topline Development LLC visit their web site at www.ToplineDevelopment.com or contact Scott directly at scott@toplinedevelopment.com. |
