Marketing Analysis – Benefits Of Marketing And Market Analysis For SMEs
The marketing analysis deals with the current situation of a company, its sphere of activity, and future development. Without a proper marketing analysis, however, you’re in the dark, so to speak, and can not develop a coherent strategy.
If you want to land on Google online, you have to find out who your target group is with the help of a proper marketing analysis. But what is the competition doing and what do your potential customers expect from your product or service?
Often think just small and medium entrepreneurs that they have no marketing analysis need and can quickly build their marketing efforts by feel. However, this is a big mistake nowadays because the competition does not sleep in terms of new customer acquisition and customer growth. You should also keep in mind new trends.
Why a marketing analysis before the advertising is reasonable
For new customer acquisition and growth; however, a careful target group analysis in the context of marketing analysis is usually the first step and inevitable, so that our efforts do not fizzle out.
For without a carefully conducted actual review of your marketing, it is tough to know where you stand with your company and your products and/or services offered.
This is important for all strategies marketing because only then you can check if they work. Above all, the steps of microanalysis help you to differentiate your market, to define target groups, and to develop strategies.
With the macro analysis, you can then better balance risks and opportunities and incorporate them into your calculations, marketing plans, and marketing strategy.
Especially with online marketing, you have to do a careful audience analysis before you start advertising. Whether content marketing, blog marketing, or even a good newsletter – topics only become interesting and affect the entrepreneur, if the contributions are tailored to the target group.
With Google Analytics, you are a variety of measures of evaluating your advertising, your content, and your marketing measures. Not only should you conduct a thorough online marketing analysis before financing an ad, but you should also continually analyze it during the ad to see if the admeasures and posts are successful or might need to be modified.
Which types of market analysis are there?
The market analysis highlights different aspects:
- Market Potential
This analysis looks at whether there is any demand for your products or services that you want to sell, or if there are specific trends.
- Market volume
Here, you analyze which sales you can probably reach in the market. Every business wants to maximize its revenue, and you need to find a company that has a high volume.
- General conditions
All markets have characteristics that you need to know as a provider. These are the framework conditions – including legal and tax regulations, etc. Related to online markets, these can also be things like the Google algorithms that are fundamental to your SEO efforts.
- The potential customers
Also, you have to think about your clients who you want to achieve and gather information. No matter how good your product may be. If there is no demand, then you can not sell it either. You also have to set a target audience. You can not address all the needs and all customers at the same time as your marketing measures.
- Purchasing Power of Potential Customers
Although potential customers may be interested in your product, that does not mean that they also have the purchasing power to purchase your product.
- Buying Behavior of Consumers
You need to determine exactly how often your potential customers typically buy. This tells you in advance if they can eventually become regular customers. Do you purchase comparable products daily, weekly, annually? All this helps you to project your future profits and calculate prices.
- Competition in the market
You should also know in consequence of your actual analysis, which is your competition. How strong are they? How much market share do they own? What sets your product apart from the competition?
- Changes in the
Competition There is an eternal battle for competition among customers, revenues, and market share. Everyone is trying to have the best deal and to be the most successful in the industry. That’s why continuous competition monitoring is essential, so you can always be at least one step ahead.
How to sell?
Here’s how you can best sell your products. What are the best distribution channels to save time and money? On which channels does your target group frolic? How should you align your marketing mix? In addition to the classic distribution channels, we also have numerous new channels such as PPC marketing, affiliate marketing, influencer marketing via social networks, and much more.
To disposal, the beauty of all these new channels is that we can calculate the conversion rate very well there. If you have ideally positioned your product or service, further opportunities for up-selling and cross-selling are opening up.
What does a marketing analysis include?
Every good marketing plan starts with strategic analysis. Here, as already mentioned, a distinction is made between macro and microanalysis.
The macro analysis examined in a first step, all those external factors that are outside the direct influence area of the enterprise.
- value-related factors
- Technological factors
- Economic factors
- Political, legal factors
It is essential to know that the company can not influence these factors. Instead, they serve to steer in the right direction, to recognize opportunities and risks at an early stage, and to consider them in strategic planning and the planning of further goals.
The microanalysis is direct and company-related. It also focuses on more information about the company, market conditions, and the industry. The so-called market definition defines the market in which the company wants to become active. It is fundamental for further decisions regarding the strategy.
In contrast to the macro analysis with external factors, the microanalysis is influenced by the company.
Based on the two analyzes of the current situation, information about strengths and weaknesses, opportunities, and threats of the company is then identified and summarized in a SWOT analysis. This then finally serves to determine your new customer acquisition strategy.
So a good marketing and market analysis is built
A proper marketing analysis consists of the market, customer, and competition analysis.
The market analysis provides information about your market potential (maximum possible sales volume or sales volume) and the market volume (existing sales volume within a defined period taking into account strong competitors and market growth).
A detailed target group analysis accompanies the customer analysis. Important dates are, therefore:
- customer satisfaction
- Loyalty to companies
- buying motives
- Expectations to the provider
The competition analysis deals, as the name implies, with direct competitors. But this is mainly about questions like:
- What are the goals of the competition?
- What are their strengths and weaknesses?
- What can we do differently / better?
In this way, competitive advantages can be identified, which are also considered in the comprehensive SWOT analysis and incorporated into your marketing mix.
In order not to lose track and focus, the Pareto principle (also known as the 80/20 rule) helps. It states that a company ideally generates 80% of its revenue, with only 20% of its customers, and can be transferred to almost all areas.
The Pareto principle can not only be applied to your own company as a whole, but also each of your work areas. The Pareto principle, therefore, also applies to production, sales, and, of course, marketing.Tags: Marketing Trends