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Competitors are aiming their marketing at narrower segments

Symptom: As competition and price wars intensify, competitors are starting to "fine tune" their marketing, establishing prices and promotions in increasingly narrow markets in order to gain incremental volume and maintain pockets of profitability. Several competitors have focused marketing efforts on small segments.

Implications for the market:

  • The key in this marketing management effort will be to assess the benefits of the programs for the channels of distribution, as they themselves evolve, as well as on the final customer.

  • However, marketing costs for all competitors are likely to rise as this trend takes hold.

Recommended Reading
For a greater overall perspective on this subject, we recommend the following related items:

Analyses:

Perspectives: Conclusions we have reached as a result of our long-term study and observations.

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