Market Penetration - Meaning, Strategy, Purpose with Examples of Internet, Smartphones etc. (254) скачать в хорошем качестве

Market Penetration - Meaning, Strategy, Purpose with Examples of Internet, Smartphones etc. (254)

View all our courses and get certified on https://academy.marketing91.com Market Penetration refers to the extent to which an organization has infiltrated a market. Market Penetration measures the scope for the product’s share compared to the total market and calculates how much the customers are using a product compared to the overall estimated sales. Market Penetration & Ansoff Matrix In the Ansoff Matrix, the alternative growth strategy is known as Market Penetration. It puts the onus on selling existing products into existing markets to achieve greater market share. Purpose of Market Penetration To increase the sale of existing goods and services. The strategy is often used before the market entry or at the beginning. High market penetration is a sign of market dominance. If sales are going up or down then this strategy will prove useful. Market Penetration Strategies Penetration Pricing Penetration Pricing Strategy is a technique of pricing the product at a lower rate compared to the product price of competitors. Example - Walmart Price Adjustments Price Adjustments mean lowering or increasing your product price as per the demand of the hour Example - Amazon Increased Promotion Aggressive marketing or changing tactics of the existing promotional policy increases product awareness and helps to penetrate further. Example - Vivo Increase Distribution Channels An increase in intermediaries of the supply chain can help in brand awareness and lead to market penetration Example – Domino’s Pizza Product Improvements An update or a change in the existing product with unique variants and new features can help in market penetration Example – iPhone 12 Market Development Market Development targets buyers who don’t purchase in select markets Example - IKEA Develop Strategic Alliance Developing Strategic Alliance with similar companies will help in widening the market share Example -Uber Acquisition The Acquisition means acquiring the customer base and the market share of the acquired company Example - Amazon How to Calculate Market Penetration? Market Penetration Rate = (Number of Customers/Target Market Size) * 100 Market Penetration Advantages Increased sale Improved customer base Opportunities for new companies Better market share Market Penetration Examples 1. Internet Penetration 2. Electric Vehicle Market Penetration 3. Smartphone User Penetration in India 4. Facebook Global Market Penetration 5. Instagram Market Penetration This video is on Market Penetration and it has the following sub-topics. Time Stamps 0:00 Introduction to Market Penetration 00:20 What is Market Penetration? 00:45 Market Penetration & Ansoff’s Matrix 01:38 Purpose of Market Penetration 02:06 Market Penetration Strategies 02:10 Penetration Pricing 02:25 Price Adjustments 02:50 Increased Promotion 03:19 Increase Distribution Channels 03:39 Product Improvements 03:59 Market Development 04:21 Develop Strategic Alliance 04:31 Acquisition 04:48 How to Calculate Market Penetration? 05:15 Market Penetration Advantages 05:50 Market Penetration Examples