Marketing strategy of Harbor City Electric

Posted by Zander Henry on Aug-22-2018

1. The vision of Harbor City Electric

The vision of Harbor City Electric is to be the leading quality service and product provider for customers. Being the best and the leading player means that Harbor City Electric marketing strategy and operations focus on:

• Providing high quality of products and services
• Providing value to customers
• Concentrate on building customer experience

2. The mission of Harbor City Electric

Harbor City Electric marketing strategy is grounded in its mission. The mission for Harbor City Electric is to be the favorite brand of the customers. This mission is essential for the marketing strategy of Harbor City Electric as it focuses on all operations and marketing activities in the direction of:

• Consumer centrism
• Using research to understand and influence consumers

3. Brand Equity of Harbor City Electric

Understanding and knowing the brand equity is vital for directing and giving meaning to the marketing strategy of Harbor City Electric. The knowledge of brand equity will help in shaping Harbor City Electric marketing strategy effectively – thereby facilitating the growth of business for Harbor City Electric.

3.1. Brand awareness

• Harbor City Electric has high brand awareness because of international operations
• The company focuses on higher budget allocation in the country of origin
• Each market for Harbor City Electric has modified marketing and strategic directives and plans

3.2. Brand association

• Harbor City Electric is directly associated with the brand name and product category
• Harbor City Electric has a broad product portfolio
• Harbor City Electric is associated with promising and delivering quality and innovative products
• Harbor City Electric is also associated with excellent customer service

3.3. Brand loyalty

• Harbor City Electric has been successful at gaining high consumer loyalty because of unique and influential marketing strategy
• Harbor City Electric has a global customer base
• Harbor City Electric keeps adding value addition to the products and product portfolio to keep consumers engaged

3.4. Brand asset

• Harbor City Electric has a substantial brand value
• Harbor City Electric also enjoys the high financial worth
• Harbor City Electric focuses on building a reliable and robust employee base

3.5. Brand element

• Harbor City Electric uses the brand element as a means of competitive advantage
• Uses adaptability in product, services, and marketing to meet different cultural demands

4. Situational Analysis of Harbor City Electric

The situational analysis will help in developing the marketing strategy of Harbor City Electric by conducting a thorough market analysis. This market analysis will aid in understanding the compatibility between external opportunities and other factors, and internal strengths – to be used to maximize the marketing influence of Harbor City Electric.

4.1. SWOT

4.1.1. Strengths

Harbor City Electric marketing strategy can benefit from the following internal advantages:

• Strong brand image
• Global distribution network
• Investment in market research
• Innovation

4.1.2. Weakness

Harbor City Electric faces challenges in marketing strategy because of the following weakness:

• Slow organizational processes
• High product prices

4.1.3. Opportunity

Harbor City Electric has the following possibilities of business growth:

• Green lifestyles
• Regional expansion
• Diversification

4.1.4. Threats

Harbor City Electric faces business threats because of the following factors:

• Increased competition
• Increased imitation

4.2. PESTEL

4.2.1. Political

• Harbor City Electric operates I markets with political stability
• Harbor City Electric has funding support from the government for small businesses

4.2.2. Economic

• Harbor City Electric enjoys high sales because of higher GDP
• Lower interest rates make business expansion and loaning easier for Harbor City Electric
• Low inflation strengthens the financial position of Harbor City Electric

4.2.3. Social

• Higher education and awareness increases sales of Harbor City Electric predict
• Harbor City Electric focuses on understanding consumers and fulfilling their demands through its offerings

4.2.4. Environmental

• Harbor City Electric has an active CSR program
• Harbor City Electric ensures environmental safety in all its operations

4.2.5. Legal

• Harbor City Electric is aware of local and global laws of business and human resource management
• Harbor City Electric abides by all statutes – especially labour law, discrimination law, and employee safety laws

4.3. Porter’s Five Forces

4.3.1. Threat of substitutes

• High risk of replacements
• Substitutes offer similar products at low prices

4.3.2. The threat of new entrants

• New entrants need high financial investment
• New entrants need updated technology for keeping par with industry progress

4.3.3. Bargaining power of buyers

• Sales made to end consumer directly
• Stocking of products at retailers, as well as own-controlled retail outlets

4.3.4. Bargaining power of suppliers

• Multiple suppliers of raw materials
• Suppliers are chosen after careful inspection, and through contracts

4.3.5. Industry rivalry

• High industry rivalry
• Players offer similar products
• Players compete through marketing to influence consumers

5. Marketing Objectives for Harbor City Electric: The Marketing Strategy of Harbor City Electric

Harbor City Electric marketing strategy has the following objectives for the current financial year:

5.1. Increased market penetration

• Increase top of mind recall for Harbor City Electric brand and products by 30%
• Increase sales for Harbor City Electric by 40% by the third quarter of the financial year
• Achieve a trial rate for new products of 10% during the first quarter of the launch
• Increase consumption rate of existing products by 45% during the current financial year

5.2. Enhanced brand recognition

• Increase top of mind recall by 65% during the current fiscal year
• Increase brand recognition by 80% during the first two quarters of the current financial year

5.3. Increased use of digital marketing

• Acquire 25,000 new online customers during the financial year
• Increase website traffic through using blogging and email tactics effectively by 505 during the first two quarters of the year
• Acquire 65,000 likes on the official Facebook page of Harbor City Electric during the first quarter of the financial year

5.4. Retail Growth

• Contract with five more leading supermarkets in the first quarter of the year to stock product at eye level shelving
• Contract with two leading online retail sites – eBay and Amazon – to stock our products, and increase accessibility for consumers globally by the second quarter of the financial year

6. Segmentation of Harbor City Electric

Harbor City Electric marketing strategy uses different means of segmentation to reach an increase in market penetration.

6.1. Demographic segmentation

6.1.1. Age

Harbor City Electric has consumers of age groups

• 20-45 years
• 45-60 years

6.1.2. Gender

• Harbor City Electric has a broad product portfolio for both males and females

6.1.3. Life-cycle stage

Consumers for Harbor City Electric, according to the marketing strategy, are in the following various life cycle stages:

• Single students
• Single graduates
• Single people living at home/not living at home
• Young couples without children
• Married couples with one to four children – all at home
• Married couples with one or two children in college
• Old married couples with an empty nest

6.1.4. Occupation

The marketing strategy devises the following occupations for Harbor City Electric consumers:

• Professionals
• Students
• House makers

6.2. Psychographic segmentation

6.2.1. Social class

• Harbor City Electric focuses on segments of middle-upper and upper social classes

6.2.2. Lifestyle

Harbor City Electric consumer segments have the following lifestyle characteristics:

• They aspire towards a better and higher living standard
• They want to be successful – professionally and socially
• They are not hesitant to try new things, products and services in life
• They are confident in their behaviour and attitude
• They are mainstreamers in their fields

6.3. Geographic segmentation

6.3.1. Region

• Harbor City Electric has operations spread across the western developed countries such as America, the united kingdom, and the Netherlands
• It also has operations in emerging markets such as Brazil, India, and China

6.3.2. Density

• The focus of Harbor City Electric remains on the urban part of the population

6.4. Behavioural segmentation

6.4.1. Personality

The marketing strategy defines personality characteristics for the consumers of the brand of Harbor City Electric, such as:

• Determined
• Confident
• Ambitious
• Hardworking

6.4.2. Usage frequency

• The consumer segments for Harbor City Electric are regular and frequent users of the product

6.4.3. Benefits sought

• Consumers seek functional benefits
• The focus, however, is more on the emotional benefits reaped from the consumption of the brand

6.4.4. Degree of loyalty

• Consumers are very loyal
• Have an emotional attachment with the brand

7. Targeting of Harbor City Electric Positioning of Harbor City Electric

The marketing strategy of Harbor City Electric targets consumer groups based on segmentation as follows:

7.1. Target market

• The target market for Harbor City Electric is from middle to upper class
• The target market is ambitious and desires to purchase high-end consumer products
• This target market also seeks affordability
• To meet target market expectations, the Harbor City Electric focuses on quality control

7.2. Mass marketing

• The marketing strategy of Harbor City Electric focuses on mass marketing
• This also requires unique marketing designs and product promotion programs
• Harbor City Electric makes use of one strategy to influence all segments

7.3. Undifferentiated marketing strategy

• Harbor City Electric does not differentiate between market segments
• It uses a single marketing strategy to target all segments and consumer groups
• Based on this, Harbor City Electric also created the marketing mix under the marketing strategy as a singular one for the whole market – regardless of the segmentation divides.

7.4. Focus on quality

• Harbor City Electric has created, developed, and maintained a brand that satisfies all consumers under the undifferentiated marketing strategy and mass marketing
• No compromise on quality has been made in the broad product portfolio
• To ensure the influence of a single marketing strategy, the Harbor City Electric has also adopted a consumer-centric approach in its overall marketing strategy and operations as well
• This was used for targeting strategy as well as for maintaining growth

8. Company Competitive Advantage in the marketing strategy of Harbor City Electric

The marketing strategy of Harbor City Electric stands out from the clutter and competition. Harbor City Electric has also achieved a sustainable competitive advantage in its marketing strategy. This is because of the following factors that Harbor City Electric has utilized:

8.1. Cost-effectiveness

• Harbor City Electric focuses on reaching consumers effectively rather than grandeur
• Harbor City Electric focuses on developing an integrated marketing approach
• The use of digital marketing efficiently and expertly has helped the company reach a wider audience at a lower cost
• Harbor City Electric has in-house copywriters for marketing campaigns which also helps in controlling costs
• Harbor City Electric also focuses efforts on ground activities – which are less expensive than commercial marketing tactics

8.2. Innovation

• Harbor City Electric has stayed updated with latest developments in marketing research and marketing knowledge
• Harbor City Electric makes use of new and innovative tactics to reach its target consumers
• Harbor City Electric also employs top of the field marketers to facilitate its marketing strategy and promotional campaigns
• Each marketing campaign launched by Harbor City Electric is effective catchier and more influential than the previous one

8.3. Strong market research and consumer understanding grounded

• Harbor City Electric marketing strategy is strongly grounded in consumer and market research
• Harbor City Electric makes informed marketing campaigns and goals based on consumers’ behavioural feedback
• Harbor City Electric also incorporates consumer feedback in its marketing strategy
• Harbor City Electric marketing strategy is based on market trends, and consumer needs and wants

8.4. Making effective use of emotional appeals

• Consumers’ emotional needs strongly influence all marketing objectives and marketing goals set by Harbor City Electric
• In addition to fulfilling functional needs, Harbor City Electric also tries to fulfil the emotional and psychological needs of the consumer
• Harbor City Electric tries to build a strong emotional bond with the consumer, which also results in high consumer loyalty

9. Distribution Strategy of Harbor City Electric

Harbor City Electric marketing strategy highlights the use of the following distribution strategy to maximize reach and accessibility for consumers.

9.1. Intensive distribution strategy

• Harbor City Electric makes use of intensive distribution strategy because it is mass marketing
• Harbor City Electric’s marketing strategy is based on undifferentiated segments, and thus an intensive distribution strategy allows high penetration and reaches in the overall market
• With the use of the intensive distribution, Harbor City Electric tries to maximise its coverage of the markets where it's present
• For achieving the intensive strategy, the company uses hardcore 360-degree integrated marketing strategy and campaign to reach all consumers, across all segments in the market.

9.2. Direct distribution strategy

• Harbor City Electric uses direct distribution country of origin as well as in locations where it has subsidiary operations
• The Harbor City Electric also makes use of modern retailing channels
• Also, Harbor City Electric makes use of e-commerce and makes a sale through online retailers, as well as through the company website
• Direct distributions have allowed Harbor City Electric to increase market penetration and accessibility for consumers

9.3. Indirect distribution strategy

• This strategy is largely used for offshore operations where the Harbor City Electric does not have a subsidiary
• In these offshore locations, Harbor City Electric largely works through the export model
• This makes use of several intermediaries in between, before the product by Harbor City Electric reaches the target consumers
• Intermediaries for Harbor City Electric include not only the end retail outlets, but also sales agents, retail agents, and distribution agents in offshore locations

9.4. Selective distribution strategy

• For some products of its portfolio which are premium in nature, Harbor City Electric makes use of selective distribution channel
• Harbor City Electric has maintained a few outlets in the country of origin, and in selected offshore markets for these products
• These placements and locations are chosen based on the niche market that Harbor City Electric has for its premium products
• These locations, placements, and marketing strategy helps make the company’s product selectively, but readily accessible for its niche target audience

10. Competition Analysis in the marketing strategy of Harbor City Electric

The industry in which Harbor City Electric operates is very responsive to market and consumer trends. Harbor City Electric, therefore, needs to be vigilant in its market strategy towards competition – to make sure that it maintains its competitive advantage.

10.1. Strategic Group Analysis

• Harbor City Electric competes with direct and close competition based on quality and price
• Consumers choose between different companies from the industry based on their functional offering
• Consumers have progressively evolved to strengthen loyalty and form an emotional bond with products that they consume
• Harbor City Electric also competes, thereby, with close competition for building stronger brand image, increasing consume loyalty, and for forming strong emotional ties with the consumer

10.2. Industry rivalry

• Harbor City Electric experiences high industry rivalry
• The barriers to entry for the industry are low, and new entrants gain easy access in the industry
• The number of local as well as global players is increasing

11. Marketing mix of Harbor City Electric

The marketing mix for Harbor City Electric as per the marketing strategy is the following:

11.1. Product

• Harbor City Electric has a broad product portfolio
• Harbor City Electric provides mass marketed products for all segments across the market undifferentiated
• Harbor City Electric also provides some selected, premium products to niche customer groups
• All products in the portfolio consistently maintain high quality
• All products are tailored to meet consumer specifications, demands and needs across different regional markets
• The Harbor City Electric maintains a high focus on innovation in products and introduces new products frequently to keep the consumers engaged

11.2. Place

• Harbor City Electric wants to have a close, emotional and personal relationship with its consumers
• The company maintains high control in its distribution strategies – especially through direct distribution strategy
• The company has a presence in leading supermarkets
• The Harbor City Electric also has company-operated stores in malls, and otherwise to make products accessible to consumers easily
• Harbor City Electric also makes use of e-commerce to increase penetration and sales

11.3. Price

• The Harbor City Electric prices its products so that its target consumers can afford it easily
• Harbor City Electric uses relative pricing strategy for its products
• The price of Harbor City Electric’s products include not only the high quality raw materials and value additions but also the enhanced customer experience they deliver
• The company’s pricing strategy allows it to enjoy stable revenue and profit growth

11.4. Promotion

• The Harbor City Electric has a high budget allocated towards marketing activities
• The Harbor City Electric invests substantially in digital marketing activities to reap high and effective results
• Use of digital marketing has also allowed Harbor City Electric marketing strategy to cap costs and expenses
• Harbor City Electric also takes part in direct consumer engagement through on-ground activities where the company initiates trials
• Harbor City Electric also invests in traditional media channels to reach maximum consumers in the market

11.5. People

• Harbor City Electric has a large workforce across different companies
• This workforce is continually trained to become experts in their respective fields of operations
• Harbor City Electric hires without discrimination
• Harbor City Electric ensures that its employees remain motivated through building an inspirational and creative organizational culture
• Harbor City Electric focuses on also building and maintaining organizational commitment and loyalty in its employees

11.6. Process

• All activities at Harbor City Electric - from raw material procurement to the final sale to the end consumer - undergo systematic processes
• The processes at Harbor City Electric are well defined, and well communicated to all employees
• All employees are trained to follow the processes internally to ensure consistently high quality as well as timely production and deliveries
• The systematic processes also ensure a smooth running of operations at the Harbor City Electric

11.7. Physical evidence

• The physical evidence for Harbor City Electric includes the company logo, company store designs, and the product packaging
• Satisfied and excited customers in the retail spaces of Harbor City Electric, as well as during product consumption create a bubbling and an inviting atmosphere
• The e-commerce website for retail by Harbor City Electric is also designed with a friendly customer interface to allow maximum interaction with the brand
• The store designs created by Harbor City Electric for its retail space allow consumers maximum interaction with the products directly.

12. Promotional tactics for the marketing strategy of Harbor City Electric

12.1. Digital marketing

• The company uses social media for reaching consumers effectively
• The Harbor City Electric interacts with the consumers directly, and engages with them, answers their queries and takes their feedback
• The company also shares information and build relationships with consumers through digital marketing
• Harbor City Electric also makes use of blogging, emails, and content creations as a means of digital marketing

12.2. Conventional marketing

• The company uses a 360-degree approach in its marketing strategy
• This means that the company makes use of traditional marketing channels as well – such as TV, magazine adverts, and out of house placements

12.3. Influencers

• For direct, on-ground engagement, the company uses influencers
• Influencers interact with consumers directly, or through their channels of communication as a means of content creation and endorsing the Harbor City Electric brand

13. Monitoring and evaluation of the marketing strategy of Harbor City Electric

13.1. Changes in sales

• Harbor City Electric regularly tracks its sales to identify the effectiveness of its marketing strategy
• Increase in sales reflect the success of marketing strategy of Harbor City Electric
• Sometimes, Harbor City Electric experiences increase ins ae after some time of the launch of the marketing promotions

13.2. Surveys and focus groups

• Harbor City Electric frequently conducts focus groups and surveys to identify its brand worth
• These methods also help the company identify brand value, brand recall, and brand recognition
• Focus groups allow Harbor City Electric to gather feedback on its marketing strategy and helps it understand consumers better

13.3. ROI

• Effectiveness of marketing strategy of Harbor City Electric can also be seen through the revenue and profit growth
• Return on investment allows Harbor City Electric to effective gauge the effect and influence of the marketing strategy, and measure its success

13.4. Attainment of marketing objectives

• All marketing objectives set by Harbor City Electric are SMART
• The quantitative set against each of the marketing objective can facilitate attainment evaluation for the overall marketing strategy
• Successful and timely attainment of these marketing objectives highlight the success of the marketing strategy of Harbor City Electric