Increasing Market Share in Existing Product Markets with Existing Products

Increase Market ShareIn good and in less than desirable economic environments alike, company executives face the often difficult task of growing the companies they lead. This task can take a variety of shapes and forms but this article focuses on triggering growth with existing products in companies’ existing markets.

The strategy for inducing growth in existing markets, with current products involves little risk since it utilizes resources and capabilities the company already has. It also is a strategy that is limited in that once the market is saturated, a new strategy must be employed.

Still, companies can increase their market share by carefully putting together of appealing advertising campaigns and as well as with other types of marketing.

A company reducing its prices is another tool it can employ to pull customers from the competition, bringing growth in the current market with current products. The offering of a quality product along with strong customer service can help keep the new piece of the market share long term – keeping the customers from returning to the competition

Another growth strategy for companies is to increase use of the products they offer now, in their current market. This can be done in many ways including introducing new uses for the product, the idea that the product should be used more often, or by repackaging the product with a new and more appealing look for the current market. For example, a company who sells a teeth whitening product might increase the use of their current product by changing the color and shape of the packaging while also making the product easier to use.

Other examples of these methods and examples for increasing use, using other methods are listed below:
  • Providing communication reminding customers to use the product such as sending an email with a coupon for the product

  • Positioning for regular use such as encouraging rinsing with mouthwash every morning

  • Positioning the product for frequent use such as is done with book clubs that require a monthly purchase of a book

  • Suggesting new uses for the product such as the many uses, including use as a bug repellent, suggested for Avon's Skin So Soft Bath Oil

  • Incentives being given for frequent use such as Starbucks' gold card which rewards customers with a free drink for every 15 purchases made, using the card

  • Revitalizing of the brand such as CocaCola introducing New Coke

  • Minimizing undesirable effects of the product such as advertising a soap that is gentle, a food that is low calorie, low carbohydrate or low fat

  • Making the use easier or convenient like the large movie dispensing machines outside grocery stores and commonly frequented placed of business
Companies can test the effectiveness of their advertising campaigns and marketing ideas, price reductions and ideas for increasing use within their target market, by conducting a market research study.
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