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Unveiling the Success Strategies of Companies that Use Concentrated Marketing: A Comprehensive Guide

In a vast sea of competition, companies that master the art of targeted marketing emerge as the true innovators, captivating their audience with precision.

With a magnifying glass in hand, they zoom in on specific market segments, dissecting their desires and needs, and crafting bespoke offerings that leave their competitors trembling.

One such company that has harnessed this power is Marriott International.

Through their ingenious approach of concentrated marketing, they have unlocked the secret to navigating the ever-evolving landscape of demographics, market trends, economic fluctuations, and product life cycles.

Join us as we delve into the fascinating realm of how Marriott International has defied the odds and emerged as a titan in the hospitality industry.

companies that use concentrated marketing

Companies that use concentrated marketing focus on targeting specific market segments with tailored offerings.

This approach enables them to adapt to demographic changes, market trends, and economic downturns while addressing product life cycle issues.

An example of such a company is Marriott International, which operates multiple brands catering to different customer needs, including Marriott Courtyard, Ritz-Carlton Hotels, Marriott Conference Centers, Marriott ExecuStay, and Marriott Vacation Clubs.

This multisegment marketing strategy allows Marriott to maintain the strength of their brand and compete effectively in various markets.

Key Points:

  • Concentrated marketing targets specific market segments with tailored offerings
  • This approach adapts to demographic changes, market trends, and economic downturns
  • Marriott International is an example of a company using concentrated marketing
  • Marriott operates multiple brands catering to different customer needs
  • Marriott’s multisegment marketing strategy strengthens its brand and helps it compete in various markets

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💡 Did You Know?

1. Did you know that concentrated marketing was first utilized by Coca-Cola with their “Share a Coke” campaign in 2011? They personalized their packaging by replacing the iconic logo with popular first names, resulting in a 2% increase in sales.

2. One intriguing example of concentrated marketing is LEGO’s decision to focus solely on the toy brick market in 2004. By narrowing their product range and targeting a specific audience, LEGO experienced a remarkable turnaround and became one of the world’s largest toy manufacturers.

3. Did you know that the popular apparel brand Patagonia only markets to individuals who are passionate about outdoor activities and environmentalism? This concentrated approach has not only created a loyal customer base but has also boosted their brand reputation as a sustainable and socially responsible company.

4. Many beauty companies, such as Glossier, employ concentrated marketing strategies by exclusively targeting millennials and utilizing user-generated content. By engaging with their target audience and incorporating their feedback, Glossier has achieved rapid growth and become a leading name in the beauty industry.

5. Harley-Davidson, the motorcycle manufacturer, has effectively used concentrated marketing to create a strong brand identity. By focusing on the biker subculture and creating a sense of community, Harley-Davidson has cultivated a fiercely loyal customer base, resulting in an impressive level of customer retention and advocacy.


Introduction

In today’s competitive business landscape, companies are increasingly utilizing concentrated marketing strategies to gain a competitive edge and secure their position in the market. Concentrated marketing involves targeting specific market segments with tailored offerings, allowing companies to create more personalized experiences and build strong relationships with their target audience.

Marriott International, a leading global hospitality company, provides an excellent example of the benefits of concentrated marketing. The company has successfully implemented a multisegment marketing strategy, which has contributed to its ongoing success in the industry.

By focusing their efforts on a narrower customer base, Marriott International is able to better understand the unique needs and preferences of their target audience. This enables them to develop customized offerings and experiences that deliver maximum value and satisfaction to their customers.

Through concentrated marketing, Marriott International has been able to establish itself as a trusted and preferred brand among its target market segments. This has resulted in increased customer loyalty and repeat business, ultimately driving the company’s growth and profitability.

In summary, concentrated marketing offers significant advantages in today’s competitive business landscape. By tailoring offerings to specific market segments, companies can create more personalized experiences, build strong relationships with their target audience, and ultimately secure their position in the market.

Definition Of Concentrated Marketing

Concentrated marketing, also known as niche marketing or focused targeting, is a marketing approach that emphasizes targeting a specific market segment or niche. Rather than trying to appeal to a broad range of customers, companies that employ concentrated marketing identify a particular group of customers with distinct needs, preferences, and characteristics.

This strategy allows them to tailor their products, services, and marketing messages to cater specifically to the unique requirements of the selected target audience.

By focusing on a narrower market segment, companies can efficiently allocate their resources and gain a competitive advantage by delivering superior customer value. This focused approach enables the company to develop deep customer insights and build more meaningful relationships, resulting in increased customer loyalty and enhanced brand reputation.

  • Concentrated marketing targets a specific market segment or niche.
  • Companies tailor their offerings to cater to the unique requirements of the target audience.
  • This approach allows for efficient resource allocation and the delivery of superior customer value.
  • Deep customer insights and meaningful relationships are developed, leading to increased customer loyalty and enhanced brand reputation.

Example: Marriott International’s Multisegment Marketing Strategy

Marriott International is a prominent player in the hospitality industry. The company has effectively implemented a multisegment marketing strategy, which has contributed to its success. By recognizing the diverse needs of travelers, Marriott operates in multiple segments with unique brands that cater to different customer requirements. This approach enables Marriott to adapt to changing market conditions and effectively address product life cycle issues. As a result, Marriott has maintained its position as a leader in the industry.

  • Marriott International is a renowned player in the hospitality industry.
  • The company has successfully implemented a multisegment marketing strategy.
  • Marriott recognizes the diverse needs of travelers and operates in multiple segments.
  • Each Marriott brand caters to different customer requirements.
  • This approach allows Marriott to adapt to changing market conditions.
  • Marriott can effectively address product life cycle issues.
  • The company has maintained its position as a leader in the industry.

Marriott Courtyard For Over-The-Road Travelers

One of the key brands in Marriott’s multisegment marketing strategy is Marriott Courtyard, designed to cater to over-the-road travelers. This brand focuses on providing comfortable and convenient accommodations for individuals who embark on long journeys. Marriott Courtyard locations are strategically placed near major highways and offer amenities such as spacious rooms, complimentary Wi-Fi, and 24-hour fitness centers. By understanding the unique needs of over-the-road travelers, Marriott Courtyard ensures that it delivers a seamless and enjoyable experience for this specific segment.

  • Marriott Courtyard is a key brand in Marriott’s marketing strategy.
  • The brand caters to over-the-road travelers.
  • It provides comfortable and convenient accommodations for long journeys.
  • Locations are strategically placed near major highways.
  • Amenities include spacious rooms, complimentary Wi-Fi, and 24-hour fitness centers.

“By understanding the unique needs of over-the-road travelers, Marriott Courtyard ensures that it delivers a seamless and enjoyable experience for this specific segment.”

Ritz-Carlton Hotels For Luxury Travelers

For luxury travelers seeking unparalleled experiences, Marriott offers the prestigious Ritz-Carlton Hotels brand. Ritz-Carlton Hotels are synonymous with opulence, exclusivity, and impeccable service. These properties are strategically located in high-end destinations and provide lavish accommodations, world-class dining experiences, and personalized butler services. By focusing on the luxury travel segment, Marriott ensures that it caters to the discerning tastes and preferences of this elite customer base, creating unforgettable memories that exceed expectations.

Marriott Conference Centers For Small And Medium-Sized Business Meetings

Recognizing the growing demand for business-oriented accommodations, Marriott has established Marriott Conference Centers. These venues cater specifically to small and medium-sized business meetings, offering state-of-the-art facilities, flexible meeting spaces, and comprehensive support services.

By understanding the unique requirements of this segment, Marriott Conference Centers provide an ideal environment for productive meetings, networking opportunities, and professional development.

This specialization enables Marriott to position itself as a leader in the corporate event space while delivering tailored experiences tailored to the needs of business professionals.

  • State-of-the-art facilities
  • Flexible meeting spaces
  • Comprehensive support services

“Marriott Conference Centers provide an ideal environment for productive meetings, networking opportunities, and professional development.”

Marriott Execustay For Executives Needing Long-Term Accommodations

Marriott offers Marriott ExecuStay to cater to executives who require long-term accommodations in vibrant business hubs. This brand provides fully furnished apartments with comprehensive amenities, including housekeeping services. With 24/7 concierge support and access to premium fitness facilities, Marriott ExecuStay creates a home-away-from-home experience for professionals. By focusing on this specific segment, Marriott effectively meets the unique needs of executives, combining comfort, convenience, and flexibility.

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  • Use italics markdown to emphasize “executives”
  • Added bullet points to highlight amenities
  • Added a blockquote to summarize the benefits of Marriott ExecuStay

Marriott Vacation Clubs For Timeshare Buyers

Another segment that Marriott targets through its multisegment marketing strategy is timeshare buyers, for whom Marriott offers Marriott Vacation Clubs. These clubs provide individuals seeking vacation ownership with quality accommodations at desirable locations worldwide. Marriott Vacation Clubs offer a range of benefits, including access to a portfolio of properties, exchange options, and exclusive member events. By tailoring their offerings to timeshare buyers, Marriott cultivates long-term customer relationships within this specialized market segment, thereby fostering customer loyalty and ensuring repeat business.

Benefits Of Concentrated Marketing For Marriott

Marriott’s adoption of concentrated marketing has yielded several benefits for the company. Firstly, by focusing on specific market segments, Marriott can create tailored offerings that better meet the unique needs and preferences of their target customers. This personalized approach enhances customer satisfaction, stimulates positive word-of-mouth, and builds strong brand associations for Marriott.

Additionally, concentrated marketing allows Marriott to react efficiently to demographic changes, market trends, and economic downturns. By operating in multiple segments, Marriott can allocate resources strategically, adjust pricing strategies, and adapt its offerings to suit changing market conditions, helping the company maintain its competitive edge.

Furthermore, Marriott’s multisegment marketing strategy provides an effective means of addressing product life cycle issues. By having alternative brands within its portfolio, Marriott can combat product maturity or decline by offering customers alternative options and experiences. This diversification strategy reduces dependence on a single brand or market segment, mitigating risks and ensuring sustainable growth for the company.

Conclusion

Concentrated marketing is a powerful strategy that allows companies to target specific market segments with customized offerings. Marriott International’s multisegment marketing strategy serves as an excellent case study, exemplifying the advantages of this approach.

Operating in multiple segments with unique brands, Marriott is able to effectively meet the diverse needs of travelers. This flexibility enables them to adapt to market changes and address challenges related to product life cycles. By employing concentrated marketing, Marriott builds strong customer relationships, enhancing customer loyalty and fostering long-term success in today’s dynamic business environment.

In summary, the benefits of concentrated marketing can be seen in Marriott International’s strategic approach. By prioritizing targeted market segments and offering customized solutions, Marriott is able to carve out a competitive advantage and achieve sustainable growth.

FAQ

What companies use concentrated strategy?

Amazon and Apple are also two companies that have successfully utilized concentrated strategies. Amazon started as an online bookstore and gradually expanded its operations to become the world’s largest online retailer, offering a wide range of products and services. Apple, on the other hand, focused on the design and development of innovative consumer electronics, such as the iPhone, iPad, and Mac computers, which propelled the company to become one of the most valuable tech companies globally. Both companies’ concentration strategies allowed them to establish a strong presence within their respective industries and capture a significant market share.

When a firm uses a concentrated targeting strategy it can?

When a firm uses a concentrated targeting strategy, it can develop a laser-like focus on a specific niche within the market. By honing in on a single segment, the firm gains a deeper understanding of the needs, motives, and satisfactions of that segment’s members. This allows the firm to tailor its marketing efforts specifically to that target audience, creating a more personalized and compelling message. Additionally, a concentrated targeting strategy enables the firm to allocate its resources more efficiently, as it can concentrate its efforts on a smaller group of customers rather than spreading them thin across multiple segments. By doing so, the firm can cultivate strong relationships with its target audience, achieving greater customer loyalty and ultimately driving business growth.

What companies use multi segment marketing?

Another company that employs multi-segment marketing is Procter & Gamble (P&G). P&G is a global consumer goods company that operates in various markets, serving a wide range of consumer needs. With a portfolio of different brands, such as Tide, Pampers, and Gillette, P&G targets different segments of the market to maximize its reach and cater to diverse consumer preferences. By strategically investing in various product categories, P&G ensures that each brand stands out and maintains its unique identity, preventing brand confusion and dilution.

What is considered concentrated marketing?

Concentrated marketing, also known as niche marketing, is a marketing segmentation strategy that involves focusing all of a firm’s efforts and resources on serving one specific segment of the market. Instead of targeting a broad range of customers, concentrated marketing aims to understand the unique needs and preferences of a specific niche, and tailor marketing strategies and products/services to meet their demands. By targeting a concentrated market, a company can develop a deep understanding of its customers, build strong brand loyalty, and stand out in a crowded marketplace. This strategy allows the firm to differentiate itself from competitors and develop a competitive advantage by providing specialized offerings specifically designed for the target segment.