Applying the analogy of a journey, Marketing Strategy is the 'route' or 'routes' that a business intends to take to get to its chosen 'destination', the Marketing Objective. Whilst Marketing Objectives can themselves be seen as identified 'milestones' on a longer journey toward the overall Corporate goals / aims of the business.

To better understand the nature and role of Marketing Objectives and Strategy, we should consider their position within both the Marketing Planning and Corporate Planning process.

In order to develop appropriate marketing strategies a business must first understand ' Where it is ' in terms of the business and its markets, before going onto decide ' Where it wants to get to ' in terms of Marketing Objectives and ' How its going to get there ' the Marketing Strategies to be employed. This is achieved through completion of a Marketing Audit, which through market research will provide

• detailed analysis of the business, to identify its internal Strengths and Weaknesses, in terms of resources available be they human, financial, intellectual ...etc
• detailed analysis of the markets in which the business currently operates, including competition and consumer needs, general environmental factors i.e. legal, political, economic, social, and technological elements.

Businesses will commonly apply analysis techniques such as SWOT and PEST Analysis to complete such audits. Only once the business fully understands its current position can it begin the effectively set marketing objectives for the future.

In setting objectives a number of general rules should be applied, namely that good objectives are SMART

• Specific
• Measurable
• Achievable
• Relevant
• Time Specific

Marketing Objectives can focus on

• Size, in terms of Market Share, or Sales
• Market Positioning, in terms of targeting specific segments of existing or new markets
• Innovation and Product Range development
• Brand Loyalty
• Survival

For example, a company might seek to increase its market share (as measured by value of sales) from 10% to 15% over the next 2 years. Such an objective is by its very nature Specific, Measurable and Time Specific. Whilst the identified Strength of this particular business to develop new products, and the Opportunity to satisfy predicted growth in demand within the market, means the objective of 5% growth in Sales is also seen as achievable, and relevant to a business which might aim to become a major supplier in the market.

Having set Marketing Objectives, the business must then develop Marketing Strategies, the medium to long term plans that will achieve these objectives. In formulating marketing strategies, businesses will consider all the elements of the Marketing Mix, namely Product, Price, Promotion and Place.

In subsequent sections, we will consider each element of the Marketing Mix, and the common strategies and tactics applied in each to achieve the objectives of the business.