What is Competitive Product Marketing and Why it’s Important?
Competitive product marketing, also known as competitive marketing or competitive positioning, is a strategic marketing approach used by companies to promote and differentiate its solutions, products or services from vendors with similar offerings in a market segment. The primary goal of competitive product marketing is to highlight the unique solution capabilities, advantages, and value propositions, aligned with client pain points, to deliver positive business outcomes.
Why competitive product marketing drive business results that matter?
If done correctly, competitive product marketing can directly impact a company’s bottom line. Sample results I’ve seen through competitive product marketing initiatives I’ve led in IT and Telecommunications are significant increases in sales pipeline, higher quality sales engagements, sales revenue, competitive market share and year-on-year growth. But let’s take a deeper dive into the value of competitive product marketing to a company and their brand.
- Market Share: By effectively promoting the unique capabilities and advantages of a product, competitive product marketing can help a company gain a larger share of the market, keeping existing customers and attracting new customers resulting in taking market share away from competitors.
- Revenue Growth: Effective competitive marketing efforts can lead to increased sales and revenue, as customers are more likely to choose a product with a strong value proposition, and compelling messaging that aligns with their concerns and goals.
- Profitability: Competitive product marketing allows a company to articulate and differentiate its clear advantage in the marketplace reducing focus on price. By effectively communicating the value of a product and justifying its price point, competitive product marketing can boost profit margins and overall profitability.
- Brand Leadership: A well-executed competitive product marketing campaign can enhance a company’s brand image, strengthening its reputation and making it more appealing to new and existing customers. Brand equity and customer loyalty often follow, contributing to long-term success.
- Improved Customer Retention & Loyalty: When customers perceive a product as superior to alternatives, they are more likely to remain loyal to the brand, reducing churn and increasing customer retention and loyalty.
- Deeper Data Insights: Competitive product marketing analysis and intelligence often involves gathering valuable data and insights about customer preferences, market trends, and competitor behavior. Deep competitive insights can inform strategic decision-making leading to new market opportunities, portfolio diversification and market expansion.
- Market Leadership: Effective competitive product marketing helps a company build a sustainable business by establishing a strong position in the market and maintaining customer loyalty over time.
In today’s rapidly evolving business environment, where B2B decision makers have access to a wealth of information and choices, competitive product marketing is crucial for brands to stay relevant and successful. In summary, competitive product marketing is a critical driver of a companies’ success. It not only impacts immediate sales and revenue but also shapes a company’s long-term viability, profitability, and reputation within the marketplace. A well-executed marketing strategy can position a business for sustained growth and competitiveness.
Thanks for reading!
Al Brodie is a strategic B2B marketing leader with extensive experience leading successful marketing initiatives that significantly increase sales, revenue, and competitive market share. You can learn more about me by visiting my online bio site – https://albrodie.godaddysites.com/bio