What Is The Outcome Of Conducting A Market Opportunity Analy

What Is The Outcome Of Conducting a Market Opportunity Analysis Exami

What is the outcome of conducting a market opportunity analysis? Examine two components of the MOA and assess how each contributes to an effective IMC. Incorporate concepts and examples from this week’s lecture in your post. Week Two Lecture Market Opportunity Analysis Once an organization has conducted an environmental analysis, it is time to look deeper into the potential of a given population in order to determine if there is a potential for sales and profits. This is called a “Market Opportunity Analysis” (Ogden & Ogden, 2014), and it is conducted for the marketing team to be able to determine if the market under consideration has the required elements for the organization to make a profit. Elements frequently considered on whether or not to enter into a market are Michael Porter’s (1979) five competitive strategies. Although Porter’s work was conducted 30 years ago, Porter's five competitive strategies have stood the test of time and are used today in virtually every industry around the globe (Renko, Sustic, & Butigan, 2011): Rivalry among existing competitors; bargaining power of suppliers; bargaining power of buyers; threat of substitute products or services; and threat of new entrants (Porter). Understanding how each strategy impacts the organization’s industry as well as the surrounding members can be key to being able to identify the best markets with the highest probability of opportunities. Below is a graph of the five strategies and characteristics within each strategy. SMART Being able to accurately track the organization’s performance against the expectations is a critical activity. If the marketing strategy is performing below expectations, slight adjustments can be made in many cases. In extreme cases, the organization may have to reconsider its entire marketing strategy. One method for monitoring the marketing strategy’s progress toward meeting organizational objectives is to use the SMART metric of measurement. This stands for Specific, Measurable, Attainable, Relevant, and Time (Ogden & Ogden, 2014). While the objectives can be for all the areas within marketing, this metric is most often used to measure whether or not the overall marketing strategy is performing according to expectations. In addition to the five competitive strategies, another component in the Market Opportunity Analysis is to identify a specific population group most likely to need and buy the organization’s goods or services, a target market. There are three components to identifying a target market: the consumer needs and will purchase your product; the consumer has enough money to purchase your product, and there are enough consumers in this targeted market segment to make it profitable for your organization to sell the product (Ogden & Ogden, 2014). Methods to communicate with the identified targeted market segment are achieved through the organizations Integrated Marketing Communications (IMC) strategy and will be discussed below. Consistency with IMC If the ultimate goal is to positively affect buyer behavior and increase sales which, in turn, will increase shareholder wealth, how might an organization set about communicating in such a manner that will attract and engage its targeted market segment? One method is to use an Integrated Marketing Communications (IMC) strategy. The American Association of Advertising Agencies suggests a single voice with a single message in all marketing communication channels has the greatest chance of being heard by the organization’s targeted market segment (Navarro-Bailà³on, 2012). Repetition on of the single message will also be effective (Ogden & Ogden, 2014). Although there are many trends and venues a marketing professional can use including glocalization and omni-channel marketing, there remains the need for a consistent, single message to be communicated to the organization’s targeted market segment in order to increase brand awareness and positively affect buyer behavior. Forbes School of Business Faculty References: Navarro-Bailà³on (2012, July). Strategic consistent messages in cross-tool campaigns: Effects on brand image and brand attitude. Journal of Marketing Communications, 18 (3), . Ogden, J. R., & Ogden, D. T. (2014). Utilizing a strategic marketing approach to managing marketing communications . San Diego, CA: Bridgepoint Education, Inc. Porter, M. E. (1979, July-August). How competitive forces shape strategy. Harvard Business Review, 1-9. Renko, N., Sustic, I., & Butigan, R. (2011). Designing marketing strategy using the five competitive forces model by Michael E. Porter – Case of a small bakery in Croatia. International Journal of Management Cases, 13 (3), . .

Paper For Above instruction

The outcome of conducting a Market Opportunity Analysis (MOA) fundamentally shapes a company's strategic approach to market entry and positioning. By thoroughly assessing potential markets, organizations can identify promising opportunities that align with their capabilities and strategic goals. Two critical components of the MOA that significantly contribute to an effective Integrated Marketing Communications (IMC) strategy are the evaluation of competitive forces, as outlined by Porter’s Five Forces, and the identification of the target market segment. Together, these elements facilitate a focused and coherent approach to communications, which enhances customer engagement, brand consistency, and ultimately, sales performance.

Understanding Porter’s Five Forces—rivalry among existing competitors, bargaining power of suppliers and buyers, threat of substitutes, and threat of new entrants—is essential in assessing the attractiveness of a target market (Porter, 1979). This component provides insight into the competitive landscape and potential profitability of entering a market. For example, high rivalry among competitors may necessitate differentiated messaging to stand out and carve out a niche. Conversely, a market with low competitive intensity offers a clearer path to establish brand presence without overwhelming competition. By analyzing these forces, companies can craft tailored communication strategies that address specific market dynamics, thereby positioning their brand effectively against competitors.

The second component—target market identification—addresses the specific consumer segment most likely to purchase the company's products or services. This involves understanding consumer needs, purchasing power, and market size (Ogden & Ogden, 2014). Once identified, organizations can develop highly targeted IMC campaigns that resonate with this demographic. For instance, if the target market comprises environmentally conscious consumers with high disposable income, messaging can highlight sustainability efforts and premium quality. Effective targeting ensures that marketing messages are relevant, which increases engagement and conversion rates.

Integrating these components into a comprehensive IMC strategy offers numerous benefits. First, consistency across communication channels—whether digital, print, or in-person—builds brand recognition and trust. As Navarro-Bailà³on (2012) emphasizes, a single, clear message delivered uniformly across platforms reinforces the brand image and influences consumer attitudes positively. Second, focused messaging tailored to the competitive environment and target market enhances message relevance and effectiveness, leading to improved buyer behavior, higher sales, and increased shareholder value.

For example, a fitness apparel company analyzing market competition might discover intense rivalry from established brands. To differentiate, it could use IMC to communicate its unique value proposition—such as sustainable manufacturing—across all channels consistently. Simultaneously, its campaign might target young, eco-aware consumers with messages emphasizing environmental responsibility and trendy designs. This strategic alignment ensures that marketing efforts resonate deeply with the target audience and stand out in a crowded marketplace.

In conclusion, conducting a thorough MOA with a focus on competitive forces and target market segmentation lays the foundation for effective IMC. By understanding market dynamics and consumer needs, organizations can craft consistent, targeted messages that increase brand awareness, foster consumer engagement, and drive sales. The synergy between market analysis and communication strategy is vital for achieving competitive advantage, sustainable growth, and maximizing organizational profitability.

References

• Navarro-Bailà³on, J. (2012). Strategic consistent messages in cross-tool campaigns: Effects on brand image and brand attitude. Journal of Marketing Communications, 18(3).
• Ogden, J. R., & Ogden, D. T. (2014). Utilizing a strategic marketing approach to managing marketing communications. San Diego, CA: Bridgepoint Education, Inc.
• Porter, M. E. (1979). How competitive forces shape strategy. Harvard Business Review, 57(2), 137-145.
• Renko, N., Sustic, I., & Butigan, R. (2011). Designing marketing strategy using the five competitive forces model by Michael E. Porter – Case of a small bakery in Croatia. International Journal of Management Cases, 13(3).
• Kotler, P., & Keller, K. L. (2016). Marketing management. Pearson.
• Leigh, K. E., & Blass, E. (2014). Integrated marketing communications. In The SAGE international encyclopedia of mass media and society (pp. 791-793). Sage Publications.
• Clow, K. E., & Baack, D. (2016). Integrated advertising, promotion, and marketing communications. Pearson.
• Belch, G. E., & Belch, M. A. (2017). Advertising and Promotion: An integrated marketing communications perspective. McGraw-Hill Education.
• Kliatchko, J. (2008). Rejuvenating integrated marketing communications (IMC): A new conceptualization. International Journal of Advertising, 27(5), 699–723.
• Shimp, T. A. (2010). Advertising, Promotion, and Other Aspects of Integrated Marketing Communications. Cengage Learning.