People often use the terms 'Strategy' and 'Tactics', in general, interchangeably and in a random manner as if they mean the same. Browsing the internet to find out the differences between the two terms even makes the situation worse, as different websites, even professional ones, present misleading or wrong definitions and/or usage of those terms.
Whether you are running your own business or working for a business with the responsibility to develop or execute marketing strategies, it is very important to understand the big difference between a strategy and a tactic.
The purpose of this high-level presentation is to clearly delineate the distinct differences between Marketing and Tactics, and show how relate to each other and work in tandem for your organization.
*Disclaimer: The use of this presentation for commercial purposes is prohibited.
Kenya Coconut Production Presentation by Dr. Lalith Perera
The Awful Mix-up: Marketing Strategy vs Tactics
1. The Awful Mix-up
Marketing Strategy vs. Tactics
Dr. Nader Al Mallah
Managing Director
ideas Holding Group, Bahrain
2. The Awful Mix-up…
"It's not enough that we do our best;
sometimes we have to do what's required."
Sir Winston Churchill
The Awful Mix-up: Marketing Strategy vs. Tactics
3. The Awful Mix-up: Marketing Strategy vs. Tactics
The 3 FACTS
Driving and Enforcing the Confusion
4. Fact #1
Many people and businesses are unable to distinguish
Marketing Stagey from Tactics
But Why?
The Awful Mix-up: Marketing Strategy vs. Tactics
5. Fact #2
The Internet offers:
More misinformation than information
More nonsense than common sense
More nicely formatted templates than properly
formulated documents
But Why?
The Awful Mix-up: Marketing Strategy vs. Tactics
6. Fact #3
The ‘JUST BE THERE’ Syndrome
makes many people and businesses post and share
incomplete, wrong and contradicting
information, without even reading them rather than
mastering them, just for the seek of posting!!
So, what is the ‘TRUE’?
The Awful Mix-up: Marketing Strategy vs. Tactics
7. The Awful Mix-up: Marketing Strategy vs. Tactics
Marketing Strategy vs. Tactics, in Brief
Important Differentiation
8. A Marketing STRATEGY is NOT A TACTIC
» A Strategy is an idea; a conceptualization of how the
goal could be achieved.
» A Tactic is an action you take to execute the strategy;
examples: TV Advertising, Magazine Ads, Infomercials, Retail
Promotions, Website, Social Media, etc.
The Awful Mix-up: Marketing Strategy vs. Tactics
9. STRATEGIES and GOALS are NOT SYNONYMOUS
» A Goal is an observable and measurable End Result
having one or more objectives to be achieved within
a more or less fixed timeframe.
» It’s NOT a Strategy unless there’s an IDEA behind it.
» Any number of strategies can be used to achieve a
business goal
The Awful Mix-up: Marketing Strategy vs. Tactics
10. Relationship between Strategies, Tactics & Goals
STRATEGY
TACTIC TACTIC
TACTIC TACTIC
GOAL
STRATEGY
TACTIC TACTIC
TACTIC TACTIC
The Awful Mix-up: Marketing Strategy vs. Tactics
11. The Awful Mix-up: Marketing Strategy vs. Tactics
What Makes a Good Marketing Strategy?
Common Components of Strategies
12. Common Components of Good Strategies
» Thorough understanding of the brand’s status and
story
» A realistic assessment of the product’s strengths &
weaknesses
» A clear picture of the competition
» Intimate knowledge of the consumer and the market
» A grasp of the big-picture business implications
The Awful Mix-up: Marketing Strategy vs. Tactics
13. FACTs about Marketing Strategies
» A great strategy does not depend on brilliant tactics
for success.
» If the idea is strong enough, you can get by with
mediocre tactical execution.
» Even the best tactics can’t compensate for a lousy
strategy.
The Awful Mix-up: Marketing Strategy vs. Tactics
14. Case Study
Do NOT build a hell of a strategy
around a simple tactical idea…
» Domino’s came up with the their ‘30-minute
delivery guarantee’
» Someone just said: “Hey, what if we guaranteed 30-
minute delivery?” and…
» A Strategy was born
The Awful Mix-up: Marketing Strategy vs. Tactics
15. Case Study
Do NOT build a hell of a strategy
around a simple tactical idea…
What’s wrong with that?!
» Domino’s couldn’t compete on product quality, but
on speedy delivery.
» The entire operation revolved around the promise of
30-minute delivery rather than quality of the pizza!!
The Awful Mix-up: Marketing Strategy vs. Tactics
16. The Awful Mix-up: Marketing Strategy vs. Tactics
The “What if…?” TEST
Differentiating between Strategy & Tactics
17. What is “What if” Test?
» “What if” is a simple tool used in Sensitivity Analysis
that allows testing the ‘phrase’ you came up with to
find out whether it is a Tactic, a Strategy or a Goal
» It only needs your ‘Common Sense’
» Just apply the question and see if it contains an ‘idea’
The Awful Mix-up: Marketing Strategy vs. Tactics
18. What is “What if” Test?
» What if we create multi versions of this system?
Creating multi versions of the system is a Business
IDEA.
» What if we develop a website? a Tactic
» What if we use search engine? a Tactic
» What if we increase market share? a Goal
» What if we analyze our competitors? a Tactic
The Awful Mix-up: Marketing Strategy vs. Tactics
19. The Awful Mix-up: Marketing Strategy vs. Tactics
Master Your Work
Essential Marketing Definitions
20. Essential Marketing Detentions
» Marketing
The management process through which goods and
services move from concept to the customer. It
includes the coordination of four elements called the 4
P's of marketing:
1. Product
2. Price
3. Place
4. Promotion
The Awful Mix-up: Marketing Strategy vs. Tactics
21. Essential Marketing Detentions
» Marketing Strategy
An organization's strategy that combines all of its
marketing goals into One Comprehensive Plan. A good
marketing strategy should be drawn from Market
Research and Focus on the right Product Mix in order
to achieve the maximum profit potential and sustain
the business.
The Marketing Strategy is the Foundation of a
Marketing Plan.
The Awful Mix-up: Marketing Strategy vs. Tactics
22. Essential Marketing Detentions
» Tactics
Near term Actions taken to solve specific problems or
accomplish specific goals.
» Marketing Tactics
Actions taken to execute the Marketing Strategy.
The Awful Mix-up: Marketing Strategy vs. Tactics
23. Essential Marketing Detentions
» Plan
Written account of intended future Course of Action
(scheme) aimed at achieving specific Goal(s) or
Objective(s) within a specific timeframe.
The Plan explains in detail what needs to be
done, when, how, and by whom, and often includes
best case, expected case, and worst case scenarios.
The Awful Mix-up: Marketing Strategy vs. Tactics
24. Essential Marketing Detentions
» Planning
A basic management function involving formulation of
one or more detailed plans to achieve optimum
balance of needs or demands with the available
resources.
The Awful Mix-up: Marketing Strategy vs. Tactics
25. Essential Marketing Detentions
» Planning Process
The Planning Process involves:
1. identifying the goals or objectives to be achieved
2. Formulating strategies to achieve them
3. Arranging or creating the means required
4. Implementing, directing, and monitoring all steps in
their proper sequence.
The Awful Mix-up: Marketing Strategy vs. Tactics
26. Essential Marketing Detentions
» Marketing Plan
Product specific, market specific, or company-wide plan
that describes activities involved in achieving specific
marketing objectives within a set timeframe.
The Awful Mix-up: Marketing Strategy vs. Tactics
27. Essential Marketing Detentions
» Marketing Plan
A market plan begins with the identification (through
market research) of specific customer needs and how the
firm intends to fulfill them while generating an acceptable
level of return.
It generally includes analysis of the current market
situation (Opportunities and Trends) and detailed action
programs, budgets, sales forecasts, strategies, and
projected (proforma) financial statements.
The Awful Mix-up: Marketing Strategy vs. Tactics
28. Essential Marketing Detentions
» Market Orientation
A business approach or philosophy that focuses on
identifying and meeting the stated or hidden needs or
wants of customers.
The Awful Mix-up: Marketing Strategy vs. Tactics
29. Essential Marketing Detentions
» Marketing Mix
A planned mix of the controllable elements of a
product's marketing plan commonly termed as 4Ps:
Product, Price, Place, and Promotion.
These four elements are adjusted until the right
combination is found that serves the needs of the
product's customers, while generating optimum
income.
The Awful Mix-up: Marketing Strategy vs. Tactics
30. Essential Marketing Detentions
» Profit Potential
The capacity for making more money in future
transactions in business and trading.
Profit Potential is an important factor in any business or
investment plan, and it is often a key element in the
assessment of high percentage trades in the various
asset markets.
The Awful Mix-up: Marketing Strategy vs. Tactics
31. Essential Marketing Detentions
» Market Equilibrium
A situation in which the supply of an item is exactly
equal to its demand. Since there is neither surplus nor
shortage in the market, price tends to remain stable in
this situation.
The Awful Mix-up: Marketing Strategy vs. Tactics
32. Thank You
Dr. Nader Al Mallah
Managing Director
ideas Holding Group, Bahrain