The document discusses marketing strategies for market followers and niche players. It outlines several strategic options for followers, including being a counterfeiter, imitator/cloner, or adaptor of the market leader's products. It suggests that followers keep costs low and offer quality products. For niche players, the document defines a niche market and provides examples. It then describes six niche strategies such as being an end-user specialist, vertical level specialist, customer size specialist, specific customer specialist, product line specialist, or event specialist.

1. A publication of
Dr. Rajesh K Satpathy
Strategic
Product
Management
Competitors Present & Future
Objectives /PGDM/KIAMS/2021

2. Assessing Competitors Present
&
Future Objectives…

3. The firms prefer to follow leader rather than to
challenge are called the followers. They do not face
the leader directly.
Some followers are capable to challenge but they
prefer to follow.
In some capital goods industries like steel, cement,
chemical, fertilizer, etc., product differentiation is low,
service qualities are similar, and price sensitivity is
high. They decide to provide similar offers by
copying the market leader.
Marketing Strategies for Market Followers…

4. Followers must keep
manufacturing cost low and offer
better quality products with
satisfactory services.
At the same time, they must
enter new markets as and when
there are opportunities.
Marketing Strategies for Market Followers…

5. Strategic Options:
1. Counterfeiter or Fraudster:
It is a simple way to follow the leader. The follower who
wants to be counterfeiter duplicates the leader’s product as
well as package and sells it in the market through disrepute
distributors.
Products are marketed secretly to avoid legal complications.
The product seems exactly similar to original product except
basic quality and features. This is common strategy in auto-
parts and electronics products.
Marketing Strategies for Market Followers…

6. 2. Imitators, Cloner or Emulator:
These companies clones (emulates) the
leader’s products, distribution, advertising and
other aspects.
Here, product and packaging may be identical
that of leader, but brand name is slightly
different.
This strategy is widely practiced in COMPUTER
HARDWARE business also. The cloned
products are openly sold in the market with
different brand names.
Marketing Strategies for Market Followers…

7. Strategic Options:
3. Adaptor:
Some followers prefer to adapt the leader’s
products and improve them. They make
necessary changes/improvements in the original
products and develop little different products.
The adapter may choose to sell the products in
different markets (country or area) to avoid
direct confrontation with the leader. Many
Chinese companies have practiced this strategy
and developed superior products.
Marketing Strategies for Market Followers…

8. A niche is a more narrowly defined small market
(limited number of buyers) whose needs are not
being well-served by existing sellers.
It is a small segment that has distinctive needs
and is, mostly, ready to pay high price.
Marketers can identify niches by dividing a
segment into sub-segments or by dividing a
group with a distinctive set of traits.
Marketing Strategies for Market Nichers…

9. Eg. A footwear company can create niches by
designing shoes for different sports (like
crickets, hokey, athletes, golf, etc.),
In the same way, niches can be created in
hotels, cosmetics, cloths, airways, hospitals,
and others.
Nichers can gain comparatively high returns.
They can achieve high margin while large
companies can achieve high volume.
Marketing Strategies for Market Nichers…
Voganow Fashion- Jalandhar

10. Strategies:
1. End-user Specialist:
It is very popular and widely used
option to serve niches. The firm
prefers to operate one-type of end-
use customers, for example, a legal
advisory firm can handle only
criminal cases, or a fashion
designer can work only for a few
film stars.
Marketing Strategies for Market Nichers…

11. Strategies:
2. Vertical Level Specialist:
The firm can specialize at vertical
level of production or distribution,
for example, producing only raw-
materials for specific companies,
only warehousing services, or it
may concentrate only on retailing.
It can serve only a part of the total
process.
Marketing Strategies for Market Nichers…

12. Strategies:
3. Customer Size Specialist:
The firm can sell products only to
small, medium, or large size
customers.
For example, a firm can supply one
or two components only to large
companies.
Marketing Strategies for Market Nichers…

13. Strategies:
4. Specific Customer Specialist:
A firm supplies its products only to
distinct group of buyers.
For example, designing special two-
wheeler for handicapped people or
serving special foods to people who
are suffering from certain diseases
like diabetes.
Marketing Strategies for Market Nichers…

14. Strategies:
5. Product or Product Line
Specialist:
The firm produces or sells only one
product or product line, for example,
it sells only socks, ties, or tie pins.
A small finance company deals with
only car loans or personal loans.
Marketing Strategies for Market Nichers…

15. Strategies:
6. Event Specialist:
The firm concentrates its efforts
only on particular events or
occasions like marriage, grand
inauguration, birthday, anniversary,
or some festivals.
It offers goods or services for
celebrating the events of target
buyers.
Marketing Strategies for Market Nichers…

16. Thank You !!