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Market Penetration Strategy Checklist

 

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Market Penetration Strategy Checklist This Market Penetration Strategy Checklist includes general guidelines for creating an effective penetration strategy. It will be helpful for analysts, marketers and other people involved in sales planning and market research. The checklist is best used with VIP Organizer software.


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Define the Need for a Penetration Strategy.

  • Identify why your business needs to reach higher market penetration
  • Check whether you will reach an increase in total profitability through a penetration strategy
  • Determine whether your business can increase profitability per product line through higher penetration
  • Figure out how you can secure profitability
  • Have a survival scenario for an unfavorable market situation
  • Check whether your business will have a need for product development under the circumstances of higher penetration

Consider Penetration Criteria.

  • Market has size and potential for growth – be sure your company will have sufficient sales and profits for business growth in the market
  • Costs for investment - calculate the amount of financial resources required to maintain product offers, advertizing, staff training, system modification, etc.
  • Product positioning – figure out whether your product/service will be positioned better through higher penetration

Plan Investments.

  • Start drawing up business scenarios and calculations regarding your penetration effort
  • Decide what sort of investment you need to make
  • Measure investment potential and translate it into sales revenue to be gained over a reasonable time span
  • Estimate in advance what return on investment is expected to be
  • Designate a specific budget and time plan for your investment project
  • Consider investing in a specific training program for your personnel

Plan Actions.

  • Think about whether you can gain an additional market share with the same product/service
  • Identify the total number of registered trademarks in your market and determine what trademark group your product/service belong to
  • Measure the degree to which your company can capture the target market for its product or service
  • Calculate the cost of your product/service to the end users and consumers
  • Consider using the same product/service, but promote it with additional features
  • Consider reducing product price in order to reach higher customer attractiveness
  • Think about implementing customer incentive strategies, including loyalty programs, discounts, and pricing adjustments
  • Analyze your competitors and determine.....


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