Marketing Your Business

Marketing Your Business

Team "A" has taken an interest in developing a business opportunity regarding solar paneling. Similar to any business venture, strategic marketing and development must be practiced. This document explains the key areas of marketing as it pertains to this particular solar paneling business. Those key areas are the following: place, pricing strategies, consumer relationships, advertising and promotion, product, and technology.

Distribution Channel

Three purposes vital to the selection of a proper distribution channel must be understood. The first idea is intermediaries supporting supply and demand factors adjusting errors of assortment through producers supplying huge quantities of products and services, and customers requiring fewer quantities of the large assortment of products and services creating a holding utility of time and place. The second purpose is intermediaries monitoring transaction factors to minimize the cost of distribution in terms of lot size, delivery, frequency, payment, and communication. This design establishes efficient exchanges between the producer and the customer. Reordering is an example of minimizing distribution costs because systems perform the tasks instead of humans- reducing labor costs and errors in inventories. The third plan is intermediaries leading the searching process. Because of producers' uncertainties regarding consumer needs and satisfaction, this makes it easier and convenient to locate their customers (Schindehutte, Morris, & Pitt, 2008).

Team "A" will establish a supply chain management system because a wide range of products and services are being provided to a variety of customers. The business' products consist of solar panels and equipment: monocrystalline, polycrystalline, and hybrid, micro-inverters, and solar thermal storage tanks. Services include the following: delivery, installation, cleaning, maintenance, and tree trimming. Targeted customers range from homeowners, general contractors, United States government, and corporate executives who are searching ways to reduce energy costs in the residential, commercial, and industrial sectors of the energy market. Solar energy is continuing to be a growing trend since 2012 in energy conservation and green energy.

Recommendation

Team "A" seeks the Solar Advisory Group which has a certification for solar photovoltaic installation comprises of the North American Board of Certified Energy Practitioners. Solar Advisory Group is a consulting and project management firm that has strong ties with energy performance certificates, solar installers, general contractors, developers, power purchase agreement firms, and huge energy consumers. The team is looking to expand on the market share of solar energy by seeking high volume distribution into the United States. Increased brand awareness and education of the solar industry in the United States needs to be provided to consumers. This will be accomplished through the seven steps of the distribution process: project commencement, discovery, distribution channel strategy development, identifying partners, identifying projects, establishing distribution system, and managing distribution system (Solar Advisory Group, n.d.).

Pricing Strategy

This company intends to take a reactive and flexible approach regarding its pricing strategy. "Reactive pricing involves mimicking the price moves of competitors, responding after the fact to signals from consumers, or adjusting prices only after a change in regulations or a new technological breakthrough radically affects costs" (Morris, Pitt, & Schindehutte, 2009, "The Underlying Pricing Orientation of a Company: Toward Entrepreneurial Pricing"). "Flexibility finds the company varying prices based on segment or user elasticities and time and place of purchase, as well as in response to opportunities for product or service unbundling or bundling or anticipated or actual moves by competitors" (Morris, Pitt, & Schindehutte, 2009, Chapter 11).

Initially, the company will use penetration pricing to appeal to consumers- generating awareness and word-of-mouth. This will allow the business to enter the market with low prices relative to competitors. The use of this strategy enables the organization to conduct pricing reactively while still offering flexible alternatives. Depending on how competition prices similar products and services will determine the business' price points.

Bundling, free services, financing, rebates, percentage coupons, seasonal discounts, and shared solar programs are all offered to consumers. Low prices and variety is what will keep this business relevant and successful. Consumers need price points and alternatives that provide comfort, leave room for financial stability, and encourage customer satisfaction.

Relationship Marketing

Managing long-term relationships with customers is key to a successful business. "Relationship marketing is a marketing strategy in which a company seeks to build long-term relationships with its customers by providing consistent satisfaction" ("Relationship Marketing," 2014). Team "A" intends to use three marketing tactics to maintain a closeness with consumers: basic marketing,