Posted in Marketing and Strategy Terms, Total Reads: 2011
Definition: Asset Led Marketing
Asset Led Marketing strategy relies upon the characteristics of a product or brand. Brand name, brand image and brand personality are some of the assets that are used to market a product, service, brand or an organisation.
Asset led marketing strategy leverages the strengths of a brand or its parent organisation to reach out to consumers and market existing as well as new products. Core competence of an organisation, its distribution network and the trust shown towards the parent company by consumers are some of the strengths. The marketing mix used in this type of marketing strategy is based upon the assets of a product and consumers’ needs.
For example, ITC is the dominant player in the tobacco industry in India. Because of this, it has created a strong distribution network for itself reaching out to nooks and corner of the country. Today ITC has expanded its operations into several FMCG categories. When launching a new product in categories other than cigarettes, ITC can tap the same distribution network to cater to both rural and urban India.
Marketing in which the specifications of the asset are used to market the product to the customers. Attributes or specifications can include the brand name, brand image, particular specifications of the product etc . They concentrate on using the strengths and weaknesses of the brand and product to satisfy customers. The strengths include core competencies, brand image, pricing, distribution, marketing activities, promotional discounts etc.
Marketing can be asset led or market led. Asset led marketing focuses on the product and market led marketing focusses on the market and customer needs more.
• Saves money
• Saves time
• Make strengths even stronger
• Sometimes the strengths do not relate to and they go against each other.
• The brand perception may be weak which will dilute the brand still
• Customers may not be able to change the brand perception they have
• These disadvantages can be overcome by balancing asset led and market led strategies.
Example:Coca cola used its brand image to sell its diet coke, coke zero, coke light etc