Hybrid Marketing Systems – Research Paper Example
The paper "Hybrid Marketing Systems" is an excellent example of a marketing research paper. Direct marketing through sales personnel or distributors was the old traditional system for a company to bring its product(s) into the markets. Following the advancement of many factors like expanding of markets, increasing competition, raising of costs, introduction of new technologies including communications, etc. over a period of time companies experienced need of a new method and created a rewarding hybrid marketing system which has become later inevitable for a company for sales and promoting marketing for the products. The hybrid marketing system is a composite system comprising of different marketing ways like direct marketing, distributors, dealers, retailers, telemarketing etc and is being adopted by a company to sell the product(s) today. Designing and managing a strategic hybrid marketing system give a company an edge over its competitor(s).
Advantages of hybrid marketing system are many like:
It controls or cuts cost and covers more customers in different segments.
It increases market area and ultimately sales turn over i.e. more revenue generation.
It allows a combination of two or more marketing ways to check the cost and maintain coverage area.
Possibility to maintain customer’s buying behavior and selling economics.
It accesses for deeper relationships with the customers
It reduces risks on many counts.
Drawbacks of hybrid marketing system:
Hybrid marketing system has some drawbacks too like:
Competition or conflict becomes more close for customers and revenues
Fear of the loose management of different indirect ways of marketing.
Types of hybrid marketing system:
A company generally adopts one or combination of more types of following hybrid marketing system depending upon its strategy:
Integration or multi-channel management -- suitable when existing and new methods go in an integrated or coordinated way. It requires coordination among human, organizational and technological factors and is considered the most efficient and effective approach.
Separation or multiple- channel management -- suitable when different customer segments, products, and prices are offered.
Managed competition system