Contemporary Marketing Strategy: Innovation

1000075565015000160337579500left150001603375Contemporary Marketing StrategyInnovation890000Contemporary Marketing StrategyInnovation
Proposed Marketing mix:
Product
* The number of events per year needs to be increased, for example inviting more sports events like UK’s strongest man to be made in Coventry next year
* Introduce new visit Coventry gift shop and sell merchandise and gifts in Coventry city centre, and a pop up gift shop at the train station
012065Price
* For merchandise and gifts we will use cost-plus pricing method and earn only 10% profit, to sell at cheap prices and increase sales
* Destination Coventry membership will stay the same
* Submitting events on the website for free will stay the same
012065Promotion
* In social media the focus will be on Facebook and Instagram
* TikTok page will be made as it is easier to grow on TikTok than other platforms.
* Invite 2 influencers from the UK to Coventry and become ambassadors for visit Coventry brand
* Apply more offers to merchandise and events
* Use street adverts and billboards in nearby cities, with QR code that directs them to Visit Coventry website, so that they can now about Coventry and what it has to offer.
31755715Place
* Online
* Visitor information centres in Coventry
* Merchandise and gift shop in Coventry
0161787
People
* Visit Coventry oversight Board includes representatives from the Council, the private sector, the Business Improvement District, the Chamber, the City of Culture Trust and Visit England.
* Employ younger people in the marketing team, because they know about the latest trends and are up to date with new digital adverts methods
012700Process
* Offers and promotions are presented on the website and social media platforms
* Memberships are available on Destination Coventry website
* Events can be submitted through Visit Coventry website by businesses
0379841Will stay the same
Physical evidence
* Physical Visitor information centres
* Merchandise and gift shops
* 59635257231Street billboards
Introduction
This is a report about innovation marketing strategy, with a full literature review of the concepts and how it can be applied. Innovation marketing strategy is a plan used by a business that includes investing in advancement activities and innovative processes, aiming for communicating and marketing new products and services to a targeted group of consumers and identifying their needs. For more explanation, innovation in marketing is the action of coming up with new ideas to improve services and products, while marketing means communicating those products and services to the customers. The innovation strategy concept is used by companies to tackle the problem of competitive advantage, by increasing the value of current product and service, or coming up with new ideas. The Concept of innovative marketing includes an analysis of the consumer needs, trends and behaviours, the creation of prototypes and development of product design, the launch of the new products in new areas, Pricing and promoting the product.
Stages of Innovation
The innovation process can be divided into different stages, depending on the purpose of the innovation. According to Tidd and Bessant (2018), the innovation process typically involves eight stages: idea generation, idea selection, planning, prototyping, sourcing, costing, market testing, and commercialization. The first stage involves generating ideas for new products or services or finding ways to improve existing ones. The second stage involves selecting the most promising ideas and conducting research to validate their feasibility (He & Wang, 2015). The planning stage involves developing a detailed plan for the development or production of the product or service. The fourth stage involves creating a prototype to test whether the product or service functions as intended and appeals to the target audience (Ottenbacher & Harrington, 2009). The sourcing stage involves building a supply chain to gather the materials needed for production or development. The costing stage involves identifying the retail price and gross margin of the product or service. The market testing stage involves evaluating the effectiveness of the product or service and gathering feedback from customers. Finally, the commercialization stage involves the marketing team's job of releasing the product or service to the market.
Aims of Innovation
Another aspect of innovation is the aim or goal of the innovation process. According to West and Gallagher (2006), innovation can have different goals, such as increasing profits, gaining a competitive advantage, improving the quality of products or services, or achieving social or environmental benefits. The aim of innovation can influence the type of innovation pursued and the resources allocated to it. For example, if the goal is to improve the quality of products or services, the focus may be on incremental improvements, while if the goal is to gain a competitive advantage, the focus may be on breakthrough innovations.
Innovation is not just important for individual firms or organizations, but also for the economy as a whole. According to Hajighasemi et al. (2022), innovation is a key driver of economic growth and competitiveness. They argue that innovation allows firms to differentiate themselves from competitors, reduce costs, and create new markets. Moreover, innovation can have spillover effects, such as the creation of new industries or the improvement of social welfare. The authors emphasize the role of government in promoting innovation, through policies that support research and development, intellectual property protection, and education and training.
One area of innovation that has gained attention in recent years is open innovation. According to Chesbrough, Lettl and Ritter (2018), open innovation involves the use of external knowledge and resources to supplement internal innovation efforts. This can include collaborations with suppliers, customers, and other partners, as well as the use of crowdsourcing and other forms of open innovation. Chesbrough argues that open innovation can increase the speed and efficiency of innovation, reduce costs, and enable firms to access new markets and technologies.
Innovation can also have implications for sustainability and social responsibility. According to Ceschin and Gaziulusoy (2016), sustainable innovation involves the creation of products, services, or processes that meet the needs of the present generation without compromising the ability of future generations to meet their own needs. This can involve the use of renewable resources, the reduction of waste and emissions, and the design of products and services that are more sustainable over their life cycle. The authors argue that sustainable innovation can create business opportunities, reduce costs, and enhance reputation and stakeholder engagement.
In conclusion, innovation is a complex process that involves multiple aspects, including the nature and type of innovation, the stages of innovation, the social context, the means of innovation, and the aim or goal of the innovation process. Innovation is important for individual firms and the economy as a whole, and can have implications for sustainability and social responsibility. Open innovation and sustainable innovation are two areas that have gained attention in recent years, highlighting the need for firms and organizations to consider external knowledge and resources, as well as the long-term impacts of their innovation efforts.
Open VS Closed Innovation
Innovation can be approached in two ways: open innovation and closed innovation. Closed innovation is a traditional approach where companies develop new ideas, products, and services within their own organization. Closed innovation is centered on the idea that companies can keep their proprietary knowledge to themselves and protect it from competitors. In contrast, open innovation refers to the practice of collaborating with external partners, such as suppliers, customers, and even competitors, to create new ideas and bring them to market.
Studies have shown that companies that adopt an open innovation approach are more likely to be successful in developing innovative products and services. For instance, Chesbrough, Lettl and Ritter (2018) cited a previous survey of 125 companies and found that those that used open innovation practices had better innovation performance than those that relied on internal research and development. The authors also found that open innovation helped companies reduce development costs and speed up the time-to-market for new products.
Similarly, Lichtenthaler and Ernst (2009) found that companies that adopted open innovation practices were able to better leverage their innovation capabilities and resources. They also found that open innovation helped companies to access new markets and develop new business models.
On the other hand, there are still companies that prefer a closed innovation approach. For instance, Apple is known for its closed innovation approach, where the company tightly controls its research and development process and keeps its new products and services a secret until they are launched. While this approach can work for some companies, it can also limit their ability to access external knowledge and resources.
Importance of Innovation
Innovation is a critical driver of business growth and development, enabling companies to create new products and services, improve existing ones, and remain competitive in an ever-changing market. According to Damanpour (2014), innovation is defined as "the introduction of new ideas, products, processes, or technologies that create economic or social value." This review of related literature will discuss the different aspects of innovation, including the nature of innovation, types of innovation, stages of innovation, social context, means of innovation, and the aim of innovation.
The Nature of Innovation
The nature of innovation can be either creating a new product or service from scratch or improving existing ones to achieve a competitive advantage. In the former case, innovation involves developing new ideas and products that fill a gap in the market and attract new customers. In the latter case, innovation involves finding ways to improve existing products or servic...