Introduction

Marketing Strategy
Marketing strategy is an important consideration of the organizations when conducting business operations in the competitive market place. The marketing strategy is different from marketing plan in which value is developed in the market to attract customers and increase the sales of the products. Without considering marketing strategy, a company cannot increase awareness about the product in the market and taking competitive advantage. It is widely used strategy of the companies for sustainable business growth and development in long-run (Morgan, Whitler, Feng & Chari, 2019). The ultimate goal of marketing strategy of the companies is generally linked to achieve and a sustainable competitive advantage in the market against rival companies. It has possible for the companies when they communicate about the brand or products by understanding the needs and wants of its consumers.

Now, the marketing strategy of Harvey Norman is considered as very effective innovative because of offering high quality products and services to the customers. Harvey Norman is an Australian-based multi-national company that retailing different products across the world, such as furniture, computers, electronic products, etc. This is a public company listed on the ASX in Australia (Harvey Norman Holdings Limited, 2013). The principal activities of Harvey Norman in its business operations are associated with an integrated retailing of the products, providing franchise, property and digital enterprise. Harvey Norman specifically offers extensive product range and cutting-edge technology on the priority basis in the key product categories.

Harvey Norman Marketing Strategy

The marketing strategy of the Harvey Norman can be seen as effective and innovative in which the offer of high quality products and services provides competitive advantage to the company in the market. The establishment of brand name and reputation of the company across Australia is possible using effective marketing strategy in which it adjusts the products and services, including strategies based on changing needs of the customers or market. The attractive appearance of retail stores of Harvey Norman and pricing strategy increase a number of more customers (Ali & Anwar, 2021). However, the marketing strategy of the Harvey Norman is based on marketing-mix model or 4P’s in which product; pricing; place/distribution; and promotion are considered.

Product Strategy:
The product marketing strategy of Harvey Norman is based on providing solution to the needs of the customers and sells the products. Harvey Norman develops unique design of the products with specific name and features in order to attract more customers and face the competitive market at the global level. The products of Harvey Norman in marketing strategy generally focus towards development quality and variety of the products to meet the needs and expectations of the market (Ali & Anwar, 2021). At the same time, the packaging, brand name and features of the products of Harvey Norman also fulfill the expectations of the customers.
Therefore, the offer of the company’s products assures a high level of customer satisfaction in the market. Apart from this, the product strategy of the company is also based on introducing new products lines to fulfill needs of the customers and increasing product portfolio more than the competitors. At this stage, Harvey Norman retains its existing customers in the market and also creates new customers. Therefore, the use of effective business model of the company in its product strategy helps to stand out in the competitive market (Ali & Anwar, 2021).

Pricing Strategy:
In marketing strategy of the Harvey Norman, the price of the products also helps to maintain product value in the market when target the customers’ needs. Therefore, Harvey Norman sets the price of the products in the form of credit terms, payment period and discounts with the price listing. The price penetration strategy is also decided by the company as lowering the product price than its competitors. Therefore, the pricing strategy of the company raise ability to increase share in the market adopting discounted pricing effectively. However, undesired price war in the market is also employed by the company to protect from potential retaliation of the competitors.

Further, the price strategy of the company also chose skimming strategy in which clear communication is maintained in the market on basis of product differentiation in order to justify the extra price. When the company offers more features in the products, it also focuses towards higher price than competitors. The bundled pricing of the products create an effective opportunity to the company to sell the products to more customers than selling individual items to them. Therefore, Harvey Norman pricing strategy is effective to increase sales of the products and make profits with increasing financial situation effectively.

Place Strategy:
The marketing strategy regarding the selection of places where the products are sold is considered on the priority basis. It is also part of the distribution strategy of the business operations because it helps to grow the company through market expansion. At this stage, the new retail stores of the company in different growing regional areas are positioned to distribute the products and sell to the customers. Additionally, Harvey Norman utilized two marketing channels in order to sell the products, such as direct sales and retailers. In direct selling of the products, customers purchase the products through online website and retailers sell the products to the customers in the market when they visit in the stores (Morgan, Whitler, Feng & Chari, 2019).

The company has around 500 retailers across Australia which are very helpful to the Harvey Norman to increase business after conducting intensive marketing strategy and sending more products to many retailers in different parts of the country. The supplier of the company that is around more than 500 also helps to provide raw materials in order to produce various products. The working relationship with its suppliers has also improved to create new products and designs to assure products sales on the regular basis and facing the competitors strategies in the market (Chou, Horng, Liu & Lin, 2020). The innovative products with new and attractive features usually increase the expectations of the customers to purchase latest products as soon as possible in the market.

Promotion Strategy:
In marketing strategy, promotion and advertisement of the products play the most important role to aware customers and attract them to make a purchasing decision. In promotional strategy of the Harvey Norman, it mainly focuses towards using different social networking sites, such as Facebook, Youtube, etc. to promote the products and increase reliability of the customers over retail stores. Further, the use of traditional media, such as TV, radio and newspapers are also used by the Harvey Norman to advertise the products effectively and efficiently (Chou, Horng, Liu & Lin, 2020). Traditional media is beneficial for the company in increasing sales and profits because of its large reach and ability to attract more people in the market.

At the same time, Harvey Norman also conducts sales promotion through taking part in various trade exhibitions and events across Australia every year. This way of sales promotion of the products improves its position in the market with competitive advantage and increasing market share. It can also be identified that Harvey Norman also undergoes personal selling of the products using a large sales force that is useful to increase its presence in retail stores. Therefore, the marketing strategy of the company to promote the products in the market is effective to attract customers more than the competitors because of promoting innovative features and latest designs of the products (Chou, Horng, Liu & Lin, 2020).

References

Harvey Norman Holdings Limited. (2013). Company Overview. Retrieved from: https://www.harveynormanholdings.com.au/company
Morgan, N.A., Whitler, K.A., Feng, H. & Chari, S. (2019). RESEARCH IN MARKETING STRATEGY. Retrieved from: https://eprints.whiterose.ac.uk/136066/1/JAMS%20Final%20Version%20Unblinded.pdf
Ali, B. J. & Anwar, G. (2021). Marketing Strategy: Pricing strategies and its influence on consumer purchasing decision. International journal of Rural Development, Environment and Health Research (IJREH), 5(2), 26-39.
Chou, S., Horng, J., Liu, C. S. & Lin, J. (2020). Identifying the critical factors of customer behavior: An integration perspective of marketing strategy and components of attitudes. Journal of Retailing and Consumer Services, 55, 1-11.