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Home > Marketing warfare strategies

Marketing warfare strategies are a type of strategies, used in business and marketing, that try to draw parallels between business and warfare, and then apply the principles of military strategy to business situations. In business we do not have enemies, but we do have competitors; and we do not fight for land, but we do compete for market share. It is argued that, in mature, low-growth markets, and when real GDP growth is negative or low, business operates as a zero-sum game. One person’s gain is possible only at another person’s expense. Success depends on battling competitors for market share.

1 The use of marketing warfare strategies

Strategy is the organized deployment of resources to achieve specific objectives, something that business and warfare have in common. In the 1980s business strategists realized that there was a vast knowledge base stretching back thousands of years that they had barely examined. They turned to military strategy for guidance. Military strategy books like “The Art of War” by Sun Tzu, “On War” by von Clausewitz, and “The Red Book” by Mao Tse Tung became instant business classics.

From Sun Tzu they learned the tactical side of military strategy and specific tactical proscriptions. In regards to what business strategists call "first mover advantage", Sun Tzu said: "Generally, he who occupies the field of battle first and awaits an enemy is at ease, he who comes later to the scene and rushes into the fight is weary." From Von Clausewitz they learned the dynamic and unpredictable nature of military strategy. Clausewitz felt that in a situation of chaos and confusion, strategy should be based on flexible principles. Strategy comes not from formula or rules of engagement, but from adapting to what he called "friction" (minute by minute events). From Mao Tse Tung they learned the principles of guerrilla warfare.

The first major proponants of marketing warfare theories was Philip Kotler (Kotler, P. and Singh, R. (1981) "Marketing warfare in the 1980s", Journal of Business Strategy, winter 1981, pp. 30-41) and J.B. Quinn (Quinn, J. (1980) Strategies for change: Logical Incrementalism, Irwin, Homewood Il). In an early description of business military strategy, Quinn claims that an effective strategy: "first probes and withdraws to determine opponents' strengths, forces opponents to stretch their commitments, then concentrates resources, attacks a clear exposure, overwhelms a selected market segment, builds a bridgehead in that market, and then regroups and expands from that base to dominate a wider field.

The main marketing warfare books were:

• “Business War Games” by Barrie James, 1984
• “Marketing Warfare” by Al Ries and Jack Trout, 1986
• “Leadership Secrets of Attila the Hun” by Wess Roberts, 1987

By the turn of the century marketing warfare strategies had gone out of favour. It was felt that they were limiting. There were many situations in which non-confrontational approaches were more appropriate. The “Strategy of the Dolphin” was developed in the mid 1990s to give guidance as to when to use aggressive strategies and when to use passive strategies. Today most business strategists stress that considerable synergies and competitive advantage can be gained from collaboration, partnering, and co-operation. They stress not how to divide up the market, but how to grow the market. Such are the vicissitudes of business theories.

2 Marketing Warfare Strategies

• Offensive marketing warfare strategies - Attack the target competitor with an objective such as “liberating” some of it’s market share
• Defensive marketing warfare strategies - Strategies intended to maintain your market share, profitability, sales revenue, or some other objective.
• Flanking marketing warfare strategies - Operate in areas of little importance to the competitor.
• Guerrilla marketing warfare strategies - Attack, retreat, hide, then do it again, and again, until the competitor moves on to other markets.
• Deterrence Strategies - Deterrence is a battle won in the minds of the enemy. You convince the competitor that it would be prudent to keep out of your markets.
• Pre-emptive strike - Attack before you are attacked. (see Defensive marketing warfare strategies for a description)
• Frontal Attack - A direct head-on confrontation. (see Offensive marketing warfare strategies for a description)
• Flanking Attack - Attack the competitor’s flank. (see Flanking marketing warfare strategies for a description)
• Sequential Strategies - A strategy that consists of a series of sub-strategies that must all be successfully carried out in the right order.
• Alliance Strategies - The use of alliances and partnerships to build strength and stabilize situations.
• Position Defense - The erection of fortifications. (see Defensive marketing warfare strategies for a description)
• Mobile defense - Constantly changing positions. (see Defensive marketing warfare strategies for a description)
• Encirclement strategy - Envelop the opponents position. (see Offensive marketing warfare strategies for a description)
• Cumulative strategies - A collection of seemingly random operations that, when complete, obtain your objective.
• Counter-offensive - When you are under attack, launch a counter-offensive at the attacker’s weak point. (see Defensive marketing warfare strategies for a description)
• Strategic withdrawal - Retreat and regroup so you can live to fight another day. (see Defensive marketing warfare strategies for a description)
• Flank positioning - Strengthen your flank. (see Defensive marketing warfare strategies for a description)
• Leapfrog strategy - Avoid confrontation by bypassing enemy or competetive forces. (see Offensive marketing warfare strategies for a description)

Companies typically use many strategies concurrently, some defensive, some offensive, and always some deterrents. According to the business literature of the period, offensive strategies were more important that defensive one. Defensive strategies were used when needed, but an offensive strategy was requisite. Only by offensive strategies, were market gains made. Defensive strategies could at best keep you from falling too far behind.

The marketing warfare literature also examined leadership and motivation, intelligence gathering, types of marketing weapons, logistics, and communications.

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Topics: Marketing Warfare Strategies Business Strategy Market...

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