Page 237 - GLOBAL STRATEGIC MARKETING

Unit 11 – International Niche Strategies for small to medium enterprises (SME’s)

Table 11.1: Exporting and international niche marketing

Exporting Niche marketing

Marketing strategy Selling production Meeting customer
capacity needs
Financial objective To pay off overheads To add value

Segmentation Usually by country By identifying
and consumer common consumer
characteristics benefits
Pricing Cost-based Market or customer
based

Management focus Efficiency in Meeting market
operations requirements

Distribution Using existing agents Managing the supply
or distributors chain
Market information Relying on agent or Analysing the market
distributor feedback situation and
customer needs

Customer Working through Building multiple level
relationship intermediaries relationships

Source: Doole and Lowe, 2008, p. 155

For the international niche marketer, developing strategies and building
multiple relationships and networks is extremely important. The niche

marketer needs to establish itself and can do this by direct and indirect
methods of market entry. However, what the niche marketer needs is

something that is different and unique to determine a focused/broad
differentiation strategy (Porter, 1980).

11.3 International niche marketing

International niche marketing is when an organisation becomes involved
in a specialised market in one or more segments across many different
countries. Burca et al. (2004) argue that the segments must be small

enough as not to attract larger competitors. The product offering needs to
be unique, highly differentiated and have clear positioning. A good