GROUP 4

ANUKRITI MEETA SONAM

SNEHAL
SUSHMITA

NIVEDITA

PRIYANKA

DHRUVI

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GROUP 4 VISION & MISSION

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 PRINCIPLES OF MARKETING
WARFARE
In Marketing Warfare Al Ries and Jack Trout argue that marketing is war and that the
marketing concept's customer-oriented philosophy is inadequate. Rather, firms would
do better by becoming competitor-oriented. If the key to success were to introduce
products closest to those wanted by customers, then the market leader simply would be
the firm that performed the best market research. Clearly, much more is required.

•There are 4 principles of Marketing Warfare

a)Defensive Warfare
b)Offensive Warfare
c)Flanking Warfare
d)Guerilla Warfare

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DEFENSIVE WARFARE

DEFFENSIVE

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 Defensive 
Survival, maintaining leadership 

Defensive warfare is mainly used by market leaders to             
protect their position in the market place against     
competitor attacks.
Attack yourself in the best way 
Self analysis in all its aspects
Block strong competitor moves
Always keep something in reserve
Should avoid legal exposure

Indian example­ Cadbury chocolate

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OFFENSIVE WARFARE

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 Offensive 
To defeat the leader

Marketing warfare strategy whereby a company in a second 
or third position will attack a competitive leader in the market 
place. 
Find a weakness in the leader’s strength.
Should not ignore its own weakness.

Ex.­ Aquaguard v/s Pure It
Horlicks and Complan 

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FLANKING WARFARE

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 Flanking Warfare 
Market penetration with revived strategy

Designed to minimize confrontational losses.
Flanking the leader in areas that are uncontested
Has a surprise element along with persistent pursuit of the 
goal
Focuses on­ Distribution, product mix and pricing
•

Example­ lifebuoy G6.A_GROUP4_VER1.1 11/30/09 9

G6.A_GROUP4_VER1.1 11/30/09 10
Guerilla Warfare 
Create its market share with new strategy
Particularly for niche leadership
Small firms strategy 
Find a segment in the market small enough to 
defend.
Never act like a leader.
Be prepared to bug out at a moment’s notice without  
incurring much losses.

Ex­ Paramount Airlines
Centershock

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MULTI LEVEL MARKETING (MLM)

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 MULTI LEVEL MARKETING
(MLM)
Multiple levels of people are marketing a product to consumers. 

A sales representative (also referred to as a distributor, member, affiliate, partner 
or associate) gets customers and recruits

Trains another sales rep to get customers.

Creating a downline of distributors and a hierarchy of multiple levels of 
compensation in the form of a pyramid.

The products and company are usually marketed directly to consumers 

Word of mouth marketing­ DIRECT SALES

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How does it works

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G6.A_GROUP4_VER1.1 11/30/09 15
STAGES IN MLM

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 Examples
Amway Tupperware Oriflame

Agel Enterprises LLC­ World’s 1st  nutritional supplement supplier

Stream Energy­ is a retail electricity and natural gas firm active in the Texas

Mini IQ­ focuses on educational books toys, games and other products for children 
and the family. 

Mannatech­the company offered 24 nutritional products, three topical products, 
seven different skin care products, and a weight­management system consisting of 
four different products
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 POPULARITY CHART
Top Companies Popularity %
AVON, INC. 12.53%
   
Mary Kay Cosmetics 5.56%
   
Pampered Chef 5.18%
   
MonaVie 3.84%
   
Tupperware 3.66%
   
Lia Sophia 3.53%
   
Beachbody 2.89%
   
Arbonne International 2.70%
   
Herbalife International 2.67%
   
Amway 2.16%
   
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ADVANTAGES AND
DISADVANTAGES
 ADVANTAGES  DISADVANTAGES
 The feeling of belonging  Dependency on others for 
 Benefit from the knowledge  income
& experience of others  No guarantee of fixed income
 Additional source of income  MLM affiliate programs 
 No need to hire full time  promise huge residual 
salespeople income from downline 
 The affiliate does not have to  affiliates and never 
keep inventory on hand deliver.
 Most orders are taken either 
 No  transparency 
online or through a 
campaign of catalog 
distribution
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 Thank You
for your
patience!

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