A Study Of CH Company’s Marketing Strategies In The Age Of E-Commerce

Stimulated by the governmental policy of "promoting electrical appliances in rural areas", Chinese electrical appliances industry has seen a rapid growth in these years. Encouraging as the achievement might look, that policy has also brought some problems, such as excess demand, industrial over-capacity, concept-sensationalizing, cost increase&benefit decrease and export reduction, etc. So the future of Chinese electrical appliances industry can by no means be described as optimistic; instead, the industry would be confronted with more and more challenges. Therefore, Chinese electrical appliances industry should take a package of measures, including fastening technological innovation, upgrading business transformation and changing the current product-centered marketing strategy into customer-centered one so as to facilitate the company to survive in the newly-arriving of E-commerce Age. E-commerce technology which has been adopted by many electrical appliance firms, not only can cut down their transaction cost to a great extent, but also can make firms meet the customers’demands better and faster.By employing the e-commerce&marketing theories and the classical analytical framework called SWOT, this paper performs a case study into CH Company’s marketing problems, such as the discrepancy between its brand awareness and its brand popularity, the tension between its profitability and its growth in size, the narrowed marketing channels due to the competitions from the chain giants, the limited promotion alternatives other than price war, and the poor service quality, and so on. Based on the positive analysis, the paper tries to provide some advice for the company to improve its marketing strategies as following:carrying out the precise marketing strategy through market differentiation and tailor-made marketing mode so as to enlarge the CH’s brand popularity by meeting the increasingly individualized customer needs; strengthening its profitability by adopting flexible pricing strategies including price differentiation and fluctuation so as to make its profit and size expand simultaneously; combining the traditional marketing channel and internet marketing channel in the form of "getting order through virtual network and delivering goods through physical one" so as to increase the operation efficiency by integrating the two channels’advantages; realizing ad’s optimum effect by using the database resources of customers, by using the individuated ad means characterized by adjusting in accordance with customers’specific needs, and by using the strengths of ad media, both traditional and modern; and setting up a scientific and efficient service system which focuses on "providing goods&services that are exclusive or with considerable comparative advantage" so as to better satisfy the individualized customer needs with the innovated service instruments. It is desirable that the advice above should be of reference value to the marketing strategies of Chinese home electric appliances industry in the age of e-commerce.This paper starts with a description of the E-commerce-related theories and the history of the marketing strategies development; then it goes on to summarize CH’s own advantage and disadvantage by way of SWOT analysis method before raising some corresponding measures; at last, the paper puts forward an integrated marketing plan to tackle some of CH’s critical problems through a comprehensive explanation in the terms of product quality, price, promotion means, and service.