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Communication and Marketing
19 sep 2024

What is operational marketing?

Edited on 07 Oct. 2024
logotipos relacionados con el marketing saliendo de un ordenador relacionados

Operational marketing is responsible for implementing the strategies defined in strategic marketing. In this article we will see how operational marketing achieves the objectives of the strategy through concrete actions.

If you are interested in this field, with the master in Marketing at Universidad Europea, you will learn among other things to create a marketing plan from scratch, in addition to the latest tools in data analysis, neuromarketing and Generative AI.

Operational marketing is responsible for managing the four Ps of the marketing mix: product, price, distribution and promotion. All operational marketing actions are oriented to achieve measurable and concrete results. There is continuous monitoring of the actions, which allows immediate adjustments to be made in case the expected results are not being obtained.

Operational marketing functions and applications

Operational marketing focuses on the execution of marketing strategies through various tactical actions.

Product development and management

These are the actions necessary for a product or service to reach the market effectively and satisfy customer needs.

  • Product adaptation: once a product is developed, operational marketing adjusts its characteristics to the needs of the market. For example, a food company might modify a product recipe to make it healthier and appeal to a health-conscious consumer segment.
  • New product launches: these are tactical actions to introduce a new product to the market, such as launch events and promotional content. For example, an enterprise software company participating in a technology trade show by organising live demonstrations of its new product.

Pricing

Involves setting the right price for products and services, considering both profitability and competitiveness in the marketplace.

  • Pricing strategies: operational marketing applies strategies such as penetration pricing (offering a low initial price to capture customers quickly) or premium pricing (for high quality products). For example, a technology company might set a high price for a luxury smartphone, positioning it as an exclusive product.
  • Discount and promotion policy: temporary discounts or promotions are implemented to incentivise sales. A common case is offered during events such as Black Friday.

Distribution management

Focuses on ensuring that products reach consumers in the most efficient and convenient way possible.

  • Selection of distribution channels: the most effective channels are chosen to bring products to the end consumer. For example, a company that decides to sell its products online in order to cross its borders, using international marketing strategies.
  • Logistics and supply chain: operational marketing ensures that logistics run smoothly. This includes inventory management and supply chain planning to avoid stock-outs, such as a fashion company that needs to keep its inventory updated seasonally.

Promotion and communication

These are essential functions to generate product awareness and demand.

  • Advertising campaigns: campaigns are developed and executed in different media (television, radio, digital). For example, an online fashion store might use ads on Instagram to drive users to its website during the sales season.
  • Public relations: operational marketing manages relationships with the media and other stakeholders to enhance the company's public image. This may include organising events, distributing press releases or collaborating with influencers.
  • Sales promotions: specific promotions, such as contests or limited-time discounts, are implemented to increase sales. CRM data can also be used to personalise offers and promotions. For example, an online retailer could send product recommendations based on the customer's purchase history.
  • Loyalty strategies: aim to retain existing customers and foster their long-term loyalty. For example, with points for each purchase that can be redeemed for discounts or free products.

Sales and customer service

Operational marketing also seeks to ensure that consumers have a positive experience with the brand.

  • Sales force management: this refers to the planning, training and motivation of the sales team. For example, a software company training its sales team to sell a new technology solution.
  • Optimization of store layout and presentation of products: work on the arrangement of products within the store to maximise sales. For example, a supermarket might place high-demand products near the entrance or at the cash registers to encourage impulse purchases.
  • Customer service: systems are implemented to ensure that customers receive excellent after-sales service, including handling complaints and offering technical support.

Differences between strategic and operational marketing

Strategic marketing and operational marketing are closely related, although they have different approaches and objectives.

While strategic marketing focuses on long-term planning and direction, setting the overall vision and objectives, operational marketing is responsible for the day-to-day execution of these strategies, transforming plans into concrete actions that generate tangible results in the short and medium term. Both are essential and complementary to the success of a company.

Advantages of operational marketing

These are some of the advantages or benefits of operational marketing.

  • They are easy and quick to implement.
  • It does not require a large budget.
  • No need for a large team of employees.
  • No large time margins are needed.

If you are interested in this field, there are many career opportunities in marketing where you can choose the branch you like the most at Universidad Europea. Within the Business and Technology masters portfolio you can choose from many options. In addition, we also have different programmes at undergraduate level at our campuses in Spain, such as the degree in Marketing in Madrid, or the degree in Marketing in Valencia.