Marketing strategies

Basically, marketing strategies refers to a plan that is used by a business to gain prospective
consumers and turning them into customers for their products or services that their business
provide. Also, it is designed after making some marketing research. A marketing strategy
helps a company to increase their customer and sales [ CITATION Pra08 \l 1033 ].

Having a marketing strategy is good for the future of the company because it can guide you
about every business decision that you will make. But what does a marketing strategy entail?
Briefly, if we have marketing strategy it will highlight our path that we are taking to achieve
the business goals. Marketing strategy provides an organization an edge over it’s competitors.
Also, by having making strategy, it helps in developing goods or services that a company
offer with best profit making potential.

Other than that, marketing strategy helps in discovering the areas affected by organizational
growth and thereby helps in creating a company plan to cater the customer needs/It helps in
fixing the right price for a company goods or services based on information that have been
collected by the market research. Next, it helps an organization to make optimum utilization
of their resources.
Elements in marketing strategies are:

1) Target market
It is a group of consumers who is likely a purchasers of a company’s product or
services. Typically, this group differs from other consumer based on several factors
such as demographics, behavioral patterns and lifestyle characteristics. Choosing a
right target market is important for their long term sustainability. Also, targeting a
market is important because it’s a part of a holistic marketing strategy. It impacts
advertising, as well as customer experience, branding, and business operations.

2) Segmentation
Marketing segmentation is the activity of dividing up human populations into groups
that share same traits and characteristics. People have different needs. It depends on
their lifestyle, gender , personality and many more different traits. An organization
segment the market to develop a more detail strategy that answer the segment needs
and putting the product or services closer to the segment. Through market
segmentation, brands get more specific about their target market. They can focus on a
small group of customers who will be most likely to benefit from and enjoy their
products or services

Types of market segmentation:

a) Demographic segmentation
This method divides the population into age, race, nationality, income, gender
and life cycle. Demographic segmentation is linked with the target market.

For GrabPay, they segment their customer is from 18 to 50 years old, both
Male and female. Everyone can use this GrabPay as long as they have this app
in their phone and also the online banking since this app is about digital
payment . Everyone from low to high income with various occupation even
students can use this service because it is very easy and affordable for
everyone.
b) Psychographic segmentation.

This type of segmentation is very popular and useful. It groups people

according to their lifestyle, interests, values, opinion and personality.
Psychographic segmentation also includes traits used in behavioral
segmentation when they at times overlap. Many brands use this type of
segmentation to make their offers unique and niche to appeal better to one
segment.

GrabPay can be used for rides, In store purchase, credit transfer, grabfood and
prepaid topup. People who tend to use this app is firstly people who like to go
cashless. Now, going cashless is a trend. It is easier and faster. For example,
for rides there will be no more waiting for change when using GrabPay
customers can book their ride with credit/debit card or GrabPay Credits, and
you can happily carry on when you arrive at your drop-off point.

Then, for In-store purchases sometimes digging your wallet for change is a
hassle. With GrabPay, customer can use the GrabPay credits since they are
accepted at many stores now such as Watson, restaurants and even grocery
stores. To know what store accepts GrabPay Credits customer can use grab
app to know which stores is available for this facilities.

Also, GrabPay can be used for credit transfer. For people who don’t have time
to go to the bank, this will help them a lot. Just a few clicks on your Grab app,
and you’ll be able to transfer GrabPay Credits to your loved ones. It can be
sent via a QR code or a mobile phone number [ CITATION iyl18 \l 1033 ].The
truth that we have to face with the technology development, people are being
lazier to go out because they know they can get anything they need through
online without them need to deal with the road traffic jammed, the crowded
place. By using GrabPay, they can satisfy their hunger and cravings and pay
for GrabFood delivery orders seamlessly using credit/debit card or GrabPay
Credits. Other than that, customers can use GrabPay for prepaid top up and
pay bills too .

Other than that,with GrabPay kaodim customer can hire the best service
providers for their everyday needs such as air cond services, appliance &
service repair, cleaning services, pest control services with their fingertips.
They don’t need to move even a step. This will really satisfy the people are too
busy and don’t like to waste their time to find this service provider.
 c) Geographic segmentation
This approach segments the market into regions, subregions, language and
culture. Even in one country, there are different areas that respond differently
to the same products or services. Urban and rural groups have different need
and they also influenced by the dominant culture and language of the region.
Basically, Grabpay is covering all areas in Malaysia but usually rural group
does not using this app because they seems did not familiar with this type of
payment.
3) Promotional Marketing
Promotional marketing is a business marketing strategy designed to stimulate a
customer to take action towards a buying decision [ CITATION Dar18 \l 1033 ].It is to
acknowledge the customers about your existence. Many different promotional tools
can be used like internet advertisement, special events and more. Like GrabPay, they
advertise their services on social media. They sometimes offer discount and rewards
to customer for using their services.

4) Positioning
Positioning is a market concept that outlines what a business should do to market its
product or services to their customer [ CITATION Lyn19 \l 1033 ].It refers to the ability to
influence customer perception regarding a product or services relative to competitors.
The objective of market positioning is to establish the identity of a product or services
so that customers perceive it in a certain way.

There are several types of positioning strategies:

 Product/ services attributes and benefits
Associating a product or services with certain beneficial value.
 Product/services price
Associating a product or service with competitive pricing
 Product/service quality
Associating a product or service with high quality
 Product / service use and application
Associating a product or service with a specific use
 Competitors
 Making customers think that your product or service is better than your
competitors

In positioning Grabpay, we will make comparison of GrabPay with other e wallet.

E-wallet GrabPay Touch n Go Boost

Description Grab which is was mainly a dedicated e-
better known for its introduced to make wallet which
ehailing service is toll payments allows users to
also one of the top convenient. It’s in make payments
eWallet players in fact, one of the without the hassle
the country. It’s a easiest ways to pay of carrying
super app where for tolls in physical cash. It
you can use to Malaysia. can be used almost
order almost anywhere, even in
anything on- night markets.
demand including
GrabCar,
GrabFood,
GrabMart and
GrabExpress.

Payment method QR code, In-app QR code QR code, In-app

payments payments
Notable merchant TeaLive, Inside Baskin Robbins, 99 speedmart,
Scoop, Manhattan Dunkin Donuts, Telekom Malaysia,
Fish Market myNEWS.com, SYABAS, DBKL
Tesco, Plus Parking
highways
Advantage  GrabPay has  Apart from  Can be used at
the benefit of paying for pasar malam
being part of tolls, you can vendors across
the Grab also use it at the country,
Platform retail and has seen
 ecosystem; merchants via some success
essentially QR code. in that regard.
allowing it to  In the app, you  More
be used for can also use it importantly,
calling a Grab to pay for it’s been
ride or using it street parking, working with
to order from book movie utilities like
Grab Food. tickets, pay Telekom
 It also has a bills and Malaysia and
partnership purchase SYABAS to all
with Maybank prepaid in-app bill
for cross reloads. payments.
platform use  It is also  It’s also
with merchants supported on expanding on a
that accept third-party partnership to
Maybank Pay. platforms such allow users to
 Also has in-app as MULA and pay for parking
payment even Lazada. in the greater
integration with KL area.
Kaodim, OYO,  also has a
Agoda, partnership
SOCAR, with Shell
JomParking and stations,
more. allowing users
 Every spend on to pay for
GrabPay allows petrol at over
you to earn 800 stations
GrabRewards around the
points which country.
you can use to However, this
redeem still requires
vouchers or the user to scan
discounts for the QR code at
your next
 purchase. the counter.
Disadvantage It should be noted no reward point no reward point
that while GrabPay system system
is available across
Southeast Asia it
does not convert
credits to local
currencies.
Meaning that
customers will
have to manually
top up their credit
when traveling.

Maps of positioning:
Convenient

Low price High price

Inconvenient
From the map above, we can see that GrabPay is being positioned to be convenient and
affordable
References

Andrews, P. (2019, November 08). Which App Is Leading the Great Malaysian e-Wallet Showdown?
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comparison

aziz, i. (2018). grabpay-malaysia-how-and-where-to-use-it. Retrieved from vulcanpost:

https://vulcanpost.com/645327/grabpay-malaysia-how-and-where-to-use-it/

Juneja, P. (2008). Marketing Strategy - Meaning and Its Importance. Retrieved from
ManagementStudyGuide.com: https://www.managementstudyguide.com/marketing-
strategy.htm

Lauren, L. (2019, February 01). What Is Positioning in a Marketing Plan? Retrieved from
HoustonChronicle: https://smallbusiness.chron.com/positioning-marketing-plan

Market Segmentation& How It Amplifies Your Brand. (2020). Retrieved from brand360:
https://brand360.com.my/2018/market-segmentation-how-it-amplifies-your-brand/

Marketing Plan : Grab. (2020). Retrieved from LinkedIn Corporation:

https://www.slideshare.net/laijianann/marketing-plan-grab

Where you can use GrabPay. (2020). Retrieved from Grab: https://www.grab.com/my/pay/

Zahorsky, D. (2018, April 02). Creating Powerful Marketing Promos. Retrieved from the balance small
business: https://www.thebalancesmb.com/creating-powerful-promotional-marketing