Differentiation Strategy Based On Database Marketing

In the business-level strategy, differentiation strategy can help an enterprise provide the products that have the difference characteristic for the customers. An enterprise adopting this kind of strategy makes its own products different from rival distinctly possibly at many aspects. In the competition age of super tiny benefit, products want to maintain a higher price level and an enterprise wants to acquire higher profits. All of them depend on differentiation strategy. It is actualizing differentiation strategy can help an enterprise make a clear distinction boundary with another public's brands and avoid price war at the biggest degree ground. Then it can ensure the enterprise a long-term development. How an enterprise analyzes the ability of rival better, how an enterprise understands customers' needs and estimates customers' behavior, how an enterprise provides different products and service which aim at customers' needs, and how an enterprise responds to the customers' needs in the most short time, become the initial problems of an enterprise. In the differentiation strategy's analysis realm, there hasn't yet an analytical tool which is precision and maneuverable.Database marketing means to through collecting a great deal of information of customers, then through market segmentation and accurate assurance the target customers, make and promote sales to aim at the marketing. Adopting database marketing, an enterprise carries on a deep analysis to customers. Then it accurately carries on market and customer segmentation and it can actualize the differentiation strategy more validly. It can lower the likeness of the rival product. Or it can avert from the competition to create a new market space and provide characteristic different product of creation for the customers. So database marketing can become a precision and valid analytical tool of an enterprise actualizing differentiation strategy.The four path of actualizing differentiation strategy are: product difference, the market difference, the service difference and image difference. An enterprise through establishing customers' database, data pretreatment, assurance point of view and standard of segmentation to carry on a series of analytical steps that are customers' subdivide and choice, strategy analysis and discovery of rules etc. The enterprise establishes the combination of differentiation strategy, and put effort in four ways, such as product, price, channel and sales promotion. In the same time the human resource strategy and the organization structure must be improved to complete actualizing differentiation strategy based on database marketing and to win competitive advantage.