A Study On The Competitive Strategy Of X’s Supermarket Digital Advertising Business

Cloud computing,big data,Internet of Things,AI and 5G technologies are chemically reacting with the advertising and media industry to varying degrees.From television in the age of 1.0 to outdoor screens in the age of 2.0 to computers and mobile phones in the age of 3.0,smart technology has enabled all kinds of media to become "sensitive",and the effectiveness of advertising can be quantified and tracked.The advertising industry is facing more and more fierce competition at the same time of meeting the opportunity of technological iteration.This paper takes X Company as the case study object,takes its competitive strategy of supermarket digital advertising business as the subject,uses PEST,Porter’s Five forces model,SWOT analysis and other competitive strategy tools for analysis,and uses quantitative strategic planning matrix(QSPM)to select the appropriate competitive strategy for X company.X Company mainly provides consumer and foreign businesses with digital intelligent advertising communication and digital intelligent marketing services,through mining the marketing value in the life consumption scenario,to build an efficient marketing path for the brand.With the continuous penetration of Internet big data in the advertising industry,the transformation and upgrading of traditional outdoor media is an irresistible trend.The state has issued a number of policies to support the development of the advertising industry,and the macro environment is favorable.Although there are many existing competitors in the industry,most of them focus on segmented areas,and the current degree of competition is general.This industry is sensitive to new technology,belongs to the industry of rapid update and iteration,the threat of potential entrants and substitutes is relatively high,companies with sufficient capital and research and development technology can enter,and the cost of customers to switch to the use of substitutes is low,so the fierce competition of this track in the future can be imagined.Internally,X Company has many problems that need to be addressed due to the lack of working capital,such as the inability of rapid scale laying of equipment,insufficient differentiation of products or services,weak visibility and influence,etc.At the same time,X Company also has outstanding advantages in product research and development,content production and marketing.By comprehensively using various strategic analysis tools and in-depth analysis of internal and external environment,the author concludes that X Company should actively grasp the current trend of digital development of outdoor media,establish its core competitiveness in technology,content and marketing,maintain independent research and development of core software system and platform in technology,and pay attention to user interactive experience.Content to strengthen channel operation management,so that quality content to play the value of goods;In marketing,the long-term marketing concept of"integration of product and effect" is implemented,so that the upstream and downstream brand owners and channel owners can get what they need,break the traditional advertising value,and extend the value chain of advertising media.Through a series of safeguard measures,such as optimizing the organizational structure of the company,improving the guarantee of human resources,strengthening the financial management and strengthening the construction of corporate culture,the differentiated competition strategy is guaranteed to be implemented.Through this study,the author hopes to provide a practical reference for X Company’s competitive strategy,and also provide a feasible reference for the digital transformation of other media of the same kind.