Merger dynamics in the marketing field
Acquisitions and mergers have an impact on the different divisions that make up companies, including the marketing department, which can take advantage of this union to improve the marketing strategy and expand the reach of the firm’s brands. Discover how inter-company merger dynamics drive growth and strategic innovation. Merger dynamics offer fertile ground for innovation and growth in the marketing arena as they provide a unique opportunity for brands to expand their reach, diversify their offerings and strengthen their position in the marketplace. From a marketing perspective, the integration of two business entities is not only a strategic and operational challenge, but also an opportunity to reimagine and revitalize brand presence. In this environment, CMOs and chief marketing officers play a crucial role in the brand integration as responsible for ensuring that the union of the companies’ cultures, values and visions results in a coherent and attractive value proposition for the customer. For this reason, merger communication, both internal and external, is one of the essential elements in the marketing strategy as it will allow customers, employees and partners to maintain confidence in the resulting new company. Merger marketing strategy The fusion marketing The marketing departments that the companies had before the merger have to work together in a collaborative way to achieve a benefit that translates into the definition of attractive offers and the customer loyalty during the M&A process (merger or acquisition). This joint and collaborative work is fundamental to the success of the M&A strategic planning developed by marketing managers, but it is also necessary to take certain steps. The first step Even before a merger or acquisition process has been announced, marketing departments should conduct a preliminary analysis to find out what the merger synergies are. This study must be exhaustive in order to discover the strengths, weaknesses, opportunities and threats of both companies. Within that strategy, it is important to begin to address organizational change management and to define the strategies to be followed once the merger is completed. Brand communication and unified message Organizational climate and culture management is one of the most important points to be monitored jointly by HR management and marketing departments. This communication should be directed externally, to partners and customers, and internally, to employees. External communication will focus on maintaining customer confidence and loyalty in the resulting company, while the latter will ensure employee delivery and productivity. It is also important to provide accurate communication to shareholders. Stakeholder management in mergers is one of the most necessary aspects of the marketing and communication strategy. In this sense, the merger of companies involves the combination of two distinct corporate cultures, so it is vital to align these cultures to present a cohesive brand to the market. This business growth strategy may require the development and implementation of internal marketing campaigns to encourage adoption and engagement with the new brand. To this end, the use of a platform such as Digital Customer Engagement by aggity allows to engage employees and develop the new post-merger corporate culture. Product strategy When a merger of companies takes place, it is key to have knowledge of the brands and products that will be part of the new resulting company. For this reason, it is essential to evaluate and align the product and service offerings of the merged companies to identify complementarities, redundancies or gaps in the market. This can lead to the optimization of the product portfolio and the identification of new business opportunities to strengthen customer engagement with innovative strategies. In order to make the new product portfolio as attractive as possible, it is key to carry out a good analysis of the company’s customer base. For this reason, CMOs must understand how the merger will affect customer bases. The objective should be to manage customer expectations, to find out whether the new product offering convinces them or whether the corporate rebranding corporate rebranding rebranding is attractive to them. Impact measurement Once the merger is completed, it is important to measure the impact of the strategies that have been planned and implemented. This post-merger market analysis involves monitoring key performance indicators (KPIs) related to brand, customer engagement and sales performance. An additional objective should be to discover the risks and opportunities in M&A and develop new competitive post-merger market strategies. The results of this analysis and the monitoring based on KPIs will make it possible to vary the product portfolio or incorporate new innovation processes.nnovation post-merger to build customer loyalty and attract customers.
Implementing a Price Skimming Strategy
The price skimming strategy, key for innovative or unique products, sets high prices initially for less price-sensitive consumers. This approach leverages novelty and exclusivity, gradually reducing prices to capture a wider market. Learn how a price skimming strategy can maximize your revenue and strengthen your brand positioning in the marketplace. Companies often employ a variety of initiatives to improve both consumer perception of their products and to increase sales. Among others, the price skimming strategy is usually one of the most common. What does it consist of? Also known as «pricing skimming», this price penetration strategy consists of assigning a high price to a new product or service and then gradually reducing it over time. This value-based pricing is intended to attract primarily those customers who are willing to pay more for a product in order to have it before the rest. Companies impose premium prices at the outset in order to attract consumers with greater purchasing power, and as demand from these customers is satisfied, the company reduces prices to attract a larger number of users. To this end, companies usually establish a temporary price segmentation that will gradually expand the customer base. Keys to success The main advantage of establishing a price skimming strategy is that it appeals to a wide variety of customers. This strategy, usually employed by the main telephone manufacturers, is the exact opposite of the one used by airlines or concert and event promoters who opt for dynamic pricing models in which the price adapts practically in real time to demand. Some of the keys to success with this strategy are based on different concepts. Market knowledge Market knowledge is the main element of a price skimming strategy as it provides valuable data on product demand, the role of competitors and customer expectations. A platform such as Digital Customer Engagement by aggity makes it possible to analyze customers’ willingness to pay a higher price for a product to be brought to market. With these data and using predictive models, the seller will be able to know the price elasticity of demand of the product and determine the appropriate price to be charged. That is, if customers are willing to pay higher prices regardless of price fluctuations, the price skimming strategy may be more effective. Product positioning The company that opts for this type of sales strategy must be clear about the position of the product or service it wants to bring to the market. The price skimming strategy only works if customers perceive high value and high quality in the product or service it is intended to provide. To do this, the company must make it clear to potential high-value customers that the product has unique characteristics and attributes that differentiate it from any other competitor. In reality, these are psychological prices because customers, valuing quality over other aspects, are willing to pay more. Effective communication strategy Without good communication that resonates with consumers, the price skimming strategy may be meaningless. Effective communication can help justify higher initial prices, create a sense of exclusivity and highlight the product’s unique benefits and features. Communication is essential as the price skimming strategy progresses and prices are reduced over time. Customer engagement is just as important in this journey as providing customers with information about price changes and the reasons for subsequent price reductions. Advanced customer journey management is equally fundamental. Flexibility in pricing strategy Going for a skimming strategy, also known as temporary skimming prices, means being flexible. To this end, it is important to establish a competitive price analysis that allows adjusting prices to changes that may occur in the market or in the demand for the product. This involves monitoring competitors’ products to ensure that the skimming is still effective and the product competitive. One of the important data in this regard has to do with revenue management. If they are being reduced, then the price skimming strategy has come to an end and needs to be replaced by another strategy that will allow continued profit from the product or service being marketed.
Effective Financial Risk Management Strategies
Financial risk management is crucial to business success and requires a clear understanding of the key strategies to protect assets and ensure a sound financial future. In this article we present some of the keys. How to protect finances and assets with proven financial risk management strategies. A company may have the best tools, sell the best product or have the most qualified employees, but if its financial component is not healthy, its growth prospects are significantly reduced. Even if the financial side is healthy, organizations are exposed to various financial risks ranging from market volatility to economic fluctuations. For this reason, it is important that companies have the capacity to perform different financial risk analyses to anticipate and ensure business resilience to circumstances that may arise, protect assets and ensure that their financial future is robust. Financial risk management strategies There are different approaches to financial risk management. One of the risk management strategies is Value at Risk (VaR), which quantifies the potential risk of loss in an investment portfolio over a specific time interval. By using statistical methods and mathematical models, VaR provides an assessment of financial risks and allows investors, through financial risk models, to anticipate and manage risks effectively. In a Finance 5.0 environment, another important perspective in financial risk management is the so-called sensitivity analysis. This approach involves assessing how changes in key variables can affect results and profitability. It is one of the most widely used strategies in financial risk mitigation and is commonly used in investment portfolio management as it anticipates changes in interest rates or foresees changes in economic conditions that may affect asset performance, allowing organizations to carry out an accurate and timely analysis of their portfolio. portfolio diversification. Risk management tools There are different risk management tools on the market that allow you to execute different strategies, check regulatory compliance in finance or assess credit risk, among others. The Smart CG by aggity solution allows the implementation of modern and updated financial management systems to streamline the control of the company’s economy, while facilitating its organization. Among other functions, the solution allows to establish a control of the company’s fixed assets, as well as of all important data for the integral management of the organization. Main risks There are different types of risks faced by companies. Among the most important are the risks in financial markets, which are caused by volatility and fluctuations in the prices of financial assets. Normally this type of risk, associated with investment risks, occurs because market conditions change abruptly due to economic, political or social events. Typically this scenario affects stock, bond, currency and commodity prices. Financial risks in the banking industry Another risk is that affecting the financial or banking sector. There are several risks that affect this sector, such as risks due to changes in interest rates, which may affect the value of financial assets and liabilities. Credit risk is directly associated with the variation of interest rates and may cause debtors to stop paying their debts in the event of a rise in interest rates. Another important risk associated with banking is that of liquidity. We have seen it earlier this year with the crisis of several US regional banks and it occurs when a bank is unable to meet its financial obligations due to a lack of cash or liquid assets. The management of this risk involves ensuring that sufficient resources are available to cover liabilities and to avoid the forced sale of assets. Financial risks in digital transformation The vast majority of companies are immersed in digital transformation projects and this entails different financial risks that should be approached with caution and considered in cybersecurity audits. The main risk is related to financial cybersecurity. The introduction of different technologies and the digitalization of processes increases security breaches and the possibility of suffering a cyber-attack. As a result, the protection of data and systems becomes a matter of concern and increased investment in improving security measures is required.
Boosting Your Employer Brand: Strategies for Success
In a competitive labor market, employer branding is a crucial factor in attracting and retaining the best talent. Companies need effective strategies that enhance their employer brand so that candidates consider it an ideal place to work and become an employer of choice. How to strengthen your employer brand to attract and retain talent with proven strategies. Employer branding, also known as employer branding, is the reputation a company has as an employer or, in other words, how employees and potential employees rate the company. In a talent crisis such as the one we are currently experiencing, this reputation allows the company with an employer brand to attract the best candidates, increase employee loyalty, develop a corporate culture and improve the work environment and the level of commitment of the entire workforce. In today’s world, organizations not only compete to offer the best product to the market or to provide the best service, they also strive to offer the best work environments to improve the quality of life of their employees. employee experience and to become the best option in a process of personnel recruitment and competence selection. A platform like BesTalent IA by aggity allows to deploy and optimize the HR and talent management strategy to improve a company’s employer brand. These types of tools help to determine parameters for talent attraction, to carry out better human resources management and also to establish employer branding strategies. Define your employee value proposition This is one of the necessary points in establishing a strategy to improve a company’s employer brand. The employer value proposition The employer value proposition, as it is called, identifies what makes working at the company unique and valuable. Defining this value proposition involves identifying what the organization offers its employees beyond salary, e.g., talent management policies, development opportunities, flexibility to achieve a work-life balance, etc. work-life balance flexible compensation or social benefits. Cultivating a positive corporate culture Company culture is one of the aspects most valued by employees. No one likes to be in a hostile environment, so fostering a positive company culture is essential to attract employees who identify with the company’s values and objectives and achieve employee engagement. employee engagement of the professionals who are already part of the organization. Creating a positive environment fosters collaboration, diversity and inclusion, creating an enriching work environment that enhances the professional development of each employee. Offering development opportunities The new generations are not satisfied with having the same job throughout their lives as in the past. Professional growth options and opportunities to acquire new skills provided by the company are increasingly valued as one of the best HR practices. For this reason, establishing training programs and offering promotion options that demonstrate the company’s commitment to the growth of its employees are very important arguments to enhance the employer brand. Create an outstanding employee experience Improving the points of contact between the company and its employees during the entire period in which the employee is employed in the organization should be one of the fundamental points in an HR strategy. This philosophy must start from the very moment the employee is hired and through a totally transparent recruitment process that allows him/her to obtain a global vision of the company’s culture. Likewise, open and effective communication must be maintained at all stages of the employment relationship, listening to employees’ needs, concerns and expectations. Communicate and promote the employer brand Use internal and external communication platforms to share authentic employee stories and highlight their work culture. Communication must be a fundamental element in any strategy to improve the employer brand. So, when it comes to internal communication, employees need to know what the positive aspects of working in your company are. For its part, external communication is an innovation in HR. Thanks to it, and to the loudspeaker provided by social networks and other channels, the company can show potential candidates the benefits of working for the company as a prestigious employer brand.
Segmentation Marketing Strategies
Segmentation marketing strategies are one of the most used elements by companies. The goal is that by dividing a market into smaller segments with similar characteristics and needs, companies can offer more personalized and relevant messages and products. This, in turn, improves customer satisfaction and increases their engagement with the brand. Discover how segmentation marketing strategies can boost customer engagement and take your brand to the next level. One of the purposes that marketing directors and CMOs seek when incorporating segmentation marketing strategies is to boost customer engagement. There are different ways to carry it out, from demographic segmentation to psychographic segmentation, including more advanced strategies such as micro-segmentation. In the following, we will discuss some of the most important approaches used in segmentation marketing to improve the customer journey and increase customer customer loyalty . Demographic segmentation To carry out a demographic segmentation it is necessary to focus on aspects such as age, gender, income, education, or marital status. With this data, marketing departments can create a customer profile that allows them to approach customers and offer them products related to this data. In this way, for example, a manufacturer can provide a certain item suitable for people over 50 years of age or for users with a high level of income. Thanks to this type of segmented digital marketing, customer engagement can be improved. Geographic segmentation This type of segmentation marketing divides customers and potential customers according to their geographic location. The assumption here is that needs are not the same depending on where each person comes from and that consumer preferences vary according to region, climate, culture and lifestyle. In this way, specific targeting is established to allow organizations to adapt their campaigns to the particularities. An example of this type of segmentation could be that of an air conditioning salesman: it is not the same to sell it in the south of Spain as to sell it in Norway. Psychographic segmentation In this case, CMOs focus on the psychological and emotional aspects of consumers. Here the attitudes, lifestyle or interests of each person come into play. For example, it is widely used by companies in the retail sector, which can carry out content personalization based on the tastes of different groups of people. B2B market segmentation, on the other hand, can offer companies operating in a given sector solutions that are tailored to their needs. Behavioral segmentation Behavioral segmentation focuses on dividing consumers according to their consumption habits. In this case, the marketing departments analyze the consumer behavior and create target groups based on such aspects as purchase frequency, brand loyalty, the level of customer interaction with the company, and how well promotions and campaigns are working. With this type of segmentation, it is possible to personalize content by developing specific messages to build customer loyalty by offering incentives or developing reward programs. Microsegmentation Micro-segmentation is designed to attack very small market niches. In contrast to other segmentation marketing strategies, the aim here is to identify very small groups of users or consumers who have very specific needs. A successful micro-segmentation strategy requires detailed data and analysis to identify patterns and trends. In this sense, a platform such as RedPoint Global by aggity allows to have a complete and detailed view of the customer, and to establish personalized communications and marketing automation in real time, maximizing the conversion of actions and campaigns. B2B market segmentation Finally, this type of segmentation, unlike B2C market segmentation, is a type of targeted marketing. The division can be made depending on the sector in which the client company operates, the size of the companies, the purchasing cycle, which people have purchasing responsibilities or which products or solutions are more appropriate for the companies based on their turnover.
The user, key to the success of an eProcurement project
Tradition, years of experience and an unwritten rule tell us clearly that if we do not get those who have to use it on a daily basis to adopt the new eProcurement system, we can forget about cost control and savings. If they have or find an easier way to satisfy their purchasing needs without using eProcurement, they will do it. The reason is to be found in the interface, since most of these systems focus on the transaction and not on the users, and establish workflows that are far from being automatic, since they do not contemplate the possibility of a purchase or transaction being reduced to a simple click. For this reason, and when faced with an eProcurement project, the first thing that companies must have clear is a plan to deactivate the traditional opposition to change offered by people in environments where things have been done for a long time in a similar way, perhaps not easily, but based on an established methodology that was efficient. If change is not facilitated, the organization will be unable to achieve cost control in the form and manner that these systems allow. Users will continue to satisfy their needs manually, managers and department heads will have an incomplete view, directors and executives will continue to have very little control over what is spent, and ultimately the entire organization will suffer the consequences and miss multiple opportunities for savings on a daily basis. This situation occurs despite the fact that encouraging professionals, even the most reluctant, to use an eProcurement system in a determined and constant manner is a relatively simple task if we take into account the variety of options that the company can put on the table when it comes to fundamentally and valorize this change, and that it must also take into account when choosing the solution to implement: the availability of an intuitive interface, the simplification of corporate processes through inductive purchasing and the ease of resolving any incident with a workflow that emphasizes the owner of the transaction. More intuitive interface If we want to pave the way for this change and choose an eProcurement system correctly, it must offer an inductive purchasing interface through a more intuitive and compelling user experience. Each process should be presented in a way that closely mirrors a real-world experience for users as much as possible. The number of clicks, windows and scrolling should be minimized and ergonomics should take precedence. Clutter should be removed from the desktop, shortcuts should only be used where practical, searches should be assisted by progressive selection, and all options should be customizable to the user’s preferences. Inductive purchases Corporate purchasing standards and processes are often overly complex, especially for those who do not make purchases for the company on a regular basis. If we want our eProcurement system to work and be effective, it is necessary that it guides and leads the buyer through an assisted process, that allows to comply with all the corporate rules and regulations without the user having to learn or remember them, and that satisfies the user’s needs in terms of what he/she wants to buy, offering a wide range of possibilities. It is also a matter of managing restrictions, without making them visible and offering multiple options. And this includes the ability to shop outside of corporate catalogs or established contracts, as well as access to external eMarketplaces or specific supplier websites where the user knows they will find what they need. The owner of the transaction It is also worth mentioning another basic feature of our eProcurement, which will simplify the process of adopting or eliminating purchases through manual procedures. It is about the total visibility of the origin of the transaction for each of the possible figures or parts of the process, whether it is a simple request, a complete purchase order, request for quotation or tender, etc. All issues that may arise during the lifetime of each of these will come back to the owner, whether it is an inquiry from the approver or troubleshooting an invoice, through an electronic workflow. This way everything can be done in a more agile way, since bottlenecks and other problems are eliminated by the easiest route: the owner or creation of the transaction. Learn more about how to choose the right eProcurement system and how you can automate and transform your company’s critical purchasing and expense control processes. Written by BDI Comunicación for aggity
VAT management (SII) in the electronic invoicing program Uniclass
More than 60,000 companies, all those with a turnover of more than six million euros, those in VAT groups and those registered in the REDEME (VAT Monthly Return Register) have been obliged since last July to send the Tax Agency the data of their invoices telematically within four days of their issuance. These companies account for 80% of Spain’s business turnover. The penalties foreseen could be 6,000 euros per quarter, plus 1% of the annual turnover. SII, VAT, Taxation and Digital Transformation We are talking about the new VAT management system, called Immediate Supply of Information (SII) and to comply with it, it is necessary to submit invoices, through web services based on XML files, to the Tax Agency (AET) practically in real time. With this regulation, the Government seeks to simplify the management of this tax, to eliminate the obligation to present informative tax assessment forms and, above all, to fight against tax fraud. We will see if the forecasts are fulfilled, but the Treasury’s plans were to collect an extra 700 million euros in VAT in the six months following the entry into force of the SII. But, together with these declared and express objectives, in these months we have observed another important derivative, related to this legislative change, and that is the covert obligation to address the digital transformation of their internal processes of accounting, data recording and communication with the AET, if they have not already done so. Also to implement an update and improvement of their fiscal IT management systems to automate this new way of operating. This short period of time, between the issuance and digital presentation of invoices, forces companies to speed up data entry and registration in their IT management systems. In turn, the data must be recorded in a specific way, which implies changes in the way financial data is generated and stored digitally, because the Tax Agency, in the specifications of the new SII system, has established a specific data structure to record the information of each invoice and to prepare the XML files that are sent telematically. In addition, the SII standard encourages the digitalization of other companies not required by law. If they join this system of digital and instantaneous communication of invoices, companies and taxpayers are no longer required to file tax forms 347 (transactions with third parties), 340 (book of records) and 390 (annual VAT summary). In addition, they will be able to file and pay periodic VAT self-assessments 10 days later than usual. Finally, and for a better management and transparency of this tax, companies will be able to compare the information in their record books with the information submitted by customers and suppliers that are also within the SII. New Uniclass billing software modules To simplify the adaptation of accounting and invoicing processes and to take advantage of the benefits that SII offers companies, aggity has developed two specific modules for its financial management system Uniclass Financial SolutionThe XML files, which organize the invoice data according to the AEAT structure, generate XML files and send and manage them in a simple and secure way. Data configuration module for billing operations The data configuration module for invoicing operations is able to collect and organize information on accounting data including VAT, on invoices issued and received, and on intra-community operations. Each transaction is automatically associated to specific VAT codes, invoice types, log books, etc. In addition, aggity’s parameterization services adapt the business operations to the new SII system and not the other way around. On the other hand, it must be taken into account that in each shipment (10,000 invoices maximum per XML file), the Tax Agency can reject or accept, requesting the correction of invoice errors, even on a unitary basis. The aggity module incorporates maintenance and modification functionality, so the company can solve such problems at the level of the information stored and generated exclusively for this communication. Module for transfer and management of shipments and responses The module for the transfer and management of dispatches and responses allows companies to submit all invoice books to the AEAT within the required deadline. The system allows, in a simple way, to select the data to be transmitted according to the company, record books, periods and types of operation, so that the company can establish an organized communication system according to its internal management needs. When sending the information, the aggity module generates the necessary XML files and transmits them to the AEAT. It also manages the reception of response messages, with details of each of the invoices, so that managers can clearly see which invoices have been fully accepted, with errors or rejected. Identifying errors quickly is vital to resolving problems in a timely manner and avoiding penalties or surcharges. The module also allows the organized consultation of all the operations submitted to the AEAT, together with the details of their status. Written by BDI Comunicación for aggity