The concept of Gaining Share of Market (SOM)

Capturing Share of Market (SOM) requires defining and executing a set of “Strategic and tactical moves” to gain consumers’ preference, ideally on a continuous basis.

The ”battle field” is the target consumer; specifically his/her …

• Mind (Recall)
• Pocket / Wallet (disposable income to buy)
• “Stomach” (Consumption occasion)
• Heart (Affection)

The Strategic / Tactical moves occur around the elements of the Marketing Mix …

• A Product (Consumer benefit) that delivers:
  • A superior quality vs. competition
  • An attractive packaging
  • Differentiated Product news that trigger and/or sustain consumers’ interest in the Brand
• A Price (Cost or Perceived Value) that is:
  • Affordable to the target consumer
  • Enhanced with temporary promotional concepts
  • Competitive
  • Profitable for the company, on a continuous basis
• Place (Convenience or Distribution), meaning …
  • Presence in most of the Stores or strategically located points of transaction for consumers convenience
  • High visibility within the store
• Promotion (Communication) support that …
  • Positions the brand in a unique / captivating way
  • Achieves high TOMA (Top of Mind awareness) or high TUA (Total Unaided Awareness – 2nd or 3rd brand recall)
  • Builds a charismatic and up to date Image
  • Consistent message over time and across all points / moments of contact (TV, Radio, Printed, Internet, etc.)

Thus, the challenge for the Brand Manager is to capture more share of …

• Brand or mind recall
• Space or Distribution / Visibility
• Pocket or Spending Money
• “Stomach” or Consumption Ocassion
• Heart or Affection

… to secure a larger (ideally dominant) Share of Market.

Examples of companies / brands that have attained a dominant SOM in their respective industries, by moving strategically and tactically the elements of the Marketing Mix are: Coca Cola (Carbonated cola soft drinks), Sabritas / Frito Lay (Salty Snacks), Bimbo (packed bread), Banamex / Citi (Banking Services), Colgate (tooth paste), Kleenex (disposable tissues), etc.

Why is it important to capture / increase SOM? A larger SOM enables …

• economies of scale: lower costs > higher profit margins
• relative flexibility to fix / adjust the selling price
• a brand with high respect and eventually, a lovemark, which in turn will translate into high economic value

Are you facing the challenge of Gaining Market Share? We can help. Contact us at: Contact@sharegains.com