Chapter 12: Introduction New Market Offering

LATERAL MARKETING 

Introducing new market offerings involves the process of developing and launching new products or services to meet the needs and preferences of customers.

In most cases, some already existing products may combine to give one offering which comes out as a new package is know as lateral marketing. Lateral marketing is an firm of marketing where two brands with complimentary products or services come together to form a competitive advantage in the market. Most likely ideas are : 

1. Airline company and Airbnb. 

2. Health providers and health insurance

3. Mobile companies and Internet service providers.

4. Car brands and tyre companies 

5. Gas station and mechanic workshop

For the airline companies and Airbnb, when you fly to a new place one will need a place to stay, both complements each other. This increase the visibility of both brands and develop new customer reach.

Benefits of this type of lateral marketing includes :

1. Brand visibility

2. Reduced cost

3. More customer reach

4. Increased sales

5. More sales

6. Enhanced customer loyalty

7. Competitive advantage 

References: Ilias Avgeropoulos(2004) Marketing Planning power point , Kotler (2000) Marketing Management, Philip Kotler and Fernando Trias (2003) Lateral Marketing