Definition Marketing Strategy is the process that a business uses to focus its limited resources in order to have the greatest chance of increasing sales and achieving a competitive advantage.
It combines promotion, distribution, pricing, relationship management, and other elements; identifies the marketing goals, and explains the methods to reach them.
It is most effective when it is part of the overall business strategy, defining how the company will interact with customers, prospects, and competitors in the open market.
Importance The benefits of a marketing strategy are crucial to a company's success.
Without a strategy to accomplish its goals, the company will flounder in the market place, chasing one goal after another with no set process for improvement.
So the importance of the marketing strategy can not be overstated.
Having a direction in your marketing is essential for success.
Various elements of the strategy -- which can include advertising, internet marketing, branding, promotion, and public relations - act to form the basis for the business's main mission and goals.
It is important to make sure that each strategy goal is measurable, as the marketing strategy should be dynamic and interactive.
If pieces of it are not measured as successful, then they should change to drive the business forward.
Small Business Application While it is assumed that all large corporations have marketing strategies that focus their energies on creating profit, the small business is especially in need of a goal.
Many sole proprietors, mom-and-pop businesses, and internet entrepreneurs fail because of a lack of vision or a belief that if they just put their product or service out on the open market, customers will stream in.
In reality, the tighter the budget, the more critical the plan is to maximize the limited resources available.
For the small company, two factors rise above all others in focusing their marketing strategy: choosing a market niche and branding.
Running with the Big Dogs In order to compete with the large corporations and other competitors with deeper pockets, the small business must differentiate itself to reach its goals.
The best ways to do this are to concentrate on a market niche in which you can compete and to brand yourself or your company with an unforgettable image.

• Find a Niche - choosing a niche can be as simple as a local auto repair shop that specializes in repairing only German-made vehicles or as involved as an internet marketer who focuses her marketing efforts on stay-at-home-moms.
  This allows you to target your advertising, relationships with customers, and promotion on those who will make the most difference to your bottom line.
  
• Branding - no single factor can set you apart from your competition easier than building a personal or company brand.
  The fact is that people buy from people, and they want to have a "relationship" with those companies to which they give their hard-earned money.
  The great thing about branding is that it can be done with little money, especially with the Web 2.
  0 sites available today.
  

So to be successful in the today's marketplace, form a well-thought-out plan and take the action necessary to reach the results that you desire.
And you will reap the benefits of marketing strategy where it counts: on the bottom line.