The BCG Matrix, also known as the Boston Matrix, is a popular model to outline a company’s investment portfolio. It is a matrix that positions all the products and services a company has in its portfolio in a way that shows their current state in terms of relative market share and the potential growth rate of the market. You can also use it for your marketing campaigns. BCG matrix There are four main categories: Cash cows : stand for reliable cash generation. You have a relatively high market share in a stable market.
cash cows or rather stars?
And no extraordinary investments are needed to make a profit. Stars : products in this category record a large market share in a rapidly growing market. They have the potential to deliver the largest percentage of profits, but investment is needed Betting Email List to unleash that potential in your market. Dogs : dogs don’t have a large market share and they don’t have a bright future either. You don’t want to burn yourself with this. Only invest when the ROI is obvious. Question marks : These are your products or services with a low market share in a growing market.
The BCG Matrix
Question marks can become future stars, or be completely worthless. It requires more research and experimentation to establish that. The BCG Matrix is a simple but reliable model (even if it has its limits). In this article, I’ll explain how you can come to similar insights by doing this exercise on your marketing efforts. That way, you can determine how your focus and budget should be distributed across all the channels you currently have in your marketing mix. Applied to marketing The medium is different, but the strategy remains the same.