Mergers and acquisitions (M&A) are an integral part of business, having been done over 1,000 times since it was first recorded in ancient Greece! With every company experiencing some sort of merger or acquisition these days, it can be difficult to know what strategies need to be put into place to market them properly.
As marketers for the companies being merged with, our main goal should be to create messaging that resonates with why their strategic move makes sense. We also have to emphasize how the products and services you promote will remain consistent before and after the deal, as well as continuing to develop relationships across departments within the new organization.
At the very least, you’ll want to make sure your department stays intact during the process so people do not feel like they were forgotten about. Beyond that, you can find many ways to stay engaged and contribute to the success of the newly formed entity.
Step 1: Determine Your Target Market
This is an important first step as you will be defining your target market based on whether they are willing to invest in your product or service. You can do this by looking at demographics, income brackets, and location to name a few.
By knowing who your potential customers are, it makes conducting merchandise research and finding new suppliers much more efficient. For example, if most of your targeted audience is made up of young people, then investing in products that appeal to them may not make sense unless those products are affordable. If most of your audience has enough money, buying expensive items might win over budget.
Knowing your markets’ limitations can help determine when and how to discount your product or service. Some industries have limited supply so offering discounts could draw in new buyers. By doing this, you would know what prices are too low and need to be adjusted.
Companies that are looking to be bought out typically go through extensive due diligence processes before negotiations start. This includes conducting interviews with current executives, talking to potential investors, and reviewing recent performance reports and financial documents.
During these interviews, it is very common for buyers to ask about opportunities outside of the buying process. If an executive mentions another opportunity or project that they are hoping to see done, this can help determine if there are internal discussions happening about selling the company.
By asking about projects that might need your team’s attention, you can potentially find out when things could possibly get kicked into high gear in terms of sale activity.
A marketing strategy is usually described as how you can achieve your company’s overall goal. This could be to increase sales, get new accounts, retain current customers, or whatever other goals you have.
Most marketers develop several different strategies to accomplish their mission. Some of these are more direct approaches like advertising or indirect ones that include creating an environment where people feel comfortable buying from you.
With such a wide variety of ways to market a business, it can become hard to know which one is most effective in producing results.
That’s why there is only one true way to test your campaign: yourself!
Your personal brand will always speak for itself and if you are aware of what makes you successful then you can use those strengths to succeed in marketing others.
By experimenting with various strategies and seeing what works best for you, you will find success as a leader in your field.
The second part of an acquisition marketing strategy is finding potential merger or investment targets. This can be done through direct outreach to companies, through conducting interviews with executives, via market research studies, or by just looking at past acquisitions that company makes.
By having these different sources in place, your team will have many strategies they can use to find out if there are any opportunities for Acquisition Partners.
Most large corporations have internal systems in place to track their needs and goals. By using this information, it’s possible to determine whether one of them is about to lose someone that they coordinate tasks with, or whether they’re looking to expand its horizons by taking on new challenges.
These types of applications are often not known outside departments within big businesses, but professionals should feel confident sharing such information as part of their job.
While financial resources are important, what really sets apart successful mergers and acquisitions (M&A) is their strong leadership team and how well they motivate and recruit top talent to be part of that team.
This isn’t just talk — studies prove it! In fact, a study conducted by staffing firm Adecco found that 89 percent of respondents said having an excellent leader was one of the most significant factors when choosing between two employers. Another 78 percent cited good communication as being essential for a great work environment.