A strategy in which a firm increases demand for its products and draws (“pulls”) consumers to the product
Over 1.8 million professionals use CFI to learn accounting, financial analysis, modeling and more. Start with a free account to explore 20+ always-free courses and hundreds of finance templates and cheat sheets.
A pull marketing strategy, also called a pull promotional strategy, refers to a strategy in which a firm aims to increase the demand for its products and draw (“pull”) consumers to the product. Pull marketing strategies revolve around getting consumers to want a particular product. A pull marketing strategy can be used by itself or in conjunction with a push marketing strategy.
In a pull marketing strategy, the goal is to make a consumer actively seek a product and get retailers to stock the product in response to direct consumer demand.
Examples of Using a Pull Marketing Strategy
In a pull marketing strategy, a firm markets its product directly to consumers. The consumers then seek out the products to purchase. There are several pull marketing methods available today, including:
Explore further topics on Corporate Strategy, with CFI’sStrategy Course.
Illustration of a Pull Marketing Strategy
A pull marketing strategy is illustrated as follows:
As illustrated above, a pull marketing strategy involves a business using marketing activities to pull consumers to its products.
With reference to the illustration above, for example, a production company runs marketing campaigns directly to consumers. Due to the marketing campaigns, consumers seek out a particular product and go to retailers looking to purchase the product. Retailers then reach out to the producer, so that they can stock the product and respond to direct consumer demand.
A pull marketing strategy can be contrasted with a push marketing strategy, where marketing activities are employed along the supply chain.
Example of a Pull Marketing Strategy
Colin recently launched a new product – the Fanner 3000. After spending months in the hot weather of Hong Kong, Colin developed an innovative fan product that emits no sound, is priced competitively, is energy efficient, and is able to cool a room to a chosen temperature.
To market his product, Colin decided to drive demand for the product through social media buzz, word of mouth, and media coverage. To be more specific, Colin ran several Facebook and Instagram advertisem*nts, worked with YouTube influencers to create video promotions and got his product featured on a technology news website. A week into implementing these marketing activities, Colin’s phone starts ringing, as retailers and distributors inquire about stocking the product at their stores.
Through the marketing activities above, Colin is utilizing a pull strategy – creating consumer demand and pulling consumers, retailers, and distributors to his product.
Advantages
There are several advantages to a pull marketing strategy:
- Able to establish direct contact with consumers and build consumer loyalty
- Stronger bargaining power with retailers and distributors
- Focuses on creating brand equity and product value
- Consumers are actively seeking out the product, which removes much of the pressure of conducting outbound marketing
- Can be used to test a product’s acceptance in the market and obtain consumer feedback on the product
Disadvantages
Potential disadvantages to using a pull strategy include the following:
- Usually works effectively only when there is high brand loyalty
- Lead time is long, as consumers are comparing alternatives before making a purchase
- Requires creating a high demand for a product, which can be difficult in a highly competitive marketplace landscape
- Requires strong marketing efforts to convince consumers to actively seek out the product (they may, instead, just decide to settle for whatever similar product a retailer has in stock, rather than insisting on getting your product)
Additional Resources
CFI is the official provider of the Financial Modeling and Valuation Analyst (FMVA)™ certification program, designed to transform anyone into a world-class financial analyst. To keep learning and developing your knowledge of financial analysis, we highly recommend the additional CFI resources below:
FAQs
The pull strategy is a marketing and promotional strategy that relies on the customer to "pull" the product from the marketer. This is done by creating demand for a product or service through word-of-mouth referrals, sales promotions, and customer relationship management.
Is push or pull marketing more effective? ›
If you are trying to get the word out about your business, push will most likely be the way to go. If you're a marketer building brand buzz in your market — perhaps about a specific product or service — pull would probably be best.
Which of the following is an example of a pull marketing strategy? ›
Examples of Using a Pull Marketing Strategy
Social media networks. Word of mouth. Media coverage. Sales promotions and discounts.
Would you recommend using a push strategy, a pull strategy, or a mix of both to promote your company's product? ›
Most marketers opt to use a combination of the two, and there are some industries where a mix works best. In business-to-business (B2B) marketing, for example, both push and pull strategies are necessary. You want to make yourself visible and available without limiting your market.
What are the pros and cons of pull strategy? ›
While there are many advantages to the pull approach – higher service levels, lower carrying costs, decreased inventory levels, and fewer markdowns – there are some serious drawbacks. A pull strategy starts to break down when lead times get longer and demand changes rapidly.
Is Coca Cola push or pull marketing? ›
Coca-Cola is a prime example of a company that utilizes a push marketing strategy. They heavily invest in advertising and promotional campaigns to create awareness and generate consumer demand for their products.
Are Google ads push or pull marketing? ›
Google Ads (Pull Marketing)
Advertisers bid on keywords relevant to their products or services, ensuring that their ads appear when users actively search for related terms. This method capitalizes on the user's existing interest, making it more likely that they will click on the ad.
Does Nike use a push or pull strategy? ›
Nike: Nike is another company that uses a pull strategy. The company's iconic "Just Do It" slogan and its association with famous athletes make its products desirable to consumers. Nike also uses a variety of marketing channels to reach its target audience.
Does Apple use push or pull marketing? ›
Apple – The company uses a pull strategy to promote its products. It relies on advertising, public relations, and social media to create buzz and generate consumer demand.
How to make a market pull? ›
For in-demand products, a significant reduction in price without a significant reduction in quality can trigger market pull. The pull is even greater if the new products are more convenient and not just cheaper, because convenience helps consumers emotionally justify the labor required to switch products.
Pull Strategy: - Focuses on generating consumer demand and pulling the product through the distribution channel by creating brand awareness and loyalty. - Aims to motivate consumers to actively seek out the product or service from retailers or other distribution points.
Is a pull strategy superior in all markets? ›
Answer : While a pull strategy can be effective in many markets, it's not necessarily superior in all...
Can a company use both push and pull strategy? ›
Depending on what and how you want to promote something, you can use push marketing strategies as well as pull marketing strategies. It's best to use both to win new customers and keep your existing ones.
What are the key characteristics associated with pull strategy? ›
Characteristics of a Pull strategy;
It's possible to differentiate the product on the basis of real or emotional features. Brand consumers show a high degree of involvement in the product purchase. There is reasonably high brand loyalty. Consumers make brand choice decisions before they go to the store.
What is a pull promotion strategy? ›
A pull promotional strategy also called a pull marketing strategy, is the opposite of a push strategy. Instead of directly attempting to get products in front of customers, a pull strategy aims to get the customers to come to the product (hence the term “pull”).
What is the push and pull method? ›
The Push-Pull Method is a flirting technique. It encourages suitors to pull in someone they spot and like with a compliment, and then push away the tension created by the praise with a joke or push back on the compliment.
What is the pull distribution method? ›
In contrast to Push distribution, Pull distribution consists of the lowest node of the supply network, the end customers and retailers, deciding how much stock to order to meet their needs. The factories or manufacturers then receive this order and start producing around a direct demand.
What is the pull method of management? ›
A pull inventory management system relies on market demand to determine inventory levels. Products are restocked in response to consumption. When inventory levels fall due to a surge in customer orders, a pull inventory system replenishes stock levels through a responsive pull-based supply chain.
What is the pull and stay marketing strategy? ›
Find people who are already talking about you, engage them and give them something of value. He calls this marketing strategy “pull and stay.” Pull potential customers to your business by engaging them, trade something they value for their name and contact information and stay in touch with them.
