LEGO’s building blocks to Marketing Strategy


“Marketing Management who begin with adoption of a societal marketing orientation (SMO) feel it is important to understand before they plan.   An integral part of SMO is to desire to serve the short and long term needs of customers and society at a profit, and accomplish this objective better than competitors”.  ( London D,Stevens R,Wrenn B, 2004, Marketing Management )


Children, is one of the biggest consumer in the market right? Birthdays, Christmas, little presents for reward means “toys” and buying them is one source of their joy. “This time anyways as compared to my days when our toys are playing with friends in the garden and there’s not a lot of toys at hand hmmm…

Of course, as parents we try to educate our precious one to be a good citizen when they grow up, develop their creativity and imagination, be able to express themselves, happy and respectful and the list goes on!

Of course, as Franklin Roosevelt mentioned,” We cannot always build the future for our youth, but we can build our youth for the future”. (Address at University of Pennsylvania,1940), therefore as parents we wanted our kids to be environmentally aware as they will be of benefit.  After all the climate change and the natural calamities caused by it.   Lego is doing just that to their marketing strategies with its “Build the Change Initiative”.

Lego’s marketers are giving kids a platform for using the beloved bricks to express their vision for a better world.   “We want to make a positive impact on the world our children will inherit”.( Du Buisson J.,Greenbiz 2016)

Now, how is this related to marketing strategy???  

thinking man SWOT Analysis

swot analysis

Weakness– Lego’s product the toy blocks, and creating an appealing product’s through all those years to kids made by it, must be limiting perhaps, but they are showing otherwise because they are making this weakness as their strengths by innovating, and creating in demand relative to blockbuster animated movies and educational toys that’s constantly challenging our youngest builder’s imagination.   The threats are the competitors and their blocks are made of plastic – Opportunities –  LEGO is one of three leading “toy manufacturer” together with Hasbro and Mattel that is contributing in better environment. .


strategies Strategies

As one of the strategic goal if there is a market threat from competitors GOALS  about Broader Social Concern which is demonstrating leadership in environmentally friendly business practices. ( D.Iacobucci, 2014, pp 217)

I think LEGO company achieved that because the company has leveled up by phasing out PVC (polyvinyl chloride) in their toys (which Hasbro wouldn’t permit just yet) and also phthalates.  The company is reducing cardboard consumption and recycling waste material, as well as being the first toy company to partner WWF Climate savers. (GreenBiz, 2016)

Treacy and Wiersema Strategies

Lego shows product leadership by providing predictably excellent quality in products and services or by being a market leader by innovations in those products or services. Who’s producing the latest, coolest toys? ( D. Iacobucci, 2014, pp.215)

I browsed at different sites to see how strong their products are? At  Toy of the Year 2016 ( TOTY) ,LEGO Star Wars the force awakens millennium falcon toy  is the Boy toy of the year 2016 winner.

Also, in Toy insider holiday guide 2015 top 20, the tweens category (9+) “LEGO toys are 2 among 4 choices in that category”.

Lastly, I thought the LEGO company’s environmental advocacy in form of play, not only entice the eyes of our little builders, but the support of the environment conscious parents.   CHA – Ching! Decreases fixed cost by simply spending less on advertising.        (Figure 16.1, Cha- Ching, D. Iacobucci, 2014, pp 211)   Plus… its share to a better world.


Company Market Standing

successLEGO’s valuation of $15 billion and ranking as top 100 brand. ( GreenBiz, 2016)





Du Buisson J.,Greenbiz 2016  retrieved 16th July 2016

Peters G,Wooley J,(1999-2016) The American Presidency Project, retrieved 20th July 2016

GreenBiz ,2016Christina DesMarais, Thursday, October 31,2013-3:30 am, retrieved 15th July, 2016

GreenBiz, 2016) retrieved 16th July 2016

Iacobucci D,(2014) MM4 student Edition, South-Western Cengage Learning,OH USA, retrieved 16th July 2016

Loudon D,Stevens R,Wrenn B,(2005)Marketing Management, Marketing Planning: Strategic Perspectives, Best Business Books,NY USA, retrieved at 20th July 2016. retrieved 23rd July 2016  retrieved 23rd July 2016  retrieved 18th July 2016


By: Lanie Canuto

student ID: 216063738



Lego’s Building Blocks to Marketing Strategy

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