Joanne Wilson, BA Hons, MCIM, Dip CW Marketing Planning for the SME Part 2 iExpert Joanne Wilson, BA Hons, MCIM, Dip CW

CIM definition of Marketing Marketing is the management process responsible for identifying, anticipating and satisfying customers’ requirements profitably.

How can we ensure arrival? How to make your business more profitable How might we get there? Strategy How can we ensure arrival? Feedback and Control Where are we now? Marketing Audit Where do we want to be? Objectives Which way is best? Tactics – The Marketing Mix How to make your business more profitable The Marketing Plan Based on a model by PR Smith

Where are we now? I

Set measurable objectives. Know your goals. Be realistic but aim high.

Aim high Your marketing objectives might be stated in terms of: Number of sales in a given period % growth Profitability % market share Number of customers Always make your objectives SMART Remember – the marketing plan is a tool to help you to achieve your overall business objectives.

How can we ensure arrival? How to make your business more profitable How might we get there? Strategy How can we ensure arrival? Feedback and Control Where are we now? Marketing Audit Where do we want to be? Objectives Which way is best? Tactics – The Marketing Mix How to make your business more profitable The Marketing Plan Based on a model by PR Smith

Strategy Marketing strategy addresses three separate aspects of marketing planning (CIM):- Customers Competition Internal Issues All of these issues should be taken into consideration when working out the attractiveness / value of different market segments.

Competitive advantage According to the CIM, competitive advantage is the process of identifying a fundamental and sustainable basis from which to compete. This is one of the main purposes of marketing planning. Marketing planning guru, Michael Porter (1985) identified 3 fundamental sources of competitive advantage:- - Cost leadership - Differentiation - Focus

Take Aim – Segment, target, position

How might we get there?

Marketing Segmentation Consumer Markets Demographics - For example 18-30s holidays Geographic - National, local, international Geodemographic - An analysis of where people live and combines lifestyle data with location / postcode data Behaviouristic - What the customer uses the product for - What benefits do they seek? (eg ready meals) Psychographic - Lifestyle segmentation, more complex. Looks at beliefs, opinions, motivations and aspirations. Eg Organic buyers, ‘value’ buyers.

Marketing Segmentation - Business to Consumer

Marketing Segmentation – Business to Business Industry sector (SIC codes) Geographical location Turnover No of employees Type of decision making unit Level of product / service usage

Who to target? Ansoff www.edrawsoft.com

Deciding who to target: How attractive is a market segment? Is it viable? Consider :- Size – is it substantial enough to merit its own marketing messages? Accessibility – have you got the resources / ability to exploit this segment? Profitability – is it going to make you profit / achieve other objectives? Suitability – Can you product or service meet their needs easily and in keeping with your brand / company objectives? Unique – can the segment be specifically identified? Sustainability – is the segment going to be around for a good length of time?

Targeting ideas You can of course target more than one segment. You then have choices to make. Do you target more than one segment (or the whole market) but with the SAME marketing messages? (undifferentiated) Do you target different segments, each with their own, DIFFERENT marketing messages? (differentiated) Do you target one segment with one set of marketing messages? (concentrated).

Positioning Positioning is about hearts and minds. A positioning statement is about how your customer feels about your brand. It explains how your company, product, service or brand fills a particular customer need. Positioning is the process of identifying an appropriate market niche where you have established a customer need and preferably in an area where your competitors are NOT. Positioning is about hearts and minds.

Positioning Matrix Quality High Price Low Price High Quality Low

Positioning Example - Lucozade Lucozade was originally now as the drink to buy for people who were ill. In 1983 Ogilvy and Mather were brought on board to reposition the brand. The product basically stayed the same. But it was re-positioned as a sports drink. The packaging changed, it was endorsed by a current sports star, a new logo was unveiled. It’s focus was now on health and energy. Sales skyrocketed.

Positioning – Makes your dog strong

Positioning – The tastiest

Positioning – Love

Profile – Build up a profile of your ideal, most profitable customer types

How can we ensure arrival? How to make your business more profitable How might we get there? Strategy How can we ensure arrival? Feedback and Control Where are we now? Marketing Audit Where do we want to be? Objectives Which way is best? Tactics – The Marketing Mix How to make your business more profitable The Marketing Plan Based on a model by PR Smith

The Marketing Mix

Marketing Communication Options ‘Promotions’

How can we ensure arrival? How to make your business more profitable How might we get there? Strategy How can we ensure arrival? Feedback and Control Where are we now? Marketing Audit Where do we want to be? Objectives Which way is best? Tactics – The Marketing Mix How to make your business more profitable The Marketing Plan Based on a model by PR Smith

Create an action plan

Have a plan (Not like this...)

Assign responsibilities and timescales

Communication continuum

Communicate and implement the plan

Measure the results & feed everything back into your planning process

How can we ensure arrival? How to make your business more profitable How might we get there? Strategy How can we ensure arrival? Feedback and Control Where are we now? Marketing Audit Where do we want to be? Objectives Which way is best? Tactics – The Marketing Mix How to make your business more profitable The Marketing Plan Based on a model by PR Smith