The Marketing Plan Everything is Possible From Here!

Major Components Situation Analysis Problems and Opportunities Marketing Objectives Marketing Strategies Implementation Evaluation

The Situational Analysis A SA is a snapshot in time.. A picture of your company TODAY … you do not address plans, the future, etc. This is an analysis of the current situation!

Situation Analysis 2 primary sections 1) Internal Considerations – the marketing mix (in your control) – Product – Promotion – Distribution – Price 2) External Considerations (not in the control of the firm) – Marketplace – Competition – Consumers – Demand – Environment

Product What stage of the PLC are your products/organizati on? What is your product mux in terms of the market share/market growth model (BCG)? What are your products and attributes, competitive advantages? What is the depth, width and length of your product line? What is your branding strategy?

Price and Place What is your current pricing strategy? Competitive, skimming, penetration, etc.? Distribution – How, when and where do you deliver product to the consumer Distribution – Hours of operation – Location – Payment methods What is your distribution strategy? Intensive, selective or exclusive?

Promotion How do you communicate with consumers? – What is your promotions budget? Mix of personal selling, advertising, sales promotion, direct marketing, social media efforts and PR What has worked for you in the past in terms of communication with the consumer? – What is your existing promotions mix? – Do you have any slogans, or spokespersons

Situational Analysis External Considerations – Marketplace – Competition – Consumers – Demand – Environment

External Factors – Outside of your control Marketplace – what is your overall sales potential Legal Issues – are there any concerns with current regulations, govt oversight? Technology – does technology impact the delivery of your products and services? Does it impact changes in your product design? Economy – how has the economy impacted your firm?

External Considerations Competition – 3 levels to discuss Direct brand Substitute (provides the same benefits General – competing for your customer’s disposable income Consumer – Provide a detailed profile of your consumer including: Demographics Geographics Behavioristics AIO (Attitudes, Interests and Opinions)

External Considerations Demand – Analyze the demand function of your consumer What price and set of features are they seeking? Additional External Situational Factors – Could include (depending on the business) sociodemographic trends, politics, etc.

Problems and Opportunities Identification Possible After SA Problems May be Opportunities in Disguise Promotion only Solves Communication Problems

Setting Objectives Must be Specific and Measurable Primary Marketing Objectives – Sales, Market Share, Volume Secondary Objectives – 4 P’s Product – brand Promotion - awareness Price - % markup Place - # outlets open

4P’s Objectives Should support overall marketing objectives (like increasing market share) Price Objective ex: during the 1 st 6 months set price to yield $200k profit Distribution product bulky – objective minimize shipping costs product small – develop a channel

Promotion Objectives Developed to support overall marketing objectives – Increase awareness by 50% in TM in 3 month campaign – Generate recall in 20% of TM in 25%

Product Objectives Can be individual product or product line – Are you expanding the product line to reach new customers or better serve existing customers Quality Objectives – Level or consistency objectives

Steps in the Target Marketing Process Segmentation Identify and describe market segments Targeting * Evaluate segments and determine which to pursue Positioning Design a product or service to meet the segment’s needs and develop a marketing mix that is competitive to the TM

Marketing Strategies Investigate Segmentation Opportunities Determine Target Market Develop your Positioning Strategy

Target Markets these are the aggregate segments that you will direct your marketing efforts towards You’re prospects!

The Target Market Decision Undifferentiated Marketing Differentiated Marketing Focused (Concentrated Marketing)

Marketing Segmentation Identifying groups of people with shared characteristics within the broad markets for consumer or business products aggregating these groups into larger segments according to their mutual interest in the product’s utility

Steps to Segment Identify the needs structure of the consumer population Group the customers into homogeneous segments Id factors that are correlated with the segments (segmentation variables) Select your target market Develop your positioning strategy

Segmentation Variables Demographics – age, income, sex, family size Geographics – regions, climate, density Behavioristic – benefits sought, usage rates, purchase occasion, psychographics – VALS

Marketing Strategies Product Strategies – Branding – Packaging Distribution – Push vs. Pull

Develop a Positioning Strategy Analyze Competitor’s position – This helps with identifying promotional hooks to pursue Identify Competitive Advantage Finalize the Marketing Mix The elements of the marketing mix must match the selected segments. – Product must deliver benefits the segment values Convenience or status Price at the level customers will pay that also complements promotions strategy Available in locations sought

Advertising and Distribution Direct Distribution - Network Marketing Indirect Distribution - resellers and channel members to consider Three Primary Strategies – Intensive – Selective – Exclusive

Marketing Strategies Promotion Promotions Mix – how will you spend budgeted dollars on your mix of promotional tools Pricing competitive, skimming, penetration, promotional

Marketing Strategies Co-op Strategies IMC – seek synergy

Implementation Scheduling – when will you end and begin this plan, use calendar to identify which strategies will come into play at certain times of the year Budgeting – how much will all of this cost, when will your payouts be?

Evaluation Compare Against Quantifiable Objectives

Promotions Plan natural outgrowth of the marketing plan outline of the actions, approaches and tactics that will be used to meet promotions objectives. – Advertising – pr – Sales promotion – Personal selling – Direct marketing often bounded by budgetary considerations

Advertising Pyramid Action Desire Conviction Comprehension Awareness

Promotions Objectives should support marketing objectives deal with all elements of the promotions mix. awareness, recall, likeability, recognition, action, sales, contacts (or calls), # media contacted and story pickups

Promotions Strategies our plan of action! Broken into section for each of the elements of the promotions mix utilizes the creative mix to mobilize the forces! target audience product concept communications media Advertising, pr, personal selling message

Product Concept How will the ad present the product? In terms of: – Positioning – Differentiation – Life Cycle – Branding, packaging, classification – Thinking or feeling?

Advertising Message Copy Elements – Advertising appeals Humor, fear, slice of life – Copy Platform – Key Consumer Benefits to be identified Art Elements – Visuals for packaging, ads, POP – Layout and Design

Sales Message Id Contact Person Develop scripts for specific TMs Training Setting reasonable expectations Developing long-term relationships

Creative Mix target audience - the people you want to speak to and address the message to – Primary and Secondary product concept - the bundle of values or benefits – may be psychological or utilitarian communications message – TV, radio, magazines, newspaper advertising message - combo of art and copy and production to form message pr message – what is the “newsworthy” item or message Sales promotion – target new segments and spur action Personal selling – demonstrate, address b to b customers, develop trade show information, overcome objections Direct marketing – can this be a reasonable additions to mix?

Media Planning Define Media Objectives – Reach, frequency, GRP, scheduling Profile audiences/readership Match the audiences to the TM Evaluate economics of TM vs. TA Negotiate purchases

Evaluation and Testing Advertising Research Pretest ads Test Concept Posttesting