Marketing Today

WHAT IS MARKETING? Businesses have two main functions Businesses have two main functions Innovation and Marketing, the rest are… Innovation and Marketing, the rest are…COSTS Marketing Distinguishes the company Marketing Distinguishes the company It benefits the organisation and its stakeholders It benefits the organisation and its stakeholders Moving people closer to making a decision…. Moving people closer to making a decision….

WHAT IS MARKETING? 1. Discovering what product, service or idea customers want; 1. Discovering what product, service or idea customers want; 2. Producing a product with the appropriate features and quality; 2. Producing a product with the appropriate features and quality; 3. Pricing the product correctly; 3. Pricing the product correctly; 4. Promoting the product and spreading the word about why customers should buy it; 4. Promoting the product and spreading the word about why customers should buy it; 5. selling and delivering the product into the hands of the customers. 5. selling and delivering the product into the hands of the customers.

MARKETING and SELLING MARKETING: consumer’s wants and needs; MARKETING: consumer’s wants and needs; SELLING: consumer’s demand. SELLING: consumer’s demand.

CAN MARKETING INFLUENCE YOUR PURCHASING BEHAVIOUR? AB

SWOT ANALYSIS

INTERNAL ASSESSMENT OF THE ORGANISATION Strengths Strengths 1. A distinctive competence 2. Location advantages 3. Technology 4. Economies of Scale 5. Cost Advantages 6. Proven Management 7. Financial Resources Weaknesses Weaknesses 1. No Strategic Direction 2. Weak Image 3. No R&D 4. Lack of Mgt 5. Poor record 6. Competitive Disadvantage 7. Competitive pressure

INTERNAL ASSESSMENT OF THE ORGANISATION Opportunities Opportunities 1. Additional customers 2. Entering a new market 3. Diversifying business 4. Weaknesses of others 5. Expanding ranges of products and/or services offered Threats Threats 1. Entry of competitors 2. Growing Substitutes 3. Government Policy 4. Vulnerability to Economic pressures 5. Power of customers 6. Power of suppliers 7. Demographics

DEVELOPING A

WHY DEVELOP A BUSINESS PLAN? Failing to plan, is planning to fail Failing to plan, is planning to fail Planning plays a vital part in determining the success of a new business Planning plays a vital part in determining the success of a new business First you must identify goals, then… First you must identify goals, then… set out strategies to meet those goals The Business Plan sets out these goals & objectives into a coherent format The Business Plan sets out these goals & objectives into a coherent format Operating a company on paper (any size) Operating a company on paper (any size)

ELEMENTS OF A BUSINESS PLAN Three Main Areas Introductory Elements Introductory Elements Business Information Business Information Financial Statements Financial Statements

1. Cover Page 2. Table of contents 3. Executive Summary: Summary of the business plan Summary of the business plan Identify the amount of funding sought Identify the amount of funding sought Summarise company objectives, history and financial information Summarise company objectives, history and financial information Aggressively sell the business Aggressively sell the business

BUSINESS INFORMATION 4. The Industry 5. The Company 6. The Product or Service 7. Pricing 8. The Market 9. Marketing Plan 10. Management Team

FINANCIAL STATEMENTS 11. Income Statement Did the company operate on a profit? Did the company operate on a profit? Target monthly forecasting for planning Target monthly forecasting for planning 12. Balance Sheet Assets (anything of value to the company) Assets (anything of value to the company) Liabilities (Debts) Liabilities (Debts) 13. Cashflow Statement Is the business going to make it? Is the business going to make it?

Glossary of key words Threats: Anything that will affect the business in a bad or negative way Threats: Anything that will affect the business in a bad or negative way External: Outside the company External: Outside the company Internal: Within the company Internal: Within the company Assets: Something Valuable to the company Assets: Something Valuable to the company Liabilities: Something the company must pay back Liabilities: Something the company must pay back Balance Sheet: Statement of Assets & Liabilities Balance Sheet: Statement of Assets & Liabilities Innovation: Use of a new idea or method Innovation: Use of a new idea or method Stakeholders: Everyone involved in the company Stakeholders: Everyone involved in the company Competence: The ability to do something well Competence: The ability to do something well

Glossary of key words Economies of Scale: The more you produce the less each single unit costs Economies of Scale: The more you produce the less each single unit costs Strategy: Plan for achieving success Strategy: Plan for achieving success R&D: Research and Development R&D: Research and Development Diversify: To change strategic direction Diversify: To change strategic direction Demography: Changes in types of people living in one area Demography: Changes in types of people living in one area Forecasting: Statement of what is likely to happen Forecasting: Statement of what is likely to happen Coherent: Clear and carefully considered Coherent: Clear and carefully considered Cashflow Statement: Report of money coming in and out of the company Cashflow Statement: Report of money coming in and out of the company