1. Developing
the
Marketing Strategy

2. Marketing Plan: New vs Existing
More ambiguity and unknowns in new
Goals are less specific
Less information is known up front about:
Marketplace (environment)
Buyers
Final product
Positioning and brand are TBD
All mix parameters have yet to be set
More work, more fun

3. Marketing Plan: New Venture
Beginning
concept
buyers
Product
Idea of
Less structured; more fluid
Analyze
Environment
Brand
Research
Segments
Positioning
Product
Target(s)
Select
Product
Product
Execute, evaluate & adjust
Price
Price
Place
Place
Promo
Promo

4. Marketing Alignment
Mktg
Target
Pos
Brand
4 Ps
Ops
Fin
Mgt

5. Planning Success Identify your goal(s) and then …
Develop a strategy to achieve them that provides the direction need to …
Create and execute a tactical plan that …
Supports the strategy and delivers value as a result of …
Building a core competency which …
Yields a competitive advantage that …
Lasts
Sustainable Competitive Advantage
No advantage is sustainable forever

6. Core Competency vs Competitive Advantage
Often confusing & highly correlated
Multiple definitions exist
Core Competency: a specific set of skills and/or expertise that a company has, especially when compared to its competitors
Something a firm does better than other firms
Built via investment of time, effort, money
Competitive Advantage: a core competency that gives your firm an advantage over competitors and delivers superior value and/or profits
Core competency aligned with market opportunity

7. Core Competency / Competitive Advantage Relationship
Competitive Advantage is the union of a Core Competency & a marketplace need
Outcome is value

8. Competitive Advantage
Cost Based Advantage
Differentiation Based Advantage

9. Cost Based Advantage
Cost leader - ability to provide products for a lower cost than competition
Production innovation
Production economies of scale
Reengineered design
Distribution economies of scale
Reduced product frills
Labor advantages or efficiencies
Must be low cost provider

10. Differentiation Based Advantage
Develop and market a differentiated product
Deliver key attribute(s) that provide greater benefits than competitors
Attributes / benefits focused on must be highly valued by customer
Superior performance
Quality and/or reliability
Best-in-class service
Powerful brand

11. Niche Focus Niche: a narrowly defined market
Limited geography
Focused product line
Unique target
Typically due to limited resources