1. Session 9

2. Marketing Essentials: Unit 2
Unit code R/508/ Unit type: Core Unit level 4 Credit value TQT 150
Unit Description
Introduction
This unit is designed to introduce you to the principles of marketing, enabling you to develop a basic marketing plan and to employ elements of the marketing mix to achieve results.
Learning Outcomes:
By the end of this unit you will be able to:
1 Explain the role of marketing and how it interrelates with other functional units of an organisation.
2 Compare ways in which organisations use elements of the marketing mix (7Ps) to achieve overall business objectives.
3 Develop and evaluate a basic marketing plan.

3. Lesson Content LO3 Develop and evaluate a basic marketing plan.
The links between marketing plans, marketing objectives and marketing strategies.
• An overview of the marketing planning process (analysis, planning, implementation and control) and marketing strategy.
• Setting goals and objectives.
• Situational analysis tools and techniques.
• Group discussion – explain how strategy is implemented and monitored

4. Marketing Plans/Process
SUMMARY AND
TIME FRAME
THE
BUDGET S
TURNING
STRATEGY
INTO
ACTION
MIX N
AIMS
AND OBJECTIVES A
SITUATION
ANALYSIS L
PURPOSE AND
MISSION P

5. Situational Analysis Current Product Analysis Boston Matrix
Target Market- mass or niche/perceptions/segments
Competitor Analysis –Porter
Economic and Social PESTLE
Strengths and Weaknesses SWOT
Situational Analysis: Steve Jobs on Competitor Analysis

6. Strategy What can we do to meet our objectives?
How can we measure success?
Strategy: The big picture approach
Boston Matrix/Ansoff analysis
Helps examine products and markets.
Product Portfolio Analysis - New Products/New Markets

7. Marketing Strategy
Ansoff Marix, a model used to show how much risk is associated with growth strategies mainly: market penetration, market development, product development and diversification.
Ansoff considered the main variables in a strategic marketing decision which he identified as:

8. Strategic Choice: Ansoff
VARIABLES
The market in which the firm is going to operate
The product intended for sale
ANSOFFS MATRIX: Shows how risk increases for each generic strategy
Markets:
Companies can stay in their existing markets
They can develop new ones
Products:
Companies can continue to sell existing products

9. Ansoff Matrix and Strategic Choice
And RISK
MARKET PENETRATION
in current market
existing product
Sell more
PRODUCT DEVELOPMENT
in existing markets
Sell new products
Higher sales of existing products in new markets
MARKET DEVELOPMENT
Sell new products in new markets
DIVERSIFICATION

10. Porter’s Strategies Gaining Competitive Advantage and Strategic Choice
A competitive advantage is an advantage over competitors gained by offering consumers greater value, either by means of lower prices or by providing greater benefits and service that justifies higher prices.
Competitive Strategies
Michael Porter suggested four "generic" business strategies to gain competitive advantage.
The four strategies relate to the extent to which the scope of a businesses' activities are narrow and whether a business seeks to differentiate its products.

11. Porter: Strategic Choice

12. Setting Objectives
Objectives set out what an organisation is trying to achieve
They provide guidance about direction and actions needed to define and measure success
The term, SMART is now in common usage within management systems, to help us set clear objectives
“There is nothing so useless as doing efficiently that which should not be done at all.” Peter Drucker

13. USE ACTION WORDS for SMART TARGETS
Establish Attend Submit Analyse Apply Change Create Determine Identify Perform Select Organise Deliver Complete Obtain
Example: Improve communication in a department, is not a SMART objective.
Hold regular Thursday Team Meetings beginning on October 26th, is SMART

14. And finally …
A business plan has to be cohesive, incrementally logical (one step informs the next) co-ordinated, and possible to achieve within the resource allocation.
Wish lists, best possible wind direction, ‘if all goes well’ situations should be avoided – be objective and realistic
There has to be a time scale and a way of assessing progress against targets and measuring success (or failure!)

15. Prepare questions on the assignment
And for Next week!
Progress Assignment 1
Prepare questions on the assignment