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MarketingPlan,Authors:Prof.Keegan,Prof.Malcolm,Presenters:M.AzadiM.Tabatabaei,Chapter8,Objectives,MarketingplanningTacticalandStrategicMarketingPlansMarketingplanningprocessMarketingauditsCorporatePlanningAssumptionsMarketingObjectivesMarketingStrategyMarketingProgramMissionstatements,MarketingPlanning,Anoutlineofadesigntoaccomplishaspecificobjective:Tocreatevalueforcustomersataprofit,orinthenewconceptofmarketing,Tocreateamutuallybeneficialrelationship,MarketingPlanning,MarketNeeds,Wants,Strengthsoforganization,Weaknessoforganization,Existingcompetitors,Expectedcompetitors,Designforcreatingvalue,MarketingPlanningProcess,Definition:Theapplicationofmarketingresourcestoachievemarketingobjectives.,MarketingPlanningProcess,PerformingasituationanalysisFormulatingbasicassumptionsSettingobjectivesforwhatisbeingsoldandtowhomDecidinghowtheobjectivesaretobeachievedSchedulingandcostingouttheactionsnecessaryforimplementation,DevelopaMarketPlan,Managementprovideslittleguidanceastohowtheprocessshouldbemanaged.ToCompromisebetweenwhatisdesirableandwhatispracticableManagementmustbecustomizedtotheirparticularorganizationSizeComplexityCharacteranddiversityofcompanyoperations,EssentialofMarketingPlanning,Weneedmarketingplanningwhenhostilesincreasedandenvironmentiscomplex.,OurChallenge,Weshouldmanage:,Cost,Optimization,ApplicationofMarketingPlan,TohelpidentifysourcesofcompetitiveadvantageToforceanorganizedapproachTodevelopspecificityToensureconsistentrelationshipsToinformeveryoneintheorganizationaboutprioritiesToobtainresourcesneededtoimplementplansToengageorganizationalsupportatalllevels,formthebottomtothetopoftheorganizationTosetobjectivesandstrategiesTogaincommitmenttowardsgoals,TheElementsofStrategy,SteppingbackformthedaytodayIdeasandthoughtActivity/ActionSettingObjectivesandgoalsImportantdecisionsandchoicesSignificantcommitmentofresourcesNoteasilyreversibleInvolveschoice/tradeoffs,DifferentiationInsightVisionDefinesthebusinessweareinDefinesthebusinesswearebecomingValueTradeoffsObjectivesandgoalsStrategyVs.Tactics,StrategicPlan,Definition:AclearandsimplesummaryofKeymarkettrends,Keytargetsegments,Thevaluerequiredbyeachsegment,Howthecompanyintendstocreatevalue,Withaclearprioritizationofmarketingobjectivesandstrategies,togetherwithfinancialconsequences.,BiggestDangerforOrganizations,MostManagersprefertoselltheproductstheyfindeasiesttoselltocustomerswhooffertheleastlineofresistance.,Strategy,Strategydescribes:ThedirectionabusinesswillpursueandguidestheallocationofresourcesandeffortThebusinessweareinandbecoming.Andprovides:ThelogicthatintegratesthePerspectivesoffunctionaldepartmentsandoperatingunitsandpointsthemallinthesamedirection.,StrategyStatement,Thestrategystatementforabusinessunitiscomposedofthefollowingthreeelements:Abusinessdefinitionthatspecifiestheareainwhichthebusinesswillcompete.Astrategicthrustthatdescribeswherecompetitiveadvantageistobegained.Supportivefunctionalstrategies.,MarketingStrategy,Definition:ItisastatementofhowabrandorproductlinewillachieveitsobjectivesItProvidesdecisionsanddirectionregardingvariablessuchas:Segmentationofthemarket,Identificationofthetargetmarket,Positioning,MarketingMixelementsandexpenditures.,TacticallyOrientedCompany,Board,SeniorManagement,MiddleManagement,Operations,TacticalOrientation,StrategicOrientation,StrategicOrientedCompany,Board,SeniorManagement,MiddleManagement,Operations,TacticalOrientation,StrategicOrientation,RulesofMarketingPlanning,Developthestrategicmarketingplan.ScanningtheexternalenvironmentIdentifyingearlyontheeffectthismayhaveonthecompanyAstrategicplanshouldcoverathree-yearperiod.Neverwritetheone-yearplanfirstandextrapolatefromit.,MarketingPlanningProcess,Astrategicmarketingplanshouldcontainthefollowing:ExecutivesummaryMissionStatementFinancialSummaryofrevenue,expensesandearningsMarketingauditSWOTanalysisAssumptionofkeydeterminantsOverallmarketingobjectivesandstrategiesExpectedresultsAlternatives(contingencyplan)Budget,StagesofMarketingPlan,1.Mission,2.Corporateobjectives,3.Marketingaudit,4.SWOTanalysis,5.Assumptions,6.Marketingobjectiveandstrategies,7.Estimateexpectedresult,8.Identityalternativeplansandmixes,9.Budget,10.Firstyeardetailedimplementationprogram,Phaseone-GoalSetting,PhaseTwoSituationReview,PhaseThree-StrategyFormulation,PhaseFour-Resourcesallocationandmonitoring,Measurementandreview,CriticalFactors,DelegationWhencompaniesdelegatemarketingplanningtoplanner,theplaninvariablyfails,becauseplanningforlinemanagementcannotbedelegatedtoathirdparty.CommitmentWithoutit,thosechargedwithintroducingtheplanningfoundthattherewasgreatresistancetoplanningonthepartoflocalmanagers.,MarketingAuditI,“Marketingauditisacomprehensive,systematic,independent,andperiodicexaminationofacompanysorbusinessunitsmarketingenvironment,objectives,strategies,andactivitieswithaviewtodeterminingproblemareasandopportunitiesandrecommendingaplanofactiontoimprovethecompanysmarketingperformance”PhilipKotler,MarketingAuditII,Goal:ToseehowwellthefirmisapplyingthemarketingconceptsExamineexternalandinternalinformationandproceduresIdentifyproblemsintheenvironment,MarketingAuditIII,Needforanauditdoesnotmanifestitselfuntilthingsstarttogowrongforacompanyintheform:DecliningsalesFallingmarginsLostmarketshareUnderutilizedproductioncapacity,MarketingAuditIV,ExternalAudit-Byindependentexperts-Startswithanexaminationofinformationonthegeneraleconomyandthenmovesontotheoutlookforthehealthandgrowthofthemarketsservedbythecompany.InternalAudit-Bymembersofthemarketingorganization-ToassesstheresourcesoftheorganizationastheyrelatetotheenvironmentandtheresourcesofCompetitors,MarketingAuditV,AtleastonceayearUsing:Normalinformation,ControlProcedures,MarketingResearch,MarketingAuditVI,CompanyExecutivesandManagersFewConsultantshavethein-depthknowledgeofmarket,customers,companyculture,andtheindustrythatcompanylinemanagershave.ExternalConsultantsEverycompanyisatriskofbecomingblindedtorealitybytheinfluenceofcompanyculture,KindofvariablesforControlling,NonDirectControlTheseusuallytaketheformofwhatcanbedescribedas:Environment,Market,CompetitivevariablesCompanyhasControlOperationalvariables,AuditingProcess,Identification,measurement,collection,andanalysisofallfactsandopinionsthataffectacompanysproblemTheapplicationofjudgmenttouncertainareasthatremainaftertheinitialanalysis,MarketingAuditProcedure,MarketingenvironmentauditMarketingstrategyauditMarketingorganizationauditMarketingsystemauditMarketingproductivityauditMarketingfunctionauditMarketingexcellencereviewEthicalandsocialresponsibilityreview,SWOTAnalysis,Opportunities,Threats,Strengths,ST,SO,Weakness,WT,WO,Internal,External,CorporatePlanning,ElementsofCorporatePlan,ThedesirelevelofprofitabilityBusinessboundariesWhatKindsofproductswillbesoldtowhatkindsofmarket(Marketing)WhatKindsoffacilitieswillbedeveloped(Productionanddistribution)Thesizeandcharacterofthelaborforce(Personnel)Funding(Finance)Technologytobedeveloped(Researchanddevelopment)OthercorporateobjectivesSocialResponsibilityandcorporateStock-marketEmployerimage,Assumptions,Thisisoneofthemostcriticalstepsinthepreparationofamarketingplanbecauseitistheeasieststeptodocarelessly.Theyshouldbe:Key,CriticalandfewinNumberConsistentwithrelevantknownfactsWithdefensibleassumptions,Examples:,Industrialovercapacitywillincreasefrom105percentto115percentasnewplantscomeintooperation.Pricecompetitionwillforcepricelevelsdownby10percentacrosstheboard.Anewproductthatcompeteswithourswillbeintroducedbyourmajorcompetitorbeforetheendofthesecondquarter.,4.Diversification,MarketDevelopment,NewMarkets,MarketPenetration,ExistingMarkets,ExistingProducts,ProductDevelopment,NewProducts,ThreeIntensiveGrowthStrategies:AnsoffsProduct/MarketExpansionGrid,MarketingObjectivesandStrategies,MarketingMix,TheMarketingMix,CustomerSolution,CustomerCost,Communication,Convenience,UseofMarketingPlan,Todetermine:Wherethecompanyisnow,Whereitwantstogo,HowtogetthereIncludes:AdvertisingPlanSalesPromotionPlanPricingPlanDistributionPlanProductPlanTargetMarketPlan,TheMarketingBudget,Tojustifyallmarketingexpendituresfromazerobaseeachyearagainstthetaskthatyouwishtoaccomplish.,MissionStatements,Itisoneofthemostdifficultaspectsofmarketingplanningtomaster,largelybecauseitisphilosophicalandqualitativeinnature.Keypoints:RoleorContributionProfitServiceOpportunityseekerBusinessdefinitionCoreCompetenciesCompany/DivisionPositioningIndicationsforthefuture,TypesofMissionStatements,MotherhoodItfoundinannualreportsdesignedto“s
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