Transcript Document

Strategic Planning
Citizens Bank Case
• Marketing Challenges
– Minimize customer attrition to under 10%
– Build awareness of Citizen Bank
– Reduce customers’ intentions to leave the bank
• Target Market
– 35 – 54, HHI $50K – $150K
– Indifference to acquisition (many switchers)
• Promise / Positioning
– Not your typical bank / customer-service focused bank
• Advertising / Media Used
1. TV ads to build awareness of Citizens great service & make promise
2. ‘Legendary Acts of Service’ Activating promise through ‘Experience’
3. Advertise through radio, TV, newspapers, posters
• Evaluation
– No customer attrition occurred + deposits increased
– IMC build awareness from 0 to 60% by opening day
– Switcher mentality reduced to half (24% to 12%)
Basic Definitions
• Strategic Planning  Process of
determining objectives, deciding on
strategies, and implementing the tactics
Objectives
(Goal) What is to be
achieved (specific,
quantified, within
time frame)
Strategies
Tactics
(Plan / Idea) How
the objective is to be
achieved
(Implementation of
strategy / Execution)
The actual way it is
achieved
The Business Plan
• Covers a specific division of the company
or a strategic business unit. It covers the
core values, mission and objectives of the
organization or business unit with
emphasis on its needs for improvement. It
examines it internal and eternal
environment.
– For e.g. Does the business unit want to
pursue log-term growth, short-term profits or
technological leadership?
The Marketing Plan
• Analyses the market situation, identifies the
problem, outlines the market opportunities, sets
the objectives and proposes strategies and
tactics to solve these problems and meet
objectives.
• Components of a Marketing plan are;
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Marketing objectives
Marketing opportunities
Selecting target markets
Developing market strategies
Executing plans
Evaluating plans
The Advertising Plan
• Matches the right audience to the
right message and presents it in the
right medium to reach that audience.
Three elements best summarize it:
– Targeting the audience – Whom are you trying
to reach?
– Message strategy – What do you say to them?
– Media strategy – When and where will you
reach them?
Marketing Planning
Situation
Analysis
SWOT
Sales
Market Share
Specific Area of
Marketing Mix
Marketing
Objectives
Targeting
Marketing
Strategy
Marketing
Tactics
Evaluation
Positioning
Marketing Mix
Advertising Campaign Plan
1. Situation Analysis
– Background Research including industry, company, product,
competitive, consumer, geographic, macro-environment
2. SWOT/P&O analysis
– Internal factors: Strengths and Weaknesses
– External factors: Opportunities and threats
– Key Problem/Challenge Identification
3. Key Strategic Decisions
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Advertising Objectives
Target Market Selection
Brand Position
Brand Personality & Desired Image
Budgeting
Advertising Campaign Plan
4. Communication Strategy & Tactics
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Message development research (key consumer insight)
Selling proposition & reason to believe
Big idea
Creative executions & design
5. Media Strategy & Tactics
– Objectives
– Scheduling
– Media planning
6. Recommendations for Other MCTs (IMC plan)
7. Evaluation of Effectiveness
Strategic Planning
Budgeting Approaches
Percentage
of sales
Competitive
Budgets
Historical ObjectiveMethod Task Method
All-You-CanAfford Method
Steps to Positioning
1. Frame of Reference
1. Target market
2. Nature of competition
2. Identifying
1. Category & competitive POPs
2. Strong, favorable & unique PODs
Brand Positioning Template
• To (target market) who need (needs / key
consumer insight), Brand X is the brand
of (frame of reference) that (point of
difference/benefit) because (reasons why).
The brand character is (brand
personality).
Account Planner Functions
• Consumer Insight
– Who are you trying to reach & how do they think, feel and act?
– How should they respond to your message?
• Message Strategy
– As per research, what direction should the creatives follow as to
what we should say to consumers?
• Media Strategy
– As per research, what direction should the media team follow as
to how and where we can reach consumers?
“Behind every famously great idea, there is a perhaps less flashy,
but immensely powerful insight” – Susan Mendelsohn
Creative Brief
• Result of AP’s hard work
• Explains consumer insight & summarizes basic strategy
decision
• Components:
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Why are we advertising?
Who are we talking to?
What do they currently think?
What would we like them to think?
What is the single-most persuasive idea that we can convey?
Why should they believe in it?
Are their any creative guidelines or brand imperatives?
Any media imperatives?