Transcript MarketPlanandLegalCompliances

Marketing Plan and Legal
Compliances
By- Rahul Jain
Company Overview
Company Overview
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Introduction (1 paragraph)
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Name, location, organization
Slogan
Mission Statement
History and Current Status (1 paragraph)
Markets and Products
Objectives
Length: about 1 page
Slogan
Pithy 4 to 10 word statement of
company purpose
 Use in business plan, advertising,
descriptions of business, business
cards, …
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Mission Statements
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Examples…
Mission Statement
Semiconductor Equipment
[Semiconductor Equipment] will
become a world leader in supplying
lithography automation and
productivity enhancement products
for the semi-conductor industry
through innovative design and
unique customer insights.
Mission Statement
General Electric
Become #1 or #2 in every market we
serve and revolutionize this company
to have the agility of a small
enterprise.
Jack Welch, 1983
Collins and Lazier, Managing the Small to Mid-sized Company
Mission Statements
What makes a good mission statement?
Compelling
 Inspiring
 Clear, measurable objectives
 Concise
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Marketing Plan
Marketing Plan Objectives
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Most important piece of your plan
Build on industry and marketplace analysis –
define your niche
Identify your customers
Demonstrate how you will solve problems for
customers
Describe how you will reach customers –
advertising sales
Convince reader that there is an eager market
for your product or service
Marketing Plan Outline
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Introduction
Target Market
Product/Service Strategy
Pricing Strategy
Distribution Strategy
Advertising and Promotion
Sales Strategy
Sales and Marketing Forecasts
Introduction
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Seven sentence introduction
1. The first sentence tells the purpose of the marketing
strategy.
2. The second tells how you’ll achieve this purpose,
focusing upon your benefits.
3. The third tells your target market – or markets.
4. The fourth, the longest sentence, tells the marketing
weapons you’ll employ.
5. The fifth tells your niche.
6. The sixth tells your identity.
7. The seventh tells your budget, expressed as a
percentage of your projected gross revenues.
Introduction – Example
The purpose of Prosper Press is to sell the maximum number of
books at the lowest possible selling cost per book. This will be
accomplished by positioning the books as being so valuable to freelancers that they are guaranteed to be worth more to the reader
than their selling price. The target market will be people who can
or do engage in free-lance earning activities.
Marketing tools to be utilized will be a combination of classified
advertising in magazines and newspapers, direct mail, sales at
seminars, publicity in newspapers and on radio and television,
direct sales calls to bookstores, and mail-order display ads in
magazines. The niche to be occupied is one that stands valuable
information that helps free-lancers succeed, the ultimate authority
for free-lancers. Our identity will be one of expertise, readability,
and quick response to customer requests. Thirty percent of sales
will be allocated to marketing.
Target Market Strategy
Identify the market niche you will
serve
 Be as specific as possible
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Better to be too specific
Benefits to target market
What problems do you solve?
 What needs do you fulfill?
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Two Types of Benefits
 Emotional
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Hope, fear, love guilt, greed,
convenience
 Financial
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Increased profit, value pricing, save
money, payback period
Talk to Your Customers
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Imperative that you talk with customers!
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Casual conversations
Interviews
Surveys
Focus groups
Identify needs
Listen!
NOTE: see “The New Market Research”
(online INC article)
Target Market Questions
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What buy now? How get service?
Would you be interested in …?
Demographics
Newspapers, magazines, TV
Would you buy?
Where would you expect us to advertise?
Who do you consider our competition?
Other comments?
Levinson, “Guerrilla Marketing” 3rd edition
Creating New Market Space
HBR, Kim & Mauborgne
Reduce
What factors might be reduced well below industry standards?
Eliminate
What factors might be
eliminated that the
industry has taken for
granted?
Create
New
Market
Space
What factors might be
created that the
industry has never
offered?
What factors might be raised well beyond industry standards?
Raise
Product/Service Strategy
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Describe how the design of your product/service
fulfills unmet marketplace needs
Differentiate your product/service from the
competition
Explain why and how customers will switch to
your product or service
Describe how you will defend your product or
service from competition
Product Attribute Map
Attribute 1
Competitor 3
You
Competitor 1
Attribute 2
Competitor 2
Pricing Strategy
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Describe and justify your pricing
strategy
Provide evidence that your target
market will accept your price
Position your strategy relative to
current and potential competition
NOTE: Low price often (usually) is NOT
a good strategy for a startup!
Advertising/Promotion
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Describe how you will communicate with
current and potential customers
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Advertising
Public relations
Personal selling
Printed materials
Other means of promotion
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Explain why this be strategy is most effective
in reaching your target market
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Note: See Guerrilla Marketing
Distribution Strategy
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Explain how you will deliver your product
or service to your customers
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How will your customers acquire your product
or service
Describe and justify the distribution
channels you will use
Describe how you will gain access to your
planned distribution channels
Sales Strategy
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Describe to whom you must sell your
product or service (not always obvious)
Explain how you will “sell”
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An internal sales force
Manufacturer's representatives
Telephone solicitors
Describe how you will support your sales
effort
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internal staff
service operations
Goals for Marketing Plan
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Compelling “story” that there is a need in
the market
Need flows logically from industry
analysis
Product/service designed to fulfill market
needs
Advertising, price, distribution, and sales
all flow logically, convincingly from
characteristics of the market
“WOW! What a great idea! I wish I had
thought of that…”
Legal & Administrative
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Entrepreneur
has
to
be
sure
of
the
administrative & legal issues involved in the
project, including:
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Choice of the form of business organization,
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Registration,
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Clearances, and
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Approvals from the diverse authorities
Clearances & Approvals
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Setting up of an industrial unit requires a number
of clearances and approvals regarding:
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Required to interact with the local government
authorities such as:
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Land use,
Pollution control and safety
Municipalities/ village panchayats,
State pollution control boards, etc.
To avail the incentives accruing to the firms
registered under
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Export Processing Zone/Special Economic Zone (SEZ),
Software Technology Park (STP)
You would be required to register
Approvals regarding
Fashion Industries
Export Promotion councils
 RBI
 VAT
 Service Tax/Excise duty
 Company Law
 Other Authorities
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Project Report
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Findings of the feasibility analysis are compiled in a project
report.
These findings may be vetted by the independent
consultants/experts.
Funding agencies have their own set-up for the appraisal of
these reports.
It is often felt that financial institutions tend to
overemphasize the financial feasibility of the project and do
not pay adequate attention to its commercial and need
fulfillment capability.
This security-driven approach is forwarded as one of the
reasons why some promising ventures are turned down
despite their sound techno-economic viability.