Transcript Your Project details

Your Project Details
Situation analysis
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Company
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Corporate Give a brief overview of the company you
are including mission statement. List their core
product categories
SBU If it is a division of a big company e.g.
Tropicana is owed by Pepsi give an overview as
above and give the key objectives of the SBU.
Review the company’s current marketing
performance in Canada in the category of your
product/service including their market share. (Focus
on the Canadian market including a product review
that shows sales, share. E.g. If doing juice talk
about Tropicana juices performance in the market
Situation analysis
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Current Company Product Analysis (only
for the category / brand group that your
new product will fall within) – Describe the
current company brand and its products and
how they are doing. Briefly describe and
summarize the current marketing activities.
(Current advertising, promotion, web, newest
products etc.) Put the detail in your appendix
and summarize key info in the report. In the
Appendix you can put product & promo info
from the web – just source it
Situation analysis
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Market analysis – describe the market for the
category you are competing within – estimate
Market size and growth and explain the
rationale.
Environmental Analysis - Describe any
social, cultural, or other external environmental
issues (legal, technological etc) affecting the
industry in Canada and any information that
will lead to your decision for your new product.
(This should be a pretty big piece as a lot
comes out of this)
Situation analysis
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Customer environment analysis for the
category – Describe the key customer
segments based on benefits sought. Who buys
the products and what do they do with the
products. Who might be potential customers?
This should include current and potential target
markets profiles. Use a chart format like we did
in segmentation to highlight key differences –
now you may wish to identify which segments
use which of your category's current products
or competitor product.
Situation analysis
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Competitive analysis – Identify the key
competitors in the category you are in (or the
category you plan to enter). Briefly describe
their brand positioning & their market shares. If
it is a really new idea think about potential
competitors. Assess the competitor’s product
offerings in the category of study including
their market positions and strategies on
product quality, promotion, pricing and
distribution. use a chart to keep it simple) Only
include relevant data. If you have lots of info
put it into the Appendix.
SWOT
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SWOT Analysis – Based on the information gleaned
from the situation analysis, summarize (even in chart
format) the most important elements uncovered that
will affect the business – relevant items only. Use the
handout from week 3 to assist you.
If an item is listed in your SWOT it first must have been
identified and discussed in your Situation analysis
Your product idea should come out of your SWOT
where you match a market opportunity to a strength or
yu convert a weakness into a strength or you
counteract a threat.
Gap
• Describe the gap you have found in the
market (unmet customer needs) and,
briefly explain your new product and the
rationale for it. This should flow from your
SWOT analysis and be based on
information you uncovered in your
situation analysis.
Marketing Plan for your new
Product
OBJECTIVES
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Develop your SMART marketing objectives for the first year
market plan and longer for your new product idea
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Make sure you have objectives related to sales and profit. Also
consider things like market share
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Have at least one consumer oriented objective related to
customer awareness & trial, usage, attitude or whatever you think
you should measure
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Consider performance objectives such as distribution objectives,
promotion response objectives
Note you will probably only be able to be specific here after you have
done the plan financials. Do near the end
Marketing Strategy
• TARGET MARKET
– Select your primary and secondary Target
Market (s)
– Give a Detailed description of target market
(demographics and related psychographics
and behavior to the product category
especially benefits sought)
Product Section of Project Plan
• Product positioning strategy – include a
positioning statement
• Core benefit/sustainable competitive
advantage
• Features and Benefits – packaging,
features, added benefits
• Brand name(s) & rationale
Place section of plan
• What is your distribution strategy? degree of
exposure
• Describe your channel of distribution - direct
or indirect- Mention where customers will
purchase your product?
• How will your distribution strategy affect
customer service?
• How will you support the distribution network
to maximize sales? What promotion will you
do for the channel?
• see p 443- 449 of text
Pricing Section of your Project Plan
• What is your price strategy?
• What is the expected retail selling price?
• How does your price compare to
competitive prices?
• What are your promotional pricing plans (if
any)
Promotion Strategy Section
• Promotion Objectives
• Main message to communicate
– (Creative Strategy)
• Briefly describe each of the IMC
promotion tactics & elements and your
rationale for the tactic (may include a
creative mock up)
• Media selection if choose advertising
and rationale for each
• Timing chart for activities
Creative(Communication)Strategy
1. Identify Target audience for your campaign
2. Define Key Benefit to promote
3. Describe the support for the Key benefit
claims (often a feature)
4. Describe any Customer insight – how, when
and why customer uses product– how it
makes them feel
5. Creative Strategy - Key message that you
want the audience to take away
Promotion Budget
• In the budget section include a
breakdown of the Total promotion
budget to cover all the tactics in your
promotion plan. (Use cost sheets)
• E. g. Promo Budget allocation
– Television advertising - $4 million
– Sales/trade promotion - $ 1 million
– Publicity campaign $ 250,000
– Total $ 5,250,000
The Financial Section of your Project
• Operating Statement – see p. A13, 14
Sales revenue (units X manufacturing Selling
price/unit)
Less cost of goods
Gross margin
Less Marketing & selling expenses
Contribution to Profit
Less Fixed Expenses /overhead costs
Net Profit (before taxes)
Financial Section of Plan
• Estimate category market size in retail $(
from your Situation Analysis)
• Estimate your market share as %retail $
• Estimate your sales forecast (in wholesale $)
• Estimate your cost of goods – come see me
or email me for an industry mark up factor
• Prepare Income Statement
• Make sure you give back up data and
explanation of your numbers in an Appendix
or in an explanatory paragraph.
Complete and Edit your Market
Plan
• Marketing implementation – a short
paragraph of who is doing what and list of
tactics and timing – can use a chart like the
Media Chart
• Evaluation and control – Paragraph
explaining how you will measure your
success with this plan ( link to your
objectives)
• Now go back and write your Executive
Summary using the style taught in COMM
class
• Peer evaluations are to be included in the
package
Marketing Implementation
• Who in the company will be responsible
for what and will outside agencies/
suppliers be used?
• What are the key activities that need to be
done, when?
• Read text pp.69-71
Evaluation and Control
• State how will you measure whether you have
achieved your objectives?
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Sales analysis
Market share analysis
Distribution analysis - % distribution coverage
Financial analysis – profit, ROI, marketing
expense/sales ratio
– Customer analysis – research on awareness, trial,
repurchase, attitudes etc.
– Program analysis – response to marketing tactics
Appendix
• Please include Current Product information from
corporate materials – web, brochure etc
• Samples of current promotion you have seen
• Back up for detailed financial estimates
• Mock ups (if desired) of package, advertising etc
• Any information that you found that is not
important enough for the main project
Some Tips
• It is best to start work on your financials early
• Make sure you set a realistic estimate of your
potential sales
• Then you have a good idea of how much you
can spend on promotion
• Make sure all 4 P’s work together- make all
decisions as a team even though different
people write up different sections
• Write in business style – simple and clear
statements – use third person (not our, we)
Project Formal Presentation
• Sign up for a presentation time
• Meet with prof – our role will be that of the VP
Marketing who will grant approval of the plan to
launch your product
• You may bring extra visuals to the meeting – its
table top
• Be prepared to give a 5-10 minute presentation
and answer any questions about your project- all
should have read and be familiar with the
sections you did not write