Transcript Marketing Planning

NewShoes
Introduction
NewShoes Overview
A computer based, competitive simulation of the athletic shoe industry
focusing on the 4 Ps of marketing. Students experience the basic
processes of marketing:
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Design a simple marketing plan
Use basic marketing research
Experience dynamic competition
Learn about group decision
making
• Understand financial
implications
• Get comfortable with ambiguity
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NewShoes Content
In this computer simulation, you will take over
management of an athletic shoe manufacturer for up to 10
simulated years and make decisions in the areas of:
• Regional Decisions:
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Price
Consumer Advertising
Consumer Sales Promotion
Salesforce
Dealer promotions
What market research to
purchase
• Corporate Decisions:
• Product Development
• Contract bid (price)
• Group Organization
Your group plays the role of the marketing management team.
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NewShoes Setting
Multiple markets with different dynamics and
needs:
Three Regions
• Home
• Domestic
• Foreign
* Instructor selected options which are typically introduced during the
event.
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Starting Position (All Teams)
As you take over marketing, the firm is losing
money.
Although the firm’s
financial performance has
improved somewhat from
Period -1 to 0, your team
will face major challenges
as you take charge at the
beginning of Period 1.
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Market Research
Insights about competitors’ decisions
plus customer satisfaction:
3 levels of detail* by variable / region:
• Industry averages ($10K per item)
• Range + averages ($10K per item)
• Detail by firm ($25K per item)
Weigh cost vs. value of information
Some free information in Market: Industry News
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Financial
Consider the financial implications of
your decisions:
Cost of marketing
expenditures vs. the impact
on sales / profitability.
No budget constraints, but
limited marginal value on
expenditures.
Impact of experience curve
on COG:
• Net impact of B2B/contract bid
sales.
• Long- vs. short-term
orientation.
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Financial
What are the implications of decreasing
unit cost due to the experience curve?
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Decisions
Regional decisions:
• Price
• Consumer Advertising
• Consumer Sales
Promotion
• Salespeople
• Dealer Sales Promotion
• What market research to
purchase
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Decisions
Corporate decisions:
• Product
Development
• Contract Bid (price)
• Group Organization
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Decision Analysis
Multiple tools assist with your decisionmaking process:
Breakeven Analysis
Bid Analysis
Cost of Goods Calculator
Response Functions
Estimation
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Reports
Multiple Company reports assist with
your decision-making process:
COMPANY:
Dashboard
Income Statement
Market Share
Return on Sales
Product Development
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Reports
Multiple Market reports assist with your
decision-making process:
MARKET:
Industry News
Market Sales
Market Research
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Marketing Planning
The decision-making process with NewShoes.
Continual process for up to 7 simulated years.
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Performance Measures
For a quick snapshot of performance
measures, refer to your Company
Dashboard:
Profit
Return on Sales
Return on Marketing
Unit Sales
Revenue
Market Share
Customer Satisfaction
…and more!
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Items to Keep in Mind
• Marketing planning is a process.
• Marketing is about numbers and skill
(understanding complex research studies,
financial implications, forecasting, etc.).
• Discover market drivers for each region.
• Think long-term.
• Don’t underestimate importance of teamwork and
organization.
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