Transcript Understanding the Marketing Plan

Understanding the
Marketing Mix
and Marketing Plan
Marketing Mix
 Every plan will be different because every business is different.
 Decisions about the Marketing Mix – 4 P’s – is the foundation of a
marketing plan.
 Product
 Price
 Place
 Promotion
 Answers to these questions will be a guide to developing the
actual Marketing Plan and Action Plans.
Product Decisions
 Quantity?
 Sizes?
 Packaging?
 Warranty?
 Design and Image?
 Logo/Slogan?
Price Decisions
 Cost of goods to produce?
 Markup?
 Profit Margin?
 Break-Even Point?
 List price Vs. Selling Price?
 Comparison with competitors?
Place Decisions
 How/Where products will be sold?
 Distribution & Logistics?
 Warehousing?
 Inventory?
 Order Processing?
 Delivery of Product?
Promotion Decisions
 Advertising?
 Sales Promotions?
 Reward Programs?
 Special Events?
 Public Relations?
 Customer Service/Return Policies?
What is a Marketing Plan?
 Written document that defines the target
market and describes the promotion and
marketing efforts to achieve one or more
marketing objectives for a specific time period.
 Written each year but sometimes modified as
the business’s progress and situations change.
 Describes a business’ marketing objectives and
the strategies and tactics to achieve them.
Parts of a Marketing Plan
 Situation Analysis
 Marketing Objectives
 Marketing Strategies
 Marketing Tactics
 Action Plan
 All marketing plans should include this basic
information
Situation Analysis
 Snapshot of the environment in which the
business has been operating
 Introductory statement
 Target Market
 Competition
Target Market
 Define by using demographic, geographic, economic,
behavioral, and psychographic information.
 Estimate the total size of the target market.
 Include information gained that describe market trends.
 Describe factors that may affect purchasing – season,
price, availability, emotions, services, etc.
Competition
 List both direct and indirect competitors
 Outline the product line and what they offer
 Describe your business’ advantage
 Explain why your product is different or
better – more variety? Better pricing? Better
sizing?
Marketing Objectives
 The goals a business wants to achieve during a
given time
 Most have both corporate and marketing goals
 May be short term – achieved in less than a year
 May be long term – achieved in a year or more
 All marketing objectives should be written as
SMART goals
SMART Goals
 S = Specific
 M = Measurable
 A = Attainable
 R = Realistic
 T = Timely
Marketing Strategies
 Decisions made about product, price,
place, and promotion
 Outline of the who, what, when,
where and how of the marketing
process
Marketing Tactics
 Specific activities to carry out the marketing
strategies.
 Every marketing strategy will have a set of
tactics designed to accomplish it
 Usually the longest section because it lists
very specific activities
Action Plan
 Time Line – lists when each activity starts and where it
happens, the end date and who is responsible – also
keeps business on track and keeps plan moving
forward
 Budget – costs to implement the marketing and
promotional activities
 Metrics – the way we measure the effectiveness of a
project – marketing is very expensive so business’ want
to make sure they have a return on their investment
Format the Marketing Plan
 At some point, the marketing plan may be presented to
investors and employees
 Make sure it is well written and paragraphs fully explain
the marketing plans
 Grammatically correct, words appropriate and
punctuation accurate
 Exciting, enthusiastic and attractive
 Unique – be creative