Call Girls in Gomti Nagar - 7388211116 - With room Service
How to develop a marketing plan
1. Developing the Marketing
Plan
Maxwell Ranasinghe- Sri Lanka
B.Sc. ( Business Administration) Hons.
Attorney at Law, CPM ( New Haven-
USA) MSLIM , MAAT
Contact: maxran1@yahoo.com
2. • Management is “a set of activities
including planning and decision making,
leading and controlling directed at
organisation’s resources: human,
financial, physical and information, with
the aim of achieving organisational goals
in an efficient and effective manner “–
( R.W. Griffin -2005)
3. • Of the five management functions —
planning, organizing, staffing, leading and
controlling , planning is the most
fundamental.
• All other functions stem from planning.
Therefore planning is a major component
of management.
• However, planning doesn't always get the
attention that it deserves.
•
4. Purpose of a Marketing Plan
“ Goals and plans”
• A goal is a desired future state that the
organization attempts to realize in a given
environment.
• A plan is a blueprint for goal achievement
that specifies the necessary resource
allocations, schedules, tasks, and other
actions.
• Goals specify future ends; plans specify
today's means of achieving them.
5. The word planning in context of management,
incorporates determining the organization's goals
and defining the means for achieving them. It is
said that if you “fail to plan you are planning to fail”
Therefore, planning is an essential strategic
activity and it is an intrinsic part of efficient and
effective management.
When it relates to marketing, purpose of planning
is to achieve marketing goals in an efficient and
effective manner.
6. The Connection of the Marketing
Plan with a Corporate plan
There are many types of plans in organizations.
Strategic Corporate Plans addresses the entire
organization, it emanates from the corporate vision of
a firm, Then comes the Business Unit Plans which
addresses the requirements of specific business units.
There are other functional plans such as operations,
logistics, HR, Financial, Production and Marketing
which are supporting to achieve the broader objectives
of the corporate plans.
These plans are internal and they are not divulged to
others. Our subject matter here is “Marketing
Planning” and therefore we would deal it in detail
7. What really is marketing planning
A Marketing Plan is a blue print that elaborates a
systematic, inter connected, logical step by step
processes for achieving marketing goals.
It analyses the internal and external environment,
markets, competitors, specifies the marketing
objectives, necessary strategies, tactics, resource
allocations, schedules, tasks, and embeds the controls
and other actions required in connection with attaining
marketing goals in an efficient and effective manner.
It specifies what should be done today to achieve
goals ahead and it is the marketer’s road map for
desired destination.
8. Understanding the Essential Steps
of a Marketing Plan
Hiebing and Cooper( 2003) succinctly sates that a
marketing plan should be a disciplined, target market
driven, interlocking ( not just integrated) and
comprehensive plan in order to make it a successful
tool in the process of achieving marketing goals.
Therefore, it has to be a comprehensive plan that
gives importance to each and every element of a plan.
Nothing is taken for granted and nothing or very little is
left for chance. Thus they call the marketing plan as “
Disciplined Marketing Plan” and lists important steps
to follow in the process of marketing planning.
9. Generic Marketing planning
process
• The corporate objectives should be in line
with the vision and mission of the
company.
• The marketing plan stems from the
corporate objectives
• Marketing plan is a tool to achieve
corporate objectives
• Marketing plan has a cyclic character.
10. Marketing planning process
Where are
We now
Did we get there
Where do
We want to go
How do we
Ensure
Arrival
How do we
Get there
11. Situational Analysis
• Where we are now? ( Also known as
Situational Analysis and Marketing Audit)
• Internal Analysis( Internal Audit)
• Environmental Analysis( External Audit)
– PESTEEL Analysis
– Competitor Analysis
– Market Analysis
• SWOT Analysis
12. Situational Analysis cont…
• Before anything is planned, firm needs to
understand where it stands now in relation to its
internal and external environment
• Internal environment ( strengths & weaknesses)
– Financial
– Managerial
– Marketing
– Production
– Human Resources
– Information Technology
13. Situational Analysis cont…
• External Environment ( Threats and Opportunities)
– Comprehensive PESTEEL analysis
• Political, Economical, Social and Cultural,
Technological, Environmental, Ethical and Legal
aspects has to be analysed in relation to the
industry , market and the product
14. – Comparative Analysis of Competitors
– major competitors their market standing , reputation, brands, profitability
etc.
– Their strategies as to product, pricing, distribution, promotion,
– Trade practices and associations etc
– Michael Porters Five Force Competitive Model also should be analysed to
find out the attractiveness of the industry
15. • Market Analysis- (Customers/ Demand)
– Market size, different segments, growth,
trends. Future market and demand
– Customer preferences, attitudes and buyer
behavior, needs and wants, decision making
units and the process, disposable income etc.
16. SWOT
• It is a good snap shot of the firm
• SWOT Analysis is taken from the Internal
and External Analysis.
• Strengths (Firm need to Consolidate)
• Weaknesses ( Firm need to Minimize)
• Opportunities( Firm need to Exploit)
• Threats ( Firm need to Overcome)
17. Sales and Marketing Objectives
( Where do we want to be? )
• SWOT will enable the marketer to determine the
overall objectives.
• Objectives will gives a clear sense of direction
( where we should go)
• Objectives will help to stimulate effort of
individuals to achieve targets because it gives
direction and focus
• Objectives will provide the basis for control in an
organisation. Unless we know precisely what is
required, it is difficult to know the extent to which
we have achieved.
18. • Objectives should be SMART
• Specific-What need of the market that the
company is going to serve. Sales targets- Sales
volume, units, share of the market to catch etc.
• Measurable- Quantified eg. 50 million, 25% of the
market share etc
• Achievable – It should be realistic
• Relevant – It should be in line with the corporate
objecctive
• Time frame- deadlines and periods for achieving
objectives should be stated. Within 6 months etc.
19. Sales Objectives
• Proper sales forecast has to be made
before sales objectives are made. There
are many methods available to forecast
sales. Eg. Sales Composite method, Jury method, exponential
smoothing, moving average other mathematical methods etc.
• E.g. Sales objective of a firm of branded
luxury clothing could be “To increase
sales by 10% from Rs. 500 million within
twelve months ”
• Sales objectives lead to set marketing
objectives.
20. Marketing Objectives
It describes the expected behavior of the target
market ( customers) required to reach sales
objectives. One could even use the Ansoffs Matrix to
develop marketing objectives to grow sales.
• It could be retention of current customers
• It could be increasing purchases of current
customers
• It could be trail purchases from new customers
• It could be repeat purchases from new customers
• It could even be blocking competition, developing a
new market.
21. • Setting marketing objectives are important since
they often shed light on underlying conditions and
circumstances facing the firm that are not easily
seen within financial measures
• The marketing objectives will indicate targets to be
achieved across several marketing decision areas.
22. Marketing Strategies:
• A marketing strategy entails how an
individual marketing objective will be
reached.
• While the Sales and marketing objectives
are SMART, marketing strategies are
descriptive. They go into detail how
objectives are achieved.
23. Overall Marketing Strategies
( How might we get there)
• 1.Target Marketing Strategies
• 2. Marketing Mix Strategies
24. Target Marketing Strategies
• Refer to the market segments identified
• Select the segment/segments to be
served
• Position your product in the targeted
segment/segments
25. 3. Marketing Mix Strategy
• Once the STP strategy is completed
marketer will proceed to develop the
marketing Mix strategies appropriate for
the positioning and target markets
selected.
26. Marketing Mix Strategies
• Product – Product Strategy, Brand
name, Description, Packaging)
• Price- Pricing strategy, Cost and Prices
of different products, prices for
distributors, final price for consumers,
27. • Distribution- Distribution strategy,
Distribution methods, Distribution
Channels, Channel motivators,
return policy, Channel support etc.
• Promotion- Promotion Strategy,
Promotion methods, Media Channel
selection, Media Plan, Media
Schedules, Publicity Programs,
Public relations, press conference,
Press articles,
• Sales Promotions, Cost analysis,
28. • e. Physical evidence- Buildings, Interior
décor, visiting cards, letter heads, music,
technology in office and factory
• f. Process- order placing, order taking,,
quality controls, packing process, storing
of materials and finished products
distribution etc.
• g. People- Dress, Courtesy, Personal
Selling, Physical appearance, Compliant
handling,
29. Action Plans, Key Performance
Indicators and Budgeting
• Action Plans
– Who does what and when
Activity responsi Budget Jan Feb March
bility
Market max 20000 xx
analysis
New Nimal 30000 xx
adds
New Jagath 40000 xxx XXX
Brand
name
30. Forecasting income and
expenditure
• Break up the overall sales income set at the
objectives stage and other expenses and
activities planned into different months or
quarters
• The breakup should be based on the
expectations of the effect of the strategies to be
used
• This is needed to monitor and control the
marketing plan
31. BUDGETS
Different budgetary allocations to be made on different headings of
expenses that would incur in the process of achieving forecasted sales
and other objectives
Description Quarter 1 Quarter 2 Quarter 3
Sales Units
Sales amount
Less-
Manufacturing cost
Less-
Administrative Cost
Distribution Cost
Financial Cost
Other Cost
Net Profit
Tax
ROI
Pay back period
Break Even point
32. Marketing Control Process
( How do we ensure arrival)
Marketing controls are important to ensure that the
set marketing plans are carried out as planned.
• Set Key Performance indicators ( this could be
obtained by analysing Action Plans and budgets)
• Collect information from actual performances
• Compare with the key performance indicators
• Detect any deviations
• Take corrective actions
(Action should be Proactive rather than reactive)
33. Marketing Control Process
Marketing plan
•Objectives
•Strategies
•Action plans
Set Performance indicators
Corrective yes
action Collect Performance details
Deviation
Compare performances
continue No
34. Support your plan with Appendixes and
references
• Research Findings
• Sources and reference of books,
newspapers, magazines, persons where
information is taken.
• Price Lists of raw material prices,
estimates, quotations
• Media rate cards
• Any other supporting documents to prove
your estimates and claims.