Zinminlwin,A2, Marketing planning Tr: Kyaw ko ko win

Contents

Introduction.............................................................................................................................................................2

Marketing plan........................................................................................................................................................2

Mission:...........................................................................................................................................................2

Vision:.............................................................................................................................................................2

Objective:........................................................................................................................................................3

Micro environment analysis:...........................................................................................................................3

Macro environment analysis:...........................................................................................................................3

SWOT analysis for Pond.................................................................................................................................4

PESTEL Analysis............................................................................................................................................4

Porter’s Five Forces................................................................................................................................................5

Buyer Power....................................................................................................................................................5

Competitive Rivalry........................................................................................................................................5

Threat of Substitution......................................................................................................................................6

Threat of New Entry........................................................................................................................................6

Supplier’s Power.............................................................................................................................................6

Targeting the market...............................................................................................................................................6

Targets.............................................................................................................................................................7

Relationship between Marketing planning and Strategic planning..........................................................................7

Techniques for new product Development..............................................................................................................7

Leader strategy................................................................................................................................................7

Follower Strategy............................................................................................................................................7

Penetration pricing Strategy............................................................................................................................8

Price skimming Strategy..................................................................................................................................8

Suggested Strategy..................................................................................................................................................8

Ansoff’s competitive strategies (Techniques for Product development).................................................................8

Distribution Process:.............................................................................................................................................10

The communication mix.......................................................................................................................................11

Public Relation..............................................................................................................................................12

Personal Selling.............................................................................................................................................12

What should be done in making a good Communication Mix.......................................................................13

Factors affecting in effective marketing planning.................................................................................................14

Reference List.......................................................................................................................................................15

Zinminlwin,A2, Marketing planning Tr: Kyaw ko ko win

Introduction

In this day and age, marketing is an essential part of any company. The main ideas of marketing are to

attract the market and do the activities to retain them.

Marketing plan is very important. Without having a complete plan the job of marketing will left with

many excuses and even it could create a disturbing consequence for the company. So, to have an

appropriate marketing plan for every product of the company is very necessary.

Despite many brands and products from Unilever, I have chosen Ponds Cosmetic brand to do the

marketing plan.

Marketing plan

So to do marketing planning it is my duty to start with some of the elements that lie behind the

marketing process. We need to come up with a marketing plan outline.

Mission:

Unilever's mission is to add Vitality to life. We meet everyday needs for nutrition, hygiene and personal

care with brands that help people look good, feel good and get more out of life.

Zinminlwin,A2, Marketing planning Tr: Kyaw ko ko win Vision:

The four pillars of our vision set out the long term direction for the company – where we want to go and

how we are going to get there:

We work to create a better future every day.

We help people feel good, look good and get more out of life with brands and services that are

good for them and good for others.

We will inspire people to take small everyday actions that can add up to a big difference for the

world.

We will develop new ways of doing business that will allow us to double the size of our

company while reducing our environmental impact.

Objective:

Objective means the ‘goals’ that the business must achieve in order to meet its wider business

objectives.

Unilever’s objectives are-

Growth in market share

Clearer product differentiation

Long term brand value to customers

Decrease customer acquisition costs 8% per year

Creating and launching new products / services – ‘Innovation’

Micro environment analysis:

This is also called “internal environment “and it is the self –actualization of the capabilities of the

organization. Competitors are vividly expressed here along with their strength and weaknesses. The

characteristics of the market are also noticed. And this is the point, where the great Porters’ five

competitive forces come in: The threat of new entrants, the threat of substitute products, the

bargaining power of customer and the bargaining power of suppliers.

Macro environment analysis:

This is more to external factors affecting the company. It comprises of all the economic, political,

legal, technological and demographic influences acting on the markets. These factors are simply

cannot be controlled by management actions. It is analysis by “PESTEL.”

Zinminlwin,A2, Marketing planning Tr: Kyaw ko ko win

SWOT analysis for Pond

PESTEL Analysis

They are: Political, Economic, Social, Technological, Environmental (green), Legal

The recent political changes in Myanmar have given great opportunities to foreign investment to

help country on the run. The democratization has bring a lot friendlier policy and favor greatly

to foreign investment. E.g. Five years annual tax-free period for investors, lower land rental fees

is a major fact and strong law protecting the investors from other countries.

Economically, Myanmar has broken down its doors and opened-up dramatically. Most people

are eyeing on the recent dramatic changes and exciting about the improvement in economic

sector. The rate of inflation on currency has been ceased and the interest rates

Zinminlwin,A2, Marketing planning Tr: Kyaw ko ko winon having a loan and the exchange rates are very stable (1$ equivalent to 800kyat). Sadly, the

average income of every Burmese people in the country is around 3$ a day. They sure have very

little disposable income.

The living standard of the Myanmar people are not up to the standard. There are very few

percentage of the people living in the metropolitan area. However, the hunger for the rise in

living standards has given a chance for luxury products also. Lifestyle changes are quite fast.

Like people in the nineties will not spend much money on recreational stuff like soft drinks but

it has been changed.

In terms of technology, I think Pesico company is fully prepared for it has more than fifty years

of experience. Better packaging, mass production, and services to customer and better quality

products.

Public awareness of the connections between industrial production, mass production and

environmental damage is higher than it has ever been before.We could win the people’s heart by

doing green marketing. Such as using recycling method, reduce, reuse. Most people who are

very aware environment like environmentalist will also be in our market segment.

Porter’s Five Forces

Buyer Power

Unilever’s buyers are scattered all around the world and they are in billions. In true sense they are not

so powerful to pull prices down. But on the other hand it is easier for the customers to switch to a

competitor. So Unilever has to be very precautious in deciding about prices and keep the customers

satisfied.

Competitive Rivalry

In consumer products business Unilever has a large number of competitors and these competitors are in

reality very strong. They range from small local corner shop retailer to big giants like P&G, Kraft and

Nestle. These competitors almost provide equally attractive products and services and sometimes better.

These competitors have the power to attract and influence the customers by more attractive substitute,

prices and marketing techniques.

Zinminlwin,A2, Marketing planning Tr: Kyaw ko ko winThreat of Substitution

Continuous research and development in the consumer and household products has brought about a

revolution in the consumer market and today customers like to try something new and better. This trend

has reduced the customer loyalty and product lifecycle. Unilever is under continuous threat of substitute

products and its competitors are already spending huge sums on R&D and new product development.

Unilever has to be very adoptive and closer to its customers so as to get what exactly its customers

want.

Threat of New Entry

As Unilever operates in different geographical markets so threat of new entrants varies in different

markets. In well developed countries where big players like Unilever have a very strong hold and brand

image, it is very hard for a new entrant to enter the market because of higher cost to set up a business.

On the other hand in less developed markets, it is easier to enter as legal requirements and capital

needed is not as much as in a developed market. Unilever has its presence almost in every market either

through its subsidiaries, branches or franchises. But its brand image is a strong barrier in the way of new

entrants.

Supplier’s Power

Unilever has a policy of local buying and local manufacturing. Which provides itself an edge to brake

power of its suppliers and make them weaker to negotiate at its own terms. Most of time Unilever has

blanket agreements with its suppliers to provide for a certain period of time at a certain rate. This

strategy help to prevent supplier’s from switching to other competitors and charge higher rates. Also

Unilever treat its supplier’s fairly so as to create more loyalty among them like customers.

Targeting the market

When we talk about targeting strategy , there are only three big ideas of doing it: Undifferentiated,

differentiated, focus

Undifferentiated: This is a part where segments are ignored and products are catered for everyone in

the market

Differentiated: company still sells the whole market but catered for specific group or segments

Focus: company focuses on just one segment or forms a niche.

Zinminlwin,A2, Marketing planning Tr: Kyaw ko ko winTargets

I have to say “Pond” should do more on undifferentiated technique. There are three main targets:

Youngsters: age raging from( 15 -25) The age who would actively engage with Fashion Trend.

Hot dry region: People living in the middle part of the country. Like Mandalay, where the weather is

hot and humid. They need sun Block cream.

Cold Region : They need moisturizing cream there.

Relationship between Marketing planning and Strategic planning

Strategic planning is concerned about the overall direction of the business. It is concerned with

marketing, of course. But it also involves decision-making about production and operations, finance,

human resource management and other business issues.

The objective of a strategic plan is to set the direction of a business and create its shape so that the

products and services it provides meet the overall business objectives.

Marketing has a key role to play in strategic planning, because it is the job of marketing management to

understand and manage the links between the business and the “environment”.

Techniques for new product Development

The Unilever Company should know the strategy there is, these would help in consideration of

developing a new product.

Leader strategyWill the firm gain competitive advantage by operating at the leading edge of new developments? If yes,

there are significant implications for the R&D activity and likely length of product life cycles within the

portfolio. Gain first person advantage.

Follower StrategyWill the firm be more pro-active , adopt a follower strategy, which involves lower cost and less

emphasis on the R&D activity? If sacrifices early rewards of innovation, but avoids risks. A follower

might have to license certain technologies from a leader( as in the case with many consumer electronics

companies).

Zinminlwin,A2, Marketing planning Tr: Kyaw ko ko win

Penetration pricing StrategyThe introductory stage of a new product's life cycle means accepting a lower profit margin and to price

relatively low. Such a strategy should generate greater sales and establish the new product in the market

more quickly.

Price skimming StrategyThis involves the top part of the demand curve. The price is set relatively high to generate a high profit

margin, and sales are limited to those buyers willing to pay a premium to get the new product.

Suggested StrategyMy propose strategy for Unilever company is to be leader in R&D sector where it produces new

product. Pond is famous for creating leading edge products in cosmetic world. It surely will fit to

perform a price skimming strategy where it sets its price high from the very first launch of this new

product. It will fall under the premium brand sector differentiating from other products. Everyone has

this image of seeing “Pond” to be a better brand than its vital competitor “Nivea”. The Unilever

company should keep this reputation well and maintained.

Ansoff’s competitive strategies (Techniques for Product development)

Growth Strategies.” Also known as Ansoff’s competitive strategies. It comprises of :

Marketing penetration: is done by increasing the sales of the existing products in the existing market.

For example, attracting customers from competitors

Market development: is simply the expansion of the product into new markets

Product development: redesign or repositioning of the existing product or the introduction of the

similar new product.

Diversification: is done where there are no possible ways for growth available. The organization is

going to a completely different scenario.

Zinminlwin,A2, Marketing planning Tr: Kyaw ko ko win

Pricing Strategy:

Price is the amounts of money customers have to pay to obtain the product. Generally in setting price

companies follow the following steps:

Zinminlwin,A2, Marketing planning Tr: Kyaw ko ko win Our price objective will be – Maximize current profit and increase sell.

It will be inelastic demand. Because people who are look likes ponds cosmetic will use this

product and actually price will not be an important matter to them. But also as most of our

country people are price sensitive so we will try to keep lower and reasonable price.

Total costs will depend on the price of the ingredients, cost of producing the product, costs

of packaging, costs of promotion activities and the company’s fixed costs.

In Myanmar, many companies are selling this kind of Products ( like Nivea), so we have

many local competitors.

After estimating costs we will add markup value to get minimum profit.

Then we will set the final price. For the premium package we will add less mark-up

Pricing Method

As we mentioned that we will add mark-up value to determine the price by using mark-up method so

our aim will be to keep the price reasonable. But the exact amount will be set based on the upper

mentioned factors.

Distribution Process:

Zinminlwin,A2, Marketing planning Tr: Kyaw ko ko win

Manufacturer

We will produce this new product by our own

Wholesaler:

Unilever has its own distributors who will buy the wholesale amount and sell these to the retailers.

Retailers:

Retailers will buy the products from distributors and sell these to the final consumers.

Consumers:

People can get it in superstores, big pharmacies etc. We will place this product mainly in urban areas of

Yangon City and Mandalay City with Unilever’s exceptionally good channel of distribution.

Level of Distribution Channel:

As Unilever have their own distributors who are working as wholesaler, and they are sell the product to

the retailers from them consumer buy the product. Therefore, we can say two level of distribution

channel is followed by the Unilever.

The communication mix

Advertising I would emphasize on doing online selling through social media like

Facebook. The recent phone sim card selling campaign has increased the

level of internet usage as a whole country.

Broadcasting on the TV channel is also effective here in Myanmar.

Sales Promotion I will do that by throwing event party in the shopping malls. The discount

Zinminlwin,A2, Marketing planning Tr: Kyaw ko ko winon products can also increase the overall sale.

Free gifts like sample lotion and shampoo sachets.

Direct Marketing Direct marketing includes some aspects of both sales promotions and

personal selling. Calling straight to the most buyers and wholesalers through

telephone. Offering limited-time deals on prices after calling.

Public Relationit involves messages communicated through mass media. The brand should

always be on the customers’ mind. Keep reminding them through mass

media like newspaper.

Personal SellingPersonal selling is sometimes integrated with the direct marketing element.

Zinminlwin,A2, Marketing planning Tr: Kyaw ko ko winWhat should be done in making a good Communication Mix

Zinminlwin,A2, Marketing planning Tr: Kyaw ko ko win

PROCESSES RESOURCES AND TOOLS CULTURE

Participants:

orientation, managing

expectations,

involvement

Leadership : Senior

support, intra-team/ site

co-operation 3.Clarity:

purpose, process,

propositions

Progress management:

reviews, performance

monitoring, remedial

action

Requisite Resources:

creation and allocation,

personnel, schedules,

budgets, marketing

information

Process and

implementation

resources: IT, people,

funds, time

Skills: concept

comprehension,

training, external

support, facilitation

Personnel: team

selection, skills,

functions, hierarchy

Information:

availability, storage,

access, auditing

Communications:

internal and external,

channels, processes,

schedule, key targets

Marketing: ethics,

skills, role

Corporate: vision,

mission, marketing fit,

change receptiveness

Leadership: abilities,

understanding,

participation

Awareness:

capabilities, operational

constraints and

implementability, new

initiative and planning

impact

Facilitation: strategy,

initiatives,

operationalization

Factors affecting in effective marketing planning

Zinminlwin,A2, Marketing planning Tr: Kyaw ko ko win

Reference List

What is a marketing plan and why is it important. | PaysonCooper.com. 2014. What is a

marketing plan and why is it important. | PaysonCooper.com. [ONLINE] Available at:

http://www.paysoncooper.com/101-marketing-strategies/what-is-a-marketing-plan-and-why-is-

it-important/.

Relationship Between Strategic Planning & Marketing Strategies | Chron.com. 2014.

Relationship Between Strategic Planning & Marketing Strategies | Chron.com. [ONLINE]

Available at: http://smallbusiness.chron.com/relationship-between-strategic-planning-marketing-

stategies-22561.html.

What Is the Strategic Planning Process? - Model, Steps & Examples | Education Portal. 2014.

What Is the Strategic Planning Process? - Model, Steps & Examples | Education Portal.

[ONLINE] Available at: http://education-portal.com/academy/lesson/what-is-the-strategic-

planning-process-model-steps-examples.html#lesson.

Business Plan Examples | BizPlanHub. 2014. Business Plan Examples | BizPlanHub. [ONLINE]

Available at: http://www.bizplanhub.com/?gclid=CPaQ67KUqcACFUwqjgod2yMANQ.