Module 12.6

The Marketing Plan

Jim Beach & Chris Hanks

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d. Different from Marketing

• Market analysis focuses on describing target market, customers, competitors, how compete, potential sales, market share

• Marketing focuses on classic marketing functions, including product, price, promotion, distribution

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d.

Importance of Marketing Analysis

• Define the nature of the business and the remainder of the plan

• Affirms that a company has a well thought out target market, understands its customers, and can generate sales in the face of competition

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d.

Marketing Plan

• Start by articulating marketing strategy, positioning, and points of differentiation, and then talk about how these overall aspects of the plan will be supported by price, promotional mix, sales process, and distribution strategy.

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d.

Marketing Plan - Outcomes

• Developed with the customer plainly in mind

• Detail exactly who will sell product or service

– Most don’t zero in on how actually sold

– Confidence booster

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d. Overall Marketing Strategy

• Approach to marketing products or services stated in broad terms, which forms basis for all marketing activities

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d. Includes three strategies:

• Market penetration strategy

• Growth strategy

– Internal

– Acquisition

– Franchise

– Horizontal

– Vertical

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d. Overall Marketing Strategy

• Distribution Strategy (include discount / profitability levels at each stage)

– Original equipment manufacturers

– Internal sales force

– Distributors

– Retailers

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d. You’ve Identified the Target Market

• Select position

• Position is concerned with how a firm is situated relative to its rivals

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d. Communication

• Promotion

• Advertising

• Public relations

• Personal selling

• Printed materials

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d. Communication

• Focus on benefits of a product or service rather than features

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d. Communication

• “Our fitness center, which is just for adults, has 16 exercise classes, a pool that is available for water aerobics and open swims, and a full spa and massage service.”

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d. Communication

• “Our fitness center, which is just for adults, features classes and exercise equipment that helps adults maintain their fitness, avoid the onset of certain ailments, and lead healthier lives.”

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d. Sales Process

• Why have one?

• Sales process or cycle refers to the steps it goes through to establish relationships with customers and to close sales

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d. Sales Force

• Internal vs. independent reps

• Size

• Recruitment

• Training

• Compensation

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d. Sales Activities

• Sales process

• Identifying prospects

• Prioritizing prospects

• Number of sales calls made per period

• Average number of sales calls per sale

• Average dollar size per sale

• Average dollar size per reorder Slide 12.6-16

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d. Distribution

• Distribution encompasses all the activities that move a firm’s product from its place of origin to the customer

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d. Remember:

• Good Beats Perfect

• Brag About Weaknesses

• Satisfied Customers = Problem

• Under promise & Over deliver

• Manage Placebo Effect

• High Prices Tempt

• What are you Really Selling?

• Beware of Clichés

• Know What Drive Sales

• Tie Research Specifically to Business

• Broaden Your Business By Narrowing It

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d. Use These Words Lots…NOT

• Break-through • Global Leader • Premier • World Leader • Unprecedented • Holy Grail • World famous • Best in class • State of the art • The next big thing • Win-win situation • At the end of the day • Think outside of the box

• Dominate the space, Good to great • Viral, Disruptive technology • Web 2.0 / 3.0 • Paramount, Cutting edge • All we need is x% of market share • Conservative, Robust • Combined 100 years of experience • Most sophisticated • Burn rate vs Investment rate • So and so said was awesome idea –

too much detail on background of one person – who cares

• Second to none Slide 12.6-19

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d.

THANKS!

Next: Lesson 12-7 The Operations Plan

Buy or Review!

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