Strategic Marketing Planning What is Strategic Planning?

It is the managerial process that helps to develop a strategic and viable fit between the firms objectives, skills, resources with the market opportunities available. It helps the firm deliver its targeted profits and growth through its businesses and products.

SBU
An autonomous division or organizational unit, small enough to be flexible and large enough to exercise control over most of the factors affecting its long-term performance.
In business, a strategic business unit (SBU) is a profit center which focuses on product offering and market segment. SBUs has discrete marketing plan, analysis of competition, and marketing campaign, even though they may be part of a larger business entity. An SBU may be a business unit within a larger corporation, or it may be a business unto itself. Corporations may be composed of multiple SBUs, each of which is responsible for its own profitability.

How to go about it?

Defining the corporate mission Establishing SBUs Allocating resources for SBUs Planning for new business

Corporate Mission
This seeks to embody the entire goals of the organization and the objective of its existence. It seeks to provide a sense of purpose, direction and opportunity

5 questions that the firm must ask itself

What is our business? Who is our customer? What does our customer need? What will our business be? What should our business be?

Marketing Myopia
Industry is a customer satisfying process not a goods producing process. It is important therefore how you redefine your business.

Good mission statements have three characteristics

They focus on a limited number of goals It stresses the major values and policies the firm desires It defines the major competitive scope of operation

SBU
It is a company within a company The business is differentiated from the rest of the company It has its own set of competitors It is a separate profit centre

The BCG Matrix

??? Stars

SBU strategies
Build Hold Harvest Divest

Dogs

Cash Cows
Mkt Share

SWOT Analysis
Strengths Weaknesses Opportunities Threats
Weak

The GE Model
Medium Strong Strong

Medium

Weak Business Strength

Ansoffs Product-Market Grid

Current products New products Current Mkts Mkt penetration Product development strategy strategy Mkt development strategy Diversification strategy

The Planning Process

Analysing Market opportunities Developing Marketing strategies Planning Marketing Programs Managing the Marketing Effort

New Mkts

The Marketing Plan

A written document that acts as a guidebook of marketing activities for the marketing manager

CONTENTS of MARKETING PLAN

Business Mission Statement Objectives Situation Analysis (SWOT) Marketing Strategy Target Market Strategy Marketing Mix
Positioning Product Promotion Price Place Distribution People Process

15 16

Implementation, Evaluation and Control

The Marketing Process

Business Mission Statemen t Objective s Situation or SWOT Analysis

Marketing Strategy
Target Market Strategy

Marketing Mix
Product Promotion Place/Distribution Price

Implementation Evaluation, Control

17