Marketing plan

Group Strategy:

Atta Ur Yasir Fayyaz

Rehman (example of
(Introduction Marketing marketing
& Basic idea ) Plan plan)
Muhammad
Tahir
(characteristic Umer Sheraz
s of marketing (marketing
plan) InshaUllah mix)
(Internal
Variables)
What is a Marketing Plan
Market plan is a written statement
of marketing objectives, strategy
and activities to be followed in a
business plan.
What does the process involve
 industry analysis
New
To provide knowledge entrants

of factor that affect

marketing strategy
decision making.
Secondary Sources Supplniers
Industry
competitors
buyers

Condition of competitor
Buyers and suppliers
subtitles
Competitor analysis
Marketing research for new
venture:
Gathering data like
• who will buy the product??
• what is the size of potential market??
• what is the distribution channel??
• what price should be charged??
• what is the most effective promotion
strategy to inform and reach potential
customers??
Steps in Marketing Research:

Step 1:Defining the purpose or objective

 what people think of the product / service
and if they would buy it?
 how much customers would be willing to
pay for product?
 where the customer would buy it?
 where the customer would expect to hear
about such a product or service?
Step 2: Gathering data form secondary source
 When you work with pre-existing data to compile info, you
are using secondary data.
 Information from trade magzines,newspaper
articles,libraries,gov. agencies,busniess archives &
internet.
Step 3:Gather information from primary sources
Information that is new is primary data.
 Observation :observe potential customer
 Networking : information from experts
 Interviewing :most helpful,expensive
 Questionnaire:to fulfill the objective
Support: small business centers ,local colleges,uni.
 Focus groups: informal method, panels of related
people to give info such as services, pricing,
demand etc
Step 4 : analyzing and interpreting the result
• After collecting data, it should be analyzed
because the results are generated on the basis
of data preparation. So it is required for the
organization to verify the authenticity of
collected data and edit or correct it if needed.
• will it try to satisfy needs in the market that are
not being tilled by any other company?
Understanding the marketing
plan

• Where have we been?

• Where do we have to go?
• How do we get there?
 Characteristics of market
Planning
• It should provide a strategy for accomplishing the
company mission or goal.
• It should be based on the fact and valid assumptions.
• An appropriate organization must be described to
implement the marketing plan.
• It should provide for continuity.
• It should be simple and short.
• The success of plan may depend of its
FLEXIBILITY.
• It should specify performance criteria that will
be monitored and controlled.
 Marketing system
• Interacting external and internal factors that affect
venture’s ability to provide goods and services to meet
customer needs.

• The environment(external and internal) plays an

important role in developing the market plan.

• Typically uncontrollable, but needs to be recognized as

part of the marketing plan.
Marketing system

• Internal environmental factors that are more

controllable by entrepreneur.
• They can affect the preparation of the marketing plan
and implementation of an effective marketing strategy.
 External environment
Economy
Culture
Feedback
Technology
Demand
Raw materials
Competition

Marketing
Market- Purchase
strategies
Entrepreneur planning decisions of
directed to
decisions customers
customers

Internal environment
Financial resources Marketing-mix decision
Suppliers
Goals and objectives
Management team
Major internal variables
• Financial resources:
― The financial plan should outline the financial needs
for the new venture.

― Any marketing plan or strategy should consider the

availability of financial resources.

― It also needs amount of funds to meet the goals and

― objectives stated in the plan.
• Management Team:

―It is extremely important to make an organization to

implement the marketing plan.

―An entrepreneur must build an effective management

team and assign the responsibilities to implement the
marketing plan.
 • Suppliers:

— Suppliers used are generally based on a number of factors

such as price, delivery time, quality, and management
assistance.
—In some cases, the entrepreneur has little control over decision
due to particular or few suppliers raw materials.
— Since the price of suppliers, delivery time and so on, are likely
to impact many marketing decisions, it is important to
incorporate these factors into the marketing plan.
• Company mission:

―Every new venture should define nature of business.

―This statement basically describes the nature of business with

what an entrepreneur hopes to accomplish with that business.

―This mission statement or business definition will guide the firm

through ling-term decision making.
 Marketing mix
Steps in preparing marketing plan
1)Defining the business situation
Situation analysis: Describes past & present
business achievement of new venture
For ongoing venture: A review of past performance
of product & company
For a new venture: background will be more personel
After the start up: present marketing conditions &
performance of company goods & services
2)Defining the target market

Who the customer or target market will be

 target market will determine the appropriate
marketing strategy
Defined target market will represent one or more
segments of entire market
3)Market segmentation
Process of dividing a market into defineable and
measureable groups for purpose of targeting marketing
strategy
Process of segmenting:
1.Decide what general market or industry you wish to
persue
2.Divide the market into smaller groups based on
characteristics of the customer or buying situations
A.Characteristics of the customer:
1. Geographic(state, country,city,region)
2. Demographic(age,sex,occupation,education,income )
3. Psychographic(personality,lifestyle)
B. Buying situation
1.Desired benefits(product features)
2.usage(rate of use)
3.Buying conditions(Time available and product
purpose)
4.Awareness of buying intention(familiarity of product
and willingness to buy)

3. Select segment or segments to target.

4. Develop a marketing plan integrating product, price,
distribution & promotion
4)Considering Strength & weaknesses

Your strength
Your weaknesses
5)Establishing Goals & objectives
 Statements of level of performance desired by new
venture
 Realistic & specific goals
 It responds to”Where do we want to go”
 It specifies(market share,profits,sales,market
penetration,no of distributors,pricing policy,sales
promotion & advertising support)
 Too many goals make control & monitoring difficult
 Goals should represent key areas to ensure marketing
success
 Marketing mix
Def: “The marketing mix is a
combination of marketing tools
that are used to satisfy customer
and company objectives”
These 4 variables are controlled
by an entrepreneur /manager in
order to best satisfy the customer
in the target market.
A blend of these factors is the
key for successful marketing
Strategy

Marketing strategy is a process that can allow an

organization to concentrate its limited resources on
the greatest opportunities to increase sales.
The strategy is to be made to achieve the objectives
like 15% of return and 50000 customer base.
Action plan
It is the tools and techniques to implement
marketing strategy and achieve objectives.
It includes allocation of resources, promotional
activities for achieving objectives.
It refers to the tangible product as well any
services.
 Description of Product or Service.
 Product distinction/Best selling point.
 Example of Dell.
 Customer Satisfaction.
 Quality, brand name, style, features, options,
packaging, sizes, services, availability,
warranties etc also come in product strategy
THREE FACTORS
1. Costs:
Direct relation between costs and product/service.
For manufacturer this would involve determining of material
and labor cost.
 For a non-manufacturer like clothing retailer it consist of
cost of goods from the suppliers.
 Over head costs i.e rent, promotion, salaries etc
 Manufacturing costs
 Overhead costs + manufacturing cost = final price
 Margins/ Markup’s:
 Every enterprise has a specific mark up value.
 Mark up covers overhead costs and profits.
 Market penetration strategy: Lower mark ups lower
is the profit accepted by the entrepreneur to
increase demand.
 3. Competition:
 Differentiable product. Added value in product may
warrant high price.
 Non-Differentiable product. Higher price can be
justified by additional services to consumer.
• Penetration pricing: Where the organization sets a
low price to increase sales .
• Skimming pricing: The organization sets an initial
high price and then slowly lowers the price to
make the product available to a wider market. The
objective is to skim profits of the market layer by
layer.
• Competition pricing: Setting a price in comparison
with competitors
Distribution
• This provides utility to consumer.
• High quality, high price and quality image outlets.
• Direct distribution or retailers if market is highly
concentrated.
• Wholesalers or retailers if market is dispersed.
• Attributes of the product.
• Importance of whole seller and retailer.
• Manufacturer’s representatives.
• Multiple channels.
Distribution
Direct Distribution Indirect Distribution

Manufacturer Manufacturer

Retailer

Consumer

Consumer
Promotion Mix
1. Promotion means to introduce and present a
product to the customer.

2. Mediums for promotion.

3. Costs and effects of medium.
Marketing strategy for
Customers & business-to-
business markets:
• In business strategy the products are sold for
their business operations.
• For customers marketing venture mostly uses:
• billboards & TVC
• Trade shows
Implementation of marketing plan:
• Marketing plan is not formality for your suppliers.
• 1. Build a team
• 2. Communicate a plan
Monitoring progress of
marketing plane:
• Tracking specific results of marketing effort.if weak signals
then entrepreneur redirects or modifies marketing effort.

Contingency planning:
• Plan for emergency.
• Entrepreneur should be flexible to make
adjustments.
• How to reduce Contingency:
– Identify key risks
– Create contingency plan
– Maintain the plan
– Allow 15 % from budget for contingency.
Why some plan fails???
• Lack of real plan
• Unrealistic goals
• Lack of time & money
• Ignoring your competitor
Our marketing plan
•Want to start a King Pizza
restaurant
• To answer 3 questions
Where have we been?
Where do we have to go?
How do we get there?
SWOT analysis
Strengths Weakness
Reasonable price Lack of brand power
Quick service Lack of market experience
Consistent quality New to market

Opportunities Threats
Marketing campaign High competition
Experience team New business

Objective
Strategy