Andrew Benesh Austin Richardson Ben Potter Jason Klein Krishna Vuppala Marketing Plans Andrew Benesh Austin Richardson Ben Potter Jason Klein Krishna Vuppala

Agenda Introduction to Marketing plan Marketing plan structure Situation analysis SWOT Marketing strategy Implementation and Control Conclusion Marketing Plans | November 2014

action-oriented document Marketing Plan What is a Marketing plan? action-oriented document set objectives for the marketing and promotion of business needs to be followed, monitored and updated regularly evaluate and control a marketing plan  marketing plan is a written document that details the necessary actions to achieve one or more marketing objectives. Marketing plan objectives are typically on the level of sales, profit, return on investment or, for larger businesses, market share A marketing plan is not something that you write and then forget. It needs to be followed, monitored and updated. regularly evaluate a marketing plan to make sure you are reaching the goals you set. Marketing Plans | November 2014

A Perfect Marketing plan sensible and relevant accurate and realistic targets customize to suit business and its objectives keep business prepared for unexpected events or promotions by competition spot possible threats to business, and prepare for ways to minimize or capitalize on them Marketing Plans | November 2014

Fulfills Five Purposes Present and future situations of the organization Specifies expected outcomes (goals and objectives) Describes the specific actions that are to take place Assigns responsibility for each action Identifies the resources needed to carry out the planned actions Permits the monitoring of each action and its results so that controls may be implemented Marketing Plans A marketing plan is a report which describes how a given property (be it a brand, a product, or a service) is to be marketed. It covers all aspects of marketing for this object, including (but not limited to) advertising, promotions, and sales. Marketing plans are meant to provide marketing goals as well a framework in which they can be achieved. Because of this, they should contain not only a marketing strategy, but the context for that strategy.  There are a variety of reasons why one would undertake the writing of a marketing plan. Although any sort of property can be marketed, marketing plans do vary depending on what industry is being targeted and what, in particular, is being marketed. Think of the marketing plan as the handbook for marketing implementation, evaluation, and control. Fulfills five purposes: explains both the present and future situations of the organization specifies expected outcomes (goals and objectives describes the specific actions that are to take place and assigns responsibility for each action identifies the resources needed to carry out the planned actions permits the monitoring of each action and its results so that controls may be implemented Crystallizes and propels mission, vision Coordinates branding/messaging Educates, increases visibility A framework for decisions Benchmark performance, justify budget Strategy for funding Marketing Plans | November 2014

Marketing plan – Key Areas Price Place Product Promotion SWOT Time Marketing Plans | November 2014

Business without a Marketing Plan Marketing Plans | November 2014

Organizational Aspects of the Marketing Plan Top managers ask two questions: Will the marketing plan achieve the desired marketing, business unit, and corporate goals and objectives? Are there alternative uses of resources that would better meet the firm’s objectives? Marketing plan proposals. Marketing Plans | November 2014

Marketing Plan Structure Executive summary Situation analysis SWOT Marketing goals and objectives Marketing strategy Implementation Evaluation and control Marketing Plans | November 2014

Marketing Plan - Examples Marketing Plans | November 2014

Situation Analysis Internal environment External environment Customer environment Situational Analysis SWOT Goals / Objectives Strategy Implementation Control Marketing Plans | November 2014

Situation Analysis - Internal Define mission statement Know your brand and products Differentiate your product or service Focus on pleasing the customer Past – Present – Future Marketing Plans | November 2014

Situation Analysis - External Know the competition Why are they good? Why are they bad? What can we learn? Monitor factors from outside Changes in the market PEST Marketing Plans | November 2014

Situation Analysis - Customer Identify your target Know your current customers Identify potential new customers Who, what, when, where, why, and why? Marketing Plans | November 2014

INTERNAL EXTERNAL What is SWOT Situational Analysis SWOT Strategy Strengths Weaknesses Opportunities Threats INTERNAL EXTERNAL Situational Analysis SWOT Goals / Objectives Strategy Implementation Control Marketing Plans | November 2014

What to gain from SWOT Circuit City: Circuit City became complacent — a fatal mistake in the fiercely competitive and fast-evolving retail-electronics industry. The problems began a decade ago, when Circuit City failed to secure prime real estate — its out-of-the-way locations were often just inconvenient enough to tempt customers to head to other retailers, like Wal-Mart. Then Circuit City stopped selling appliances. It didn't move as aggressively into gaming as it should have. And it missed out on big in-store promotions with thriving companies like Apple Computer. That created an opening for Best Buy, now the top electronics chain in the U.S., to surge ahead. Finally, the cherry on top: Circuit City neglected to improve its Web presence, just as online retailers like Amazon.com were hitting their stride. Borders: For years, Borders outsourced its online book-selling to Amazon.com. So anytime you visited borders.com, you were redirected. While at the time it may have seemed like a smart decision to jump on the coattails of the Amazon juggernaut, relinquishing control to another company hurt Borders’ branding strategies and cut into its customer base. Blockbuster: But that’s what could have happened multiple times throughout the early 2000s when Netflix CEO and co-founder Reed Hastings courted a deal with Blockbuster-chief John Antioco to purchase the then DVD-by-mail rental company for $50 million (the company now has a market cap of $19.7 billion). Best Buy Amazon Netflix Marketing Plans | November 2014

DILBERT! Marketing Plans | November 2014

Marketing Strategy Value Proposition Critical Issues Financial Objectives Marketing Objectives Target Market Strategy Messages & Branding Marketing Plans | November 2014

Emphasis on REAL benefit offered Value Proposition “Benefit offered less price charged” Emphasis on REAL benefit offered INSTEAD of the specific tangible product or service Marketing Plans | November 2014

Bring in the SWOT Analysis Critical Issues Bring in the SWOT Analysis ORGANIZATIONAL GOALS: 1. Leverage the “Strengths” of the organization 2. Offset or improve “Weaknesses 3. Take advantage of available “Opportunities” 4. Minimize the risk of potential “Threats” Marketing Plans | November 2014

Financial objectives are easy to measure EXAMPLES: 1. Increase profits by 25% 2. Increase sales by 5% 3. Increase the Contribution Margin by 10% 4. Improve gross margin by 15% Important to ensure all objectives are measurable “If it can’t be measured, it can’t be improved” Situational Analysis SWOT Goals / Objectives Strategy Implementation Control Marketing Plans | November 2014

When setting marketing objectives, keep in mind: Sales Market share Market positioning Company image Consumer awareness Marketing objectives need to be measurable as well so that they can be tracked and followed up on Marketing Plans | November 2014

Target Market Strategy Explain why your business is focusing on the target market groups you have chosen. ANSWER these questions: What makes these groups more interesting than the other groups that you have ruled out? Why are the characteristics you specify important? Example: A graphic design firm might target small or medium-sized businesses that need Internet websites Situational Analysis SWOT Goals / Objectives Strategy Implementation Control Marketing Plans | November 2014

Messages & Branding Business needs to answer the following questions: What symbols are going to represent the brand? How does the brand reflect the positioning of your products or services? What is the brand’s promise to your customers? What traits does the brand convey to your customers? If advertising and marketing the brand, how will you measure the brand’s effectiveness? Marketing Plans | November 2014

Messages & Branding IMPORTANT: Brands are NOT created overnight Takes careful management to build positive relationship with customers Rewards for building a brand are higher profit margins, competitive security and brand extension efficiencies Marketing Plans | November 2014

National Football League Marketing Plans | November 2014

NFL: Building a Brand Founded in 1920 32 Teams 2014 poll revealed NFL as #1 spectator sport (35%) in US followed by MLB (14%) TV Partners: CBS, FOX, NBC, ESPN, NFL Network Year-round exposure Hosts 3 NFL games per year in London Marketing Plans | November 2014

Implementation As the strategy is developed, a concept for how to implement it should be formed Communication is often the biggest obstacle to implementing an effective marketing plan – internal culture must support the marketing plan What will be done? How? When? By Who? At what cost? Situational Analysis SWOT Goals / Objectives Strategy Implementation Control In the marketing plan, strategy is the what and implementation is the how. The how should be developed in parallel to the what. If the internal culture does not support communication and alignment, it will be very difficult to make progress on the implementation. A defined implementation includes what will be done, how, when, by who, and at what projected cost. (22s) Marketing Plans | November 2014

Control Once the plan has been implemented, it should be updated based on some control/feedback mechanisms Control in the context of a marketing plan is the monitoring and guidance of implementation progress… and feedback for future plans Formal Informal Financial Implementation Feedback System Goal Control Adjustment Outcome Measurement + - Situational Analysis SWOT Goals / Objectives Strategy Implementation Control When implementing a strategy, controls should be used to adjust the implementation to better drive towards goals and objectives. A comparison of the projected and desired outcomes is used to determine an appropriate adjustment. Control also generates information that can be used to create stronger plans in the future. (16s) Marketing Plans | November 2014

We are a feedback and control system… We usually hear about the air conditioning example for controls. This one is a little different because the person is the feedback and control mechanism instead of a thermostat. A driver determines the desired position and makes an adjustment to the steering wheel…the resulting location is compared to the desired location before making the next adjustment. Here, crosswind is a disturbance to the system. (22s) Marketing Plans | November 2014

Comedic Relief Here are a couple marketing Dilbert's. I think these describe what many people think about marketing – the stereotype for marketing is perpetuated when professional marketers don’t apply the concepts we are being taught in this course.(10s) Someone tell me when they have read the comic strips. (21s) (22s) Marketing Plans | November 2014

Conclusion Marketing Plan: Action-oriented document setting objectives for marketing and promotion of the business (based on known customer needs and wants) Situational Analysis: Who are you? Who is your customer? Who is your competition? SWOT: Don’t make the mistake of neglecting SWOT Strategy: Create value, address roadblocks, have a target Implementation Strategy:What::Implementation:How Control: Guide implementation and learn for the future Situational Analysis SWOT Goals / Objectives Strategy Implementation Control To summarize our presentation… (50s) Marketing Plans | November 2014

Questions Are there any questions? Marketing Plans | November 2014