Resources Ansoff matrix for Nokia HW Ansoff matrix worksheet

Selecting marketing strategies

Lesson objectives Explain the meaning of marketing strategies Introduce the four strategies of the Ansoff matrix

Analysing markets and marketing What type of forecasting might be used in each of the following six cases? Justify your views. 1. Predicting sales of raincoats in November. 2. Forecasting the sales of fashion accessories. 3. Predicting the likely attendance at a football match. 4. Investigating how customers might react to a price cut. 5. Forecasting sales of plain black socks. 6. Estimating sales of a newly patented invention.

Selecting Marketing Strategies A market analysis should enable a marketing manager to understand where the market is and where it is going. This should feed into developing a marketing plan. The Marketing Strategy is the long-term marketing plan aimed at achieving the marketing objectives.

The basic idea behind the marketing model Analysis of where we are Review Determining how we compete Developing a plan

Marketing Model Setting Marketing Objectives Constraints 1.Objectives 2. Market information & analysis 3. Alternatives & choices 4. Planning the marketing mix 5. Control & review Budgetary Control Draft market plans Market research Forecasting Setting Marketing Objectives Gathering data needed to decide on a strategy Assessing alternative marketing strategies & implementing the choices Planning & implementing the marketing mix, in accordance with the strategy Controlling & reviewing the outcome of marketing decisions

STP Businesses have to identify what segments exist in a market. SEGMENTATION Then they decide which segments they want to target. TARGETING Then they decide how to position themselves. POSITIONING The requirements of each segment differ. So effective marketing requires managers to understand these needs, decide on which segments are likely o be profitable for the business and then develop appropriate plans.

The challenges facing Nokia To boost sales Nokia could target existing customers to get them to upgrade iPhone / Android customers to get them switch Blackberry users to get them to switch Current non-Smartphone users (older people?) Each of these would be a different strategy to achieve the same objective of increasing sales. Which of the above strategies would you recommend and why?

Write your ideas on your sheet for what you think this might involve. What might Nokia do if… Write your ideas on your sheet for what you think this might involve. It was trying to develop new products and offering these to existing customers? It was trying to sell more to existing customers? It was trying to target new segments of its existing market? It wanted to offer new products to new markets.

What might Nokia do if…

Ansoff’s matrix… Market penetration New Product Development products Existing New Market penetration New Product Development Existing MARKETS Market Development Diversification New

Homework Using Coca Cola to Explain Ansoff’s Matrix Answer all three questions in no more than two sides of A4