1. Session 3 Formulating Strategic Marketing Plans

2. What is meant by the term “Strategic Marketing”
A PLAN of action for identifying and analyzing:
A target market (profile of customers) and
Developing a marketing mix to meet the needs of that market.
What are the characteristics of an effective marketing strategy
Reflects overall direction of organisation
Coordinated with firm’s functional areas
Contributes to achievement of marketing objectives and organisational goals
Strategic Marketing begins with (1) Environmental Scanning and (2) Environmental Analysis

3. Strategic Marketing begins with: (1) ENVIRONMENTAL SCANNING
The process of collecting information about forces in the marketing environment
Conducted through observation of secondary resources such as:
Business, trade, government data
Internet resources
Marketing research

4. (2) ENVIRONMENTAL ANALYSIS
The process of assessing and interpreting the information gathered through environmental scanning about competitive forces and forces in the marketing environment.
It involves
Evaluation for accuracy
Resolving inconsistencies
Assigning significance to the findings

5. A Strategic Marketing Strategy Comprises:
Creating a Marketing Mix
8P’s
Target Market Selection

6. VIDEO Renault Inside – Competitors Analysis Centre (Report)
Renault’s competitor analysis
Renault Inside – Competitors Analysis Centre (Report)
Location:
Concept: Renault’s competitor analysis.
Clip Description: This Renault video shows how Renault analyses automobiles released by the competition in its Competitors Analysis Centre by describing the stages behind it, activity which is common by all car makers.
Key outcome/points to consider: This video will provide students with an example of how companies in the automakers industry analyses the competition and can generate further discussions of the importance of this analysis.

7. Why Businesses and Products and/or Services Fail
Most new businesses fail within 5 years (about 80%)
Most new products and services that are launched by existing businesses fail.
To succeed, you need to avoid the common reasons for these failures. The most basic reason is lack of proper planning. Specifically, problems are:
Products or services are designed to meet the manufacturer’s or service provider’s need for sales growth, not a real consumer need
Insignificant “points of difference” from competition
Incomplete market and product definition
Poor execution of the marketing mix
Poor product quality or sensitivity to customer/stakeholder needs
Bad timing
No economical access to buyers (inconvenient supply chain)

8. What is a Strategic Planning Process in the Context of Strategic Marketing?
It’s the process of establishing:
A Vision/Mission (Coca Cola)
Formulating Corporate strategies, Marketing objectives, Marketing strategies and a Marketing plan

9. Understanding the Strategic Planning Process
Figure 2.1 – Components of strategic planning (Pride 2e, p53)

10. SWOT analysis EXTERNAL INTERNAL Threats Strengths Weaknesses
 Opportunities
Threats
INTERNAL
Strengths
Weaknesses
< insert Figure 2.2 from Pride2e, p. 58>
Figure 2.2 The four-cell SWOT matrix (Pride 2e, p. 56)

11. Understanding the Strategic Planning Process
Figure 2.1 – Components of strategic planning (Pride 2e, p53)

12. Corporate Mission Statement
Mission statement answers two questions
Who are our customers and/or stakeholders?
What are our core competencies?
How can we create our own corporate identity
Unique symbols and logos
Personalities: (Examples: Richard Branson, Warren Buffet, Raymond Ackerman)

13. Do you see the arrow between the "E" and "x" (in      I had never noticed it before. 

16. What is a Strategic Marketing Plan?
A written document that specifies the activities to be performed to implement and control an organisation’s marketing activities
A living document, adapted as needed to the changing business environment

17. COMPONENTS OF A STRATEGIC MARKETING PLAN
< insert Table 2.2, Pride 2e, p. 67>