1. Hogeschool van Amsterdam Instituut voor Interactieve Media PROPEDEUSE ONDERNEMEN College 2 17 April 2007 Peter Buis Lori de Paauw

2. www.ondernemerschaphva.nl 2 Today’s agenda  developing a plan  researching the market  developing the marketing approach

3. www.ondernemerschaphva.nl 3 Outline – Grid  Who is it for?  Argument – Persuasive »Need to convince »Need to motivate  Plan – collection of plans »Marketing plan »Financial plan »Personnel (human resources) plan »Production plan »etc

4. www.ondernemerschaphva.nl 4 Developing a plan  internal analysis »strengths »weaknesses  external analysis »market »competitors »customers / consumers  plan based on information / conclusions from internal and external analysis

5. www.ondernemerschaphva.nl 5 Your plan(s) must be based on logical conclusions from your research!!

6. www.ondernemerschaphva.nl 6 Doing market research  External analysis of: »Market »Competitors »Customers  Purpose »understand potential of business idea »identify target group(s) / segmentation »ties into financial projection

7. www.ondernemerschaphva.nl 7 Getting the market facts, data, information  Why … »To understand the market potential and trends  What …. some examples »current sales of an industry / products »number of potential businesses / customers »frequency of usage  Where …. some sources »OECD (national and european level) »CBS – StatLine (NL) »MKB – industry / sector level »Trade associations »Consumer associations »Google

8. www.ondernemerschaphva.nl 8 What if your idea / market is new?  Be creative, lateral thinking »Use data from similar industries »Use data from substitutes »Use data on products being replaced

9. www.ondernemerschaphva.nl 9 Getting information about competitors  Why …. »To understand how to differentiate your own product and position your product / idea / business in the market  What …. »share of wallet »market %, volume, sales, customers »positioning of products (price levels, quality)  Where … »Corporate web sites »Annual reports »Customers »Retailers

10. www.ondernemerschaphva.nl 10 Getting information on your customers  Why …. »To know exactly who your customer is »To create profiles and segment your target groups »To understand how your customer will use the product »To know how often your product will be used »To know where your customer will purchase the product »To understand the DMU and the buying process  Where … »Often not available in reports »You have to ask potential customers

11. www.ondernemerschaphva.nl 11 Assumptions  You may need to make assumptions  Explain how and why you are making the assumptions you make  Justify and support them!!

12. www.ondernemerschaphva.nl 12 Example  Technology – time sensor chip  Product – allows consumer to see when something is expired

13. www.ondernemerschaphva.nl 13 Finding information  Sources for market data »Trade associations -- $ on expired medication »Trends in aging and medication sales »Behaviourial reports of taking medication  Competitors »Substitutes – what do people do now »other manufacturers who could produce product  why don’t they?  Customers »Pick a target group – one that is easy to start »profile of buyer / user, their needs »buying unit

14. www.ondernemerschaphva.nl 14 Marketing Plan  The 4 P’s »Product »Place »Price »Promotion

15. www.ondernemerschaphva.nl 15 Products  More detail about product, prototype  Features »quality »design »packaging

16. www.ondernemerschaphva.nl 16 Place  How / where product will be bought  Distribution »indirect / direct »extensive / selective  Partners  Depends on product and customer

17. www.ondernemerschaphva.nl 17 Price  Approach »competitive, cost-plus, value-based  Strategy »Penetration »Skimming  Type »bundled, captured, segmented

18. www.ondernemerschaphva.nl 18 Promotion  Not in grid but can be included  Usually not much budget over for promotion  How will you create awareness »especially for direct distribution strategies via internet

19. www.ondernemerschaphva.nl 19 Example – Marketing mix  Product »Quality, ease of use »packaging like band-aids  Distribution »extensive, indirect and direct »multi-channel  Price »penetration, value-based  Promotion »trade discounts, trials

20. www.ondernemerschaphva.nl 20 Remember  Always explain why you have made your choices / decisions  Give a justification, based on logical conclusions from your research

21. www.ondernemerschaphva.nl 21 Werkcolleges  Friday »Elevator pitches »everyone needs to be there

22. www.ondernemerschaphva.nl 22 Entrepreneurship and innovation  Large, established firms have difficulty innovating because of inertia. »Moore’s ‘Zones of Inertia’Zones of Inertia  Market opportunities are open to small firms »Have less to lose

23. www.ondernemerschaphva.nl 23 For next week:  Read chapters 6, 7 and 8 Tot vrijdag