1. Marketing Marketing Planning
Topic 4
Marketing
Marketing Planning

2. Learning objectives To know what a marketing mix is
Explain the value of a marketing audit
Apply Porter’s Five Forces to analyse competitive pressures in the market place

3. Marketing Mix
Key decisions that must be taken in the effective marketing of a product
7 P’s (There are 4 key ones)
Product
Price
Promotion
Place
People
Process
Physical evidence

4. Co-ordinated marketing mix
Not all the 7 p’s have the same degree of significance in every case
Co-ordinated marketing mix
Key marketing decisions complement each other and work together to give customers a consistent message about the product

6. Appropriate marketing mix
Poorly integrated marketing decisions – expensive, well-known brand of perfume on sale in a market stall?
Marketing mix will be based on affordable marketing objectives that
Co-ordinate and are consistent with each other
Targeted at the appropriate consumers

7. Marketing Audit
Regular review of the cost and effectiveness of a marketing plan including an analysis of internal and external influences
Consists of 3 key features
Analysis of business’s internal strengths and weaknesses and how they have changed since the last audit
Analysis of external opportunities and threats and how these have changed since the last audit
Review the progress of the marketing plan, this will analyse
Market share
Actual sales
SMART objectives

8. Marketing Audit
Once the audit has been completed, changes to the marketing mix might be needed to respond to any of the changes identified by it

9. Porter’s Five Forces analysis - HL ONLY
Framework that analyses an industry as being influenced by five forces
By analysing markets in this way, helps a firm decide whether to enter or not
Provides insight into potential profit
By analysing the existing markets decisions can be made, such as, should we stay in this market?
With knowledge gained and the power of competitive forces, the business can develop strategies that may help improve their own position HL

10. Porter's Five Forces Model
Industry competitors
Source: Michael E. Porter Competitive Strategy: Techniques for Analyzing Industries and Competitors, (The Free Press, 1980)

11. Porter's Five Forces Model
Industry competitors
Rivalry among
existing firms
Source: Michael E. Porter Competitive Strategy: Techniques for Analyzing Industries and Competitors, (The Free Press, 1980)

12. Porter's Five Forces Model
Potential
entrants
Threat of
new entrants
Industry competitors
Rivalry among
existing firms
Source: Michael E. Porter Competitive Strategy: Techniques for Analyzing Industries and Competitors, (The Free Press, 1980)

13. Porter's Five Forces Model
Potential
entrants
Threat of
new entrants
Industry competitors
Rivalry among
existing firms
Threat of
substitutes
Substitute
products
Source: Michael E. Porter Competitive Strategy: Techniques for Analyzing Industries and Competitors, (The Free Press, 1980)

14. Porter's Five Forces Model
Potential
entrants
Threat of
new entrants
Industry competitors
Rivalry among
existing firms
Bargaining power
of suppliers
Suppliers
Threat of
substitutes
Substitute
products
Source: Michael E. Porter Competitive Strategy: Techniques for Analyzing Industries and Competitors, (The Free Press, 1980)

15. Porter's Five Forces Model
Potential
entrants
Threat of
new entrants
Industry competitors
Rivalry among
existing firms
Bargaining power
of suppliers
Bargaining power
of buyers
Suppliers
Buyers
Threat of
substitutes
Substitute
products
Source: Michael E. Porter Competitive Strategy: Techniques for Analyzing Industries and Competitors, (The Free Press, 1980)

18. Task
Choose an industry / market in your own country. Based on some research, analyse using Porter’s Five Forces, assessing the overall degree of competitive rivalry.