1. Leyland Pitt 2004 Plans are nothing. Planning is everything. Dwight D. Eisenhower Writing the Marketing Plan

2. Leyland Pitt 2004 Why do we need strategy in marketing? Because of Competitive Rationality Oversupply Customer Choice Customer Sophistication Innovation Imitation

3. Leyland Pitt 2004 Components of the Marketing Plan

4. Leyland Pitt 2004 The Marketing Planning Process 8 1 23 4 5 6 7 Executive Summary Current Marketing Situation Opportunity and Issue Analysis Marketing Strategy Action Programs Projected Profit and Loss Statement Controls Objectives

5. Leyland Pitt 2004 The Executive Summary Offers the reader Z main thrusts of plan Z who Z what Z when Z how Z why

6. Leyland Pitt 2004 Current Marketing Situation ¥ The market ¥ Customers ¥ Products ¥ Competitors ¥ Environment ¥ Distribution

7. Leyland Pitt 2004 Opportunity and Issue Analysis ¥ Do we understand competitive advantage? ¥ Resources: STRENGTHS and WEAKNESSES ¥ Environment: OPPORTUNITIES and THREATS

8. Leyland Pitt 2004 A Resource Audit STRENGTHWEAKNESS

9. Leyland Pitt 2004 Environmental Scanning SPSP F Politics and Legislation SESE F The EconomyS F Socio-cultural: Values, attitudes and norms STST F Technology

10. Leyland Pitt 2004 Political/Legal

11. Leyland Pitt 2004 Economic

12. Leyland Pitt 2004 Socio-cultural

13. Leyland Pitt 2004 Technological

14. Leyland Pitt 2004 Opportunity Analysis

15. Leyland Pitt 2004 Threat Analysis

16. Leyland Pitt 2004 Objectives and Goals Mission - What Business are We In? Is the customer always right? Objectives Goals

17. Leyland Pitt 2004 Dilbert’s Instant Mission Statement Generator (www.dilbert.com) Our challenge is to proactively negotiate value-added catalysts for change to exceed customer expectations It's our responsibility to collaboratively simplify innovative sources and quickly engineer high-quality deliverables

18. Leyland Pitt 2004 Marketing Strategy The Fundamental Marketing Logic by which the Organization intends to achieve its Objectives and Goals Customers Collaborators Competences Competitors What Business Are We In? Target Markets Product Price Placement Promotion The Marketing Mix

19. Leyland Pitt 2004 Target Marketing 1.Is Creative 2.Is Changing 3.Is becoming ever-more precise 4.Mass customization

20. Leyland Pitt 2004 The Marketing Mix Each of the components is subject to more change now than in the preceding 25 years Products? Organization? The role of brands? Blurring? Pricing? Value based. More creative. The danger of commodities Promotion? Accountability. New media. Placement? Channel power. Intermediary obsolescence.

21. Leyland Pitt 2004 Action Programs F Should maximize likelihood that the plan will be implemented according to schedule F Identify activities, due dates,and individual responsibility

22. Leyland Pitt 2004 Budgets * The Plan expressed in monetary units * Forms the basis for all marketing spending

23. Leyland Pitt 2004 Teaching MBAs through the ages Teaching Math in 1950: A logger sells a truckload of lumber for $100. His cost of production is 4/5 of the price. What is his profit? Teaching Math in 1960: A logger sells a truckload of lumber for $100. His cost of production is 4/5 of the price, or $80. What is his profit? Teaching Math in 1970: A logger exchanges a set "L" of lumber for a set "M" of money. The cardinality of set "M" is 100. Each element is worth one dollar. Make 100 dots representing the elements of the set "M." The set "C", the cost of production contains 20 fewer points than set "M." Represent the set "C" as a subset of set "M" and answer the following question: What is the cardinality of the set "P"of profits? Teaching Math in 1980: A logger sells a truckload of lumber for $100. His cost of production is $80 and his profit is $20. Your assignment: Underline the number 20. Teaching Math in 1990: By cutting down beautiful forest trees, the logger makes $20. What do you think of this way of making a living? Topic for class participation after answering the question: How did the forest birds and squirrels feel as the logger cut down the trees? There are no wrong answers. Teaching Math in 2000: A logger sells a truckload of lumber for $100. His cost of production is $120. How does Arthur Andersen determine that his profit margin is $60?

24. Leyland Pitt 2004 Controls *set targets, evaluate reality against targets, take corrective action *annual plan control *profitability (or at least, expense) control *strategic control

25. Leyland Pitt 2004 Implementation of Marketing Strategy Strategy Formulation Strategy Implementation Poor Adequate Success FailureRescue or Ruin Trouble