Marketing plans can be part of the overall business plan. A solid marketing strategy is the foundation of a well-written marketing plan. While a marketing plan contains a list of actions, without a solid strategic foundation, it is of little use to the business.
Video Marketing plan
Definisi
A marketing plan is a comprehensive document or blueprint that outlines marketing and business marketing efforts for the coming year. It describes the business activities involved in achieving specific marketing objectives within a certain time frame. The marketing plan also includes a description of the current marketing position of the business, a discussion of the target market and the description of the marketing mix that businesses will use to achieve their marketing objectives. The marketing plan has a formal structure, but it can be used as a formal or informal document that makes it very flexible. It contains some historical data, predictions of the future, and methods or strategies to achieve marketing objectives. The marketing plan begins with the identification of customer needs through market research and how the business can meet these needs while generating acceptable profit. This includes processes such as market situation analysis, action programs, budget, sales forecasts, projected strategies and financial statements. Marketing plans can also be described as techniques that help businesses to decide on the best use of their resources to achieve company goals. It can also contain a complete analysis of the strengths and weaknesses of a company, its organization and its products.
The marketing plan shows the steps or actions that will be used to achieve the objectives of the plan. For example, a marketing plan might include strategies to increase a business's market share by up to fifteen percent. The marketing plan will then outline the goals that need to be achieved to achieve a fifteen percent increase in the business market share. A marketing plan can be used to describe a method of applying a company's marketing resources to meet marketing objectives. Marketing planning segments markets, identifies market positions, estimates market size, and plans a viable market share in every market segment. Marketing planning can also be used to prepare detailed cases to introduce new products, refine current marketing strategies for existing products or develop a company marketing plan for inclusion in company or company business plans.
Outline
A marketing plan should be based on where a company needs to be at a point in the future. These are some of the most important things a company needs when developing a marketing plan:
- Market research : Collect and classify data about the organization's current market. Examine the current market dynamics, patterns, customers, and sales volume for the industry as a whole.
- Competition : The marketing plan should identify the organization's competition. The plan should illustrate how the organization will exit its competition and what it will do to become a market leader.
- Market plan strategy : Develop a marketing and promotion strategy that will be used by the organization. These strategies may include advertising, direct marketing, training programs, trade shows, websites, etc.
- Marketing plan budget : The strategies identified in the marketing plan must fit within the budget. Top managers need to revise what they want to achieve with a marketing plan, review their current financial situation, and then allocate funds for marketing plans.
- Marketing goals : Marketing plans should include achievable marketing goals. For example, one goal might be to increase the current client base by 100 over a three-month period.
- Monitoring of marketing plan results : The marketing plan should include the process of analyzing the current position of the organization. Organizations need to identify strategies that work and that do not work.
Destination
One of the main goals of developing a marketing plan is to set the company on a specific path in marketing. Marketing goals are usually in line with the company's broader goals. For example, new companies who want to grow their business will generally have marketing plans that emphasize strategies to increase their customer base. Getting marketing, raising customer awareness, and building a profitable business image are some of the goals that can be tied to marketing planning. The marketing plan also helps to organize the budget and resources necessary to achieve the stated objectives of the marketing plan. The marketing plan shows what the company wants to achieve within its budget and also allows its executives to assess the potential return on investment marketing dollars. The different aspects of the marketing plan relate to accountability. The marketing plan is the general responsibility of corporate leaders and marketing staff to bring the company in a certain direction. Once the strategy is laid out and tasks are developed, each task is assigned to a person or team for implementation. The assigned role allows the company to track their achievements and communicate with the team during the implementation process. Having a marketing plan helps corporate leaders to develop and oversee expectations for their functional areas. For example, if the purpose of a company's marketing plan is to increase sales growth, then the company's leader may have to increase their sales staff in the store to help generate more sales.
The marketing plan offers a unique opportunity for productive discussions between employees and organizational leaders. It provides good communication within the company. The marketing plan also allows the marketing team to check their past decisions and understand their results to better prepare for the future. It also allows the marketing team to observe and study the environment in which they operate.
Maps Marketing plan
Marketing plan objectives and goals
While it is unclear, behind the company's goals, which in itself offers the main context for a marketing plan, will lie in the "corporate mission," in turn providing context for the goals of this company. In a sales-oriented organization, marketing planning functions design an incentive payment plan to not only motivate and reward front-line staff fairly but also to align marketing activities with the company's mission. The marketing plan is basically aimed at making the business provide solutions with awareness with the expected customers.
This "corporate mission" can be considered a definition of what the organization is, or what it does: "Our business is...". This definition should not be too narrow, or will restrict the development of the organization; a concentration too strict on the view that "We are in the business of making meat scales," as IBM did in the early 1900s, may have restricted further development to other areas. On the other hand, it should not be too wide or be meaningless; "We want to make a profit" is not very helpful in developing a specific plan.
Jacob Zimmerem suggested that the definition should include three dimensions: "customer group" to be served, "customer needs" to be served, and "technology" to use. Thus, IBM's definition of "corporate mission" in the 1940s may be: "We are in the business of handling accounting information [customer needs] for larger US organizations [customer groups] by using perforated cards [technology]."
Perhaps the most important factor in successful marketing is "company vision." Surprisingly, it's largely ignored by textbook marketing, though not by the popular exponent of corporate strategy - indeed, it may be the main theme of the book by Peters and Waterman, in their "Superordinate Objective" form. "In Search of Excellence" says: "There's nothing that pushes forward like imagination, it goes ahead of the deed." If the organization in general, and its chief executive in particular, has a strong vision of where his future lies, then there is a good chance that the organization will achieve a strong position in its market (and reach that future). This will be at least because the strategy will be consistent and will be supported by staff at all levels. In this context, all of IBM's marketing activities are supported by the philosophy of "customer service," a vision originally promoted by the charismatic Watson dynasty. The emphasis at this stage is to obtain a complete and accurate picture.
A "traditional" - though product-based - format for "brand reference books" (or, indeed, "marketing fact books") was suggested by Godley more than three decades ago:
- Financial data - The facts for this section will come from management accounting, cost and finance.
- Product data - From production, research, and development.
- Sales and distribution data - Sales, packaging, distribution.
- Advertisements, sales promotions, merchandising data - Information from these departments.
- Market data and a wide range - From market research, who in many ways will act as a source for this information. The data source, however, assumes the resources of a very large organization. In most organizations, they will be obtained from a much smaller set of people (and not a few of them are generated by marketing managers only).
It is clear that a marketing audit can be a complex process, but the goal is simple: it is just to identify existing factors (external and internal) that will have a significant impact on the company's future plans. that the basic ingredients that are inputs for a marketing audit should be comprehensive.
Thus, the best approach is to collect this material continuously, as and when it becomes available; because it avoids the heavy workloads involved in collecting it as part of the routine planning process, usually yearly, itself - when the time is usually at a premium.
Even so, the first task of this annual process should be to check that the material stored in the current book of facts or fact files > is actually comprehensive and accurate, and can form a solid foundation for the marketing audit itself The structure of the fact book will be designed to suit the specific needs of the organization, but one simple format - suggested by Malcolm McDonald - can be applied in many cases. It divides the material into three groups:
- Overview of the marketing environment. Studies of markets, customers, competitors, and the overall economic, political, cultural and technical environment; covering the growing trend, as well as the current situation.
- Reviews about detailed marketing activities. The study of the company's marketing mix; in terms of 7 Ps - (see below)
- Overview of the marketing system. The study of marketing organizations, marketing research systems, and current marketing goals and strategies. The latter is too often ignored. The marketing system itself needs to be regularly questioned, since the validity of the entire marketing plan depends on the accuracy of the input of this system, and `garbage entry, garbage out 'applies wholeheartedly.
- * Portfolio planning. In addition, coordinated planning of each product and service can contribute to a balanced portfolio.
- * 80:20 rules. To achieve maximum impact, the marketing plan must be clear, concise, and simple. Need to concentrate on 20 percent of products or services, and on 20 percent of customers, which will account for 80 percent of the volume and 80 percent of profits.
- * 7 Ps : Product, Place, Price and Promotion, Physical Environment, People, Process. 7 Ps can sometimes distract from customers, but the framework they offer can be very useful in building action plans.
Only at this stage (deciding the marketing objectives) that the active part of the marketing planning process begins. The next stage in marketing planning is key to the overall marketing process "Marketing objectives" state where the company intends to be at a certain time in the future.
James Quinn briefly defines the general purpose as: Goals (or goals) state what is to be achieved and the when result must be completed, but they do not state "how" results to be achieved. They usually relate to what the product (or service) will be in which market (and must be realistic based on the customer's behavior in that market). They are basically about the match between "product" and "market." The goals for pricing, distribution, advertising and so on are at a lower level, and should not be confused with marketing objectives. They are part of the marketing strategy needed to achieve the marketing objectives. To be most effective, goals must be capable of measuring and therefore "measurable." This measurement may be in terms of sales volume, value for money, market share, percentage penetration of distribution outlets and so on. An example of such measurable marketing objectives might be "entering the market with product Y and capturing 10 percent of the market with value in a year." Because it can be measured, within certain limits, can be monitored firmly, and corrective action is considered necessary.
Marketing objectives should usually be based, in particular, on the organization's financial goals; convert these financial measurements into related marketing measurements. He went on to explain his view of the role of "policy," with the strategy most often confused: "Policies are rules or guidelines that state the 'boundary' where actions must occur." Simplifying rather, marketing strategies can be seen as a means, or "game plan," in which marketing objectives will be achieved and, in the framework that appears here, generally relate to 8 P. Examples are:
- Price - The amount of money needed to purchase the product
- Products - actual products
- Promotions (ads) - Getting known products
- Placements - Where products are sold
- People - Representing business
- Physical environment - Atmosphere, mood, or environmental tone
- Value - added services that differentiate products from competition (eg post-sale service, warranty)
- Packaging - How the product will be protected
In principle, this strategy describes how goals will be achieved. 7 Ps is a useful framework for deciding how a company's resources will be manipulated (strategically) to achieve its objectives. However, 7 Ps is not the only framework, and can distract from other real problems. The focus of business strategy should be the business objective - not the planning process itself. If 7 Ps matches the business strategy, then 7 Ps may be an acceptable framework for that business The strategy statement can be a pure verbal description of the chosen strategic option. Alternatively, and possibly more positively, it may include a structured list of the main options selected.
One aspect of strategy that is often overlooked is "timing". The timing of each strategy element is very important. Taking the right action at the wrong time can sometimes be as bad as taking the wrong action at the right time. Time is an essential part of any plan; and usually should appear as scheduled activities. After completing this important stage of the planning process, to re-examine the feasibility of objectives and strategies in terms of market share, sales, costs, profits and so on which this request is in practice. As in any other marketing discipline, use judgment, experience, market research or anything that helps the conclusion to be seen from all possible angles.
At this stage, the overall marketing strategy needs to be developed into detailed plans and programs. Although this detailed plan may include each of the 7 Ps (marketing mix), the focus will vary depending on the organization's specific strategy. The product-oriented company will concentrate its plans for 7 Ps around each of its products. Geographically oriented markets or companies will concentrate on each market or geographic region. Each will base its plans on the detailed needs of its customers, and on the strategies chosen to meet this need. Brochures and Websites are used effectively.
Again, the most important element is the detailed plan, which outlines exactly what individual programs and activities will be undertaken during the planning period (usually over the next year). Without these activities, plans can not be monitored. Therefore this plan should:
- Remove - They should be a clear statement of 'exactly' what to do.
- Quantification - The predicted results of each activity should, as far as possible, be calculated, so that their performance can be monitored.
- Focus - The temptation to develop activities beyond the numbers that can be realistically controlled should be avoided. Rule 80:20 also applies in this context.
- Realistic - They must be achievable.
- Agree - Those who implement it must commit to them, and agree that they can be reached. The resulting plan should be a working document that will guide campaigns that take place throughout the organization during the plan period. If a marketing plan is to work, any exceptions to it (throughout the year) should be questioned; and lessons learned, to be included in the next year.
Content from marketing plan
Marketing plans for small businesses typically include Small Business Administration Descriptions of competitors, including the level of demand for the product or service and the strengths and weaknesses of competitors.
- Product or service description, including special features
- Marketing budget, including advertising and promotional plans
- Description of business locations, including advantages and disadvantages for marketing
- Pricing strategy
- Market Segmentation
Medium and large size organizations
The main contents of the marketing plan are:
- Executive Summary
- Situational Analysis
- Opportunities/Problem Analysis - SWOT Analysis
- Destination
- Marketing Strategy
- Action Program (own operational marketing plan for the period under review)
- Financial Forecast
- Controls
The final stage of any marketing planning process is to set targets (or standards) so that progress can be monitored. Therefore, it is important to include quantity and time scale into marketing objectives (for example, to get 20 percent based on market value in two years) and into appropriate strategies. Marketers must be prepared to update and adjust the marketing plan at any time. The marketing plan should determine how progress toward goals will be measured. Managers typically use budgets, schedules and marketing metrics to monitor and evaluate results. With budgets, they can compare planned expenditures with actual spending for a given period. Schedule allows management to see when tasks should be completed and when they really are. The marketing metrics tracks the actual results of a marketing program to see if the company is moving toward its destination (P. Kotler, K.L. Keller).
Environmental changes mean forecasts often have to be changed. Along with this, related plans may also need to be changed. Continuous performance monitoring, against predetermined targets, represents the most important aspect of this. However, perhaps more important is the discipline enforced by regular formal review. Again, as with forecasts, in most cases the best (most realistic) planning cycle will revolve around quarterly reviews. Best of all, at least in terms of measurable plan aspect, if not a wealth of backing detail, may be a rolling review every quarter - a full year's planning ahead of each new quarter. Of course, this absorbs more planning resources; but also ensure that the plans contain up-to-date information, and - with attention focused on them regularly - forcing both the plan and its implementation to be realistic.
Plans only have validity if they are actually used to control the progress of the company: their success lies in its execution, not in writing '.
Performance analysis
The most important elements of marketing performance, which are usually tracked, are:
Sales analysis
Most organizations track their sales results; or, in a nonprofit organization for example, the number of clients. The more sophisticated they are to track them in terms of 'sales variants' - deviations from target numbers - allowing for a quicker picture of irregularities to become clear.
`Micro-analysis', which is a normal management process for investigating detailed issues, then investigates individual elements (individual products, sales territories, customers, etc.) that fail to meet targets
Some organizations track market share even though they are often important metrics. Although absolute sales may grow in an expanding market, the company's market share may decline which is a bad sign for future sales when the market begins to fall. Where that market share is tracked, there may be a number of aspects to be followed:
- overall market share
- segment segment - within targeted segments
- relative sections
Expense analysis
The main ratio to be considered in this area is usually `marketing cost for sales ratio '; although this can be broken down into other elements (ads for sales, sales administration to sales, and so on).
Cost analysis can be defined as a detailed report of all expenses incurred by a business. It is produced on a monthly, quarterly, and annual basis. These can be dissected into small business sections to determine how much money each region weighs on the company.
In marketing, the cost-to-sales marketing ratio plays an important part in cost analysis because it is used to align marketing spending with industry norms. The marketing cost-to-sales ratio helps companies drive their marketing expenditure productivity. A cost-to-sales marketing analysis is also included with sales analysis, market share analysis, financial analysis, and market-based scorecard analysis as one of five marketer analysis tools used to control and drive spending productivity. The cost-to-sales marketing ratio allows companies to track actual expenditures relative to the budget they receive and relative to the sales goals as stated in the marketing plan.
Financial analysis
"Bottom line" marketing activities should at least in theory, be a net profit (for all except for nonprofits, where comparable emphasis might be left in budgeted costs). There are a number of separate performance figures and key ratios that need to be tracked:
- gross contributions & lt; & gt; net profit
- gross profit & lt; & gt; return on investment
- net contribution & lt; & gt; return on sale
There is considerable benefit in comparing these figures with those achieved by other organizations (especially in the same industry); using, for example, the numbers that can be obtained (in the UK) from `The Center for Interfirm Comparison '. However, the most sophisticated use of this approach is usually done by those using the PIMS (Profit Management Strategy for Profit), initiated by General Electric Company and later developed by Harvard Business School, but now run by the Strategic Planning Institute.
The performance analysis above concentrates on quantitative measures that are directly related to short-term performance. But there are a number of indirect actions, basically tracking customer attitudes, which can also show an organization's performance in terms of long-term marketing power and may also be a more important indicator. Some useful steps are:
- market research - including the customer panel (used to track changes over time)
- lost business - lost orders because, for example, stock is not available or product does not meet exact customer requirements
- customer complaints - how many customers complain about the product or service, or the organization itself, and about what
Use of the marketing plan
Formal and written marketing plans are very important; in this case provides an unambiguous reference point for activities during the planning period. However, perhaps the most important benefit of this plan is the planning process itself. This usually offers a unique opportunity, a forum, for informative discussions and productively focused between the various managers involved. The plan, together with related discussions, then provides an agreed context for further management activities, even for those not described in the plan itself. In addition, the marketing plan is included in the business plan, offering data that shows to investors how the company will grow and most importantly, how they will get a return on investment.
Budget as a managerial tool
The classic quantification of the marketing plan comes in the form of a budget. Because this is so strictly enumerated, they are very important. Therefore, they should represent a firm projection of action and expected outcomes. Moreover, they must be able to be monitored accurately; and, indeed, performance against the budget is the main management review process (regular).
The purpose of the marketing budget is to collect all the revenue and expenses involved in marketing into one comprehensive document. A budget is a managerial tool that balances what needs to be spent on what can be provided, and helps make choices about priorities. Budgets can be further used to measure business performance in general business expenditure trends.
Marketing budgets are usually the most powerful tools by which one can determine the relationship between the desired outcome and the means available. The starting point is the marketing strategy and plan, which has been formulated in the marketing plan itself; though, in practice, both will run in parallel and will interact. At a minimum, a thorough budget can lead to a change in the more optimistic elements of a company's business plan.
See also
- Business plan
- Marketing
- Marketing management
- Strategic management
References
Further reading
- H. A. Simon, "Rational decision making in business organizations," Overview of the American Economy
- J. Pfeffer and G. R. Salancik, Organizational External Control
- K. Paolo Sumagaysay, "A saturated world"
Source of the article : Wikipedia
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