Famous McGraw Hill Ad

• “I don’t know who you are.”• “I don’t know your company”• “I don’t know your company’s products”• “I don’t know what your company stands for”• “I don’t know your company’s customers”• “I don’t know your company’s record”• “I don’t know your company’s reputation”• “Now what was it you wanted to sell me”

“Balance Circle”

Family

Work

Spiritual

Intimacy

The Marketing Plan Process WorkshopBusiness Mission

Statement

Objectives

Situation or SWOT Analysis

Marketing Strategy

Product

Promotion

Distribution

Price

Marketing Mix

Target Market Strategy

Courses of ActionImplementation

EvaluationControl

Marketing Strategy Document• COVER PAGE – COMPANY NAME, PRODUCT/SERVICE• EXECUTIVE SUMMARY – 1 PAGE SYNOPSIS OF MSD • MISSION STATEMENT• MARKETING OBJECTIVES• SWOT ANALYSIS – Including Competitive analysis• TARGET MARKET STRATEGY• MARKETING MIX• COURSES OF ACTION• WEB STRATEGY• IMPLEMENTATION- Specific details of what courses of action

you have chosen.• APPENDIX (INCLUDE CHARTS, TABLES)

Basis for written plan will be completed during the workshop.

Company Name• KISS• Describe the business• Easy to Pronounce• Be creative• Check it out with friends and family• Get suggestions• Check the state registry• Differentiate from competitors

Can You Identify These Brand Names?

1. 2. 3. 4. 5. 6. 7.

8. 9. 10. 11. 12.

13. 14. 15. 16. 17. 18. 19.

20.

Can you identify these slogans?• Taste Great Less Filling• Eatin’ good in the neighborhood• 1-800-588-2300• Good to the last drop• You can be sure if it’s?• 99 and 44/100 % Pure• You’re in good hands• The Quicker Picker Upper• The breakfast of champions• That was Easy• You can do it… we can help• Let’s build something together

Mission Statement• What business are we in and where are we going?• Should be based on benefits sought by present and potential

customers.• What is the company’s long term vision?• Avoid Marketing Myopia (Short Sightedness)• Statement too narrow• Too short termed• Focus on markets served rather than good or service• Avoid being too broad.• Examples – A T & T supplies long distance services or in the

communications business. • Frito Lay in the Corn Chip business or in the snack food business.• Amtrak in the business of running a railroad or transportation.

Class Exercise Mission Statement

Marketing Objectives• Building on your mission statement your plan now needs

to focus on what are your goals.• What do you intend to accomplish?• Below are the key points, which could help determine

marketing objectives.– A marketing objective is a statement of what is to be

accomplished through Marketing activities.– Marketing objectives should be:

• Realistic• Measurable – If you can’t measure it you can’t manage it• Time specific – This helps with implementation and measurement.

– Objectives communicate marketing management philosophies, provide direction, serve as motivators, are a basis for control, and force business owners and managers to clarify their thinking.

Marketing Objectives Exercise

SWOT Analysis

• Also called Situation Analysis

• Checks the pulse of the company

• Examines based on objectives

• Strengths and Weaknesses are Internal

• Opportunities and Threats are External

• See example

SWOT Exercise

Examine Competitors• Internet: The Internet is a powerful tool for finding information on a variety of

topics.• Personal visits: If possible, visit your competitors' locations. Observe how

employees interact with customers. What do their premises look like? How are their products displayed and priced?

• Talk to customers: Your sales staff is in regular contact with customers and prospects, as is your competition. Learn what your customers and prospects are saying about your competitors.

• Competitors' ads: Analyze competitors' ads to learn about their target audience, market position, product features, benefits, prices, etc.

• Speeches or presentations: Attend speeches or presentations made by representatives of your competitors.

• Trade show displays: View your competitor's display from a potential customer's point of view. What does their display say about the company? Observing which specific trade shows or industry events competitors attend provides information on their marketing strategy and target market.

• Written sources: Use general business publications, marketing and advertising publications, local newspapers and business journals, industry and trade association publications, industry research and surveys, and computer databases (available at many public libraries).

Competitor Exercise

Marketing Mix – 4 P’s

• Product

• Price

• Place – Distribution – Supply Chain

• Promotion

Product Video

Product

• More than the physical item itself

• Feature Function Benefit

• Competitive Advantage

• Value the features add

Product Life Cycles

Time

INTRODUCTION GROWTH MATURITY DECLINE

ProductStrategy

DistributionStrategy

PromotionStrategy

PricingStrategy

Limited modelsFrequent changes

More modelsFrequent changes.

Large number of models.

Eliminate unprofitable

models

LimitedWholesale/

retail distributors

Expanded dealers. Long-term relations

Extensive.Margins drop.Shelf space

Phase out unprofitable

outlets

Awareness. Stimulate

demand.Sampling

Aggressive ads.Stimulatedemand

Advertise. Promote heavily

Phase outpromotion

High to recoupdevelopment

costs

Fall as result ofcompetition &

efficient produc-tion.

Prices fall (usually).

Prices stabilize at low level.

Sal

es

Product Worksheet Exercise

Price Video

Value Price Model

Reference Value

Positive Differential Value

Negative Differential Value

Total Economic Value

How to determine customer value• The best way to construct this model is by conducting a

needs analysis with the customer.• Listen and Learn – Your customer will respond and tell

you his wants and needs. This will allow you to develop a solution that will add value to your product/service.

• Ask Open ended questions, not those that require yes or no answers.

• You can also use your Product Worksheet as a basis for developing your pricing.

• Remember! Know what the decision maker needs see example sheet.

Pricing Tactics

Value Price Exercise

Place Video

Producer Producer Producer Producer

Consumers Consumers Consumers Consumers

Retailers Retailers Retailers

Wholesalers Wholesalers

Agents orBrokers

WholesalerWholesalerChannelChannel

RetailerRetailerChannelChannel

DirectDirectChannelChannel

Agent/BrokerAgent/BrokerChannelChannel

Channels for Consumer Products

Channels for Business Products

Producer

IndustrialUser

DirectDirectChannelChannel

Producer

Govt.Buyer

DirectDirectChannelChannel

Producer Producer Producer

IndustrialUser

IndustrialUser

IndustrialUser

IndustrialDistributor

IndustrialDistributor

Agents orBrokers

Agents orBrokers

Agent/BrokerAgent/BrokerChannelChannel

IndustrialIndustrialDistributorDistributor

Agent/BrokerAgent/BrokerIndustrialIndustrialChannelChannel

The Supply Chain Process

Place

• Location– Physical Location

• Hours

• How is the location arranged

6 P’s

Distribution Strategy Exercise

• Determine how you are going to market

• Where would you fit into your customer’s Supply Chain

• Determine the 5th and 6th P – Presentation and Personnel

Overall Marketing Objectives

Overall Marketing Objectives

Marketing Mix• Product• Place• Promotion• Price

Marketing Mix• Product• Place• Promotion• Price

Target MarketTarget Market

Promotional Mix

• Advertising• Public Relations• Sales Promotion• Personal Selling

Promotion Plan

Promotional Mix

• Advertising• Public Relations• Sales Promotion• Personal Selling

Promotion Plan

The Role of Promotion in the Marketing Mix

InformingInforming RemindingReminding

PersuadingPersuading

TargetAudienceTarget

Audience

Goals and Tasks of Promotion

The AIDA Concept

Action

Desire

Interest

Attention Cognitive (thinking)

Affective (feeling)

Conative (doing)

Online

Additional Advertising ReferencesSubject Link

Advertising and Public Relations http://www.sba.gov/smallbusinessplanner/manage/marketandprice/SERV_ADNPUBLICREL.html

Advertising Primer http://www.sba.gov/smallbusinessplanner/manage/marketandprice/SERV_ADPRIMER.html

Promotion Tips http://www.sba.gov/smallbusinessplanner/manage/marketandprice/SERV_15IDEAS.html

Quick Promotional Plans http://www.sba.gov/smallbusinessplanner/manage/marketandprice/SERV_HIGHIMPACT.html

The Persuaders – PBS Special http://www.pbs.org/wgbh/pages/frontline/shows/persuaders/

Half the money I spend on advertising is wasted; the trouble is I don’t know which half.

John Wanamaker

Advertising Appeals

Profit

Health

Love or romance

Fear

Admiration

Convenience

Fun and pleasure

Vanity and egotism Environmental Consciousness

Product saves, makes, or protects money

Appeals to body-conscious or health seekers

Used in selling cosmetics and perfumes

Social embarrassment, old age, losing health

Reason for use of celebrity spokespeople

Used for fast foods and microwave foods

Key to advertising vacations, beer, parks

Used for expensive or conspicuous items

Centers around environmental protection

Remember – Sell the Sizzle not the Steak!

Major Advertising Media

NewspapersNewspapers

MagazinesMagazines

RadioRadio

TelevisionTelevision

Outdoor MediaOutdoor Media

Yellow PagesYellow Pages

InternetInternet

Alternative Media and Promotions

Movie Ads/Product IntegrationMovie Ads/Product Integration

Interactive KiosksInteractive Kiosks

Personal SellingPersonal Selling

Shopping CartsShopping Carts

DVDsDVDs

Condo NewsletterCondo Newsletter

Cell Phone AdsCell Phone Ads

Subway Tunnel AdsSubway Tunnel Ads

Floor AdsFloor Ads

Video Game AdsVideo Game Ads

Trade Shows/Home ShowsTrade Shows/Home Shows

Guerilla AdvertisingGuerilla Advertising

Lawn SignLawn Sign

NewslettersNewsletters

Cell Phone AdsCell Phone Ads

Subway Tunnel AdsSubway Tunnel Ads

Floor AdsFloor Ads

Video Game AdsVideo Game Ads

Referral Fees/Loyalty PrgoramsReferral Fees/Loyalty Prgorams

Local News EditionsLocal News Editions

Church BulletinChurch Bulletin

Word of MouthWord of Mouth

PartnershipsPartnerships

Chamber of CommerceChamber of Commerce

Co-op MoneyCo-op Money

CouponsCoupons

Product placementProduct placement

Consumer educationConsumer education

Event sponsorshipEvent sponsorship

Issue sponsorshipIssue sponsorship

Internet Web sitesInternet Web sites

New product publicityNew product publicity

Public Relations Tools

Promotion Example

Front

Back

Obtain Leads from:www.mcaepa.org

and www.sjmca.org

Select Target Design MailerConvert leads to a spreadsheet

Use Mail Merge and send out

mailer

Initial Results: 1 out of 252 response = .003%$300,000 in business

Residual Results: Door Opener for 20 new opportunities = 8%

Press Release Example

Promotion Exercise

• Determine your Promotion Mix

• Start to write a press release

Target Market DefinitionA group of people or organizations for

which an organization designs,

implements, and maintains a marketing

mix intended to meet the needs of that

group, resulting in mutually satisfying

exchanges.

Target Market Examples

Useful Research Web Sites

Bases for Segmenting Consumer Markets

Geography Demographics Psychographics Benefits Usage Rate

• Region• Market size• Market

density• Climate

• Age• Gender• Income• Race/ethnicity• Family life

cycle

• Personality• Motives• Lifestyle• Geodemo-

graphics

• Benefitssought

• Former• Potential• 1st time• Light or

irregular• Medium• Heavy

Bases for Segmenting Business Markets

• Geographic location• Type of company

– User/Producer– OEM– Government– Institutional

• Company size• Volume of purchase• Product use

Target Market Exercise

• Select a market that you will take your Marketing Mix to

• Utilize everything you learned in the previous exercises to complete this portion of the plan

ChannelPlace

ChannelPlace PromotionPromotion

ProductProduct

WebWeb

Web Strategy

WebWeb24/724/7

AdvertisingPersonal Selling

Customer ServiceCRM

CouponsBrand Awareness

Image

Product DevelopmentResearch

Added Value

TransactionsStore Display

NavigationReduced InventoryReduced Expenses

Web= Limited Barriers to EntryPlus Economical Benefits

• Domain Name $10.00/yr

• Web Hosting $60 to $180/yr

• Web Hosting + E-Commerce $120 to $600/yr

• Instant messages• Enhance revenue

Stream• Unlimited changes• Info 24/7• Feedback• Communications

Cost Benefits

Building Site Traffic

• Free Offers– Opt-in mailing list

• Loyalty Programs• What’s new portion to

create re-visits• Change Home Page

frequently• Use “E” Coupons• Create useful links• Tip of the day (Product of

the month)• Newsgroups/Blogs• You Tube Video Links

• State your privacy policy and live by it

• State and live by your privacy policy

• Do not bombard customers

• Use a signature file on emails

• Use a call to action• Use alternate addresses• Google Analytics• Constant Contact.com

Advertising

• Google Ad Words• Google Ad Sense• Banner advertising• Submit to Search

Engines• Web Friendly• Web Search Position• Affiliate Programs

• Drive more traffic to your site

• Get a revenue stream • Constantly try to

improve your position in searches

• Seek reciprocal links• Web Blast

WEB TIPSShow URL Everywhere

Check competitors key wordsUse Page description Title

Use Alt Image Tags

Selling on the Web• Shopping Cart

– Paypal Alternative

• Merchant Account– Papal alternative

• EBAY, Amazon, Google, ETSY, Craig’s List

• Social Marketing– LinkedIn, My Space, Facebook, Twitter

• 101 Ways to Promote your Web Site

Web Exercise

• Determine your Web Strategy

Potential Courses of Action and Outcomes

• Based on everything you have developed so far you can now determine some things that you can do

• Examine the Course of Action in both positive and negative terms

• This will be a basis for the Implementation Portion of your plan

Courses of Action Exercise

Implementation RemindersBe Specific and Descriptive

Place Product Promotion Price Target Customers

• Location• Physical Size• Color• Personnel

Appearance• Climate

• Physical description

• Product Depth• Product Width

• Advertising Details

• Public Relations Details

• Press Release schedule

• Co-op

• Value Pricing• ROI Pricing• Cost Plus• Functional

Pricing

• Customer List• Potential

Customer List• Demographics• Geographics

Implementation• Each Course of action should be twice the description

volume• Show painstaking details• List action assignments• Realistic• Measurable• Time Specific• Timelines• Include Budgets• Communicate to the entire organization

• Indicate course by saying #2 above

• Take this section for granted

• Be inflexible

Do’s Don’t’s

This is where many organizations fail. Remember

Proper-Prior-Planning-Prevents-Piss Poor-PerformanceGeneral Nathaniel Ross Thompson III

Complete ImplementationThen prepare Executive Summary

Questions?????