11. Setting Objectives of Marketing Strategy

Question 1

The first step of the marketing strategy is to write objectives. What are the benefits of clearly defined marketing objectives.

Answer 1

• Help people in different parts of the company understand their role in the marketing process.
• Make it easier for the company to analyse whether the strategy is working or not.

Question 2

What areas should the objectives cover (5)

Answer 2

• What type of marketing strategy does the company want to pursue?
• What are the aims of the marketing strategy?
• How will the success of the strategy be measured?
  Within what time period should the objectives be achieved?
• Budget

Question 3

What types of marketing strategy are there (3)

Answer 3

• Undifferentiated or mass – appealing to the whole market, or a large section of it, with a single product (many branded wines available in supermarkets and other large retailers)
• Niche – aiming a product at a specific segment of the market (many wines are niche products.)
• Multiple – appealing to numerous segments with one brand (each segment will require a different marketing approach) or launching several brands each targeting different segments.

Question 4

What are the possible aims of the marketing strategy (7)

Answer 4

• launch a new product;
• communicate improvements to existing product;
• increase sales;
• increase market share;
• improve brand awareness;
• improve brand identity;
• attract new consumers.

Question 5

Why should budget be considered

Answer 5

• Marketing is very expensive. Whilst some large companies have enormous budgets, most have a limited amount of money to promote their products.
• The budget should be set by the profits which the marketing campaign is expected to produce; there is little point to a marketing campaign which costs more than it ever brings in.