Marketing plan (10) Flashcards
A strategic marketing plan is a formal policy that is formulated at the highest level of an organisation and is?
directly linked to the organization’s grand strategy.
A strategic marketing plan filters down through the organisation and is? implemented on all levels.
implemented on all levels.
What is the first step in developing a marketing plan?
Creating a mission statement
What is a strategic marketing plan?
A policy that is developed at the highest level of an
organisation and s linked to its strategy
What is a strategic marketing plan?
A policy that is developed at the highest level of an
organisation and s linked to its strategy
Plans on the strategic level combine ________?
product development promotion distribution and pricing approaches and also recognise marketing goals
Which elements are considered in a market strategy?
The potential target market and the positioning strategy
What is the purpose of a marketing plan?
It guides marketing activities for marketers
The document, if included in a business plan, typically includes an executive summary at the beginning of the document, which will contain summaries of?
- a description of the organisation, including products and services;
- a mission statement;
- a description of the business’s management;
- the market and customers;
- marketing and sales;
- competition;
- the business’s operations; and
- financial projections and plans.
The marketing plan, or any organisational planning activity, should begin with the mission statement, which answers the following questions?
- What business are we in?
- What is the purpose of the organisation?
- What is our competitive advantage?
- Who are our stakeholders?
- What are our future plans?
The marketing plan, or any organisational planning activity, should begin with the mission statement, which answers the following questions?
- What business are we in?
- What is the purpose of the organisation?
- What is our competitive advantage?
- Who are our stakeholders?
- What are our future plans?
The mission statement is translated into formal action plans, which meet the prerequisites of SMART goals?
- Specific: Are the objectives clearly expressed?
- Measurable: Can they be quantified, in terms of quality and quantity?
- Achievable: Can they be completed?
- Realistic: Do they challenge and motivate?
- Time-bound: Is there a realistic completion date with deliverables?
The SWOT analysis allows for the exploration of both internal and external factors which will impact on the success of the business?
- Internal factors: Identify the strengths and weaknesses of the organisation.
- External factors: Identify opportunities and threats in the political, economic, social, technological, international and natural environments.
Explain strategic marketing planning, and define two terms that are associated with this idea?
Strategic marketing planning is a formal policy that is used to market the business’s grand strategy. It does this by achieving the mission, certain goals and competitive advantages.
Terms that students could define include?
- Target market: These are the people with whom you intend to do business; they can be consumers of any demographic. It is the job of the business to identify the target market as accurately as possible, in order to take full advantage of their interests.
- Positioning: This includes the methods that businesses can use to get their brand or their message across to the target market. Some aspects in this area include the use of appropriate adverts, deals that would appeal to the target market etc.
- Mission statement: The fundamental aim of the business and what it seeks to achieve.
- SWOT analysis: A method of determining the position of the business in relation to its strongest and weakest points, as well as the external factors that could threaten or provide opportunities for the business. Filling out a SWOT analysis of the business, allows management to make decisions on the business’s future direction.
Explain Porter’s five forces model and competitive advantage?
- Competitive rivalry
Number of competitors
Quality and other differences
Switching cost
Customer loyalty
Cost of leaving market - Threat of new entry
Time and cost entry
Specialist knowledge
Economics of scale
Cost advantages
Technology protection
Barriers to entry - Buying power
Number of customers
Size of each other
Differences between competitors
Price sensitivity
Ability to substitute
Cost charging - Seller power
Number of suppliers
Size of suppliers
Uniqueness of service
Ability to substitute
Cost of charging - Threat of substitution
Substitute performance
Cost of change
Explain the three competitive advantages that a company should strive for?
- Differentiation: This is when you set yourself apart from the competition, by creating unique product features, providing fantastic after-sales service, creating a desirable image, being at the forefront of technological innovation, having a great reputation, consistently manufacturing high quality products or setting your product up as a status symbol.
- Cost leadership: This is when you put all of your focus as a business into reducing the cost of producing your product. By economising on product materials, design R&D costs, as well as keeping advertising costs at a minimum, a business can hold a competitive edge with cost leadership.
- Quick response: By placing the consumer as the most important point of contact in the business, a competitive advantage can be achieved. The quick response aspect includes the frequent release of new products, constant improvement on new generations of products, adding value into purchases, anticipating the changing needs of the consumer, and adapting the product to these needs.
Positioning is about?
sending a message to the target market that the product or service you are providing is suited for them and their needs.
Once the mission statement has been created, what happens to it?
It is turned into formal action plans
How can an organisation select their target market?
Through creating a target market profite
The efficacy of the marketing plan is measured by?
the results, not the plan itself.
What does the positioning process involve?
Sending a message to the target market that the product or service is suited to their needs
How can an organisation gain a competitive advantage?
Differentiation, cost leadership and quick response
In terms of a SWOT analysis, what is an example of an
opportunity for an organisation?
Having a reliable supplier
