setting marketing objectives Flashcards
what are marketing objectives?
the process of identifying, anticipating (predicting), and satisfying customer needs profitably.
give a few examples of effective marketing objectives?
- Ensure functional activities consistent with corporate objectives
- Provide a focus for marketing decision-making and effort
- Provide incentives for marketing team and a measure of success/failure
- Establish priorities for marketing resources and effort
give a very types of marketing objectives
- Sales volume
- Sales value (revenue)
- Market growth (%)
- Market share (%)
- Brand loyalty/awareness
what are some external influences on marketing objectives and decisions
- economic environment
- competitor actions
- market dynamics
- technological change
- social and political change
why is economic environment an external influence on marketing objectives and decisions
- the key factor in determining demand
- (e.g many marketing objectives have been thwarted or changed as a result of the recession)
- Factors such as exchange rates would also impact objectives concerned with international marketing.
Why are competitor actions an external influence on marketing objectives and decisions
- marketing objectives have to take into account of likely/possible competitor response
- (e.g. an objective of increasing market share by definition means that competitor response will not be effective)
Why is market dynamics an external influence on marketing objectives and decisions
- key market dynamics are: market size, growth and segmentation
- changed in any of these influence marketing objectives
- A market whose growth slows is less likely to support an objective of significant revenue growth or new product development.
Why is technological change an external influence on marketing objectives and decisions
- consumer and other markets are now affected by rapid changes in technology
- shortening product life cycles and opportunities that have been created for innovation
Why does social and political change have an external influence on marketing objectives and decisions
- changes to legislation may create or prevent marketing opportunities
- change in the structure or attitudes of society also have major implications for many markets
what are some internal influences on marketing objectives and decisions
- corporate objective
- finance
- human resources
- operational issues
- business culture
Why does corporate objectives have an internal influence of marketing objectives and decisions
- corporate objectives are the most important internal influence
- A marketing objective should not conflict with a corporate objective
why does finance have an internal influence of marketing objectives and decisions
- the financial position of the business
- (e.g. profitability, cash flow, liquidity)
- directly affects the scope and scale or marketing activities
why does human resources have an internal influence of marketing objectives and decisions
- the quality and capacity of the workforce is a key factor in affecting marketing objectives
– a motivated and well-trained workforce can deliver market-leading customer service and productivity to create a competitive marketing advantage
why does operational issues have an internal influence of marketing objectives and decisions?
- key role to play in enabling the business to compete on cost (efficiency/productivity) and quality.
- Effective capacity management also plays a part in determining whether a business can achieve its revenue objective
Why does business culture have an internal influence of marketing objectives and decisions?
- a marketing-orientated business is constantly looking for ways to meet customer needs
- whereas a production-orientated culture may result in management setting unrealistic or irrelevant marketing objectives
