Marketing Management

Marketing Plan

Chapter 15

Marketing Plans
Complete a situation analysis (5Cs) Choose the segment(s) to target (STP) Create a plan for positioning, implementing the marketing mix (4Ps)
Its important to note that all of marketing (strategy and planning) is nonlinear

Framework: 5Cs-Context
What does the economy look like?
Is the economic environment stable? What portends future growth?
Nation, region, state, and local

What is the current consumer mood? Whats the spending activities and power of the customers in our target markets?

Framework: 5Cs-Context
Are there political trends or elections, or legal and regulatory constraints that should concern us?
Are our partners stable; Will trade agreements be honored? What consumer laws are on the horizon?

Framework: 5Cs-Context
What technological advances will affect us that can enhance what we offer to our customers?
What technologies (and competitors) threaten our products into obsolescence?

Whats going on in society?

What are the major demographic shifts, and do they affect us? What are the major attitudinal sensitivities?

Framework: 5Cs-Company
Who are we? What are we known for? What are we good at? Who do we want to become? What opportunities do we think could be profitable, particularly given our strengths?

Framework: 5Cs-Customer
Begin with secondary data Then get in touch with current, past, potential and competitors customers
Who are these current and potential customers and how might they be described in terms of their demographics and psychographics?

Framework: 5Cs-Customer
How much and when do they buy? Do they stockpile? For what do they use the purchases? What else do they buy with our products? Is the customer who makes the purchase decision the same as the eventual user

Framework: 5Cs-Customer
For the non-buyersWhy arent they buying? Are they not in the category? How can we get them in? Are they buying but just not from us? How can we lure them away from the competition? What do they want that were not delivering?

Framework: 5Cs-Customer
What is the level of our customers satisfaction? What is it they like, and dont like, about our brand and our competitor's? What are the deal breakers over which we could lose our customers to competitors?

Framework: 5Cs-Customer
How price sensitive is each segment? Would a loyalty program gain us longterm buy-in? Where do customers buy this product? What is the role of e-commerce, or any other particular channel? How have our customers needs and desires and living behaviors changed?
How are they likely to change in the near future?

Framework: 5Cs-Competitors
In a SWOT analysis, our strengths are defined relative to other providers Who are our major competitors?
Brand or any other substitute product

From the customer's perspective, what is our competition compared with other purchases that vie for our dollar, share of mind, and heart?

Framework: 5Cs-Competitors
What are our competitors strengths? Do they offer better features than we offer? Do they have better price points, and, if so, why? What are their cost advantages? How might our competitors respond to our actions?

Framework: 5Cs-Collaborators
Do we have good relationships with our supply chain providers? Do we have good relations with our downstream channel members? What adjustments might be fruitful?

Framework: STP-Segmenting
Demographic variables
Gender, age, household composition, and stage in the life cycle, education, income, ethnicity, etc.

Geographic variables
Countries, cultures, urban vs. rural, climate, zip code, etc.

Framework: STP-Segmenting
Psychological variables
What do our customers want? What is the customers level of expertise? Who are the opinion leaders or early adopters? Should we use Vals data?

Framework: STP-Segmenting
Behavioral data
What customers purchase? Who are the current users and how are they different from customers who use the competitors brands or who arent buying in the category at all? What are our customers purchasing with our brand? Scanner data, etc.

Framework: STP-Targeting
Is the segment profitable enough? Does the segment have enough growth potential? Does the segment fit with our goals? Is the segment is actionable?

Framework: STP-Positioning
Conduct perceptual mapping Writing a positioning statement Positioning is then executed via the 4Ps

Framework: 4Ps-Product
Do we seek a high-end quality position in the marketplace, or do we want to offer value to our customers? What is the assortment of product features we wish to offer to satisfy our customers and attract new customers? What customer service plans supplement our core business? Is this a new product or a new segment?

Framework: 4Ps-Price
Do we want a high price to be consistent with high quality positioning or for skimming purposes early in a products life cycle Do we want a low price to be consistent with a value offering or for penetration early in the life cycle?

Framework: 4Ps-Price
What supplemental pricing components will we entertain
Couponing Occasional discounting Consistent pricing (e.g., EDLP) Warranties Loyalty programs and rewards

Framework: 4Ps-Promotion

Do we want to promote a lot or minimally for a more exclusive appeal? What is the goal of the integrated marketing campaign? What is the message of the advertising communications? What media fit our position? Have we attained integration in the IMC?

Framework: 4Ps-Place
Do customers have sufficient access and are those sites consistent with the positioning (e.g., exclusive vs. mass)? Is our e-commerce arm of the business truly integrated, or are we running an incidental website?