Marketing strategy

The marketing plan is the central instrument

for directing and coordinating the marketing
effort.
Strategic marketing plan target markets and
value propositions that will be offered based
on an analysis for the market opportunities
Tactical marketing plan-market tactics
,including product features ,promotion
,merchandising ,pricing, sales channel,
service.

Corporate and division strategic

planning
Define the corporate mission-it must reflect the
vision of the company ,its goals ,major policies
and values ,various competitive spheres within
which it operates-industry, product and
applications, competence ,market segment
,vertical which means the number of channel
levels from raw material to final product and
distribution in which a company will participate.,
geographical area .

Strategic planning
Define the business-companies often
define business in terms of products ,now
it is in terms of customer needs.
A business can be defined in terms of
customer groups ,customer needs and
technology
Large companies manage different
businesses each requiring its own
strategy-SBU (strategic business units)

Strategic planning

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Assessing growth opportunitiesIntensive growth-review opportunities for improving

existing products.
company considers whether to gain more market
share with its current products in their current markets
(market penetration).
whether it can develop new markets for existing
products (market development ),
or develop new products for its current markets
(product development strategy ) .
Company can review opportunities to develop new
products for new markets (diversification strategy)

Assessing growth opportunities

Integrative growth-a business sales and
profits can increase through backward
,forward or horizontal integration.
Forward-it can acquire its retailers
Backward-it can acquire its suppliers
Horizontal-it can acquire its competitors

Diversification growth
When good opportunities can be found outside
the present businesses
Types of diversifications Concentric strategy-new products that have
technological or marketing synergies with the
existing product ,even if they are meant for new
customers
Horizontal strategy-new products with new
technology ,unrelated to the existing products,
for current customers.

Types of diversification
Conglomerate strategy-new business that
have no relationship with the current
markets, technology or ,products.
DOWN SIZING AND DIVESTING OLDER
BUSINESS

BUSINESS UNIT STRATEGIC

PLANNING
The business mission-aim of the company
SWOT ANALYSIS-external environment
(opportunity and threat )analysis, internal
environment (strengths and weaknesses)
Goal formulation-goals to describe
objectives that are specific with respect to
magnitude and time. They should be
arranged hierarchically, stated
quantitatively ,realistic and consistent.

Strategic formulation
Strategy is a game plan for achieving its
goals.
Porters generic strategies-overall cost
leadership in terms of production cost etc,
differentiation, focus on a particular
segment.
Strategic alliances-product or service
alliance, promotional alliances, logistics
alliances ,pricing collaborations.

Program formulation and

implementation
Plan programmes in order to strengthen
its R&D ,train technical sales force
,develop ads to communicate.
In the implementing stage we need to
focus on the cost involved, needs of the
stakeholders-customers, employees,
suppliers ,distributors.

Feedback and control

The organization must set up efficient
mechanism to examine the changing
environment and adopt new goals and
behaviors. Hence respond to changing
environment.

PRODUCT PLANNINGMARKETING PLAN

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MARKETING PLAN summarizes what the

marketers has learned about the market place
and indicates how it plans to reach its
marketing objectives.
Contents of marketing planExecutive summary and table of contents
Situation analysis-macro environment
Marketing strategyFinancial projections
Implementation controls

BCG matrix ( Boston

Consultancy Group)
BCG matrix: This model is used to identify
companys SBUs position in the market.
This model identifies the SBUs strength,
weaknesses, opportunities and threats on
the basis of market growth rate and
relative market share. This model is also
known as growth share matrix.

BCG Matrix

GE Matrix based on business position and

market attractiveness

ss

MIS
Philip Kotler defines MIS as a system that
consists of people, equipment and
procedures to gather, sort, analyze,
evaluate and distribute needed, timely and
accurate information to marketing decision
makers

Components of MIS

Internal Records System

2. Marketing Intelligence System
3. Marketing Research System
4. Analytical Marketing System

Marketing Research Process

1.Define the problem and research
objectives
2.Develop the Research Plan and Design
Data sources The researcher has to
decide which data sources to use
Secondary Data or Primary Data or both.

Research Approaches- Observational Research , Focus Group

Research,Survey Research , Behavioral Research, Experimental
Research

 Research Instruments There are mainly

two types of research instruments:
questionnaires and mechanical devices
Sampling Plan Now the researcher must
prepare a sampling plan which outlines who
should be surveyed (Sampling Unit), How
many should be surveyed (Sample Size)
and how should they be selected for the
survey (Sampling Procedure).

 Contact Methods Now the researcher

has to decide how the respondent should
be contacted.The choices of methods
available are mail, telephone, personal
interview or online interview.

 Step III Collect the Information

Step IV-Analyze the information
Step V Present the findings