ENT/ETR300 FUNDAMENTALS OF ENTREPRENEURSHIP

MARKETING PLAN

MARKETING PLAN
AINI QAMARIAH MOHD YUSOF
UITM ALOR GAJAH, MELAKA

ENT/ETR300 FUNDAMENTALS OF ENTREPRENEURSHIP

MARKETING PLAN

LEARNING OUTCOME
Understand the importance of preparing a
marketing plan
Describe the steps in preparing a
marketing plan
Identify components of a marketing plan
Prepare a marketing plan for a small
business

ENT/ETR300 FUNDAMENTALS OF ENTREPRENEURSHIP

MARKETING PLAN

Module Outline
Introduction
Steps in Preparing a Marketing Plan for Small
Businesses.
Marketing Objectives
Product or Service
Target Market
Market Trend and Market Size
Competition
Sales Forecast
Marketing Strategy
Marketing Personnel
Marketing Budget

ENT/ETR300 FUNDAMENTALS OF ENTREPRENEURSHIP

MARKETING PLAN

Introduction

A well prepared marketing plan helps

entrepreneurs to:
evaluate market acceptance
develop strategies to market products or
services of the business
identify required resources to execute the
marketing strategy
estimate marketing financial requirement

ENT/ETR300 FUNDAMENTALS OF ENTREPRENEURSHIP

MARKETING PLAN

Steps in Preparing a Marketing Plan

1.
2.
3.
4.
5.
6.
7.
8.
9.

Setting Marketing Objectives

Determining product or service
Identifying target market
Analyzing market trend and size
Assessing competition
Forecasting sales
Developing marketing strategy
Planning for marketing personnel
Preparing marketing budget

ENT/ETR300 FUNDAMENTALS OF ENTREPRENEURSHIP

MARKETING PLAN

1. Setting Marketing Objectives:

New business:
Introduce new products/services
Estimate market acceptance and sales
Existing business
Introduce new products/services
Inform market of product improvement
Enter new market
Increase sales of existing products
Increase market share
Market penetration
Regain market for existing product

ENT/ETR300 FUNDAMENTALS OF ENTREPRENEURSHIP

MARKETING PLAN

2. Determining product or service

Needs & wants of customers
Marketability of a product or service
Guide in describing product or services
State clearly the value and benefits of product or service to
customers. Capitalize on the uniqueness or strengths of
the product or services such as on its formulation,
ingredients used, safety, ease of use, life span, flexibility,
assortment, location, operation hours, personalization,
extended warranty etc.

ENT/ETR300 FUNDAMENTALS OF ENTREPRENEURSHIP

MARKETING PLAN

3. Identifying target market

Who is the consumer of the product or
service?
What is their common needs or wants that
would be satisfied by the product or
service?
What is their common characteristics?

ENT/ETR300 FUNDAMENTALS OF ENTREPRENEURSHIP

MARKETING PLAN

Target Market Alternatives

Segmented Marketing
target several or a particular market segments
design separate offers for each segment
Niche Marketing:
Targeting a large share of one or a few segments or
niches
Micromarketing:
Tailoring products to suit the tastes of specific
individuals and locations

ENT/ETR300 FUNDAMENTALS OF ENTREPRENEURSHIP

MARKETING PLAN

Target Market Alternatives

Mass-Marketing
- ignoring market segment differences
- go after the whole market with one offer

ENT/ETR300 FUNDAMENTALS OF ENTREPRENEURSHIP

MARKETING PLAN

Common Bases For Segmentation

Demographic Segmentation (age,gender
Psychographic Segmentation
Behavioral Segmentation
Occasions
Benefits Sought
User Status
Usage Rate
Loyalty Status

ENT/ETR300 FUNDAMENTALS OF ENTREPRENEURSHIP

MARKETING PLAN

Common Bases For Segmentation

ENT/ETR300 FUNDAMENTALS OF ENTREPRENEURSHIP

MARKETING PLAN

4. Analyzing Market Trend

and Market Size

What is the trend in the market?

What is market potential?
Size of the market - what is the RM value?
Customer profiles of relevant market
segments.

ENT/ETR300 FUNDAMENTALS OF ENTREPRENEURSHIP

MARKETING PLAN

Market Size:
- Total potential purchase of target market
- Should be translated into monetary value
- Growing, remain the same or shrinking

Market Share:
- a comparative measure to assess
performance against the competition

ENT/ETR300 FUNDAMENTALS OF ENTREPRENEURSHIP

MARKETING PLAN

5. Assessing Competition
Identify Competitors
Assess their market positions and
strategies i.e.; product quality, pricing,
distribution and promotion
Strengths and weaknesses
Duration in market
Customers

ENT/ETR300 FUNDAMENTALS OF ENTREPRENEURSHIP

MARKETING PLAN

6. Forecasting Sales
Past performance
Break-even to set the minimum
Secured projects
On-going contracts
Anticipated or intended growth

ENT/ETR300 FUNDAMENTALS OF ENTREPRENEURSHIP

MARKETING PLAN

7. Developing Marketing Strategy

To enable business to plan for its limited
resources in order to achieve stated
marketing objectives
The key idea is to deliver customer
satisfaction yet provide business with a
competitive advantage

ENT/ETR300 FUNDAMENTALS OF ENTREPRENEURSHIP

MARKETING PLAN

Marketing Strategy
Product Strategy
Pricing Strategy
Place or Distribution Strategy
Promotion Strategy

ENT/ETR300 FUNDAMENTALS OF ENTREPRENEURSHIP

MARKETING PLAN

Product Strategy
Include product and service strategy
Product is a physical item that can be seen, owned,
used or consumed
Ideas and creations of the minds can also be
regarded as product
Service is intangible and cannot be seen or owned,
but is useful, can be experienced and able to satisfy
customer needs and wants
Product strategy refers to a product, service or a
combination of both

ENT/ETR300 FUNDAMENTALS OF ENTREPRENEURSHIP

MARKETING PLAN

Product Strategy
Product attributes
Quality
Design

Trade name
Brand name
Packaging
Labeling
Warranty
After sales service

ENT/ETR300 FUNDAMENTALS OF ENTREPRENEURSHIP

MARKETING PLAN

Marketing Strategies for Services

Service quality
consistency

Service package
Combination of services at competitive price

Service differentiation
Offering that is unique and can be
differentiated from the competitors

After sales services

Follow-up

ENT/ETR300 FUNDAMENTALS OF ENTREPRENEURSHIP

MARKETING PLAN

Pricing Strategy
Price is the value exchanged between
the seller and the buyer in order for the
buyer to possess, use or experience the
product or service offered
Most often, price is in the form of
monetary value paid by the buyer to
obtain the product or service

ENT/ETR300 FUNDAMENTALS OF ENTREPRENEURSHIP

MARKETING PLAN

Pricing Strategy
Common Pricing Methods:
Based on Cost
Fixed Cost + Variable Cost + Desired Margin

Based on Perceived Value

Based on Competition

ENT/ETR300 FUNDAMENTALS OF ENTREPRENEURSHIP

MARKETING PLAN

r
e
n
w
O
h

t
f
i
Ca es W
v
g
i
r
n
i
t
c
S
i
r
P y
o
N
c
i
l
Po

ENT/ETR300 FUNDAMENTALS OF ENTREPRENEURSHIP

MARKETING PLAN

Pricing Tactics
1.Price lining
The process used by retailers of separating goods into
cost categories in order to create various quality levels in
the minds of consumers

ENT/ETR300 FUNDAMENTALS OF ENTREPRENEURSHIP

MARKETING PLAN

Pricing Tactics
2.Discounting

3.Purchase with purchase

ENT/ETR300 FUNDAMENTALS OF ENTREPRENEURSHIP

MARKETING PLAN

Pricing Tactics
3.Psychological pricing

4.Captive pricing
Premium pricing levels applied to components of a product that
consumers have already purchased. The customer cannot avoid
purchasing the components, such as replacement razor blades,
without sacrificing the value of the core product, such as the
razor itself, enabling the company to achieve much higher
profit margins than are possible for regular products.

ENT/ETR300 FUNDAMENTALS OF ENTREPRENEURSHIP

MARKETING PLAN

Pricing Tactics
5.Product bundle pricing

6.Segmentation pricing

A situation that occurs when a company sets more than one price for
a product without experiencing significant differences in
the costs of producing or distributing the product. For example, a
segmented pricing structure might be used by a business to
take advantage of pricing disparities observed between different
geographical regions.

ENT/ETR300 FUNDAMENTALS OF ENTREPRENEURSHIP

MARKETING PLAN

Factors to Consider
When Setting Price
Marketing objectives
Demand and supply
Competitors pricing

ENT/ETR300 FUNDAMENTALS OF ENTREPRENEURSHIP

MARKETING PLAN

Place or Distribution Strategy

Place strategy refers to the decision made on
the location of the business
Choice of location is crucial for most brick and
mortar businesses
Channel of distribution is a network developed
to ensure product or services reach target
consumers
Distribution strategy for consumer product and
industrial product may vary

ENT/ETR300 FUNDAMENTALS OF ENTREPRENEURSHIP

MARKETING PLAN

Distribution Strategy
Manufacturer/Producer

Wholesaler

Wholesaler
E-Intermediaries

Retailer

Retailer

Consumer

ENT/ETR300 FUNDAMENTALS OF ENTREPRENEURSHIP

MARKETING PLAN

Factors to Consider When

Determining Distribution Strategy

Type of product
Target market
Market coverage
Transportation ease
Product standardization

ENT/ETR300 FUNDAMENTALS OF ENTREPRENEURSHIP

MARKETING PLAN

Promotion Strategy
Promotion is any coordinated effort taken
to supplement the product, price and
place strategies in order to achieve
marketing objectives.

ENT/ETR300 FUNDAMENTALS OF ENTREPRENEURSHIP

MARKETING PLAN

Promotion Strategy

Advertising
Sales promotion
Personal Selling
Publicity

ENT/ETR300 FUNDAMENTALS OF ENTREPRENEURSHIP

MARKETING PLAN

Promotion Strategy
Advertising
Paid, non personal sales effort through a medium to influence a large number
of consumers.

Channel of adverting:

Printed
Newspaper
Magazines
Yellow pages
Brochures
Business cards

Electronic and Digital

Television
Radio
Internet
Sort messaging system

Outdoor
Billboards
Banners
Transportation

ENT/ETR300 FUNDAMENTALS OF ENTREPRENEURSHIP

MARKETING PLAN

Promotion Strategy
Sales promotion
Promotional activities or incentives carried out or offered within a set time frame to influence
purchase
Common sales promotion strategies:
Rebates
Coupons
Purchase-with-purchase
Samples
Premiums
Contest
Point-of-purchase promotion
Sweepstakes
Free delivery
Extended warranty

ENT/ETR300 FUNDAMENTALS OF ENTREPRENEURSHIP

MARKETING PLAN

Promotion Strategy
Personal Selling
Personal sales presentation conducted by a trained sales
person to influence potential customers. It is most often used
for products that require demonstration or explanation

Publicity
Efforts taken to develop and maintain good relationship with the
public to ensure good favorable public image of the business.

ENT/ETR300 FUNDAMENTALS OF ENTREPRENEURSHIP

MARKETING PLAN

8. Planning For Marketing Personnel

Determine number of supporting
personnel needed to undertake the
marketing tasks in-house or outsource?
Examples:
Marketing manager or executives
Sales personnel
Promotion personnel
Distribution personnel

ENT/ETR300 FUNDAMENTALS OF ENTREPRENEURSHIP

MARKETING PLAN

9. Preparing Marketing Budget

Marketing budget refers to expenses incurred in
planning for the marketing aspect of the proposed
business or project. It consists of 3 components.
1. Investment on fixed assets
2. Allocation for working capital for marketing
activities
3. Other marketing expenses

ENT/ETR300 FUNDAMENTALS OF ENTREPRENEURSHIP

MARKETING PLAN

Marketing Budget Table

Items

Fixed Asset
Signboard
Working Capital
Salary/EPF/SOCSO
- Marketing Manager
- Sales Consultant
- Promotion
Lain-Lain
Grand Opening
Total (RM)

Fixed
Asset
(RM)

Working
Capital
(RM)

Other
Expenses
(RM)

4,000

3,000
1,500
500
5,000
4,000

5,000

5,000

ENT/ETR300 FUNDAMENTALS OF ENTREPRENEURSHIP

MARKETING PLAN

END OF MODULE 8