Market Planning:

STEP 4

Implementation & Control

This is where the rubber meets the road! How you implement your plan will make or break it in the marketplace...

CONTROL

IMPORTANT:

Objectives must be specific and measurable but also attainable and sustainable over time. If it's not realistic it can become demotivating for everyone involved.

During this phase it is important to have a means to measure if you are actually meeting your stated marketing objectives ...

The formal process of monitoring progress, which involves three things:

Figure 1: Example Absolut Vodka

• Measuring
• Comparing
• Adjusting

Two Common Metrics:

Which brings us to metrics...

(1) Activity Metrics (INTERNAL)

• measures and tracks specific activities taken within a firm

(2) Outcome Metrics (EXTERNAL)

• measures and tracks specific events identified as key business outcomes

Why Market Planning?

Develop a functional plan to achieve organizational and Strategic Business Unit (SBU) objectives

Step one:

Perform a Situation Analysis

Conducting an analysis of the marketing environment

Understanding Balance

Marketing professionals focus on the marking mix, making sure to promote the right product to the right consumers in the right place at the right price.

Example Situation Analysis: aBSOLUT vodka

SWOT ANALYSIS:

• Strengths
• Weaknesses
• Opportunities
• Threats

Four Key Impactful External Element Types:

• technological
• political and legal
• economic
• sociocultural

Marketing is an INVESTMENT not an expense...

Technological

Marketers must balance attention to marketing control and the measurement of marketing performance against sustainability and corporate responsibility objectives.

Remember...

Sustainability = firms doing well by doing good

This analysis of the market environment helps develop an effective marketing program

Adapt marketing plan to changes in the technological environment

Political and legal

Which brings us to a fun term...

Return On Marketing Investment

• Need to promote responsible consumption due to the threat of legal implications

A weakness was their lack in distinction from other vodka producers - began to create print that used every day items to create a distinctive and recognizable ad.

Figuring out Just how an investment in marketing has an impact on the firm's success financially and otherwise

This particular ad for 'Absolute New York' uses taxi cabs, a staple in NYC, to subtly promote the 'Don't Drink and Drive' campaign

Example: "X" Marketing campaign costs $30,000 generating $150,000 in new revenue...

ROMI = 5.0

(ROI is five times the investment)

Marketing Objectives

Definition

Objectives that cater specifically to the firm's marketing mix

]

[

THE NUTS AND BOLTS OF OVERALL GOALS

Step Three:

Develop a Marketing Strategy

Scenario:

Examples

of marketing objectives

OVERALL GOAL:

]

[

Economic

Increase sales

update model

• Launch new products
• Create brand awareness
• Alter target market

meet/beat competition

PRODUCT:

PRICE:

PLACE:

PROMOTION:

expand shipping radius

[

]

THINK MARKETING MIX:

"FOUR P's"

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Step 2:

Set marketing objectives

Analysis of the market environment and competition may point to the economic health of the market

Conclusion

Pricing Strategy

• How much the firm charges for their product that customers will be willing to pay
• Sometimes includes product features with more pricing

Example: Tech. Companies, VHS Player, Televisions

MARKETING:

STRATEGIC:

vs

Proper planning of all 4 = successful ROMI

Sociocultural

Promotional Strategy

What the marketing mix must accomplish

Entire firm's overall objectives

• Pricing Strategy

• Promotional Strategy

• Distribution Strategy

• How marketers communicate a product's value proposition to the target market
• In other words: How does a firm want their customer to see their product?

For Absolut, this analysis could show opportunity to market to a crowd with a low to average price point.

• The average price of a 750ml of Absolut vodka is $22.99.
• This keeps them competitive amongst substitutes in their market.

Analysis of the sociocultural environment can show marketers the strengths/pros of reaching different demographics with their marketing plan.

Distribution Strategy

• How, when, and where the firm will make the product available to targeted customers - the place component.
• Directly or through retailers

NEED THIS

TO ACHIEVE THIS

-------

Absolut reaches a specific demographic by localizing their ads to different areas; ie. New York, Paris, etc. which creates more demand for the product within those marketed areas.

Market Planning:

Developing & Executing Market Strategy