Marketing Planning Chapter 2 The Marketing Plan

Chapter 2 The Marketing Plan

• Section 2.1 Marketing Planning

• Section 2.2 Market Segmentation

• Section 2.1 Marketing Planning

• Section 2.2 Market Segmentation

LESSON 2.1Market Planning

Marketing Planning

Objectives

• Conduct a SWOT analysis

• List the three key areas of an internal company analysis

• Identify the factors in an environmental scan

• Explain the basic elements of a marketing plan

Key Terms

SWOT analysis

environmental scan

marketing plan

executive summary

situation analysis

marketing strategy

sales forecasts

performance standard

Marketing Essentials Chapter 2, Section 2.1

Marketing Planning

Study Organizer

Follow the outline to identify the steps of a marketing plan.

Marketing Essentials Chapter 2, Section 2.1

Marketing Planning

• Good marketing relies on good plans• Planning begins with looking at your business (internal)

and the external business environment its operating in

A business can analyze itself with a SWOT analysis:

• SWOT analysis - An assessment of a company’s strengths and weaknesses and the opportunities and threats that surround it;

• Strengths• Weaknesses• Opportunities• Threats

Marketing Planning

•The SWOT Analysis helps because it:•Lists everything that can foster the business success (strengths)

•Lists what could make it fail (weaknesses)•Increases your ability to be more competitive as it provides guidance and direction for future marketing strategies (opportunities)

•Prepares a company to handle threats from competition or a changing marketplace (threats)

SWOT Analysis

• Internal Factors • Strengths and Weaknesses• Center Around the Three C’s

•External Factors • Opportunities and Threats• Based on the acronym PEST

The three C’s of internal analysis

C

CC

ompany

ustomers

ompetition

Strengths and weaknesses are internal factors that affect a business’s operation.

Internal Strengths and Weaknesses

What do you think the three “C”s are?

1. Company Analysis

When evaluating itself, a company must analyze these areas:

a) Company staff

b) Financial situation

c) Production capabilities

d) The four Ps of the Marketing Mix:1. Product

2. Place

3. Price

4. Promotion

Marketing Essentials Chapter 2, Section 2.1

Company Analysis

A. Company Staff– What is our mission statement and do staff know it and follow it– Are executives experienced and what have they accomplished– Too much or not enough staff to provide quality customer

service• Formal training and assessment programs for staff

– Quality staff – effectiveness of sales force

B. Financial Questions:– Are you profitable– Enough financial resources to achieve goals– Sales history – are sales increasing or decreasing

Company Analysis

C. Production Capabilities– How are adjustments to production due to increase/decrease in

sales orders– Has Research & Development created new successful products– Percentage of sales from products older than 5 years– What changes in technology are required to be competitive

Company Analysis

D. Marketing Mix (Four Ps Questions)– Product:

• What new products are successful and why• Patent on any products or are any expiring• Branding Image

– Price:• What are present pricing strategies and are they working

– Promotion:• How is the company positioned in the marketplace• Are promotional strategies successful• Company’s reputation with it’s customers

– Place:• Do products easily reach customers• Who helps with distribution

2. Customer Analysis

• Companies study customer buying patterns using surveys or conducting interviews with people in their target markets

• These methods gather information that helps to:• find out what customers are pleased or dissatisfied with• create interest-specific ads and catalogs

What do customer surveys andcustomer interviews reveal?

Who are the customers?

How do groups of customers differ from one another?

What, when, where, and how much do they buy?

How do customers rate the company on quality, service, and value?

Is your customer base increasing or decreasing? Why?

3. Competitive Position

Strengths and weaknesses compared to competitors

Marketing Essentials Chapter 2, Section 2.1

Questions that help a company analyze its internal competitive position:

What is the company’s market share?

What advantages does the company have over its competitors?

What core competencies does the company possess?

Are competitors taking business away? Why?

Assignment:1. In essay format, and in your own words, define the Acronym

SWOT. This means define what it is used for and what the acronym stands for. Also define four reasons why it is beneficial. Essay formats should have an introduction sentence and 5 – 6 sentences with details that respond to the question. Hand this into the class inbox to be graded.

2. Draw a large table on the second half of your page that has two columns and two rows like shown below. Think about school and how you are doing in your classes. Do a partial SWOT analysis on yourself. List four of your strengths and four weaknesses as it pertains to any of your school related activities.

Strengths Weaknesses