HS285: Marketing Management
Class Nine
June 25, 2013
Beth Goldstein
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Today’s
Class
Master title style
• Dissecting Your Plan
• Canadian Breast Cancer
Foundation Case
• Cause Related &
Nonprofit Marketing
Click toChicken
Selling
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Poop
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Click
Marketing
to editPlan
Master
Format
title style
Executive Summary (1 page)
Vision
Opportunity for the organization to grow
Goals of the organization
Client/Constituent Profile (1-2 pages)
Demographics of the client(s) required to grow business
Client/Constituent Needs
Customer Lifetime Value
Market Opportunity & Challenges (1-2 pages)
Industry Profile/Overview of the marketplace
Demand Analysis/Needs Assessment
Market Share
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Format
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Competitive Assessment (1-2 pages)
Direct competitors
Substitutes
Marketing Channels & Mix (may include any or all of the
following) (1-2 pages)
Direct Mail and Print Campaigns
Social Media
Advertising and/or PR
Web Strategy & Online Marketing Efforts
Business Partnerships & Marketing Alliances
Tradeshows/Exhibiting
Networking
Speaking Engagements
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Format
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Sales Planning Process and Analysis (1 page)
Breakeven Analysis: Number of Clients Needed
Sales closing rate
Repeat Sales
Referrals Patterns
Sales Cycle
Marketing Budget using the 10% of total organization
budget (1 page)
Timetable for Implementation and Milestones (1 page)
Appendix/Supporting Documents (unlimited)
Click Presentation
Your
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Focus on the audience: potential investors,
funders or other stakeholders
Well organized, professional and logical
presentation
Presents a compelling argument describing
your ability to be successful
Demonstration of excellent team work
What to Address
in thetitle
Presentation
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style
What products and/or services do you offer?
What markets do you target, both primary and
secondary?
What customers does your business appeal to?
Which product/service features are important to your
customers?
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Presentation
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Keys to
title
Success
style
Describe the value proposition for your customer.
Describe the decision-making process for the customer.
Who is your competition and what is your competitive
advantage?
What is your revenue or sustainability model?
What is your projected growth for the next six months,
one-year, three years
What expertise do you and your team bring to the
organization?
SAMPLE # 1
BigBelly in
Mexico
“Better solutions for
waste management”
Marketing Strategy
Victoria Landa
Executive Summary
Summary
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Already in 30 countries
Mexico start
Mexico City
Private Sector
Specific industries
Other industries
Other states
Government
Executive Summary
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GOALS
Government contact
42 u’s
Government negotiation start
17 u’s
Profile
Click to edit MasterClient
Demographics
title style
Private Universities
Hospitals
Shopping malls
Profile
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Needs
title style
Market research:
Important tasks
Overflow = collection schedule
$$$$$$$$$
Collection company
Size
Vandalism
Profile
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Lifetime
Value
MasterClient
title style
Acquisition
Advertising
Market Opportunity
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Overview
of Master
the marketplace
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Universities
Hospitals
Shopping Malls
Market
Opportunity
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Needs Assessment
Market Opportunity
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to Share
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Market
Clickhabits
“Old
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Master
hard”title style
Competition
1 – 3 trash cans per station
2 times a day
Manual separation process
Central Station
2 – 3 employees
Costs? What costs?
Problem: STUDENTS!!!!
Click to Marketing
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title style
SOCIAL MEDIA
1. Blog
2. Newsletter
3. Videos
ONLINE
NETWORKING
1. Web page
2. QR code
Sales
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Breakeven
style
Sales title style
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Repeat Sales = 2 years then 10 or more
Referrals = CITY, SECTORS, LEADERS,
BRANCHES
Sales
Click toCycle
Sales
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style
Leeds , classification, contact (1w)
Call, pitch (3w)
Think, come and go, waste analysis (1-2m)
Waste analysis and quote (1-2m)
CLOSING DEAL
Budget
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BUDGET
-MXN$5,500
(month)
- 1 month for web
- MXN $1,680 QR
codes
- PIVOT STRATEGY
Timetable
1.
2.
3.
4.
5.
6.
Blog = awareness
Webpage = simple
Newsletter = 17 units
Videos = how it works in Spanish
QR code = 2nd month
Networking
MARKETING PLAN SAMPLE #2
Browser Viajes is a travel agency based in Cordoba,
Argentina.
It is focused on outbound tourism, providing services to
local passengers who travel abroad.
Plan : start implementing the inbound department at the
beginning of 2013 providing travel services to South
American passengers travelling to Argentina.
OPPORTUNITY OF THE BUSINESS TO GROW
We must take advantage of the marketing Argentina is having as a
destination worldwide:
*Buenos Aires, the capital of Argentina was number 13 in the list of 25
top destinations in the world according to Tripadvisor .
*Several international tourism magazines are promoting the country.
GOALS OF THE BUSINESS
1- Increase profits by 10% by the end of 2013 by implementing the
department of inbound tourism.
2- Increase profits by 15% by the end of 2013 by increasing sales in the
outbound department.
DEMOGRAPHICS OF THE CLIENTS
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Geographic segmentation:
First we will target Brazil and we will see how our new
business works in that market. On the following months we
will move to these other adjacent countries: Uruguay and
Chile.
Demographic segmentation:
Young professionals above their 30's, professionals adults
above their 40's and retired people. All of them with a high
income.
Behavioral Segmentation
Premium passengers who are insensitive to prices. Passengers
willing to pay a little bit more in order to receive a premium
product and personalized attention
International tourist arriving to the International
Click
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Airports of Buenos Aires and Cordoba and the
Port of Buenos Aires. Third Quarter 2012
COUNTRY OF RESIDENCE
BUENOS AIRES AIRPORTS
Brasil
Chile
Uruguay
USA and Canada
Rest of America
Europe
Rest of the world
CORDOBA AIRPORT
Brasil
Chile
Rest of America
Rest of the world
BUENOS AIRES PORT
Uruguay
Rest of the world
NUMBER OF TOURISTS
AVERAGE STAY
Third quarter 2012
Share
Third quarter 2012
AVERAGE DAILY EXPENDITURE
( U$D)
Third quarter 2012
607.403
235.060
60.725
11.528
54.572
120497
93945
31076
12646
2372
4063
4671
1540
77429
72702
4727
100%
38,7%
10%
1,9%
9%
19,8%
15,5%
5,1%
100%
18,8%
32,1%
36,9%
12,2%
100%
93,9%
6,1%
13,4
6,3
6,3
4,9
20,5
18,7
25,8
13,3
14,6
9
10,5
16,6
27,8
4,1
3,9
7,5
90,2
174,7
130,8
97,7
85,6
69,1
50,1
113,6
74,1
77,1
98,6
66,1
62,7
84
84,8
77,8
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Competitive
Assessment
Browser Viajes has two main competitors :
•
Other travel agencies : 41 Inbound tourism travel agencies and 443
outbound tourism registered . Each of them target different type of
customers. Some of them focus on premium trips while others offer
standardized products.
•
Internet:
Airlines WebPages: Ex: www.lan.com, www.aa.com.
Hotel WebPages: Ex: www.marriot.com, www.hyatt.com.
Expedia, booking.com, despegar.com.
-----------------------------------------------------------------------------------------------------------------• To differentiate from our competitors we will focus our marketing activities
on the following strong characteristics of the agency:
- As an outbound tourism services provider : the ultra personalized
service and special attention we give to details creating a premium product.
- As an inbound tourism services provider we will promote not only our
ultra personalized service but also the opportunity that passengers from
abroad have of having their trip organized by local travel agents who are
based in the place where the service will be provided.
Marketing Channels & Mix
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Direct Mail
Social Media
Facebook
Blogging
Instagram
Advertising and/or PR: Destinations events: cocktails to present the
products we sell associated with local agents in each targeted market
Web Strategy :Development of a new website adding to it the inbound
department and the Portuguese version.
Tradeshows/Exhibiting: fairs/tourism conferences: first event to attend
to promote our products and to obtain partners in Brazil : World Travel
Market Latin America to be hold on Sao Paulo, Brazil , April 23-25 of next
year.
BREAKEVEN ANALYISIS
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Key Assumptions
Contribution per unit
Average cost of each package sold
U$d 4000
Revenue per package sold ( 10% commission)
400
Variable costs
0
Contribution per unit
400
Fixed costs
Break-even volume ( number of passengers
needed to Breakeven)
113,000
283
Operating Break Even Chart
500,000
400,000
300,000
200,000
100,000
0
0
100
200
300
400 Volume
500 600
700
800
900
Marketing Budget using the $25,000
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Timetable for Implementation
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and Milestones
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Presentation
Questions???
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Class Input/Feedback is Important
Schedule: Presentations July 2
15 minutes each is REALLY, REALLY tight
Volunteers for 3 – 4 teams to present on
Monday, July 1???
Benefit: Receive 24 add’l hours for written plan
Written plans for Mon, July 1 presenters will be
due on Wed, July 3 at 9 am
Others – due by beginning of class July 2 - Latte
Canadian
Breast
Cancer
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Master
titleFoundation
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Run for the Cure
$28.5 million raised
53% of funds
Total funds =
$10.2 million
CBCF
Lifetime
Value title style
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Audit to determine the value to companies
relative to licensing fee of $25,000
Raised to $50,000
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Cause
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Marketing
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Are consumers skeptical of CRM?
WHY?
How can CBCF mitigate this skepticism?
What’s the implications of pink washing
related to their decision?
What about the companies’ risk?
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Vita-King
Market and Mission
Men/women aged 18 – 55
Interest in healthy living
Daily Dose – multivitamin – logo & contribution
amount marked
Pro’s
Con’s
Click toVine
Grape
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Market and Mission
Personal connection to breast cancer
$300,000 direct donation – bear logo but
contributions not tied to individual sales
Proud Sponsor of CBCF
Pro’s
Con’s
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FluidChem
Market and Mission
Pink windshield wiper fluid
10 cent contribution per unit sold
Pro’s
Con’s
Click Compare
Let’s
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the 3title
proposals
style
What’s most lucrative for CBCF?
Which company aligns best with CBCF’s
values?
Which company would you recommend?
Vita-King
Grape Vine
FluidChem
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What
they
editdecided
Master title style
Vita-King rejected
Didn’t want to endorse a medically related product
FluidChem rejected
Didn’t fit with portfolio plus windshield washer fluid has
a poison sign on it – red flag
Grape Vine accepted
Fit portfolio; seasonal promotions appealing
GV partnered with a hotel with $1 from each bottle
donated - $17,000 contribution
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Future
What challenges do they have going forward?
How can they strengthen relationships with their
sponsors?
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Cause-Related
Marketing
title style
What are the Benefits?
Builds corporate brands
Improves corporate reputations &
competitiveness
Generates revenue – both
Is this a fair share?
Heightened awareness for a cause
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Would
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Master
these title
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for YOU?
Message promotion
Licensing
Issue or target focused
Business activity
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Cone
Global
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CSR Study
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(on Latte)
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But Compare 2013 to
2011…this has dropped
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Altruism
– Does
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it Have
title style
a Role?
“If you did it and didn’t tell anybody, you
didn’t do it.” David Ogilvy
Has philanthropy
ever been purely
altruistic?
Does that matter?
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Attracting
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What’s
in Online
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titleMarketing
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Source: http://www.e-benchmarksstudy.com/
Full Report posted to Latte
Click to editBenchmark
eNonProfit
Master titleStudy
style
Click to editBenchmark
eNonProfit
Master titleReport
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Since 2011, online monthly giving has grown 43%
21% annual increase in online revenue overall
Some email efforts are down:
14% drop in clickthrough rates for advocacy messages
27% decline for fundraising messages
Social media audience growth outpaced email lists
Facebook Fans grew 46%
Twitter followers increased 264%
Facebook is the primary social network for connecting
with supporters
Click toRates
Email
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by Message
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Type
Click toOpen
Email
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Rates by
title
Sector
style
Click toClick
Email
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Rates
title by
style
Org Size
Advocacy
(Action
Focused)
Click-Thru
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Master
title
style Rates
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Fundraising
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Message
Type
Master title style
Click to editBenchmark
eNonProfit
Master titleStudy
style
Click to editBenchmark
eNonProfit
Master titleStudy
style
Click toFollowers
Twitter
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bytitle
Sector
style
Click to editFans
Facebook
Master
by Sector
title style
Click to editPosts
Facebook
Master
pertitle
Daystyle
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Lifetime
Virality
Master
(Like/Share/Post)
title style
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Click toGifts
Online
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Click toFundraising
Online
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titleSource
style
Click
to editTop
Master
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Non Profit
Brands
Harris Poll
ClickProfit
Non
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Brands
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ClickProfit
Non
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Master
Brands
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Click Class
Next
to editAssignment:
Master title style
June 27
Book: Lucky By Design: Chapters 22 – 29
Case: Netflix
Articles
Marketing When Customer Equity Matters
Worksheets Due:
Worksheet 14.1: Customer Lifetime Value
Assignment Due:
Interview with a Marketing Director Write-up
Guest Speaker: Stuart Paap, Wells Fargo
Former Comedian who does a LOT of speaking gigs