Basis for marketing strategies and plans
Topic questions
• How does marketing affect customer value?
• How is strategic planning carried out at different
levels of the organization?
• What does a marketing plan include?
Core business processes
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Market-sensing process
New-offering realization process
Customer acquisition process
Customer relationship management process
Fulfillment management process
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Core competences
• What is core competence?
– Significant contribution to customer benefits source
of competitive advantage.
– Applicable in many (all) of the markets that the
company operates in.
– Difficult for competitors to steal or imitate.
• Concentrating in core competence and outsourcing
the activities that a potential partner is doing more
efficiently Overall efficiency and competitive
strength.
Strategic planning process
Mission
• What is/will be/should be our business?
• Who is the customer?
• What is the provided value?
The reason for which the company exists.
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Product/market oriented business definition
Company
Product
Market
Missouri-Pacific
Railroad
We run a railroad
We are a peopleand-goods mover
Xerox
We make copying
equipment
We improve office
productivity
Standard Oil
We sell gasoline
We supply energy
Columbia Pictures
We make movies
We entertain
people
Dimensions of business definition
Customer
groups
Customer
needs
Technology
Ansoff’s product-market decisions
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Porter’s generic competitive strategies
• Cost leadership
– Economies of scale
– Economies of scope
• Differentiation
– Providing superior customer value
– Shifting the competition from price to other attributes
• Focus
– Concentrating on one or few customer segments
– Competitive strength through specialization
Levels of marketing plan
• Company/SBU level
– Analysis of marketing opportunities
– Target marketing decisions
– Value proposition
• Product (line) level
– Product features
– Promotion
– Merchandising
– Pricing
– Sales channels
– Service
The SWOT analysis
• Internal analysis
– Strenghts and weaknesses
– Customer’s opinion
– Compared to the competitors
• Environmental analysis
– Opportunities and threats
– Assess the propability and importance
• The same phenomenon/attribute can’t be in more
than one category divide in components
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Setting goals and planning the actions
• Is it possible to benefit from certain opportunities by
utilizing our strengths?
• What are the most critical weaknesses that we
should develop?
• Is it possible to avoid threats? If not, how to minimize
the propabilities/influence?
What we want to achieve = goals?
How are we going to achieve the goals = action plan?
Who is doing what, by when, with which resources =
programming?
The contents of a marketing plan
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Situation analysis
Description of company objectives and goals
Strategies applied to achieve the goals action plan
Financial projections
Programming: Sharing the responsibilities and timing
Controls of implementation
Strategic planning process
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