16-Compost-Marketing.. - US Composting Council

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COMPOST MARKETING
Vincent Tye
Recology Grover Environmental Products
General Manager
Organics Sales Manager
March 7, 2013
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Recology Grover Site
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Initial Observations
Marketing and Sales . . .
• Necessary to facility success
• Important to approach systematically
• Separate but related functions
• Integrate with other facility functions
• May be separate departments . . .
• Or done by one person/team
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Marketing and Sales
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Marketing Defined
The Marketing Mix
The Marketing Plan
Sales Defined
Sales Strategy
Sales Force
Customer Service
Sales Evaluation
Conclusions
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Definition of Marketing
Marketing is the strategic process of
bringing products and services to
market that fulfill a customer’s value
requirements.
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Components of the Definition
Marketing is …
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Integral to strategy
A dynamic process
Customer oriented
Value focused
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The Basic Marketing Mix
• The Four P’s of the Marketing Mix:
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Product – products and services offered
Place – distribution of products/services
Price – adoption of pricing strategies
Promotion – marketplace awareness
• Framework for Marketing Plan
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The Marketing Plan
Elements of a successful plan:
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Built on the Marketing Mix framework
Strategically integrated with business plan
Interdepartmental involvement
Addresses the appropriate timeframe
Based on objective market research
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Sample Marketing Mix
Product
Place
Price
Promotion
Products Offered
Process Type
Pricing Strategies
Advertising Strategy
Product Research
Inventory Control
Volume Discounts
Trade Shows
Field Trials/Testing
Facility Location
Published Prices
Product Displays
Product Branding
Market Proximity
Quantity Discounts
Product Give-aways
Bagged v. Bulk
Distribution Channels Seasonal Pricing
Discount Coupons
Markets Served
Specifier Education
Market Research
Technical Assistance
Market Segments
Market Share
Customer Share
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The Marketing Plan
Structuring the Marketing Plan:
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Current market analysis
SWOT analysis of current conditions
Long/Short-term marketing objectives
Specific achievement goals
Financial analysis
Evaluation mechanisms
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The Marketing Plan
• Current Market Analysis:
 Describe current market conditions:
 Products/Services Offered
 Who are your customers
 Who are your competitors
 Where are your markets
 Identify regulatory challenges
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The Marketing Plan
• Current Market Analysis:
 Describe current market conditions:
 Products/Services Offered
 Branded products
 Generic vs. Custom Products
 Wholesale or Retail Products
 Bagged vs. Bulk
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The Marketing Plan
 Branded products . . .
o Establish a unique product identity
o Connects the product to your company
o Brand name equates to quality product
o Assures satisfaction of value perceptions
o Name/Logo related to product value
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The Marketing Plan
Branding Examples
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The Marketing Plan
• Current Market Analysis:
 Describe current market conditions:
 Who are your customers
 What business are we in?
 What constitutes value?
 Where are your markets
 Understand market segmentation
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Custom Blending
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Custom Spreading
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The Marketing Plan
 Market Share . . .
The percentage of a given market area’s total compost
sales earned by your company over a specified time
period.
(Breadth)
 Customer Share . . .
The percentage of a given customer’s total compost
sales earned by your company over a specified time
period.
(Depth)
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The Marketing Plan
• SWOT Analysis of Current Conditions:
 Analyze each market condition:
 STRENGTH
 WEAKNESSESS
 OPPORTUNITY
 THREAT
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The Marketing Plan
• Long/Short-term Marketing Objectives:
 Broadly define strategic objectives:
 Briefly describe 2 – 5 year context
 Specifically define short-term objectives
 Use qualitative and quantitative terms
 Utilize the Marketing Mix framework
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The Marketing Plan
• Long/Short-term Marketing Objectives:
 Broadly define strategic objectives:
 Briefly describe 2 – 5 year context
To establish a marketing and sales presence in
the Willamette Valley wine grape market by
the end of calendar year 2014
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The Marketing Plan
• Long/Short-term Marketing Objectives:
 Broadly define strategic objectives:
 Specifically define short-term objectives
To increase compost sales in Butte
County by 5% by the end of 2014.
Add two major accounts in each sales
territory by the end of 2013.
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The Marketing Plan
• Specific Achievement Goals:
 Clearly define SMART goals:
 S – specific goal statements
 M – measurable goals
 A – attainable goals
 R – realistic goals
 T – timely goals
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The Marketing Plan
• Financial Analysis:
 Develop a marketing budget:
 Must be consistent with business plan
 Involves input from other departments
 Include allocations for all activities
 Create a living budget (reforecasting)
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The Marketing Plan
• Evaluation Mechanisms:
 Process for tracking goal achievement:
 You can manage what you measure
 Examine progress on broad objectives
 Primary focus is SMART goals
 Import sales reports
 Include mechanisms for correction
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What is Sales?
• Definition of Sales
• Essential elements of the Sales process
• Focus on specific elements:
 Developing a sales strategy
 Deploying the sales force
 Servicing the customer
 Evaluating performance
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Definition of Sales
Sales is the integrated process of
developing, managing, and executing a
mutually beneficial exchange of goods
and/or services for value
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Sales Strategy
• Developing a sales strategy . . .
 Strategy complements marketing plan
 Emphasizes critical market approach:
 Market share
 Customer share
 Addresses customers’ value perceptions
 Utilizes Brand identity
 Promotes benefits of quality compost
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Sales Force Deployment
• Deploying the sales force . . .
 Knowledge of product and industry
 Clearly define sales territories
 Determine methods of deployment
 Understanding of strategic approach:
 Focus on strategic target markets
 Emphasize market or customer share
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Sales Force Deployment
 Knowledge of product and industry . . .
Product/Industry Knowledge
Personal Characteristics
Composting Process
Honesty/Integrity
Compost Uses and Benefits
Confidence
Product Quality
Enthusiasm
Regulatory and Safety Issues
Acceptance of rejection
Competitors and products/pricing
Initiative
Customer’s Industry
Persistence
Passion
Eagerness
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Servicing the Customer
• Servicing the Customer . . .
 Prompt responses to inquiries/complaints
 Accurate and timely proposals
 Consistent product quality
 Realistic and accurate scheduling
 Reliable and courteous delivery system
 Consistent “after-sale” follow through
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Evaluating Performance
• Evaluating sales performance . . .
 Initiate sales reporting procedures
 Develop meaningful metrics
 Establish regular review meetings
 Encourage customer feedback
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ANY QUESTIONS?
Contact Information:
Vince Tye
209.830.3001
vtye@recology.com
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