Upload
nikhilraj9322
View
219
Download
0
Embed Size (px)
Citation preview
8/8/2019 Session 2 - Marketing Planning
1/32
MARKETING PLANNING, MANAGEMENT AND
CONTROL
8/8/2019 Session 2 - Marketing Planning
2/32
PLANNING
A systematic process of forecasting the future business
environment and deciding on the most appropriategoals, objectives and positions for best exploiting that
environment.
Planning is an activity and a process.
8/8/2019 Session 2 - Marketing Planning
3/32
THE MARKETING PLAN
Provides clear and unambiguous statement about the
strategies and actions that will be implemented, bywhom, when and with what outcomes.
8/8/2019 Session 2 - Marketing Planning
4/32
Criteria for differentiating plans
Organisational - long term and strategic in focus.
Divisional - implementation focus within a shorter time
span and within clearly specified parameters.
Timing.
Regularity - longer term plans have annual reviews
whilst short term plans are often part of a hierarchylinking strategy with operations.
Focus - organisational, functional, etc.
8/8/2019 Session 2 - Marketing Planning
5/32
Planning - the benefits
Figure 21.1
8/8/2019 Session 2 - Marketing Planning
6/32
Planning - the pitfalls
Planning can become technique oriented.
Embracing planning eagerly with dedicated planning
departments can divorce the professional planner fromthose who have to implement them.
Planning can fail if unreliable information is used.
8/8/2019 Session 2 - Marketing Planning
7/32
The marketing planning process
Figure 21.2
8/8/2019 Session 2 - Marketing Planning
8/32
(1)- Objectives, targets and mission
Quantitative targets - e.g. financial, operating, etc.
Philosophical targets - vision and values.
Qualitative targets - service levels, etc.
8/8/2019 Session 2 - Marketing Planning
9/32
Qualitative targets
Figure 21.3
8/8/2019 Session 2 - Marketing Planning
10/32
Objective trade offs
Short term v long-term growth.
Profit margin v market positioning.
Direct sales effort v market development. Penetrating existing markets v developing new ones.
Profit v non-profit goals.
Growth v stability.
Change v stability.
Low risk v high risk.
8/8/2019 Session 2 - Marketing Planning
11/32
(2)- The marketing audit
Takes stock of a companys marketing health.
Is the launching pad for the marketing plan.
Encourages management to reflect on the environment
and companys ability to respond.
Encompasses the external and internal audit.
8/8/2019 Session 2 - Marketing Planning
12/32
Marketing audit issues
Macro environment.
Task environment
Markets.
Strategic issues.
Marketing mix.
Marketing organisational structure and organisation.
8/8/2019 Session 2 - Marketing Planning
13/32
(3)- Marketing analysis
S - strengths.
W - weaknesses.
O - opportunities.
T- threats.
8/8/2019 Session 2 - Marketing Planning
14/32
(4)- Marketing objectives
Four fundamental areas related to marketing objectives:
Achieving market share growth or maintenance
The maintenance or improvement of profitability
Establishing an opening marketing position
Maximising cash flow, harvesting
8/8/2019 Session 2 - Marketing Planning
15/32
(5)- Marketing strategies and actions
The means by which a company sets out to achieve its
marketing objectives. This can be by:
Repositioning the product.
Improving product packaging.
Amending prices.
Improving productivity.
Standardisation.
Changing sales or customer mix.
8/8/2019 Session 2 - Marketing Planning
16/32
(6)- Marketing programmes
Precisely specify actions, responsibilities, timescales
(7)- Marketing budget
Precise and detailed:to justify the resources requested;
to permit detailed control and evaluation
Flexibility: to cope with changing circumstances
(8)- Marketing control and evaluation
Short-term and long-term
8/8/2019 Session 2 - Marketing Planning
17/32
Market and sales potential
The maximum level of demand available within the total
market over a given period.
Difficulties in estimating market potential:
Maximum level of demand.
Total market.
Level of competitive activity and trends.
Sales potential.
8/8/2019 Session 2 - Marketing Planning
18/32
Estimating market and sales potential
Breakdown methods - based on total market
measurement or statistical series analysis.
Build up methods - census, survey and secondary data.
8/8/2019 Session 2 - Marketing Planning
19/32
Market and sales forecasting
The sales and market forecasts provide the basis for all
subsequent planning and decision making.
Forecasting indicates what will happen in a given
environment if a specific set of decisions and actions is
implemented with no subsequent changes.
8/8/2019 Session 2 - Marketing Planning
20/32
Forecast characteristics
(Wheelwright and Makridakis, 1977)
Based on historical information from which projections
can be made.
Look forward over a specific, clearly defined time period.
Make clearly specified assumptions, since uncertainty
characterises the future.
8/8/2019 Session 2 - Marketing Planning
21/32
The four stage approach to forecasting
(Wolfe 1966)
Figure 21.4
8/8/2019 Session 2 - Marketing Planning
22/32
Forecasting methods
Figure 21.5
8/8/2019 Session 2 - Marketing Planning
23/32
Different ways of organising marketing activities
Function.
Product.
Geographically.
Segments.
Matrix.
8/8/2019 Session 2 - Marketing Planning
24/32
Functional organisation
Figure 21.6(a)
8/8/2019 Session 2 - Marketing Planning
25/32
Product organisation
Figure 21.6(b)
8/8/2019 Session 2 - Marketing Planning
26/32
Regional organisation
Figure 21.6(c)
8/8/2019 Session 2 - Marketing Planning
27/32
Matrix organisation
Figure 21.6(d)
8/8/2019 Session 2 - Marketing Planning
28/32
The marketing control process
Figure 21.7
8/8/2019 Session 2 - Marketing Planning
29/32
Examples of marketing performance evaluation
methods
Sales analysis.
Costs and profitability analysis.
8/8/2019 Session 2 - Marketing Planning
30/32
Sales analysis
Figure 21.8
8/8/2019 Session 2 - Marketing Planning
31/32
Marketing costs and profitability analysis
Figure 21.9
8/8/2019 Session 2 - Marketing Planning
32/32
Problems estimating marketing costs according to
Wilson et al 1992
Long term or lagged effects.
Joint costs.
Isolating effects.