By:Omkar yadav

Introduction Marketing Planning Approaches Content of Marketing Plan Marketing Plan Process Marketing Control Techniques 1. Marketing Audit 2. Use of Marketing Ratios

Corporate Level

Strategic Planning

Business Level

Marketing Planning

STRATEGIC PLANNING : a stream of decision and action that guides the firms long-term growth and shapes the strategies needed for achieving them.

Four Issues Tackles by Strategic Planning

Purpose, Mission And Vision Objectives Choice of Business Course of action to achieve the objective

1.
2. 3.

4.

HOW DOES STRATEGIC PLANNING HELP THE FIRM? Provide the direction to the firm and serves as a road map. Prepare the firms to face the future. Bring forth the strategic decision concerning the firms. Helps in acquiring competitive advantages Optimum utilization of resources.

1. 2. 3. 4. 5.

Marketing Planning :A marketing plan outlines the specific actions you intend to carry out to interest potential customers and clients in your product and/or service and persuade them to buy the product and/or services you offer.

(1)Think long term

BENEFITS OF MARKETING PLAN

(2) Stick with their marketing efforts long enough to reap results

(3) Monitor their competition, but not overreact to it

(4) Focus their efforts on achieving their specific goals and objectives

(5) Target their primary customer vs. trying to market to everyone

(6) Spend their budget more efficiently and effectively (7) Understand what marketing works and doesn't work for their business (8) Get smarter about marketing every year they are in business

A.

Profit Impact of Marketing Strategic (PIMS)

B.
1. 2.

Portfolio Methods Boston Consulting Group Approach (BCG) General Electrical Approach (GE)

BOSTON CONSULTING GROUP (BCG) MATRIX is developed by BRUCE HENDERSON of the BOSTON CONSULTING GROUP IN THE EARLY 1970s.
According to this technique, businesses or products are classified as low or high performers depending upon their market growth rate and relative market share.

To understand the Boston Matrix you need to understand how market share and market growth interrelate.

Market share is the percentage of the total market

that is being serviced by your company, measured either in revenue terms or unit volume terms.

RELATIVE MARKET SHARE

RMS = Business unit sales this year Leading rival sales this year The higher your market share, the higher proportion of the market you control.

Market growth is used as a measure of a markets

attractiveness. MGR = Individual sales - individual sales this year last year Individual sales last year Markets experiencing high growth are ones where the total market share available is expanding, and theres plenty of opportunity for everyone to make money.

It is a portfolio planning model which is based on the observation that a companys business units can be classified in to four categories:

Stars Question marks Cash cows Dogs

It is based on the combination of market growth and market share relative to the next best

competitor.

Stars are leaders in business. They also require heavy investment, to maintain its large market share. It leads to large amount of cash consumption and cash generation. Attempts should be made to hold the market share otherwise the star will become a CASH COW.

Low growth , High market share

They are foundation of the company and often the stars of yesterday. They generate more cash than required. They extract the profits by investing as little cash as possible They are located in an industry that is mature, not growing or declining.

Dogs are the cash traps. Dogs do not have potential to bring in much cash. Number of dogs in the company should be minimized. Business is situated at a declining stage.

Most businesses start of as question marks. They will absorb great amounts of cash if the market share remains unchanged, (low). Why question marks? Question marks have potential to become star and eventually cash cow but can also become a dog. Investments should be high for question marks.

To assess : Profiles of products/businesses The cash demands of products The development cycles of products

Resource allocation and divestment decisions

Identifying and dividing a company into SBU. Assessing and comparing the prospects of each SBU according to two criteria : 1. SBUS relative market share. 2. Growth rate OF SBUS industry. Classifying the SBUS on the basis of BCG matrix. Developing strategic objectives for each SBU.

BCG MATRIX is simple and easy to understand. It helps you to quickly and simply screen the opportunities open to you, and helps you think about how you can make the most of them. It is used to identify how corporate cash resources can best be used to maximize a companys future growth and profitability.

BCG MATRIX uses only two dimensions, Relative market share and market growth rate. Problems of getting data on market share and market growth. High market share does not mean profits all the time. Business with low market share can be profitable too.

scorpio

Jeep

balero

Though BCG MATRIX has its limitations it is one of the most FAMOUS AND SIMPLE portfolio planning matrix ,used by large companies having multi-products.

1.Executive Summary 2.Situation Analysis 3.Objective 4.Marketing Strategy 5.Implementation Programme 6.Projected Profit and Loss Statement 7.Control System

Participant Scheduling Review Monitoring

There is no planning without control. Marketing control is the process of monitoring the proposed plans as they proceed and adjusting where necessary. If an objective states where you want to be and the plan sets out a road map to your destination, then control tells you if you are on the right route or if you have arrived at your destination.

Set Objectives

Measure Performance

Evaluate the Performance

Take corrective actions

What We want to achieve?

What is happened?

Why is it happened?

What should we do about it?

Marketing Audit : A marketing audit is a structured review of your current marketing activities.
It gives you the opportunity to review objectively what you are currently doing and it enables you to analyse your current performance as well as your past performance. Based on this you can then identify the next steps forward. Only by carrying marketing audits out on a regular basis you can be sure that you are moving with the time and anything your marketing departments does is in line with the internal and external environment and therefore provides the best possible benefit to your business.

Marketing Ratios :