MARKETING PLANNING

1
MARKETING PLANNING

• Understand planning at various levels
• Appreciate the place of marketing planning in the
  organisation
• Have a knowledge of the steps in the marketing
  planning process.

2
The subject of marketing planning is rather
rapidly developing its own mythology and
certainly its own jargon. What should be a
highly practical exercise has become arcane as
writer after writer tries to put his own method
and language on it. There is plenty of evidence
that planning is badly done in many
organisations, but those who would help to
improve it have, alas, too often set the process
back by the act of obfuscation. (Anon)
3
PLANNING SIMPLIFIED

• Where are we now? (Audit)
• Where do we want to go? (Objective)
• How will we get there? (Strategy)
• How much will it cost? (Budget)
• When will we get there? (Schedule)

4
MARKETING AND PLANNING

• Planning occurs at various levels in large
  organisations - corporate, division, business
  unit product levels.
• Marketing contributes at all levels.
• Plans become more detailed and actionable from
  corporate through to product levels.

5
CORPORATE LEVEL PLANNING

• Define corporate mission
• Establish strategic business units (SBU)
• Assign resources to SBUs
• Plan new businesses

6
UNILEVER BRANDS Liptons Eliz. Arden Calvin Klein
Walls John West Birds Eye Dove Ponds Magnum Omo
Batchelors Oxo Radion Comfort Flora Krona Lynx
Blueband Sure Lux SunSilk Domestos Findus
Mentadent Signal Ragu Hellmanns Knorr Cif
Vaseline Intensive Care Organics I Cant Believe
Its Not Butter...
7
SBU/BUSINESS LEVEL PLANNING

• Business mission
• External environment analysis
• Internal environment analysis
• Goal formulation
• Strategy formulation
• Program formulation
• Implementation
• Feedback and Control Kotler (2000)

8
MARKETING PLANNING PROCESS - McDonald

• Corporate objectives
• Marketing Audit
• SWOT Analysis
• Assumptions
• Marketing objectives and strategies
• Estimate expected results
• Identify alternative plans and mixes
• Programmes
• Measurement and Review

PLAN CONTAINS SWOT ASSUMPTIONS OBJECTIVES STRAT
EGIES PROGRAMMES BUDGETS
9

• CORPORATE OBJECTIVES
• Formed as part of corporate planning.
• Informed by marketing information.
• Give overall long-run company direction
• Can be expressed in such terms as
• Growth
• Profitability
• Market domination
• Product leadership
• Social responsibility

10
MARKETING OBJECTIVES

• State what is to be achieved
• Measure performance of marketing operations
• Link marketing plans to overall plans
• Clarify expectations at marketing department
  level provide motivation
• Relate to products and market segments

11
MARKETING STRATEGY

• How marketing objectives are to be achieved.
• Positioning in relation to segments.
• How the marketing mix variables are to be
  deployed - product line, sales force, service
  levels, advertising and promotional support,
  market research, distribution

12
OUR STRATEGY

• Defines homogeneous targets
• Contains segment specific propositions
• Is unique
• Leverages strengths and weaknesses
• Creates synergy
• Makes tactics obvious
• Is aligned to objectives
• Anticipates the future
• Makes clear our basis of competition
• Is properly resourced

13
MARKETING CONTROL

• STRATEGIC CONTROL
• THE MARKETING AUDIT
• MARKETING EFFECTIVENESS RATING REVIEW

• ANNUAL PLAN CONTROL
• SALES ANALYSIS
• MARKET SHARE ANALYSIS
• SALES TO EXPENSES
• FINANCIAL ANALYSIS
• ATTITUDE TRACKING

14
POSSIBLE AUDIT FINDINGS

• Unclear / inappropriate marketing objectives
• Inappropriate marketing strategies
• Inappropriate levels of marketing expenditure
• Needed improvements in organisation
• Needed improvements in systems for marketing
  information, planning and control
• Kotler, Gregor Rodgers 1977

15
CHALLENGES FOR MARKETING (NEAR-TERM)

• Measuring marketing effectiveness
• Managing and executing campaigns
• Building customer-centric MIS
• Fostering the brand through innovation
• Improving return on marketing technology
  investments
• IBM survey, 2003

16
COMMON MARKETING METRICS

• Intermediate consumer measures
• Consumer behaviour
• Trade customer
• Metrics relative to competitors
• Innovation
• Financial
• Ambler and Riley (2000) Marketing metrics
  London Business School Working paper, 00-901.
  Http//www.london.edu/Marketing