marketing

By Ben Youn

Copyright 2014 Quantum Business House

WELCOME to QUANTUM BUSINESS HOUSE

2 hours for each session 10 minutes tea time Bathroom & Kitchen Today’s Speaker Please network each other Future Plan- Business Forum- Networking Events- Business Mentoring


House Keeping Time

1. Setting up business structure (June 04) 2. Buying a business (June 11)3. Business Planning (June 18)4. Marketing (June 25)5. Raising Finance (July 02)6. Financial Management (July 09)7. Tax system and compliance issues (July 16)8. Risk management (July 23)9. Financial Health Check (July 30)10. Business Evaluation (August 06)


Start-Up Business Seminar 2014

2.Marketing

Value Focused Marketing



Customer Value Matrix

Manage- For those customers current and potential

value are low.- High costs but lower margins- Manage costs or Remove



Retain- For those customers current value is high

but low potential value- Retain and manage those customers not to

leave as they are profitable now. - Beware over-investments (cost

management)



Grow- For those customers current value is low but

their potential value is high - Provides future opportunities- Prioritise your investments to them- Relationship Management – Loyalty strategy- Beware your competitors, they are looking

at your customers



Promote- For those both current and potential values

are high.- Goldmine customers- Improve your services (Gold membership)- Relationship management - Beware your competitors



Leverage the sales opportunity- Increase current value in maximum level- Promotions - Relationship management- Increase potential future values of the

customer- Referrals



Current competitors- Gather and analyse information (Financial

information, market reputation etc.)

Substitute- Those providing products and services for

the same underlying needs (Laptop computer vs. iPad)

- If their value proposition is more attractive, your business loses market shares


Competitor Analysis

New Entrants- Beware if you are in technology based

industry- Build Barriers (Patents, capital etc)


Competitor Analysis

What is Value Proposition?- Your business focus on value oriented

activities with which your customers are willing to pay!!

For ALL stakeholders involvement Identify where you can create value Allocate the value to each stakeholder Value Chain Management Value added, Non-value added but

necessary & Non-value added to scrap


Value Proposition

Step 1: Identify value (Value Map based on Strategic Business Plan – See the sample)

- Where your business creates value - Value chain analysis relevant to your industry- Value to be measurable (e.g. KPIs including

customers service calls, number of new customers; the time for delivery etc)

- Value to be relevant: Focus on key value drivers. Business plan must reflect this.

- Value to be linked to a stakeholder: customers, suppliers, shareholders and employees


Value Proposition

Step 2: Value allocation to stakeholders- Self evident- Identify key stakeholders- Allocate the value identified to each

stakeholder and share the value.- Voice of Customer (VOC): becoming a

customer oriented organisation (seeing through your customers’ eyes)


Value Proposition


Quality Function Deployment (QFD)

Very customer-focused method for product and service design.

Bringing the VOC into your business rather than relying on internal discussion and experts to their business decision about products and services

More efficient, effective planning and reducing cost and time for development.


Quality Function Deployment (QFD)

Product and Service1. Features – benefit analysis: the more benefits a

product provides the greater their perception of ‘value for money’.

- For your advertisement, you must isolate the features that will encourage your customers to buy your products and services

2. Type and level of customer service- Consider the cost of providing services, what your

competitors offer and what the customers expect.


Marketing Strategy

Product and Service3. Product Strategy- Needs of your target market should be the

key determinant- Product line- Product breadth- Product depth- Product mix


Marketing Strategy

Promotion and Advertising Plan- Align with marketing objectives not only

sales revenue side but changing behaviours and perception of your customers

- Encouraging the existing customers to buy more

- Encouraging new customers to try your products and services

- Raising awareness of the product and its name


Marketing Strategy

Promotion and Advertising- Build competitive advantage points e.g. free

installation, free training extended warranty, unique product


Marketing Strategy

Place and Distribution - How your products and services will be

offered for sale- Direct sale vs. third party sales (retailers):

Decision of “make or buy”- Supply Chain Management with Lean

Management Principles


Marketing Strategy

Price Strategy- Break-even analysis- Interrelation of a number of factors to get the

best combination of sales volume, price and costs while being consistent with your overall image

- Price your customers are willing to pay depends on how they value your product and services.

- In fact, your cost is irrelevant to the customers


Marketing Strategy


Marketing Strategy


CRM System (Xero Add-ons) Newsletters and email marketing

(MailChimp) Use your tax invoice for marketing tool

(invoice design)

Tools for Marketing


Marketing Raising Finance Financial Management Tax system and compliance issues Risk management Financial Health Check Business Evaluation

To be Continued!!

marketing

Business

value value map

quantum business house

business focus

customers current value

business evaluation

business structure

business planning

industry value