mkt524 lectures 2-3 strategic marketing planning part a
TRANSCRIPT
-
8/11/2019 MKT524 Lectures 2-3 Strategic Marketing Planning Part A
1/25
STRATEGIC MARKETING
PLANNING
What is planning?
-
8/11/2019 MKT524 Lectures 2-3 Strategic Marketing Planning Part A
2/25
Planning is preparing for tomorrow.
It involves decisions on: where one wants to be tomorrow and
how one is going to get there
What is Strategic marketing planning?
-
8/11/2019 MKT524 Lectures 2-3 Strategic Marketing Planning Part A
3/25
It is the process of analysing opportunities,
choosing objectives, developing strategy,
formulating annual marketing plan/programsand carrying out implementation and control.
-
8/11/2019 MKT524 Lectures 2-3 Strategic Marketing Planning Part A
4/25
There are:
long-range plans and short range plans
-
8/11/2019 MKT524 Lectures 2-3 Strategic Marketing Planning Part A
5/25
Short range plans cover in great detail
the targets and programs for the
immediate future, usually for a year.
-
8/11/2019 MKT524 Lectures 2-3 Strategic Marketing Planning Part A
6/25
Long-range plans are concerned with
five or more years away and address
themselves to broader issues in much
more general terms.
-
8/11/2019 MKT524 Lectures 2-3 Strategic Marketing Planning Part A
7/25
STRATEGIC MARKETING
PLANNING PROCESS
The process can be sub-divided into
seven steps.
-
8/11/2019 MKT524 Lectures 2-3 Strategic Marketing Planning Part A
8/25
Step 1: Environmental Analysis or
Situational Analysis.
Step 2: Overall Mission or Purpose and
Vision
Step 3: Setting Specific Objectives
-
8/11/2019 MKT524 Lectures 2-3 Strategic Marketing Planning Part A
9/25
Step 4: Strategies
Step 5: Development ofAnnual Action Plan/tactics
Step 6: Implementation
Step 7: Control/Evaluation
-
8/11/2019 MKT524 Lectures 2-3 Strategic Marketing Planning Part A
10/25
-
8/11/2019 MKT524 Lectures 2-3 Strategic Marketing Planning Part A
11/25
Step 1: Environmental Analysis orSituational Analysis.
This step should deal with business researchand SWOT analysis (i.e. strengths,
weaknesses, opportunitiesand threats)
Here you need to also conduct:
-market analysis-competitors analysis
-
8/11/2019 MKT524 Lectures 2-3 Strategic Marketing Planning Part A
12/25
Opportunities and Threats Analysis in the
External Environment Opportunities:
One of the major purposes of environmentalanalysis is to identify new opportunities in the
external environment.
A company marketing opportunity can bedefined as:
An attractive arena for company marketing
action in which the company would enjoy acompetitive advantage
-
8/11/2019 MKT524 Lectures 2-3 Strategic Marketing Planning Part A
13/25
The key to a company marketing opportunity
lies in the question of whether the specific
company can bring more to its environmentalopportunity than its potential competitors.
This opportunities should be classified
according to their:-attractiveness and
-the success probability that the company
would have with each opportunity.
-
8/11/2019 MKT524 Lectures 2-3 Strategic Marketing Planning Part A
14/25
Threats: Some of the developments in the
external environment represent threats.
An environmental threat can be defined as: A challenge posed by an unfavourable trend
or development in the environment that
would lead, in the absence of purposefulmarketing action to erosion of the
companys position.
These threats should be classified accordingto their seriousness and probability of
occurrence.
-
8/11/2019 MKT524 Lectures 2-3 Strategic Marketing Planning Part A
15/25
Strengths/Weaknesses in InternalEnvironmental Analysis
It is one thing to identify attractiveopportunities in the environment, it isanother to have the necessary competenciesto succeed in these opportunities.
Each business needs to evaluate itsstrengths and weaknesses periodically.
In general, the company has to monitor keymacro-environmental forces such as:
demographic, economic, technological,political, legal, and social factors that affectits business.
-
8/11/2019 MKT524 Lectures 2-3 Strategic Marketing Planning Part A
16/25
It must also monitor significant micro-
environmental actors such as:
Customers, competitors, distribution channels,suppliers that affect its ability to earn profit in
the market place.
In addition to the current situation the analysisshould cover:
-future situation, and
-any local problems and opportunities whichare expected to come up during the period
under review
-
8/11/2019 MKT524 Lectures 2-3 Strategic Marketing Planning Part A
17/25
Step 2: Overall Mission/Purpose and
Vision
Based on the analysis in Step 1, thecompany should now set the overall
mission/purpose and vision for its
business operations.
-
8/11/2019 MKT524 Lectures 2-3 Strategic Marketing Planning Part A
18/25
THE FIRMS MISSION AND
VISION A mission statement should answer the
question What is our business? and
A vision statement should answer the
question What do we want tobecome?
-
8/11/2019 MKT524 Lectures 2-3 Strategic Marketing Planning Part A
19/25
According to Jonathan Swift
Vision is the art of seeing things invisible
The very essence of leadership is that you have to
have vision.
You cant blow an uncertain trumpet says
Theodore Hesburgh
-
8/11/2019 MKT524 Lectures 2-3 Strategic Marketing Planning Part A
20/25
Having clear vision will provide foundation
for comprehensive mission statement
-
8/11/2019 MKT524 Lectures 2-3 Strategic Marketing Planning Part A
21/25
A mission statement revealsthe long-term vision of anorganisation in terms of:
what it wants to be and
whom it wants to serve
-
8/11/2019 MKT524 Lectures 2-3 Strategic Marketing Planning Part A
22/25
It describes an organisations:
Creed statement purpose
customers
products or services markets
philosophy and
basic technology
-
8/11/2019 MKT524 Lectures 2-3 Strategic Marketing Planning Part A
23/25
The fundamental questions are:
Who are we and what should we do?
What activities should we engage in?
What products or services do we want
to provide? In what kinds of markets and
technology do we want to be involved
in?
-
8/11/2019 MKT524 Lectures 2-3 Strategic Marketing Planning Part A
24/25
Who should our customers be and
why should they buy our products
and/or services?
What if anything, should we do that
is distinctive or better or otherwise
different from other organisations?
-
8/11/2019 MKT524 Lectures 2-3 Strategic Marketing Planning Part A
25/25
Importance of Mission and
Vision Statements Unity of purpose within the organization
Basis for allocating resources
Establish organizational climate Focal point for direction
Useful for Translating objectives into work
structure Cost, time and performance parameters
assessed and controlled