situational analysis

Strategic Marketing Planning

Corporate Plan The corporate plan is the overall strategy that analyzes,

governs and steers/guide the company. All functional units --

including finance, operations, human resources and marketing

-- fall under the corporate plan. The plan answers two

important and fundamental questions: what business are we

in? And what business should we be in?

A corporate plan sets objectives so management may

make informed decisions, such as where to commit

resources. It also creates benchmark goals to help

motivate management as well as employees and

assess how the company is performing

Corporate Plan

The corporate strategy establishes the framework within

which the divisions & business unit prepare their strategic

plans. Setting a corporate strategy entails four activities;

1. Define the corporate mission

2. Establishing strategic business units (SBUs)

3. Assigning resources to each SBU based on its

attractiveness & strengths

4. Planning new business & downscale older business

Marketing Plan A marketing plan is a written document that summarizes what

the marketer has learned about the market place & indicates

how the firm plans to reach its marketing objectives.

It contains tactical guidelines for the marketing programs &

financial allocations over the planning period.

Executive summery & table of contents

Situational analysis

Marketing strategy

Financial projections

Implementation & controls

Contents of the Marketing Plan

Situational Analysis

This sections presents relevant background data on sales, cost, the

market, competitors, & the various forces in the microenvironment.

How is the market defined, how big is it, & how fast is it growing?

What are the relevant trends affecting the market? What are the

product offering & what are the critical issues facing the company?

All this information used to carry out a SWOT analysis


The internal environmental audit will be more concerned about

the organization’s functions. This is a controllable environment

where the organizations have the ability to control its functions.

Ex:

financial

Managerial

Marketing

IT


Internal environmental Analysis

Clearly the business does not have to correct all its weakness,

nor it should revel about all its strengths. The big question is

whether the business should limit itself to those opportunities

where it possesses the required strengths or whether it should

consider opportunities that mean it might have to acquire or

develop certain strengths.

Sometime a business or a organization does poorly not

because its people lack the required strengths, but

because they do not work together as a team.

Ex: UNP

Advertising Budget R & D Budget Sales Forces Deale networks Commissions Sponsorships Sales points/ outlets Distribution methods Price NPDs

Controllable factors - Marketing

Advertising Budget – Beauty Flora

Year % from sales

2008 10%

2009 5%

2010 6%

2011 10%

2012 10%

2013 20%

Budget Allocation - Sponserships

YearBudget

Allocation2007 1000002008 Nil2009 Nil2010 Nil2011 1800002012 250000

1 2 3 4 5 60

50000

100000

150000

200000

250000

300000

Political Economical Social & Cultural Technological Ethical Ecological Legal

PESTEEL factors – Fast food Industry

1. Market Summery

Target marketsEx: target market forecast(sales forecast - Beauty Flora)


Potential customers 2008 2009 2010 2012 2012 2013

Individual buyers 40% 38% 37% 35% 30% 30%

Corporate Customers 35% 36% 37% 37% 38% 37%

Events Organizers 24% 25% 25% 27% 30% 31%

Exporters 1% 1% 1% 1% 2% 2%

100% 100% 100% 100% 100% 100%

2, Market Demographics Geographic factors – Colombo & subs, Galle, Kandy,

Demographic factors – Age, Gender, Monthly income, occupation, Education

Behavior factors – Occasions, Benefits, Attitude towards the products

Psychographic – Social class, Life style


3. Market Needs Fresh and natural Status Social class Warm wishes


Efficiency vs. Effectiveness of Competitors

` (Strategic Management) Effective Ineffective

EfficientThrive Die slowly

OperationalManage:

Inefficient: Survive Die quickly

4. Market Trends

Rapid growth of local & international events CSR projects like company birthday celebrations Organizing weddings in Hotels Warm wishes at a low budget


situational analysis

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