Marketing Planning

BTEC-HND Unit 19 Lecture 7 Hong Che Hwee June / July 2012

Source: http://www.channelnewsasia.com

Todays Agenda
Introduction to marketing planning Guide to Assignment 1

Review
So far, you have learnt the following:
What is marketing How has marketing changed What is marketing audit, its tools and process How to identify organisational capability What is marketing ethics

These will help us now as we turn our attention to the topic of Marketing Planning

Marketing planning
A process that enables the planned application of marketing resources to achieve marketing objectives. A logical sequence of events leading to the setting of marketing objectives and the formulation of plans for achieving them.

The planning process

Source: Malcolm McDonald (1995)

Do not confuse
Corporate objective
This is the desired level of profit the firm seeks to achieve (e.g. ROI)

Marketing objective
This is concerned with what is sold (products) and to whom it is sold (market)

Corporate (or business) mission statement (qualitative, philosophical)

Corporate (or business) objectives (quantifies and operationalises the mission statement)

Functional objectives, e.g. marketing, financial, operation, personnel (quantitative, measurable)

Role of marketing planning in the strategic planning process

Objective of strategic planning:
To set the long-term direction of a firm so as to provide products and services that meet customer expectation as well as the overall business objectives of the firm.

Marketing planning has a key role to play in strategic planning

Role of marketing planning in the strategic planning process

Key roles:
Provides a guiding philosophy that the firm should revolve around building profitable relationships with its target customers. Provides inputs to strategic planners by helping to identify market opportunities and assess the firms potential to take advantage of them. Designs and implement strategies to achieve the objectives of individual business units within the firm.

Marketing planning
A marketing plan determines where the firm is now, where it wants to go and how to get there. It should be the backdrop against which all organisational decisions are made.

Marketing planning
Two types of plan:
Strategic marketing plan: takes a long-term view Tactical (or operational) marketing plan: similar to the strategic marketing plan, but more detailed as it is for one year only.

Marketing planning
Note! Marketing planning procedures along are not enough for the firms success. A firms success is influenced by many factors (macro and micro-environment) Research however shows that firms without effective marketing planning tend to suffer more when environmental conditions become worse.

Reasons for marketing planning

As business becomes increasingly complex and competition increases, a marketing plan is essential. Its benefits are:
Enables better coordination of activities Identifies expected developments Increases organisational preparedness to change Minimizes non-rational responses to the unexpected

Reasons for marketing planning

(Contd) Its benefits are:
Reduces conflicts about where the firm is heading Improves communications Management is forced to think ahead systematically Available resources can be better matched to opportunities Provides a framework for the continuing review of operations Leads to higher return on investment

Assignment 1
Dos
Do research study on the questions Cite the sources of research Present the answers clearly and simply You are encouraged to structure the report such that it is appropriate for the Board of Directors

Donts
Copy blindly from lecture notes and internet Answers are irrelevant () to the questions

Comments on Part A Q1
Command words:
Identify () Discuss ()

Begin with a general introduction that should include definition (), and the purpose of marketing audit. [Distinction] Convergent thinking ( ); Lateral thinking ()

Comments on Part A Q2
Command words:
Perform () Analyse ()

Choose the technique carefully so that you can analyse all the relevant external factors which affect Toyotas marketing. Your answer should mention about Toyotas strengths and weaknesses.

Comments on Part B
Command words:
Discuss () Propose ()

Your answer must apply to Toyota be specific! [Distinction] Synthesis (); Valid justification ()

Comments on Part C
[Q1] Begin with your understanding on ethics and its importance, then discuss ethics in the automobile industry. [Q2] Research the problem. How has Toyota managed it thus far? What improvements can be made?

Comments on Part D
Command words:
Summarise () Evaluate ()

What are the key issues that affect Toyota in its marketing? Does Toyota has the organisational capability and competitive advantages to plan marketing? Write at least 500 words. Provide good judgment ().