Marketing Analysis Summary

Marketing is the business process of creating market exchanges with customers. Its scope is defined by the key business activities through which customers are acquired and retained the conception and configuration of the offering, pricing, sales and distribution channels, advertising, branding and customer support. Marketing decisions require an unusually broad and deep analysis of the factors that determine the success of its business endeavors. This graphic note is intended to summarize the key analyses and provide a sense of how they are usually sequenced. The analyses are described in greater detail in the Strategic Marketing presentation handouts. The perspective of this note is marketing planning for an existing offering by a firm competing in an existing product-market with at least one competitor. It is applicable to all marketing situations, regardless of industry, product category, company or competitors. Marketing for new products will be considered separately. The market analyses described are improved to the extent that they are informed by accurate, relevant information from market research studies. Although the immediate purpose of marketing analysis may be to create a marketing plan or make specific marketing decisions, its ultimate purpose is to ensure that the decision maker achieves a comprehensive understanding of the factors on which success will ultimately hinge. In the flowchart that follows, the process begins at Start, and proceeds by moving down the page in the sequence illustrated. Much of the analysis is done within the context of a particular product-market, e.g. offering, customers, value proposition, competitors, segmentation, etc., to develop marketing objectives, marketing strategy & mix and evaluate financial impact. However, the flowchart also includes an even more strategic analysis, namely, whether the business should continue to serve the product-market in question, and if so, how intensively and with which growth strategy (shown in gray box in center of page). These decisions may be made independently of the marketing strategy & marketing mix decisions, or in conjunction with it to affirm the appropriateness of the focus of the planning exercise.

This note was prepared by Professor Robert A. Westbrook of the Jones Graduate School of Business, for purposes of classroom instruction. Copyright 2014 Robert A. Westbrook.

Marketing Analysis Flowchart

START

Analyze the Offering Analyze the Customer Understand Current de facto Value Proposition

Analyze Business & Market Performance of Offering

Analyze the Market

Analyze the Competitors

Analyze the Firm & Business Unit

Evaluate Market Attractiveness

Evaluate Firms Ability to Compete

Analyze Customer Segmentation

Decide: Stay in Product-Market? What Investment in Marketing? What Growth Strategy?

Decide: Marketing Strategy for Offering (Target Segment(s) & Value Proposition) Decide: Marketing Mix Required to Execute the Strategy Estimate Marketing Expenses

Set Marketing & Customer Objectives

Make Sales Projections for the Offering

Assess Financial Impact

END
Copyright 2014 Robert A. Westbrook.