The document outlines the key components of a tactical marketing plan, including an executive summary, analysis of the current market situation, identification of opportunities and problems, objectives, marketing strategy, action programs, and projected profit and loss statements. It also discusses controls and reviews. Advantages of planning include encouraging rational decision making and clarity of roles, while disadvantages include complexity, time costs, and potential rigidity. Guidelines are provided for effective planning practices.
El-Khazindar Business Research and Case - Cases On Business and Management in The Mena Region - New Trends and Opportunities (2011, IGI Global Snippet) PDF
The document outlines the key components of a tactical marketing plan, including an executive summary, analysis of the current market situation, identification of opportunities and problems, objectives, marketing strategy, action programs, and projected profit and loss statements. It also discusses controls and reviews. Advantages of planning include encouraging rational decision making and clarity of roles, while disadvantages include complexity, time costs, and potential rigidity. Guidelines are provided for effective planning practices.
The document outlines the key components of a tactical marketing plan, including an executive summary, analysis of the current market situation, identification of opportunities and problems, objectives, marketing strategy, action programs, and projected profit and loss statements. It also discusses controls and reviews. Advantages of planning include encouraging rational decision making and clarity of roles, while disadvantages include complexity, time costs, and potential rigidity. Guidelines are provided for effective planning practices.
The document outlines the key components of a tactical marketing plan, including an executive summary, analysis of the current market situation, identification of opportunities and problems, objectives, marketing strategy, action programs, and projected profit and loss statements. It also discusses controls and reviews. Advantages of planning include encouraging rational decision making and clarity of roles, while disadvantages include complexity, time costs, and potential rigidity. Guidelines are provided for effective planning practices.
1. Components of a Marketing Plan (a) Executive Summary (b) Current Market Situations (c) Opportunity and Problem Analysis (d) Objectives (e) Marketing Strategy (f) Action Programmes (g) Projected Profit and Loss Statement (h) Controls/Feedback Components of the Marketing Plan (Cont.) (a) Executive Summary • Brief overview of the plan for quick skimming. • It summarises the plan’s main goals and recommendations. • Allows senior management to grasp quickly the salient points. Components of the Plan (Cont.) (b) Current Market Situation i. Identifies the forces that have an impact on the present market situation. ii. Projects the forces that will shape the market situation during the relevant planning period. iii. The areas of analysis are: • Environmental climate; • Competitive climate • Company resources • Performance profile; Performance forecast • Market potentials/growth; Market description Components (Cont.) (c ) Opportunity and Problem Analysis • Popularly known as SWOT Analysis • Situation Analysis (Section c above) will uncover both problems and opportunities. • Problems represent constraints to be recognised; opportunities provide directions for growth. • The planner ranks both sides and define marketing objectives and strategies. Components (Cont.) (d) Assumptions and Sensitivities The plan must state relevant assumptions such as the impact of: • The movement on the rate of exchange. • The increase in inflation rate. • A good rainy season or drought. • The removal/imposition of import duty. Components (Cont.) (e) Marketing Objectives • To be operational, objectives must be specific and measurable. • Objectives are often expressed in terms of: I. Sales Volume. II. Market Share. III. Profit Components (Cont.) (f) Marketing Strategy • This a broad strategy statement on how objectives will be achieved. • It covers the following areas: i. Target market ii. Positioning iii. Product line iv. Pricing v. Distribution outlets vi. Advertising; Salesforce; etc • Strategy must be flexible and be adaptive to changes in the environment. • To succeed, strategy must be precise. Components (Cont.) (g) Action Programmes • Action programmes break down the strategy statement into actionable plans. • Each strategy element must answer: 1) What will be done? 2) When will it be done? 3) Who will do it? 4) How much will it cost? Components (Cont.)
(h) Projected Profit-and-Loss Statement
• Market Segment Action Plans show: i. Forecasted Sales Volume in units. ii. Sales Value (Turnover) iii. Cost of Goods Sold iv. Gross Profit v. Gross Margin % vi. Expenses vii. Net Profit NB. See copies of Plans supplied by presenter. Components (Cont.) (i) Control and Review • There must mechanism for monitoring the plan’s progress. • Budgets are set and reviewed periodically. • Control can also include contingency plans. Advantages of Planning • Encourages a rational approach to making business decisions • Everyone is clear of what is required, reducing potential conflict and misunderstandings. • Allows senior mangers to set strategy and leave junior managers to implementation. • Planning highlights areas you might otherwise miss. Disadvantages of Planning • Plans form a complex process that requires basic knowledge and skills. • They are time-consuming and therefore costly to construct and follow. • Firms composed of small business units lose some of their flexibility • Procedures tend to take over and become and end in themselves. The “Dos” of Planning • Be clear of the organisation’s strategic objectives. • Analyse information carefully • Adjust the plan to suit the size, culture, and circumstances of the org. • Consult and communicate the plan. • Remember the plan is a means to achieve objectives, not a rigid control mechanism. • Be aware that planning is time-consuming. The “Don’t” of Planning • Don’t confuse objectives (what you want to achieve) with strategy (how you are trying to achieve them). • Don’t spend too long projecting future markets from historical data. • Don’t let planners alter the shape of objectives. • END
El-Khazindar Business Research and Case - Cases On Business and Management in The Mena Region - New Trends and Opportunities (2011, IGI Global Snippet) PDF