The Marketing plan

Segmentation
Market survey
Identifying needs and wants
Choosing a target market(s)
Developping a market offering
Measuring
outcomes
Product Price Place Promotion
Targeting
Positioning
The marketing plan
1- Marketing studies
Surveying the marketing environment (market and
competitors), evaluate effectiveness of the marketing plans
2- Marketing strategy
Defining goals, targets and means to achieve them
3- Marketing tactics
Implementation of the former decisions through the
marketing mix
Market Segmentation and Positioning
Why bother to
segment markets?
Opportunities
and threats
Target market
selection
Market
segmentation
Tailored
marketing mix
Differentiation
Identification of individuals or
organizations with similar
characteri sti cs that have
significant implications for the
determination of marketing
strategy
The process of market
segmentation and target marketing
c
1
c
5
c
7
c
2
c
6
c
3
c
4
c
8
The disaggregated market
The characteristics of
individual customers
are understood
c
1
c
5
c
7
c
2
c
6
c
3
c
4
c
8
The segmented market
Customers are grouped
into segments on the
basis of having similar
characteristics
1 2 3
c
1
c
5
c
7
c
2
c
6
c
3
c
4
c
8
The target market
Segment 3 is judged
to be most attractive
and a marketing mix
strategy is designed
for that target market
1 2 3
Marketing
mix
targeted at
segment 3
Segmenting consumer markets
Consumer segmentation
Behavioural
Benefits sought
Purchase occasion
Purchase behaviour
Usage
Perceptions and beliefs
Lifestyle
Personality
Demographic
Socio-economic
Geographic
Psychographic Profile
Colgate, Aim
High self-
involvement
hedonistic
Spearmint
lovers
Children
Taste
(good tasting)!
Aqua-Fresh,
Ultra Brite
High sociability,
active
Smokers
Teens, young
adults
Cosmetic
(bright teeth)!
Crest
Hypochondriacal,
conservative
Heavy users Large families
Medicinal
(decay
prevention)!
Brands on
sale
High autonomy,
value oriented
Heavy users Men
Economic
(low price)!
Brands
Favored
Psychographics Behavior Demographics
Benefit
Segments
Benefit segmentation of the toothpaste market
Canon
Lifestyle segmentation: Duck Head targets a casual
student lifestyle, claiming, "You can't get them old until
you get them new."
Duck Head
Occasion segmentation:
special Thanksgiving and
Christmas ads for Reddi-
wip during November and
December, months that
account for 30 percent of
all whipped cream sales.
Beatrice Foods
Hagen-Dazs Ice Cream
Hagen-Dazs ice cream
smoothies target the
indulgence
segment of the ice
cream market.
Macro and micro segmentation of
organizational markets
Macrosegment 2
(medium-sized
companies)
Microsegment 2
(prime choice criteria:
convenience)
Macrosegment 3
(small companies)
Microsegment 3
(prime choice criteria:
price)
Macrosegment 1
(large companies)
Microsegment 1
(prime choice criteria:
reliability)
Organizational market
Segmenting organizational markets
Organizational segmentation
Microsegmentation
Decision-making process
Buy class
Purchasing organization
Organizational innovativeness
Organizational size
Industry
Geographic location
Macrosegmentation
Decision-making unit structure
Choice
Michelin
This advertisement
explains how Michelin tyres
offer better economic value
to the customer than its
main competitor.
Basic market-preference
patterns
Effective segmentation:
! Measurable
! Substantial
! Accessible
! Differentiable
! Actionable
Target marketing
Factors used to assess market
attractiveness
Competitive
factors
Market factors
Market attractiveness
Political, social and
environmental
factors
Market attractiveness
Segment size
Segment growth rate
Segment profitability
Bargaining power of customers
Bargaining power of suppliers
Barriers to market segment entry
Barriers to market segment exit
Market factors
Price sensitivity
Market attractiveness
Competitive
factors
Nature of
competition
New entrants
Competitive
differentiation
Market attractiveness
Political issues
Social trends
Environmental
issues
Political, social
and environmental
factors
Factors used to assess the
companys capability to compete
Cost advantages
Technological edge
Managerial
Capabilities and
commitment
Capability to
compete
Exploitable marketing
assets
Target marketing strategies
" Undifferentiated marketing
" Differentiated marketing
" Focused marketing
" Customized marketing
Target marketing strategies
Marketing mix Whole market
Example of Undifferentiated Strategy:
The Post Office
Post
Office
Product
Price
Promotion
Distribution
Everybody
ORGANISATION MARKETING MIX TARGET MARKET
Target marketing strategies
Marketing mix 1 Segment 1
Segment 2
Segment 3
Marketing mix 2
Marketing mix 3
Utilitarian
Customer
Trendy-
Casual
Price
shopper
Mainstream
Tradition-
alist
LEVIs
Marketing
Mix 1
Marketing
Mix 2
Marketing
Mix 3
Marketing
Mix 4
Marketing
Mix 5
Example of differentiated strategy:
LEVIS
Target marketing strategies
Segment 1
Segment 2
Segment 3
Marketing mix
Example of Focused Strategy:
Cement Manufacturer
Product
Price
Promotion
Distribution
Cement
Manufacturer
Builders
Merchants
Independent
Shops
National
Chains
ORGANISATION
MARKETING
MIX
Concentrated marketing: has
found its niche as the world's largest
producer of airport rescue trucks and
front-loading concrete mixers.
Oshkosh Truck
Target marketing strategies
Marketing mix 1
Customer 1
Customer 2
Customer 3
Marketing mix 2
Marketing mix 3
Example of Customized Strategy
Marketing
Mix 1
Marketing
Mix 2
Marketing
Mix 3
Marketing
Mix 4
Nissan
Birdseye
Heinz
Levis
Industrial
Electronic
Systems
Supplier
INDIVIDUAL
MIXES
ORGANISATION
INDIVIDUAL CUSTOMERS
Customize your
M&M's with
mymms.fr
Key tasks in positioning
1. Market segmentation
2. Target market
3. Differentiated advantage
Positioning
Where and how we compete?
Defining positioning
Defining the dimensions of
positioning
Who ?
Which target market?
What ?
What are the consumer
benefits ?
When ?
Usage situation
Against who ?
Who are the direct
competitors ?
Kapferers diamond
Who?
Against who?
What ?
When ?
Using advertising to reposition White
Horse Whisky
A traditional
Scottish whisky
Old whisky drinkers
in their 50's
# Drink on the rock
# Mix with water, ginger ale or orange juice
# Scottish whisky brands
# Foreign whisky brands
# White spirits
# Wine and lagers
# Own-label
# A smooth and distinctive taste
# Contains 40% malts from Lagavulin Distillery
# Traditional manufacturing process
Keys to successful positioning
Clarity
BMW, the Ultimate
Driving Machine
Consistency
Credibility
Smirnoff Ice as clear
as your conscience
Competitiveness
Successful positioning
Landrover
This award-winning advertisement for the Land Rover
Defender clearly positions the brand as a rugged off-roader: you
cannot get more off-road than the margins of an angry sea.
10-40
A c r e d i b l e a n d
competitive differential
advantage provides a
clear benefit valued by
customers !
Possible value propositions
More for more:
Mecedes-Benz, Mont-
Blanc, Ritz-Carlton hotels;
More for the same:
Toyota Lexus;
More for less: Dell,
P&G;
The same for less:
Amazon.com, Dell
Less for much less:
EasyJet
Competitive advantages:
posi t i ons powerf ul l y on
safety: All most people want
from a car seat is "a nice,
comfy place to put your
gluteus maximus." However,
when a Volvo is struck from
behi nd, a sophi st i cat ed
system "guides the front
seats through an intricate
choreography that supports
the neck and spine, while
helping to reduce dangerous
collision impact forces."
Volvo
Bacardi Breezer
Unilever positioned its best-
selling Lever 2000 soap on
t hr ee benef i t s i n one:
cleansing, deodorizing, and
moisturizing benefits. It's
good "for all your 2000 parts."
Unilever
A perceptual map of supermarkets
A
B
C
D
G
E
F
High
price
Low
price
Narrow
product
range
Wide
product
range
A perceptual map of supermarkets
A
B
C
D
X
G
E
F
High
price
Low
price
Narrow
product
range
Wide
product
range
Perceptual map A Gap for Sprite?
Non-Coke
Non-Diet
Diet
Coke
Repositioning strategies
Image
repositioning
Product
repositioning
Intangible
repositioning
Tangible
repositioning
Same Different
Same
Different
Target
market
Product
From 'the real American hamburger' to...
A piece of America at a
reasonable price
# Families
# Children 13-15 years
old
# Anywhere at anytime
# Clean and convenient location
# Take in or take away
Other fast food
services
# Tasty hamburgers friendly priced
# American image
# Fast-service meal
... healthier eating ! It's what I eat and
what I do... I'm lovin'it
Healthier food at a
reasonable price
Young adults
# Anywhere at anytime
# Clean, convenient and environmental friendly location
# Take in or take away
Other fast food
services
# Healthier eating options
# Fast-service meal
# Tasty hamburgers