mktch20

Chapter Twenty : 

Chapter Twenty Strategic Marketing Planning

Strategic Marketing Planning : 

Strategic Marketing Planning the management process in marketing planning implementing evaluating feedback.

The Planning Phase : 

The Planning Phase Preparing the company’s mission what the company is in business to do what customers do they serve what needs they satisfy. Mission Statement A statement addressing what the company is in business to do in customer-oriented terms. To produce superior food choices to . . .

The Planning Phase (continued) : 

The Planning Phase (continued) Setting company objectives and goals specific and measurable stated in writing ambitious, but realistic covering a specified time period.

The Planning Phase (continued) : 

The Planning Phase (continued) Setting company objectives and goals specific and measurable stated in writing ambitious, but realistic covering a specified time period.

The Planning Phase (continued) : 

The Planning Phase (continued) Setting company objectives and goals specific and measurable stated in writing ambitious, but realistic covering a specified time period.

The Planning Phase (continued) : 

The Planning Phase (continued) Setting company objectives and goals specific and measurable stated in writing ambitious, but realistic covering a specified time period.

The Planning Phase (continued) : 

The Planning Phase (continued) Setting company strategies and tactics an action plan on how to achieve objectives and goals very specific.

Scope of Planning : 

Scope of Planning strategic or long-term plans 3 to 10 years intermediate plans 1 to 3 years short-term plans 1 year or less.

Strategic Marketing Planning : 

Strategic Marketing Planning step 1 - conduct a situation analysis analyzing the external marketing forces analyzing where the company has been step 2 - develop marketing objectives increase sales by 20 %

Strategic Marketing Planning (continued) : 

Strategic Marketing Planning (continued) step 3 - determine positioning and differential advantage how to distinguish your product from everyone else’s price service quality image.

Strategic Marketing Planning (continued) : 

Strategic Marketing Planning (continued) step 4 - select target markets and measure market demand specific group of consumers with similar characterisitics

Strategic Marketing Planning (continued) : 

step 5 - design a strategic marketing mix. the combination of the following 4 elements to satisfy your target market product price promotion place (distribution). Strategic Marketing Planning (continued) Product Price Place Promotion

Planning Models : 

Planning Models The Boston Consulting Group Matrix (BCG Matrix) a tool for analyzing the potential profitability of products/services. uses strategic business units for comparison (SBU’s) SBU’s are separate products, services, or identifiable businesses SBU’s have their own goals and objectives SBU’s have their own measure of profitability.

The Boston Consulting Group Matrix (BCG Matrix) : 

The Boston Consulting Group Matrix (BCG Matrix) SBU’s are classified according to two factors: its market share relative to competitors the rate of growth in the industry. basic concept: 2 dimensional graphic display of comparative strategic positions using different SBU’s.

Slide 16: 

CASH COWS DOGS QUESTION MARKS STARS ? ? ? ? HIGH LOW HIGH LOW COMPANY’S MARKET SHARE INDUSTRY GROWTH RATE

Stars : 

Stars high market share high industry growth rate needs cash to remain competitive needs aggressive marketing strategies to build / maintain market share.

Cash Cows : 

Cash Cows high market share low industry growth rate ability to generate cash needs marketing strategies to defend market share.

Question Marks : 

Question Marks low market share high industry growth rate needs a lot of cash to generate growth. ? ? ? ?

Dogs : 

Dogs low market share low industry growth rate needs marketing strategies which minimize expenditures.

The General Electric Business Screen : 

The General Electric Business Screen similar in concept to the BCG Matrix uses a 3 by 3 grid.

Four Product-Market Growth Strategies : 

Four Product-Market Growth Strategies market penetration sell more of current product to its present market market development sell present products to a new market

Four Product-Market Growth Strategies (cont.) : 

product development develop a new product to sell to its current market diversification new product to a new market. Four Product-Market Growth Strategies (cont.)