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When starting a business, there are two things at scarcity: resources and time. In order to create an effective business strategy while making sure that neither time nor money is wasted, there is a need for effective marketing plan. The irony is that the expensive marketing plan rarely gets implemented. Though, the simple plan if carefully researched and executed effectively, it leaves great impact. Every business calls to start with a well-structured plan which is based on extensive research, competitive placing and achievable outcomes. It should merely be the basis for the activities over the coming months. Moreover, enhance or redirect the plan upon what proves successful. Marketing strategy is a set of techniques that allows specific organization to direct its resources to increase sales and achieve sustainable advantage over the competition. It consists of long-term activities which greatly contribute towards establishing strong brand awareness.
To create a successful marketing program, the first step is to come up with marketing plan that caters all essential components. Below is the list of few key components of a marketing plan;
Market Research
Gather, organize, and place the collected data about the market which buys the particular product or service you are willing to sell. Consider few areas;
- Market dynamics and patterns that includes seasonality.
- Potential Customers – the demographics, target markets, market segments, wants and needs, buying patterns and decisions.
- Product – that’s out in the market, in-demand, and what the competitors offer.
- Present-day sales of the product or services in the industry.
- The benchmarks in the industry.
- The Suppliers; the vendors that has to be relied on.
Target Market
Targeting particular market does not indicate to exclude people who do not meet the criteria people. It allows focusing on brand message and marketing dollars on a particular market which shows higher chances to buy from you than from any other markets. It is considered as much more affordable, effective and efficient manner to reach potential customers and generate business.
Take an example; a company of interior designing can pick to market to homeowners that are between the age of 35 and 65 and hold an income of $140,000 and above in Baton Rouge, Louisiana. In order to further define the market, the company may target specifically those who are interested in bath and kitchen traditions styles and remodeling. It is then split into two niches: retiring baby boomers and parents on the go. When selecting a target market, check with these essentials.
- The current customer base
- Competition for specific product or services
- Analyzing own product/service
- Select particular demographics to target (age, location, gender, income level, education level, marital status, ethnic background and profession).
- Consider the psychographics of target base (personality, values, attitude, lifestyles, behavior and interest).
- Evaluate your decision
Product
Clearly describe what the product is;
- How particular product is related to the market?
- What does the targeted market wants?
- How does the product meet customers need?
- What is currently trending and in-use product, also what is needed above and is afar the current use?
Competition
This component shows the awareness of rivals competition and market place understanding to compete the level. Describe the competition and build exclusive selling proposition.
- Describe how the product or service offered by you stack up against what the rival offers?
- Discuss how the rivals haven’t used the market to full potential?
- What place you apart from the competition? How is it doing about branding?
- How you will change or improve the techniques currently used by rivals?
- How to gain marketing leverage over competition?
Mission Statement
It gives a clear description of the target market. Come up with sentences that states:
- “Key market” – it refers to target audience (whom to sell the product or services)
- “Contribution” – it refers to the product or services (what to sell)
- “Distinction” – it refers to unique selling proposition (what elements make the product unique also why it should be preferred over another)
An effective mission statement should be concise and clear declaration about the business strategy and should be written early because it provides employees with the purpose and framework.
Market Strategies
Various marketing strategies make it challenging to decide on the finest way to market to potential customer base. There is no one-push button marketing idea to attract steady stream of customers but it requires coming up with multiple marketing strategies. Jot down the marketing and promotion strategies where few of the ones to consider are;
- Direct marketing – it includes flyers, brochures and sales letters.
- Networking – move to your market.
- Advertising – it takes in directories and print media.
- Writing articles, giving advice, and get to known as an expert.
- Training programs – in order to increase awareness on emerging trends.
- Personal/direct selling
- Trade shows
- Press releases
- Website
Pricing, Positioning and Branding
Pricing is one of the four Ps of marketing plan and is a fundamental aspect of financial modeling. It is an act of determining the product or service value. The pricing strategies are skimming, premium, penetration and economy. From the collected information, build the strategies for determining the product price.
Positioning direct to the process to establish the identity or image of the product brand that consumer’s perceive in a certain way. Check where the product will be positioned in the market
Branding is a core of marketing strategy that includes advertising, promotional merchandise, customer service, logo and reputation. The four branding strategies are brand extension, line extension, fight brand and new brand strategy. Use the strategies to achieve brand awareness.
Budget
It is to budget the dollars- planning to spend an amount to the make the marketing goal a reality. Consider which strategies are affordable? What can be done in house and what is required for outsource. The marketing budget is set through;
- Knowing on sales funnel and operational cost
- Position marketing not as a goal but as an investment
- Awareness on current and future trends
Marketing Goals
Come up with quantifiable marketing goals. It directs that goals must turn into numbers. For example, the goal is set to acquire at least 40 new customers, increasing income by 40% by the year or to sell 20 products per week. The marketing goals at times include profits, sales or customer’s satisfaction. It should be SMART (specific, measurable, aspirational, realistic and time-bound). Few of the common marketing goals are;
- Gaining social media followers
- Improving conversion rates
- Increasing traffic on website
- Getting social media engagement and more
Monitor the Results
Monitoring marketing strategy allows maximizing business plan effectiveness. Do test and analyze, and figure out the effective strategy that works.
- Survey the customers
- Keep a track on leads, sales, percent of sales to impressions, visitors to web sites
By market research, identifying competition, and determining positioning, ensures a way to successfully promote and sell the product or service. Coming up with goals for marketing campaign, allow better understanding whether the efforts are producing results through ongoing review and result evaluation.
Make sure to use marketing plan as a living document. The successful marketers review the status of their marketing campaigns against their set objectives. It allows making improvements to marketing initiatives and assist in future planning.
