Importance of Strategic Marketing Plan - Coursework Example

Executive summary Strategic marketing plans are crucial part of promoting products and services of an organization. The market plans are focused around 4Ps (product, prices, place and promotion) and a good market strategy always takes these points on a priority basis. As a good marketer, IPT’s key objective would be to exploit the personal preferences of the target group to influence his behavior as a consumer of the goods that he wishes to sell. While the cost leadership cuts across the industry, IPT would be offering cutting edge package which would be focused and offers unique services that are sought after. IPT would be using mixed segmentation which is hugely popular in the contemporary times and gives a big leverage to the companies to plan its market strategy in a more flexible manner and successfully introduce their products in a new market. The need has risen so as to accommodate the growing demand from the new market segment that has come up with the advent of new technologies. The inter-dependence of the various elements within the system with its inherent capacity to complement each other has helped establish a market that is sustainable as well as mutually satisfying. IPT would adapt market strategies and market metrics that would draw committed consumers of the people coming from different culture, race and religion. Key Marketing Objectives Strategic marketing plans are crucial part of promoting products and services of an organization. The market plans are focused around 4Ps (product, prices, place and promotion) and a good market strategy always takes these points on a priority basis. As marketing primarily deals into products and services that benefit people in some way or the other, people become the most important factor in the market strategies. Shultz say that it is the end-users who now control the markets rather than the marketers (Shultz, 2001). As a good marketer, IPT’s key objective would be to exploit the personal preferences of the target group to influence his behavior as a consumer of the goods that he wishes to sell. Strategic Initiatives In an industry which has wide scope and opportunities, it is very important that the firm must strive to have a definite and advantageous position within the industry. In a fiercely competitive industry IPT needs to gain that position by leveraging its strengths. According to Michael Porter, the firms’ strengths can be broadly categorized into cost advantage and differentiation. Three types of generic strategies emerge when these strengths are applied by the firm: cost leadership, focus and differentiation (Porter, 1980). Cost leadership strategy provides the particular firm with distinct cost advantage against its rivals. The market share is gained with lower price and is always targeted towards broader market segment. Focus strategy involves targeting specific market segment by fulfilling their requirement with better service. Differentiation strategy is focused on providing unique features to its products with value added services that gives it an edge over its competitors. While the cost leadership cuts across the industry, IPT would be offering cutting edge package which would be focused and offers unique services that are sought after. IPT’s products have features that are not only unique and add value to the product and services but they are also competitively priced. Segmentation of the market to tap the potential of the customers is an essential part of market strategy. It helps to identify the target customers for the existing and new products and meet the challenges of their changing requirement. Market segmentation of the market to differentiate elements is vital in the highly competitive business environment. The segmentation helps to create a niche in the market. The mixed segmentation is hugely popular in the contemporary times and gives a big leverage to the companies to plan its market strategy in a more flexible manner and successfully introduce their products in a new market. IPT would be applying mixed segmentation in its market strategy. IPT would be focusing on retail distribution and franchising of its various products so as to meet its business objectives. The concept of retailing wide variety of products and services has opened a huge vista of opportunities of expanding one’s business in areas that were once inaccessible and beyond the imagination. Tactical Plan An increased awareness among the customers has put more pressure on the marketers. Even though the customer base is increasing, it is becoming difficult not only to attract more customers but also to retain them. In fact, the more innovative the product and fancier the promotional techniques, the higher are its chances of capturing market space. ‘Brand building is needed because products are the same’ (Kotler, 2005). Thereby, asserting that brands, advertising, and promotional techniques are very important tools of marketing to retain and acquire committed clientele. IPT would be comprehensively using various media for the promotion of its products. In the recent times, internet has redefined the communication with its far reaching implications and has become one of the most important parts of any business strategy. IPT would be keeping an updated and informed website to give the unique advantages of the products and their usefulness and draw in new customers while keeping the old. The customer is always interested in the end result of his purchase so he needs to be shown the extra benefits that he would be getting on the purchase! The feedbacks give the company opportunity to keep up with the constantly changing requirements of the consumers. IPT would also ensure that the updated database of consumers is regularly informed about its products and services through email. Dissemination of information and creating demands for different products and services through effective advertising therefore, has become crucial for companies to maintain a competitive edge over their rivals. The strategic marketing through widespread appealing advertisement in TV, newspapers and magazines would ensure effective communication which is important not only for retaining the old customers but they must also be able to attract new one. The companies must choose the target audience and strive for the appropriate timeslot in the television. Roadside hoardings and product promotional techniques like discount and gifts would also be included. With the increasing awareness, the expectations of the customers have widened to include the proactive role of the company in the socio-economic development of the community. Hence, apart from the regular tools of media, the company would sponsor events for important socially relevant cause/ issues and contribute towards the community welfare schemes. The initial budgeting would primarily be focused on the advertisements and efforts would be made to limit it within the predefined criteria of the firm’s financial constraints and policies. Others Competitive pricing and strong market position are major business compulsions that are need driven and specially target the segment of society who are more prone to buy their products and services. With vast diversity in values and ideologies within the social fabric in the global business environment, IPT would formulate marketing and communication strategy in a way that would not only uphold a high standard of corporate ethics but it must be able to ensure and exhibit understanding of the cross cultural values and handle issues with sensitivity. Any strategy that is formed needs to be localized to suit the local conditions. The advertisements would conform to the format that promotes fair and ethical practices. IPT would be using various types of marketing metrics in order to gauge the preferences of the people and help evaluate the strength and weaknesses in its strategies to improve its business performance. Marketing metrics are basically tools that help to improve and improvise market for the goods and services by facilitating useful information. Marketing metrics are therefore extremely important part of organizational management that help to evolve effective market strategy, which is vital to the overall development of the organization. Conclusion The need has risen so as to accommodate the growing demand from the new market segment that has come up with the advent of new technologies. The inter-dependence of the various elements within the system with its inherent capacity to complement each other has helped establish a market that is sustainable as well as mutually satisfying. IPT would adapt market strategies and market metrics that would draw committed consumers of the people coming from different culture, race and religion. Reference Kotler, Philip. (2005). Toward Stronger Marketing. unpublished presentation to the ARF, “Future of Advertising” Conference, Chicago, 10.24.05. Porter, Michael, E.(June 1, 1980). Competitive Strategy: Techniques for analyzing industries and competitors. NY: Free Press 1998. Shultz, Don E. Bid Farewell Strategy based on old 4Ps. Marketing news; Feb 12, 2001; 35,4; ABI/INFORM Global. p 7. Read More