The Marketing Plan: How to Prepare and Implement It - Assignment Example

Marketing Marketing plan Executive summary ICT is one of the leading computer companies in UK dealing with computer accessories both within and outside the country. It deals with the sale of personal computers, servers, laptops, software and other computer related accessories with the aim of becoming the best player in promoting technologies in the near future. The company targets both local and international customers from various parts of the world. To meet the international standard, the company has fully embraced the technological advancements to meet customer needs (McDonald, 2007). Nevertheless, the company has well equipped internet infrastructure to ease it operations. It is centrally located within the city with good infrastructure. This has given it a competitive advantage over its competitors. Due to rapid expansion, the company plans to invest more on international marketing to increase its sales. Its aim is to capture other international rivals by emphasizing on both customer satisfaction and creativity (McDonald, 2007). Therefore, the company intends to double its sales and maximize its profits with the increased market share. Situational analysis Marketing incorporates various activities like product pricing, design, advertising, and strategies, etc. for successful operation. Nevertheless, there are other elements that are very important for the marketing process. These elements are (Kate & David , 2010): Research: ICT Company has to carry out extensive market research so as to determine exactly the market demands. Market demands vary from place to place and there is need, therefore, to conduct market research to satisfy them. Market research helps the company to adopt and choose the best medium to achieve the goals. Strategy: once ICT Company has established enough information on market situation, it will know where its products and services can capture the market and which strategies to use. The strategies to be used will help it cope with its competitors and emerge the best in the market. It also determines where the company would be in future. Planning: now that ICT Company is aware of where it is heading to, it has to plan how it will reach there. This involves financial planning, sales forecasting, and other concrete plans to drive the company. Planning is timely to enable the company moves steadily towards its set goals. Tactics: the company has to employ sound measure to attract many customers, overcome its competitors, double its sales and provide the best value for customer satisfaction. The company can use this tactic “buy three, get one free," or even reducing prices during festivities. Market orientation To have a market orientation implies that the company should have satisfactory products and services for all the target customers. Some of the benefits of market orientation to ICT Company are: Customer centric: market orientation will help the company to address the needs of its customers. For instance, if the company wants certain specifications of products, it can react quickly because it has the pulse of the marketplace. Competitive advantage: if ICT Company makes its customers the priority, it can have a big advantage in a very competitive industry. When the competitors put too much effort and time into product development and engineering, then they become ill-equipped in building solutions that meet the customer demands (Pride, 2011). On the other hand, market orientation is disadvantageous. The associated costs are: Less product differentiation: taking too much time on research and customer interactions may detract from achieving a fine-tuning of the company products. ICT’s competitors may develop superior and more cutting edge advances, more so, in their products. Lack of predictability: market orientation limits advanced planning on the developments of company products. The company has to respond to continuous changes in favour of customer needs which may be very expensive. Macro and micro environmental factors For successful operation of the company, it has to consider the following factors to make sound decisions (McDonald, 2007). Technical environment: there is need for ICT Company to understand the technical environment. Technology is dynamic and changes rapidly. The company, therefore, should be fully aware of the trends of the same and related industries so as to make viable decisions. ICT products should match the dynamism if it has to remain marketable. Social environment: this includes the type of people targeted, their age and social classes. The company mainly targets the middle aged, who are actively engaged in computer and computer services. When deciding whom to buy the products, it is also necessary to understand their social well-being. Economic environment: in this case, the company should be aware of some of the factors that influence the customer’s buying/spending power. Economic environment determines the interest rates charged, growth/recession and consumer confidence. Economically unstable environment detract sales volumes of the company products. The micro factors are SWOT analysis. These are (Mira Inc, 2010): Strengths Strong customer service excellent location unique products and services good prior reputations Weakness poorly trained staff identical product or service lack of stock management system lack of enough capital for expansion Opportunity venturing a young developing market introduction of a R & D to increase customer satisfaction acquiring distribution rights for a free and complementary products Threats high competitor entering market new regulations and policies increased trade barriers to international trade Market Segmentation criteria Demographic criterion is the best criteria that ICT Company can use to segment its market. This is because it is easy and convenient to use. In this criterion, the company collects relevant information about the potential customers and break them down into various market segments. The various segments can be studied independently and evaluated which one is worth targeting. Thereafter, they are ranked in form of potential sales. Targeting strategy With refereMcDonald (2007) ICT Company can make use of various strategies to capture the customer’s attention. Nevertheless, the best strategy is pricing strategy. Customers are very sensitive to prices and they can be attracted or detracted from buying the product. The company can, apart from using other strategies, reduce the prices slightly below the competitors’ and maintain the right quality, value and prestige. How buyer behavior affects marketing activities Buying behaviour comprises of both internal and external factors that gives reasons why consumers prefer some products and services. This kind of behaviour may affect the marketing strategy that ICT uses to promote its products and services (Pride, 2011). Nevertheless, if this behavior is critically analyzed, it can provide a guideline for the company to use for better marketing strategies. For instance, complex decision making is a behavior type that is associated with expensive (McDonald, 2007), high-end or scarce products like fine wine, diamonds or motor vehicles. The behavior usually comes with high involvement on the part of the consumer since he/she should make a thorough research on the between the products and the brands, quality and quantity before making buying decision. Such decisions may require consultations from other relevant resources that may assist them make informed decisions. On the other hand, customers may be inspired by the quality of the product but distracted by its price and vice versa. The product may remain in unsold due to the customer behavior. Positioning This is the way the ICT products is defined by its customers. The ICT can position itself by putting more emphasis on the distinct features of its products i.e. what they are, how they work and what to gain from them. To develop more confidence, the company can create an appropriate image of the products: cheap, quality and prestigious (Mira Inc, 2010). How ICT is developing its products to sustain competitive advantage Staged release into the market: ICT Company is holding back its product developments so as to release better product versions periodically. This project of staged improvements of the product has been exciting and appear dynamic to the customers. Positioning and differentiation: ICT has differentiated its products from those of its competitors and position itself strategically to capture the market. It is currently providing special and unique services to its loyal customers. Research and marketing: the company is constantly conducting market surveys to increase its sales. Now that the company is engaging in technology business, it is doing ceaseless research to suit the dynamic technology. This is to unleash quality products to meet customer needs. Distribution The company intends to open branches in all the areas of operation. This is to ease operation and reach customers. However, the company will offer after sales services to customers who buy in large quantities. Trade and quality discounts follow this. The branches will be to bring services closer to the customers and convenient them in their movements. Pricing The products of the company are priced bearing in mind the competition. More so, the company is not deeply concerned with escalated prices to mean quality and prestige nor is it quoting low prices by selling large quantities. Instead, prices are fixed to accommodate all customers. The prices will be value for their money. Integrating promotional activity to achieve objectives Promotional element is imperative in attracting and persuading customers to buy the company products over the competitors. Consistency is paramount in integrating promotions. In order to convince customers, get market share and get long-lasting loyalty, the company should offer consistent information. The product information depicts customers’ loyalty to customers thus maintaining many customers (Kate & David , 2010). Reach: the promotional activity should reach the target customers. When the right information reach the right customers, they will be informed and may prompt their buying decisions. Furthermore, the promotional messages should be repeated frequently to arouse their anxiety. Repetition makes customers come regularly since they are of the available products and services and what offers are available. Additional elements of extended marketing mix Physical layout: all the company structures will have the same layout for easy identification. Stores and websites will be under the central management. This will ensure congruence of information in the company (Kate & David , 2010). Provision of customer service: good customer service is the goal of ICT Company. Satisfied customers are loyal and forthcoming. They ensure constant market of the company products. Processes: a number of processes are with effective marketing. These processes are handling of complaints from customers, handling orders, etc. the company will take heed of such processes to meet market demands. Marketing mixes for two different segments According to Luther (2011), marketing mix is a crucial tool in marketing company products. For instance, Sony and audio-visual system, is one of the innovations currently in the market. Its goal is not only to be a leader but also to offer unique products in the market including households. It is obvious that most of the most of the people like Sony products. At the moment, the sales volume has decreased due to competitors selling the same products at lower prices. However, prices can be revised in-hand with promotional activity. Since most of the people like iPods for listening to music as well as watching movies, thus the company can do more promotions in all the outlets. When customers ask audio system only and they do not find, they opt for an alternative (Kate & David , 2010). This alternative is an integrated Sony system both for audio and video. At the end of the day, many the customers have purchased the product while the seller has done market mix. Differences in making products and services to businesses rather than consumers When marketing a B2B, the focus is on the product logic; mainly its features. There is limited personal emotional involvement when making purchasing decision. Business-to-business also focuses on the buyer understanding and how they work within their environments. On the other hand, business to final consumers focuses on the paybacks of the product (Pride, 2011). International and domestic marketing International marketing applies marketing principles to several countries while domestic marketing concentrates on the owner’s home country. Essentially, foreign marketing is simply domestic operations in a foreign country. The techniques used in international are mainly those of the home country. The glaring differences varies from scope of operation, the benefits, political relations, barriers and the share of technology (McDonald, 2007). Conclusions Market planning requires an intensive understanding of the market situation. When writing a marketing plan, it is worth studying the goals of the organization, target market and situational analysis. This will enable ICT Company to venture into the market confidently. Bibliography Kate , . G. & David , H., 2010. Global Marketing. London: Cengage Learning. Luther, W., 2011. The Marketing Plan: How to Prepare and Implement it. Michigan: AMACOM Div American Mgmt Assn. McDonald, M., 2007. Malcolm McDonald on Marketing Planning: Understanding Marketing Plans and Strategy. s.l.:Kogan Page Publishers. Mira Inc, 2010. 2009 Marketing & Promotion Calendar. s.l.:2010 Marketing Calendar. Pride, W., 2011. Marketing. NY: South-Western Cengage Learning. Read More