AboutLeo Lingham Expertise Any questions around sales, sales planning, sales development,
sales management, sales auditing, sales strategy, salesforce
management, selling skills, sales training , psychology in
selling, etc.
Experience 18 years in working management covering business planning,
strategic planning, marketing and sales management, management
service, organization development etc
plus
24 years in management consulting covering business planning,
strategic planning, business developemnt, business coaching,
marketing, product management etc
Expert: Leo Lingham Date: 5/9/2008 Subject: Market plan
Question QUESTION: I need to put a a good marketing plan for a an aluminium products manufacturing company that has no marketing department in place. Please enlighten me on the best way to draw up an effective plan
ANSWER: RITA,
BEFORE I ATTEMPT THE ANSWER,
COULD YOU PLEASE CLARIFY
-WHAT ARE THESE ALUMINIUM PRODUCTS
-HOW DO YOU SELL YOUR PRODUCTS CURRENTLY
*IS IT DIRECTLY TO THE END USERS
*IS IT SOLD TO THE WHOLESALERS/ DISTRIBUTORS
WHO SELL IT TO THE RETAILERS/ END USERS.
*IS IT SOLD DIRECTLY TO THE HARDWARE RETAILERS
THANKS
REGARDS
LEO LINGHAM
---------- FOLLOW-UP ----------
QUESTION: They manufactur semi-finished aluminium products and pre painted oven baked coils.They sell it both local and foreign companies who use it to manufacture roofing sheets and cooking utensils.
It is a job i am applying for and i think they currently sell thier products through orders which takes about 6 weeks to execute.
Answer RITA,
Based on your brief,
-your products are primary products.
-these are bought by other manufacturers for making end products
-these customers, who buy your products to make their products
are often affected by the economy,
WHICH IN TURN AFFECTS YOUR BUSINESS.
==========================================
IN DEVELOPING THE MARKETING PLAN
STAGE ONE
STUDY YOUR PRODUCT
-define your product--what is your product
-what is it made of
-what is cost of this product
-is it locally made
-is there a competitive product
-what is the price differential
-how many competitive brands are there
etc
when you answer these questions, it will help to define
your product.
==========================================
STAGE TWO
STUDY YOUR MARKET
-who are your potential users
-how many are there in your country
-how many are there in your EXPORT MARKET
-is it a niche market -small number of users
-how much / how often / do they buy
-is there any changing trends
-is the demand increasing
etc
when you answer these questions/ more, it will help
define your potential market size
STUDY OF Current Situation - MARKET ANALYSIS
market definition
market size
market segmentation
industry structure and strategic groupings
Porter 5 forces analysis
competition and market share
competitors'strengths/ weaknesses
market trends
Current Situation - CUSTOMER Analysis
nature of the buying decision
participants
demographics
psychographics
buyer motivation and expectations
loyalty segments
==========================================
STAGE THREE
STUDY YOUR COMPANY'S BUSINESS ENVIRONMENT
-how is the economy affecting your market
-who are the potential competitors
-what are the market share of the competitors
-what is the degree of competition
-what is the basis of competition -is it price/ brand etc
-what government regulations affect this market
etc
when you answer these questions / more , it will help
to understand the impact of environment on your
market.
STUDY OF Current Situation - MACROENVIRONMENT
economy
legal
government
technology
ecological
sociocultural
supply chain
==========================================
STAGE FOUR
STUDY THE COMPANY'S INTERNAL SITUATION
Current Situation - Internal [STRENGTHS/WEAKNESSES/THREATS/OPPORTUNITIES]
company resources
financial
people
time
skills
================================================
STAGE FIVE
SUMMARIZE THE SITUATION , BASED ON THE ABOVE ANALYSIS.
Summary of Situation Analysis
external threats
external opportunities
internal strengths
internal weaknesses
key success factors in the industry
Your sustainable competitive advantage
Critical issues that must attended to.
=================================================
STAGE SIX
DEVELOP THE FOLLOWING, AS THE FOUNDATION
FOR YOUR MARKETING PLAN.
objectives
mission statement and vision statement
corporate objectives
corporate strategies
financial objective
marketing objectives
long term objectives
corporate culture
==================================================
NOW YOU ARE READY TO PREPARE YOUR
MARKETING PLAN.
MARKETING RESEARCH
information requirements
research methodology
research results
----------------------------------------------------
Marketing Strategy - PRODUCT
PRODUCT MIX
product strengths and weaknesses
PERCEPTUAL MAPPING
PRODUCT LIFE CYCLE MANAGEMENT/ NEW PRODUCT DEVELOPMENT
BRAND, brand image, and BRAND-EQUITY
the AUGMENTED PRODUCT
product PORTFOLIO analysis
-------------------------------------------------------------------------
Marketing Strategy - MARKET SHAREobjectives
by products,
by customer segments,
by geographical markets
-------------------------------------------------------------------------------------
Marketing Strategy - PRICE
PRICING OBJECTIVES
pricing method (eg.: cost plus, demand based, or competitor indexing)
pricing strategy (eg.: skimming, or penetration)
DISCOUNTS AND ALLOWANCES
PRICE ELASCITY and customer sensitivity
PRICE ZONING
BREAK EVEN ANALYSIS at various prices
---------------------------------------------------------------------------------------------
Marketing Strategy - PROMOTIONS
promotional goals
promotional mix
ADVERTISING reach, frequency, flights, theme, and media
SALES FORCE requirements, techniques, and management
SALES PROMOTIONS
PUBLICITY and PUBLIC RELATIONS
electronic promotion (eg.:WEBSITE or TELEPHONE)
----------------------------------------------------------------------------------------
Marketing Strategy - DISTRIBUTION
geographical coverage
distribution channels
physical distribution and logistics
electronic distribution
----------------------------------------------------------------------
Financial Summary
assumptions
pro-forma monthly income statement
CONTRIBUTION ANALYSIS
breakeven analysis
=======================================
regards
LEO LINGHAM
