Developing Marketing Objectives and Marketing Strategy, Business Plan Example
Words: 2206Business Plan
Businesses undertake the promotion of their products and services they offer in the market through marketing. The processes of marketing involve the advertising, selling and delivering products and services to the consumers or other businesses (Milovanovic & Krstic, 2013). Professional businesses use the marketing tool to promote brand awareness to its customers and to relate to the operations of the business. Marketing is a basic tool in the operations of the business that seeks to match a company’s products and the services to the potential customer in the market.
In the promotion and advertisement of these products of the business, a business uses the strategies of Product, Price, Place and promotion to reach its customers effectively (Faisal, 2016). These strategies create the essential mix of the company’s needs in the market. Therefore, this paper is a reflection of the marketing strategies, marketing objectives the challenges and opportunities that a business enterprise is exposed to in the market.
These are goals of the business that are set by the owner of the business mainly to promote goods and services that they provide to their customers. They are strategies for the general growth of the business or the organization. These objectives are important because they make people focus on the main goal of the business. Some of these marketing objectives include:
- Profitability objective– these objectives regulate the income that the organization or business expects depending on the promotion strategies put in place. Examples of these profitable objectives are net profit margin which tells how much a retailer makes after business paid its expenses. The second one is financial leverage that explains total assets divided by net worth to get the overall capital structure.
- Market share objective- this objective determines the percentage market share that the organization wanted to capture. The most important objective of the business is to increase its market share. Examples of the market share objective are to increase customers percentage who rate the business as excellent.
- Growth objective-this analyses the size of the business so that you come up with the strategies that will help to make the business grow. This objective contributes to the growth of business revenue. By setting the strategies company increase the market share.
Marketing mix decision is tactical marketing tools used by a company in producing desired responses that come from their target market (Milovanovic & Krstic, 2013). It comprises of all the things that a company put in place so that the goods and services they provide influence the demand of the products. These tools of a meet mix are dividing into four groups which are commonly known as four Ps.
- Products-these are goods and services that the company offers to its potential customers. Products seek to fulfil a need in the market and fulfil the customer’s needs. The marketers sometimes are involved in the creation of campaigns that seek to bring into the people the awareness of a new product in the same market.
- Price-amount that the company is prepared to sell its products or services (Busca & Bertrandias, 2020). The companies consider the unit cost price, marketing costs and the distribution expenses before setting the prices.
- Place (distribution)– includes all the activities that are done to make sure the products reach their customers. The significant activities in the strategy include the company selling the product through a physical storefront, online or through the available distribution channels.
- Promotion– communicate to the customers the essential features of the product they are producing to convince them to buy their product. It involves the initiated campaigns that are required to alert the customers about a product in the market.
Each of the four tools contributes to market mix. For the effective marketing strategy, the combination of the Four Ps works very well to meet the company’s marketing objectives.
Product decision. These are decisions that a company makes in improving their products. These may be the colour or the label of the package (Busca & Bertrandias, 2020). These product decisions include
Brand name– The name of the brand maybe what you are a thing of when imaging a brand. It should talk about the benefits of the product very easy to remember and recognize and most of the time it should be distinctive so that the customers get confused with other brand names of another company.
Quality –this may be categorized as the characteristic of the product that you want to introduce to the market (Faisal, 2016). This helps the customers to know if the product satisfies their needs. Quality of the product is important because it helps to improve the performance of the product.
Scope of product line-this refers to the number of items that your company is producing to each of your customers (Chung, 2007). Having a range of products that you deal with making it easy to concentrate with your customers and also your customers will be able to know what you are dealing with. It’s better if you use the strategy of a single product because it seems to be easy in a way that will help you serve a wider range of customers.
Warranty. when dealing with large machinery products you need to have warranties. Having warranties, it builds the consumers business relationship. This assures the consumer that the product you sold to him/he suits the purpose that it does.
Packaging-this include designing and wrapping of the products that you are dealing with within your company. The main reason for doing this is to make sure that the product is protected from damage (Faisal, 2016). Also, by doing this it makes it easy for transportation of the products. Weight of the product, unit type and size of the product is very important when it comes to the packaging of the products. Customers sometimes look at the packaging of the products and feel attracted to buying the product.
Pricing decisions mostly are the choices that are made by the company when setting the prices of the goods and service that they provide (Feurer et al., 2018). This is to make sure that they increase sales by making small adjustments such as purchase allowances. They base on the following variable;
List price- a price that the company suggest the retailers should sell it to the consumers. It’s like the company tries to control the price of the product not to reach the consumer at a high cost.
Discounts-company selling lag products at low prices. When you buy large products, they lower the price for you that that person purchasing small goods. This strategy is used as an oil to attract customers who want to buy goods in quantity this the company makes profit out of this (Feurer et al., 2018). Examples of these discounts are, promotional discounts they are short-termed. The second one is quantity discounts, offered when customer buying bulk goods.
Bundling-the company sell a set of goods or service cheaper when they are in a bundle than deciding to sell the same goods in the package separately. Using this strategy, you make a profit by giving the customer a discount. An example could be of selling cable TV channel plans.
Payment terms and financial options- they are modes of payment hat the company give their customers. These include; paying off the products that they have purchased using credit cards, online payments, automatic withdrawals and checks (Feurer et al., 2018). Several customers prefer this method of payments because using cash is difficult and have many challenges one of them being cash can be stolen.
Leasing options-its where the consumer or the company make use of the asset and pay the owner being on the agreement terms that they agreed. This happens under the contract that they agree. The lease maybe after the customer used the asset for a certain period. When the asset is returned the lessor may lease it again or decides to sell it. Financial leases re mostly used in the leasing of the buildings, land and equipment.
Place distribution- this is significant, especially when dealing with bulk goods and services. You need to lay down strategies in transporting toes goods to where you need them to be. This will make your company very successful. Setting out the cost of transportation very high will make the consumer look for another option which will cost you a lot (Amling & Daugherty, 2018). The transport cost discount will make the distributer get some profits after transporting the products.
These are the routes that are taken by the company to make sure that their products reach their customers at due time. This may include direct communication with the customer or the retail (Chung, 2007). This channel provides time and ownership utility. The responsibility of these channels is to provide means of transporting goods and services from the company to the consumer. Some of these channels include;
- Retails – it uses retailers to promote brand awareness and the interest of the product and services in the effort of generating revenue.
- Distributors – they are the individuals who sales and markets the services of a company to the potential customers.
- Intermediaries – they are individuals or firms that assist in the flow of goods and services from the producers to the consumers.
Motivating the channel—for example, distributor margins-this contains the support that you give the distributors in making sure that they perform the work. The following are the ways that can be used to motivate the channel; keep the communication, training them on how to deal with the products, and finally to create an incentive program that will motivate he marketing staff.
Criteria for evaluating distributors- they are ways that you set and base on when selecting a right distributor this way include; distributors operation scale, the financial position and the sale volume that one distributor can sale (Woodall, 2007). In this occasion, you examine whether the distributor shares the goals that hero she has. Assessing the distributors if he or she is important to the organization.
Location –before setting out of the basins you have to consider the place that you are setting the business up. The security of the place should be considered. A place where customers reach your company or business very well. Doing this will improve supply and demand facts. Supply factors include labour cost, land cost and transport cost (Amling & Daugherty, 2018). Demand factors include labour skills, expansion potential if the business growth increases there is a room of expansion. Customer convenience. Business to be located where customers find it easy and cheap to access services that you provided for their customers.
As the manager of the company out have o consider h roper management of transportation of the goods and services that you produce. Addressing transportation needs all the time (Amling & Daugherty, 2018). About the storage of goods, you re support to store them well mostly preferred place to be in the warehouses. Then not forget the delivery of the goods that orders have been made due to the time needed and at the right place where they support to be.by doing this you increase the trust between your customs and that will make your business growth at a good rate.
This is the communication with the specific objectives that are majorly meant to inform, persuade and remember the target audience (Woodall, 2007). Below are some of the methodologies that are used in the promotion of the company products.
Advertising – this is an important element in the mix that involves the reaching of potential audiences through media to build brand awareness (Woodall, 2007). The advertising costs depends on the expected revenue from the market.
Public Relations – it is the image and reputation of the company that is done through the press releases, media, conferences meetings and the sponsorships.
Sales Promotion – these are the boost that the company offers its customers in the promotion stage. They include discounts, bundles and other kinds of offers.
Digital Marketing – it is the use of the information system to promote the company’s products (Busca & Bertrandias, 2020). Some of the media used include Facebook, Instagram, Twitter, emails amongst others
In conclusion, marketing plays a major role in the establishment of organizational relationships with the customers. It is a major function of an organization that ensures that a brand is well known in the market, advertisements, customer interactions and also the customer feedback reaches the company (Chung, 2007). The different activities that are done by the marketing function are significant to the success of a business. More research should, however, be conducted to learn more about the functions of the marketing department and the major strategies used by marketers to reach their customers.
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Feurer, S., Schuhmacher, M., & Kuester, S. (2018). How Pricing Teams Develop Effective Pricing Strategies for New Products. Journal of Product Innovation Management, 36(1), 66-86. https://doi.org/10.1111/jpim.12444
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