INTRODUCTION
A well prepared marketing plan helps entrepreneurs to:
• evaluate market acceptance
• develop strategies to market products or services of the business
• identify required resources to execute the marketing strategy
• estimate marketing financial requirement
Entrepreneurship Dept, FBM (2009) ETR/ENT300 MODULE 8 : Marketing Plan 1
STEPS IN PREPARING A MARKETING PLAN
1. Setting Marketing Objectives
2. Determining product or service
3. Identifying target market
4. Analyzing market trend and size
5. Assessing competition
6. Forecasting sales
7. Developing marketing strategy
8. Planning for marketing personnel
9. Preparing marketing budget
Entrepreneurship Dept, FBM (2009) ETR/ENT300 MODULE 8 : Marketing Plan 2
1. SETTING MARKETING OBJECTIVES:
New business
Introduce new products/services
Estimate market acceptance and sales
Existing business
Introduce new products/services
Inform market of product improvement
Enter new market
Increase sales of existing products
Increase market share
Market penetration
Regain market for existing product
Entrepreneurship Dept, FBM (2009) ETR/ENT300 MODULE 8 : Marketing Plan 3
2. DETERMINING PRODUCT OR SERVICE
Needs & wants of customers
Marketability of a product or service
Guide in describing product or services
State clearly the value and benefits of product or
service to customers. Capitalize on the uniqueness or
strengths of the product or services such as on its
formulation, ingredients used, safety, ease of use, life
span, flexibility, assortment, location, operation hours,
personalization, extended warranty etc.
Entrepreneurship Dept, FBM (2009) ETR/ENT300 MODULE 8 : Marketing Plan 4
3. IDENTIFYING TARGET MARKET
Who is the consumer of the product or service?
What is their common needs or wants that would be
satisfied by the product or service?
What is their common characteristics?
Entrepreneurship Dept, FBM (2009) ETR/ENT300 MODULE 8 : Marketing Plan 5
TARGET MARKET ALTERNATIVES
SEGMENTED MARKETING
Target several or a particular market segments
Design separate offers for each segment
Niche Marketing:
Targeting a large share of one or a few segments or
niches
Micromarketing:
Tailoring products to suit the tastes of specific individuals
and locations
Entrepreneurship Dept, FBM (2009) ETR/ENT300 MODULE 8 : Marketing Plan 6
4. ANALYZING MARKET TREND
AND MARKET SIZE
What is the trend in the market?
What is market potential?
Size of the market - what is the RM value?
Customer profiles of relevant market segments.
Entrepreneurship Dept, FBM (2009) ETR/ENT300 MODULE 8 : Marketing Plan 7
Market Size:
Total potential purchase of target market
Should be translated into monetary value
Growing, remain the same or shrinking
Market Share:
a comparative measure to assess performance
against the competition
Entrepreneurship Dept, FBM (2009) ETR/ENT300 MODULE 8 : Marketing Plan 8
5. ASSESSING COMPETITION
Identify Competitors AT LEAST 3
Assess their market positions and strategies i.e.;
product quality, pricing, distribution and
promotion
Strengths and weaknesses
Duration in market
Customers
Entrepreneurship Dept, FBM (2009) ETR/ENT300 MODULE 8 : Marketing Plan 9
6. FORECASTING SALES
Past performance
Break-even – to set the minimum
Secured projects
On-going contracts
Anticipated or intended growth
Entrepreneurship Dept, FBM (2009) ETR/ENT300 MODULE 8 : Marketing Plan 10
7. DEVELOPING MARKETING STRATEGY
To enable business to plan for its limited resources
in order to achieve stated marketing objectives
The key idea is to deliver customer satisfaction yet
provide business with a competitive advantage
Entrepreneurship Dept, FBM (2009) ETR/ENT300 MODULE 8 : Marketing Plan 11
MARKETING STRATEGY
Product Strategy
Pricing Strategy PAGE 61
Place or Distribution Strategy
Promotion Strategy
PEOPLE (PERSONNEL)
PROCESS
PHYSICAL
Entrepreneurship Dept, FBM (2009) ETR/ENT300 MODULE 8 : Marketing Plan 12
PRODUCT STRATEGY
Include product and service strategy
Product is a physical item that can be seen, owned, used or
consumed
Ideas and creations of the minds can also be regarded as product
Service is intangible and cannot be seen or owned, but is useful,
can be experienced and able to satisfy customer needs and
wants
Product strategy refers to a product, service or a combination
of both
Entrepreneurship Dept, FBM (2009) ETR/ENT300 MODULE 8 : Marketing Plan 13
PRODUCT STRATEGY
Product attributes
Quality
Design
Trade name
Brand name
Packaging
Labeling
Warranty
After sales service
Entrepreneurship Dept, FBM (2009) ETR/ENT300 MODULE 8 : Marketing Plan 14
PRICING STRATEGY
Price is the value exchanged between the
seller and the buyer in order for the buyer
to possess, use or experience the product
or service offered
Most often, price is in the form of
monetary value paid by the buyer to obtain
the product or service
Entrepreneurship Dept, FBM (2009) ETR/ENT300 MODULE 8 : Marketing Plan 15
PRICING STRATEGY
Common Pricing Methods:
Based on Cost
Fixed Cost + Variable Cost + Desired Margin
Based on Perceived Value
Based on Competition
Entrepreneurship Dept, FBM (2009) ETR/ENT300 MODULE 8 : Marketing Plan 16
FACTORS TO CONSIDER WHEN SETTING PRICE
Marketing objectives
Demand and supply
Competitor’s pricing
Entrepreneurship Dept, FBM (2009) ETR/ENT300 MODULE 8 : Marketing Plan 17
PROMOTION STRATEGY
Promotion is any coordinated effort taken to
supplement the product, price and place strategies
in order to achieve marketing objectives.
Entrepreneurship Dept, FBM (2009) ETR/ENT300 MODULE 8 : Marketing Plan 18
PROMOTION STRATEGY
Advertising
Sales promotion
Personal Selling
Publicity
Entrepreneurship Dept, FBM (2009) ETR/ENT300 MODULE 8 : Marketing Plan 19
PROMOTION STRATEGY
Advertising
Paid, non personal sales effort through a medium to influence a
large number of consumers.
• Channel of adverting • Outdoor
Printed • Billboards
• Newspaper • Banners
• Magazines • Transportation
• Yellow pages
• Brochures
• Business cards
Electronic and Digital
• Television
• Radio
• Internet
• Sort messaging system
Entrepreneurship Dept, FBM (2009) ETR/ENT300 MODULE 8 : Marketing Plan 20
9. PREPARING MARKETING BUDGET
Marketing budget refers to expenses incurred in planning
for the marketing aspect of the proposed business or
project.
It consists of 3 components :
1. Investment on fixed assets
2. Allocation for working capital for marketing activities
3. Other marketing expenses
Entrepreneurship Dept, FBM (2009) ETR/ENT300 MODULE 8 : Marketing Plan 21
MARKETING BUDGET TABLE
Items Fixed Working Other
Asset Capital Expenses
(RM) (RM) (RM)
Fixed Asset
Signboard 4,000
Working Capital
Salary/EPF/SOCSO
- Marketing Manager 3,000
- Sales Consultant 1,500
- Promotion 500
OTHERS
Grand Opening 5,000
Total (RM) 4,000 5,000 5,000
Entrepreneurship Dept, FBM (2009) ETR/ENT300 MODULE 8 : Marketing Plan 22
END OF MODULE 8