What is Market Planning?
What is Market Planning? Essay Sample
Marketing planning is all about fixing objectives and goals for a business and making clear plans to achieve these goals. The process of marketing planning involves
* A PESTLE audit
* A SWOT analysis
* Setting smart objectives
* Determining strategies and tactics
* Implementing strategies and tactics
* Evaluate the effectiveness of marketing
During marketing planning process, businesses have to follow the PESTLE plan in order to reach their goals and purposes.
PESTLE stands for political economic and social technology legal and environmental influences
Political – this refers the extent at which the government takes action in in an economic situation, this could be during the recession. Business at that stage need to identify what they can do to reduce threat to their business out how they can make the most out of the situation
The economy of a place where a business operates can always affect the business whether it is abroad or nationally. When the economy in that place is affected by recession or prosperity, the business is also affected by these factors. So to face them, a business needs to take action and make plan to stay out of troubles.
This is more about the values and the beliefs of a country, these factor give useful information to businesses when they are trying provide services abroad for example. Some of these information include: incomes, gender and ethnicity.
We go through Technic development at least every months, and most of these new technology affects businesses. E-commerce is one of the ways in which technology has affected business. Thanks to technology, businesses are much more developed in modern days.
Legal development has always affected business and is continuing to do so, for example things like the data protection act heavily affects every business that relies on or uses customers’ data no matter its size or its kind. Another legal requirement that has affected business is the Smoking law. This has affect businesses like pubs and restaurants.
Environmental factors affecting businesses usually involves social, legal and political factors too. For example if a business is doing or producing something that the public doesn’t like, they are going to complain and eventually the government is going to do something about it by putting a law in place to stop them.
SWOT analysis explained
SWOT is a method used to examine the relationship between a customer and its marketing environment. SWOT stands for (strength, weakness, opportunity and threat)
This refers to the advantages that a business has which gives them better than others. An example of that could be a really good IT within the business.
Weakness refers to the part or side of the business that is not as good compared to other businesses. This could be the lack of well trained staff in a particular area within the business (management)
This refers to any chances or opportunity from the outside that the business gets to develop. This could be a new area to promote their products or their services
This refers to anything that happens outside the organisations which could damage the performance of the business. These threats could come from anywhere, the government from example imposing new laws to businesses. Threats could also be from population for example, people complaining about products or services from the business.
Why should objectives be SMART?
Smart objectives –
* Specific – the objectives of the business must be as clear and as precise to be better achievable
* Measurable – it needs to measure its performance in order to track how well it is doing and if it would able to achieve its goal
* Achievable – the business objective must be fixed realistically for the business to be able to achieve easily
* Realistically – the business must be frank and truthful with its goals and aims. Businesses cannot fix goals they know they will not be able to achieve, this will affect their performances be bad for their future.
* Time – related – the objective of the business must have a time scale. Businesses must fix a time by which they believe they will achieve their goals. Businesses could be regarded as unreliable if they don’t meet their own fixated deadline.
What is strategy?
A strategy is selecting and analysing the market that the business is aiming at and making sure they maintain an appropriate marketing mix that will please the target market. A strategy is like an overall long term-plan businesses use to be successful.
What is tactics?
A tactic is more particular method a business uses to achieve short-term aim
What is implementation of changes?
Implementations of changes are factors that can affect marketing mix element of a business
Why marketing activity should be evaluated?
Marketing activity should be evaluated should be evaluated because it allows businesses to identify the way they are really performing towards a goal compared to what their plans was and then reduce any difference there is.