Marketing Bisnis

For business owners and managers who do not have a marketing background, few situations prompt the same intensity of emotions as when they are faced with producing a marketing strategy. Whether they are working alone or with a consultant there is often a contradictory mix of optimism, uncertainty, excitement and doubt.

This is hardly surprising, given the complex and demanding nature of the task. It requires a good analytical knowledge of the markets that the company operates in. It also demands that businesses take a different and creative view of how they operate. It is the culmination of a complex distillation of a wide range of factors, trends and facts, into a crisp statement of intent and an action plan.

The path to this objective can be broken down into six basic steps:

1 Decide the target market segments that you will focus on. Every mature market has segments of customers, who have needs that are different from other segments. For example, in the freight business, the express market is very different from the palletised distribution segment. The express segment will pay high prices for fast turnaround, computerised tracking and electronic proof of delivery. The palletised segment is looking for a lower price and lower service offering. When you choose segments, make sure that you have the capabilities to serve them well. Sometimes businesses choose attractive segments, but they do not the infrastructure, systems and people to operate in them successfully. If you choose to target the express freight market, you need the right vehicles, depots, IT systems and sales infrastructure. Also make sure that the segment is large enough for your business. Attractive new segments are sometimes discussed in the trade press, and they generate a lot of discussion, but they can be ideas ahead of their time. RFID has been discussed in retail for over five years now, and there have been millions of articles written on it, but there are still very few real sales being made. A segment like this is one for very large businesses only.

2 Profile the customers that you will target. Build a picture of the types of businesses that will buy your products.
- Where are they located?
- What size are they?
- What needs do they want to satisfy?
- Will our product alone satisfy them?
- Who in the organisation makes the buying decision?
- Are there any influencers on that decision?
- What media do they read/ browse and what ways can you reach them?

Within your segment there may be sub-segments that you identify. If you sell office products, you may choose to target the small business segment in your local area. Within that segment, accountants and solicitors would be particularly heavy users of paper and stationery because of the nature of their businesses.

You may need to repeat this step several times if you have products or services targeted at several different customer types.

3 Clarify your competitive advantage. In each segment that you choose to operate in, you need a clear statement of why customers should select your products ahead of you competitors. You need to be clear about why you can satisfy their particular needs in a way that is superior to anyone else.

This is the steps that most needs some challenge and scrutiny. In weak plans, this is often where the problem lies. Common problems include:

- advantages repeated year after year, even though differentials have eroded
- perceived advantages are not real or substantial enough in the minds of your customers
- new competitors have not been studied and advantages have been overtaken by an innovation

Part of marketing craft is to constantly search for new threats and new business models. It is also to constantly listen to customers, especially as they explain why they like to do business with you compared to others. Do not be afraid to question them and draw them out when they do…this is some of the most valuable information you will get in business.

4 Determine the benefits of each of your products and services. This is often the least troublesome area of the plan because businesses are comfortable discussing what they make and do. The key points are to only write about benefits. Bear in mind the following copywriters ode:

Tell me quick and tell me true
Or else, my friend to hell with you.

Not how this product came to be,
But what the damn thing does for me. Also, you must really dare to be different here. Nowadays everyone has a supplier for what you sell. Business often underestimate how different they need to be to draw a customer away from their current supplier and to start a new relationship with them.

5 List the marketing and sales methods that will be used to deliver the sales and profit objectives of the business. The marketing mix needs to be fully described and a full schedule of activities listed. Behind this schedule should be a series of calculations that show how the customer metrics in the business will change, how the margin mix will evolve, how the sales forecast has been made, and how the marketing costs have been calculated.

This can be a complex task, but as long as it is based on historical data, it has a low risk of error.

This step has two purposes. The first is that it summarises how the first four steps are going to be turned into action. Secondly, it is a tool for management to see if the steps are being carried out. It should contain all the information on who is responsible for doing what, and when.

6 Summarise the impact on the P&L. Marketing is an investment, and it should always be measured in terms of the results that it produces. The business strategy will determine the business priorities, and this summary will show how the marketing plan will make its contribution, whether it is in sales growth, profit increase, or cost savings. Behind the P&L should be the key monthly marketing indicators that will drive the forecast results. Senior management can review these indicators regularly, and can take appropriate action if they deviate from the plan.

If you follow these steps, then you will have a plan that is actionable and measurable. You can take action and if some parts work and some don’t, you can investigate the problems and make the necessary changes. In this way the plan puts you in control of your business and as the plan evolves you are learning about what works and what doesn’t. This I believe is what Eisenhower meant when he said

“A plan is nothing; planning is everything”