ContentsOverview 3Content 4Learning outcomes 5Topic 1: Devise marketing strategies 6Topic 2: Plan marketing tactics 22Topic 3: Marketing Plan Development 27Review and assessment 29 OverviewThe Student Guide should be used in conjunction with the recommended reading and any further course notes or activities given by the trainer/assessor.Topics ContentTopic 1: Devise marketing strategies• What is a marketing plan?• … Continue reading “Devise marketing strategies | My Assignment Tutor”
ContentsOverview 3Content 4Learning outcomes 5Topic 1: Devise marketing strategies 6Topic 2: Plan marketing tactics 22Topic 3: Marketing Plan Development 27Review and assessment 29 OverviewThe Student Guide should be used in conjunction with the recommended reading and any further course notes or activities given by the trainer/assessor.Topics ContentTopic 1: Devise marketing strategies• What is a marketing plan?• Marketing strategy• Market environments• PESTLE Analysis and SWOT analysis• Evaluate marketing opportunity options• Competitor analysis• Developing SMART Marketing Objectives• Types of Marketing Strategy• The Marketing Mix• Developing marketing strategies• Marketing performance review strategy• Marketing metricsTopic 2: Plan marketing tactics • Marketing tactics• Legal and ethical requirementsTopic 3: Prepare and present a marketing plan• Marketing plan development activityUnit review and assessment tasksRecommended textThe following text is recommended for this unit:Marketing Principles, Pride, Ferrell, Lukas, Schembri, Niininen, (4th Edition 2018)• Chapter 1: Key concepts in marketing• Chapter 2: Marketing environment, social responsibility and ethics• Chapter 3: Planning, implementing and evaluating marketing strategy• Chapter 5: Consumer and business behaviour• Chapter 6: Segmentation, target markets and positioning ContentThe Student Guide includes:• topics for the unit• activities• links to websites containing relevant information (if the links are broken, copy and paste into a web browser).ActivitiesThe trainer/assessor will provide a simulated work environment therefore, the activities provided in the Student Guide:• reflect real life work tasks• are performed to industry safety requirements as relevant• use authentic workplace documentation• require you to work with others as part of a team• require you to plan and prioritise competing work tasks• involve the use of standard, workplace equipment such as computers and software• take into consideration workplace constraints such as time and budgets• will either be self-directed or carried out as part of group or team work• require you to read through the activity carefully and ask the trainer/assessor for guidance if needed• will have time allocated for completing the activity, along with time for class discussion and feedbackSome activities may require you to submit work to the trainer/assessor for feedback. Where this is the case it will be indicated at the bottom of the activity.Video clips• If presented in class, take part in any class discussions, providing feedback and contributing to debate and arguments.• If directed to watch the video as part of self-study, or independently in class, take notes so contributions to any future class discussions can be made.RoleplaysThe trainer/assessor will direct class roleplays.When undertaking these activities ensure that you understand the purpose of the roleplay and take part as if you are in a professional situation to provide your fellow classmates with a true-to-life experience. Roleplays rely on your ability to act in a manner that imitates real-life situations and can provide you with depth of understanding and practical skills.Learning outcomesBy the end of this unit, students will be able to have the skills and knowledge required to research, develop and present a marketing plan for an organisation.Outcomes include:• Devising marketing strategies• Planning marketing tactics• Preparing and presenting a marketing plan Topic 1: Devise marketing strategiesWhat is a marketing plan?A marketing plan outlines an organisation’s strategies and activities related to marketing that are required to achieve the business’ overall objectives for a specific time period. It may be part of an universal business or strategic plan or a stand-alone document.A marketing plan generally includes a description of how consumers perceive the business’ brand in relation to other competing brands or products (marketing position), target markets and an outline of the marketing tools that will be used to achieve marketing goals.A marketing plan also often includes an analysis of the strengths and weaknesses of a company, as well as opportunities and threats (SWOT analysis) and may also include an analysis of the external environment which is usually performed through a tool called PEST or PESTLE (political, economic, social, technological, legal, environmental) analysis. Activity: Video Watch the following video about why having a marketing plan is important: Video: http://www.youtube.com/watch?v=qakY3GckfTw (02:00)The trainer/assessor will facilitate a class discussion about the outcomes from the video. Activity: Review and discussion Review a sample marketing plan using the following website: http://www.mplans.com/sample-marketing-plans.phpYour trainer/assessor will guide you through each part of the marketing plan. Activity: Research Download the following template and guide from Business Australia: https://www.business.gov.au/Planning/Templates-and-tools/Marketing-Plan-Template-and-GuideKeep this for future reference. Marketing strategyMarketing strategies provide details of the direction and goals for marketing and are a key component of a marketing plan. A marketing strategy lays out the steps that an organisation needs to take to meet their goals (also defined in the marketing plan).To enable marketing to be effective, you must begin with a well thought out marketing strategy. Marketing strategies are most helpful when they clarify the vision, mission and business goals of the business, and describe the methods required to achieve these goals.The marketing strategy impacts all facets of a business and so must be planned and developed in consultation with the team. A marketing strategy is a planning tool that:• outlines a business’ products and services• explains the position and role of products and services in the market• profile customers• profile competitors• delineates the marketing tactics that will be used• assists in the building of the marketing plan and measure its effectiveness. A marketing plan differs from a marketing strategy: a marketing plan describes specific steps to implement the marketing strategy whereas a marketing strategy sets the overall direction and goals for marketing.A marketing strategy may describe an approach the company wants to take over a several years. marketing plans often describe actions for the current year. A marketing strategy will include:• Identifying business goals• Defining marketing goals• Researching the market• Developing a set of strategies to attract and retain customers• Identification of the marketing mix (product, price, promotion, place, people, process and physical evidence• Testing ideas. Preparing the marketing strategyBefore developing a marketing strategy to suit the business, it is important to have a clear idea of the business and its position in the market. This involves reviewing:• Who are your target customers?• What are they interested in?• What are their problems?• What needs do your target customers have?• How do competitors meet the needs of your target customers?• How can a business do it?• How can you help your target customers understand why your product or service is better than or different from the competition?Identifying this information will help a business to work out its market position (e.g. high-end, competitive or low-cost) and the unique selling position and therefore the best marketing strategy.Market researchThe information above can be identified through market research. This is a valuable tool for all businesses. Statistics and other market research data help you to make informed decisions about the marketing of a business.Conducting market research gives businesses a better understanding of their market, their customers and their needs. You can also gain a better insight into your competitors. Having a greater understanding of your market can help businesses better focus their marketing efforts, make informed decisions about their business and make the most of available opportunities.Primary market research is research conducted by a business or an agent of the business. In comparison, secondary market research is information that is collected by another person or organisation that a business can use. An example would be information collected by the Australian Bureau of Statistics about income levels of people in a specific area.Primary market research is customised for the needs a business and can help identify things like the size of a target market or the demand for a product idea. There are a range of types of primary market research, for example:• Observation – with this type of marketing research potential customers and their buying behaviours are watched. The researcher doesn’t interact with them but notes what they say, what they buy and how much they spend.• Focus Groups – this occurs when a small group of potential customers are gathered together and asked their opinions about a product or service.• Interviews – involve a researcher talking to a participant one on one.• Survey/Questionnaires –surveys or questionnaires can be done over the phone, through mail/email or in person. Market environmentsA business has both internal and external forces, which impact on their ability to maintain enduring relations with target customers.The internal marketing environment of a business includes the business’ employees, policies, capital assets, organisational structure and its products and services. The business can control these factors.The external marketing environment consists of both the Microenvironment and Macro Environment. external factors are not controlled by a business, but they impact the decision of marketers when developing the marketing strategy.The Microenvironment includes:• Demographic Factors: which includes region, country, age, educational level, ethnicity, lifestyle, cultural norms and values.• Economic Factors: The organisation’s production and the decision-making process of customers are affected by the economic environment.• Natural/physical Factors: The Company must take into account the renewal of the natural resources of the earth such as agricultural product, forest, marine resources etc. as well as non-renewable resources which includes coal, oil mineral.• Technological factors: the knowledge and skills used in production of goods and the technology and materials used in production of goods and services.• Political and Legal Factors: consider in relation to market and the organisation during decision-making process.• Social and Cultural Forces: The impact of the organisation’s services and products on the society must be taken into consideration. If there is any element used in production process or product that is harmful to society, it should be avoided, as it is a social responsibility of an organisation. The Macro environment encompasses the study of the whole economy which includes industry wide knowledge and national economics, not just the economics of a specified company. This involves the Gross National Product (GDP) of the countries your organisation conducts business with and how changes in the economic factors of the country such as national income, unemployment, growth rate and level of price affects the market.PESTLE Analysis and SWOT analysisPESTLE and SWOT are tools that guide businesses in conducting an in depth analysis of a potential market and its surrounding environment and are a key component of devising a marketing strategy as the results can be used to inform the strategy. PESTLE analysisA PESTLE analysis is a detailed look at the business environment and can identify particular trends of the market from a macroeconomic perspective. It looks at six different areas:• Political: influences that a government may have upon the business environment, including business cycles, the economy at large and individual business industries. Tax reforms, fiscal policies and trade tariffs form part of this analysis.• Economic: analyses the economy as a whole and impacts of global trends. Inflation rates, interest rates, economic growth, demand and supply trends are all analysed.• Social: charts the analysis of cultural trends, demographical determinants, age distribution etc.• Technological: analyses technological trends of the business environment and how they’re influencing the business.• Legal: Impact of laws and policies including social laws, regulatory laws, certain standards that need to be met and other such laws.• Environmental: analysis of implications of a business on the environment and on how the environment influences a business especially tourism, farming or agriculture business. Includes geographical location, weather, climate etc.SWOT analysisA SWOT analysis focuses more on the internal environment of a business. SWOT is usually product/service centred.The components of the SWOT analysis are:• Strengths: analyses the company’s strengths in line with the product/service and counts the USP (unique selling propositions) that it has.• Weaknesses: accounts for all the current weaknesses that a company may have or may be facing and how the product features them. It gives the company the view from an external standpoint where they can understand what their areas of lacking• Opportunities: identifies opportunities for the company to gain, master and derive benefits from. Often weaknesses are presented here with strategies to turn them to opportunities• Threats: identify threats that potential competitors pose for the company and its products/services. Also analyses barriers to market entry and how potential competition can be tackled effectively.Evaluate marketing opportunity optionsPart of developing marketing plan will be to evaluate potential marketing opportunities to inform marketing strategies. These vary and may include:• strategic alliances and cooperative business models• development of existing products• greater market penetration with existing products or services• take-overs• new businesses and franchising• other options relevant to the organisation An explanation of how each of the above can provide marketing opportunity options is explored below.Strategic alliancesStrategic alliances can provide opportunities for marketing through two or more companies working together to promote and sell a product, service, or even a concept. Strategic alliances can occur locally, nationally or internationally, as exist where the alliance benefits all stakeholders.Examples of cooperative business models include:• Alliances of non-competitive businesses• Destination alliances• Technology alliances• Alliances to expand into new marketsDevelopment of existing products or servicesDevelopment of existing products or services can provide marketing opportunity options for a business, both in existing and new markets.The development of existing products or services is a common marketing opportunity option.The Ansoff matrix, for example, includes two strategies, which relate to developing existing products or services.• The market penetration growth strategy seeks to create marketing opportunities by offering existing products or services to current markets but varying marketing strategies, for example, more intensive promotion or frequent price changes.• This reduces the element of risk as the product or service in familiar and the market is known. A market development growth strategy also seeks to create marketing opportunities through moving existing products or services into new markets.• In this case, while the market is new the product or service is the same, and therefore the risk is less.TakeoversTakeovers can create options for marketing opportunities for a business.• Market growth can be achieved by the takeover of a competitor and can produce synergy through economies of scale and efficiency gains, as well as reducing the threat of competitors.• Takeovers can also provide opportunities for new markets and product development, such as overseas markets.• Diversification can also be achieved through takeovers, which could be backward integration such as taking over a supplier, or forward integration such as taking over a customer or distributor.Franchise opportunitiesKey information that a franchiser should consider providing when marketing their franchise opportunity:• A detailed explanation of the product or service• Background and history of the company• The geographical areas where franchisees are sought• The cost of the franchise and associated fees• The franchise package, i.e. what you get for your money• Financial projections• Required skills, characteristic and experience• Existing franchisee testimonies and/or client testimonies• The next steps and how to apply for the franchiseNew business opportunities for marketingThe establishment of a new business can provide marketing opportunities for companies. For example, an existing business could choose to expand its existing business by setting up a new and different business. For example, a natural cosmetics company may decide that to set up a new business that specialises in supplements. This business aligns with the natural cosmetics focus but is a different business.Other marketing opportunity options that a business could choose to pursue could be:• Marketing communications: a business could choose to pursue marketing opportunity options through exploring a wide range of potential marketing communications. For example, a business could focus on social media marketing so as to develop its social media presence and therefore expand marketing opportunities.• Export marketing: presents a marketing opportunity for a business as overseas markets can be explored for existing or new products.• Distribution strategies: a business could explore a new range of distribution channels through, for example, expanding existing channels or trying completely new ones.Competitor analysisCompetitor analysis is an important aspect in the development of a marketing plan. Competitive research is the collection and review of information about a rival business. It is essential to understand your competitors know the threats they pose to your business. Activity: Research and discussionReview and summarise how to complete a competitor analysis:https://www.impactbnd.com/blog/5-ways-to-perform-a-competitive-analysis-establish-your-presenceThe trainer/assessor will facilitate a class discussion about the outcomes from the research. Types of competitorsDirect competition occurs when different businesses that offer similar products and services are in direct competition. McDonald’s and Burger King, Bunnings and Mitre 10 and two Indian Restaurants on the same street are all examples of direct competitors. Customers will likely consider a variety of price points, locations, service levels, and product features when deciding where to buy something.Indirect competitors are vendors that a different product and/or service but have the same target. For example, Domino’s Pizza, McDonald’s and frozen pizza from the supermarket all target consumers wanting a fast food fix. Indirect competitors are also referred to as ‘substitutes’.Potential competition is pressure put upon existing businesses by the possibility that new or existing businesses will enter a specific market (a potential competitor). New entrants may be attracted by above-normal profits made in the market by existing businesses, possibly as a result of weak competition. Additional businesses entering the market will increase the overall quantity supplied with the effect that prices fall and above-normal profits disappear. The threat of potential competition is relatively small when entry barriers are high.Competitive advantagesA competitive advantage is what makes a business’s goods or services superior to all of a customer’s other choices. Activity: Research and discussion Review and take notes on competitive advantage: https://www.thebalance.com/what-is-competitive-advantage-3-strategies-that-work-3305828The trainer/assessor will facilitate a class discussion about the outcomes from the research. Competitive ForcesCompetitive forces are factors that influence the competitive position of a company in an industry or market. Competitive forces include (1) bargaining power of the buyers and suppliers, (2) threat of new entrants, and (3) rivalry among existing companies. Activity: Research and discussion Review and take notes on competitive forces: http://www.businessdictionary.com/definition/competitive-forces.htmlThe trainer/assessor will facilitate a class discussion about the outcomes from the research. Competitive strategiesActivity: Research and discussionResearch the definition of competitive strategies.Discuss how businesses can respond to new competitors: in terms of• niche marketing• price-cutting• product service differentiation• market following• customer serviceThe trainer/assessor will facilitate a class discussion about the outcomes from the research. Developing SMART Marketing ObjectivesA very important part of a marketing plan is its objectives which should follow the SMART outline. SMART is an acronym for Specific, Measurable, Achievable, Realistic and Timely. Business goals and objectives are more likely to be successful when they are SMART.• You need a specific outcome for each objective. There should be sufficient detail, so the expected results are clear.• An effective goal could be to increase sales of a product by 6 percent in the next 4 months.• You cannot know if an objective has been reached unless it can be measured – consider what data is required and how can you collect it?• Objectives can be achieved through taking small, measurable steps. A business must have agreement from the senior team that the goal is achievable and that the business has the tools and skills required to reach the goals.• For goals to be realistic, the business must take into consideration the current economic conditions. Realistic goals take into consideration any existing or new competitors as well as broader economic factors such as recessions, trade sanctions and disruptions caused by climate or disease.• It is also important to have the resources required to achieve the objective, such as human, money, the equipment and materials.Types of Marketing StrategyWhen businesses are choosing target markets, they need to decide if they will focus on a single or a few market segments or if they will target the mass market. Marketing approaches are determined by this decision. There are four generic target marketing strategies:Undifferentiated marketing strategyWhen an organisation adopts an undifferentiated marketing strategy it ignores the market segment differences and concentrates on developing an offer that meets the common needs and wants of consumers.The company may design and offer products or services that appeal to the largest number of buyers.Differentiated marketing or multi-segment targetingA company that implements a multi-segment targeting strategy caters for two or more well- defined segments and develops a distinct marketing mix for each one of them. Separate brands are developed to serve each of the segments.This type of market strategy has the potential to generate sales volume, higher profits, larger market share and economies of scale in manufacturing and marketing. It involves greater product design, production, promotion, inventory, marketing research and management costs.Concentrated marketing strategyWhen an organisation adopts a concentrated marketing strategy it concentrates on gaining a large share of one or a few sub-markets. It does not attempt to get a small share of a large market. This strategy is very appealing when a company has limited resources.Customised marketingIn some markets, the requirements of individual, wealthy customers are unique, and a separate marketing mix for each customer is designed. service providers such as advertising, marketing research businesses, architects and solicitors offer this type of service to customers.They will talk with each customer about their requirements and accommodate their services as required.Customised marketing usually occurs where there is a close relationship between the supplier and customer. The focused marketing and sales efforts towards each customer is justified because of the high value of an order.The Marketing MixThe marketing mix is the actions or tactics that a business uses to promote its brand, product or service in the market. Generally, the 4Ps combines in a marketing mix – Price, Product, Promotion and Place. These days, the marketing mix often includes other Ps such Packaging, Positioning, People and even Politics.The marketing mix is an important concept in marketing strategy and therefore in marketing plans because assists in determining the marketing strategy.Each component of the marketing mix is explained below:Pricing strategyPricing a product or service is one of the most important elements of a marketing strategy and a key component of the marketing mix. Making decisions on pricing requires more than just calculating costs and adding a mark-up. In essence, you want the customer to buy your product, which is why you must use a strategy that is appropriate to your target market. A pricing strategy is of key importance as the price approach is a key component of the organisation’s branding approach. For example, a company may choose to be a price leader, offering the highest quality, or becoming a luxury brand. If the business wants to be positioned as having the highest quality, it would not want to sell its product at a cheaper price than others in the market. Generally, pricing strategies include the following five strategies.• Competitive pricing: this is pricing that is very close to competitors. As pricing is close, the consumer’s decision about which product to buy will probably not depend on price.• Cost-based pricing: this type of pricing approach is based on pricing simply based on production costs. No other factors are considered• Skim pricing: this type of pricing approach involves setting a high price for customers who are less price sensitive.• Penetration pricing: This type of pricing approach involves pursuing the objective of quantity maximisation by means of a low price.• Value-based pricing: Setting a price based on how much the customer believes what you’re selling is worth. According to research, determining a value-based price requires you to:• Choose a product that is similar to yours and find out the cost of it.• Learn how your product is different from the competitor’s product.• Decide on the value of these differences: add up the positive things about your product and subtract any negatives to decide on a potential price.• Ensure the value to the customer is higher than your costs.• Explain to customers why the price will be acceptable.ProductProducts are the goods and services that the business is selling. The product must meet a certain quality, otherwise no amount of marketing will help.When developing a product, you should consider quality, design, features, packaging, customer service and any subsequent after-sales service. When marketing a product, consideration needs to be given to:• features and benefits of products• physical products – vs – intangible services• product/service mix• product diversification• product specialisation• product decisions (i.e. unit size, quality, quantity, packaging, range, benefits etc)• product testingPromotional strategiesMarketing is the art of getting people who need or want what you are selling to notice you. Many great business ideas fail because they are not marketed successfully.A business needs to spread the word about their products or services to the right people to build their customer base. Advertising and selling are part of the process but there is much more involved.Promotion refers to the range of methods used to advertise and sell products and services. Types of promotional strategies that a business could use:• Advertising: any paid form of communication using any form of mass media.• Sales promotion: for example, special offers, money off coupons• Direct mail i.e. sending publicity material to an individual or business.• Internet marketing: selling products or services online. Promotional methods may include:• website• social media• blogging• e-newsletters• networking• brochures and flyers• TV, radio or print advertising• word of mouth• loyalty and reward programs• cold calling• mail-outs and letter drops• sponsorship• PR activities such as media releases and eventsPlace or ‘location, location, location’Place refers to the point of sale. In every industry, attracting consumers and providing an easy way for them to buy your product or service it is the main objective of a ‘place’ strategy. Vendors pay high prices for the right location.Appropriate established procedures for the customer and the business are required to support marketing goals. procedures may include stock ordering and distribution, on time deliveries and provision of customers feedback channels.Common distribution strategies that can be used as part of the marketing mix include:• Intensive distribution: Often used for low priced or ‘impulse’ products such as chips and chocolates.• Exclusive distribution: This is where distribution is limited to a single outlet. The product is usually highly priced and requires the vendor to provide a lot of details to potential customers. An example of this is the sale of cars through exclusive dealers.• Selective Distribution: A select number of retail outlets are picked to distribute the product. This strategy is used with products such as phones and televisions, and works in cases where buyers are willing to shop around and where manufacturers want a large geographical spreadDeveloping marketing strategiesAll the elements of the marketing mix influence each other. They make up the business plan for a company and managed well, can give it great success. When mishandled, however, the business could take years to recover. The marketing mix requires a lot of understanding, market research and consultation with several people, from users to trade to manufacturing and several others.It is important that marketers review the strategic objectives of the organisation so that marketing strategies, approaches and the marketing mix can be determined to support these goals. Marketing strategies also need to align with the organisation’s strengths and opportunities as explored earlier in the SWOT analysis, as well as be within the organisation’s capabilities and resources.For example, an organisation’s strategic objective could be to increase sales or to increase brand awareness. Once strategic objectives are identified, marketing strategies and the marketing mix can be developed which need to align with organisational goals and budgets. Additionally, strategies such as product testing, and customer research can be implemented. Any identified marketing approaches need to be able to be justified to senior management, (a rationale provided as to why certain strategies are recommended). All marketing strategies should be developed to maximise success for the enterprise.For example, where an organisation has the overall objective of increasing sales, the organisation could adopt a number of marketing strategies, approaches and marketing mix such as a undifferentiated marketing strategy that focuses on developing an offer that meets the common needs and wants of consumers.The company therefore provides products or services that appeal to the largest number of buyers.Marketing mix features are likely to be product or service features that appeal to the mass market, low price and easily available, as well as marketed through low cost options. Activity: Research and discussion Hootsuite is a social media management tool that enables the management of all of your accounts from one place. Their marketing team launched the product with a viral video (see link below). “Game of Social Thrones” was very popular as it sparked emotion.For “Game of Thrones” fans, it was funny, timely and sparked interest in the product: HootsuiteVideo: https://www.youtube.com/watch?v=2zCw_-XsTPE (01:29)• What type of marketing strategy have they used?• Research their pricing. How does this compare to their competitors?The trainer/assessor will facilitate a class discussion about the outcomes from the research. Activity: PresentationsIdentify a marketing strategy for a company of your choice and then do a presentation saying why this is a suitable strategy.Create a presentation that could be used to present the information that you have researched.It must include:• The product or service• Marketing strategy• Promotional strategies and methods• Another other relevant informationThe information researched must be professionally presented and in a clear, easy to follow structure.The presentation should be visually appealing with transitions, animations and consistent styles and colours.During the presentation you must demonstrate effective communication skills including:• speaking clearly and concisely• using non-verbal communication to assist with understanding• asking questions to identify required information• responding to questions as required• using active listening techniques to confirm understanding.If you are undertaking this activity with a team, each person in the group must contribute equally to the design, development of the presentation and also each member must take part in the delivery.The trainer/assessor will observe you conducting the presentation, ask questions at the end and provide feedback on the information presented and the presentation style.Marketing performance review strategyMeasuring the financial benefits of marketing can be challenging because many benefits of marketing are difficult to measure. These include boosting brand awareness, educating the public about product benefits, and strengthening stakeholder relationships.In an ideal world, measuring marketing performance would be a part of the annual planning and budgeting exercise and goals that are set should be measurable and applicable to every marketing role within an organisation.Companies use different methods to measure marketing performance and ensure they meet performance goals. By reviewing and evaluating marketing activities, future marketing strategies can evolve which help a company achieve its goals.Establishing key performance indicators (KPIs) or ‘marketing performance metrics’ is a useful tool for marketing professionals and non-marketing executives alike.Senior managers need marketing KPIs to enable them to understand how marketing activities and expenditure affect the company’s overall spending.With pressure to demonstrate a return on investment (ROI) on marketer’s activities, marketing performance metrics help measure how much marketing spending contributes to profits.Evaluating marketing performance enables businesses to decide what areas of the marketing mix to modify (product, price, place, and promotion). It can also aid in determining whether the products and services meet customer and stakeholder requirements.Marketing metricsThe effectiveness of campaigns across different marketing channels can be measured by Marketing Metrics. Having measurable marketing metrics and KPIs established assists businesses in reaching their targets. Targets may include: tracking the progress of Search Engine Optimisation (SEO), digital marketing performance or social media growth, Management teams can track their marketing goals with marketing metrics and KPIs relevant to their business.For example, The Return on Marketing Investment KPI measures how much income a campaign is creating in comparison to the cost of running that campaign. A good marketing person will want to understand how their time, energy, and advertising expenditure connects with results that contribute to company growth. The top metrics for modern marketing teams include:• Sales Qualified Leads (SQL)• Marketing Qualified Leads (MQL)• Funnel Conversion Rates• Brand awareness• Customer engagement• Marketing spend per customer• Return on marketing investment• Lifetime value of a customer (LTV)• Customer acquisition cost (CAC)• Customer retention Topic 2: Plan marketing tacticsMarketing tacticsMarketing tactics are the tools used to achieve the objectives stated in the Marketing Plan and in the Marketing Strategy in particular. Marketing tactics to achieve marketing strategies must also be planned.Achievable marketing tacticsIn determining the marketing strategy, approach and marketing mix, the marketer must consider whether the proposed approach is achievable by assessing resources available, for example, budget and staffing.If planned marketing tactics need significant costs which the organisation does not have, then the marketing strategy will not be achievable.Discussions about marketing strategies and tactics should always take place with all stakeholders This ensures input from all parts of the organisation which will help determine whether the approach is achievable.A marketing action plan allows you to put more detail behind the marketing strategies, by spelling out the tactics – what needs to happen to achieve your set objectives. It also clearly states the budget allocation, including costings for each aspect of the plan.The formatting and presentation of an action plan will depend individual preference: excel spreadsheets and Gantt charts are two options. Whatever the format, it needs to able to be updated, easy to follow, workable and includes the following:• What – Addresses each set objective• How – Identifies the tactics, or what needs to happen, to achieve each objective• Who – Identifies who needs to complete each tactic – identify which stakeholders you need to have on board to implement the plan and who is accountable for each tactic. If the organisation does not have the talent to achieve aspects of the plan, talent from outside the business will need to be sourced.• When – Assigns a critical timeline for each tactic to be achieved. The marketing action plan should be broken down into short and long term goals, for example 3, 6, 12 months. This will help you track the performance of the overall plan and allow you to assess what in the plan may need to be changed to keep you on track. Make sure your marketing action plan timeline corresponds with the timelines you have identified in your SMART objectives.• Metrics – Addresses how each tactic will be assessed and measured to meet the overall objectives & strategy In order for a marketing plan to be implemented successfully, it usually involves a number of stakeholders, and each plan will have critical timelines for various actions to be achieved such as: availability of the product, development of ad copy, packaging, etc. Delays at these critical timelines can have a negative impact on the rest of the plan and ultimately the business.To avoid this occurring, a regular Work In Progress (WIP) meeting could be conducted around the marketing action plan to stay on top of issues, communicate updates, track deliverables and if necessary crack the whip to keep things moving. Ongoing review of performance against objectives and budgets is essential and allows marketing targets to be adjusted if necessary.Legal and ethical requirementsMarketers need to understand legal and ethical requirements so that marketing practices meet legal and ethical compliance requirements.Legal and ethical compliance information can be accessed through a range of sources such as the Australian Consumer and Competition Commission, or through internal sources of expertise.For example, it may be determined that direct mail is a suitable marketing approach.However, legal and ethical requirements must be determined and followed, as explicit or implied consent must be gained in order to send the direct mail.Ethical considerations for direct mail including providing accurate and complete information.The Law and EthicsMarketing ethics deals with the moral principles behind the application and regulation of marketing. Some areas of marketing ethics such as the ethics of advertising and promotion overlay with media ethics.Ethics in marketing includes safety, fair pricing, ethical promotion, ethical production and social responsibility.In recent times, some ethics in marketing have been questionable – this includes data collection and the invasion of privacy as well as the line between attracting consumers and deceptive advertisement. Businesses need to be mindful of stepping on the right side of the line between legal and illegal.Extensive data collection is an important tool for marketers. It allows businesses to choose the most effective marketing techniques. Companies such as Google and Facebook primarily rely on tracking a user’s web history to generate returns.However, companies such as Facebook have received a strong backlash over privacy breaches and individuals are pushing for stronger privacy laws.Other controversial areas of marketing delivery channels include door to door sales, telemarketing and unsolicited emails.Some countries have laws that dictate time frames in which telemarketing and door to door sales are permitted (between 9 am to 6 pm on weekdays and 9am to 5 pm on Saturdays). Additionally, signage such as “do not knock” or a “do not call” register must be obeyed by marketers. Sometimes, consumers are either unaware of such protections or are unwilling report offences, which results in marketers getting away with illegal and unethical behaviour. Misleading claims in advertising may involve false claims about the quality, the availability and any exclusions on a product or service. As examples, marketing techniques such as pictures of planes for a road transportation company or fine print that may contradict the overall message of the advertisement are misleading and illegal. Companies such as Harvey Norman and Spec Savers have all been found liable for misleading claims in the past.Codes of practiceResearch and discuss the code of practice for the Association for data-driven Marketing and Advertising (ADMA)http://www.adma.com.au/comply/code-of-practice/Australian Marketing Institute Code of Professional ConductEnsures that in all marketing activities, business members act professionally and with integrity:• To act with integrity in dealings with anyone involved in the process of identifying marketing opportunities such as clients or employers and with the general public.• Not to give false information in any aspect of the process of identifying marketing opportunities especially when collecting data.• Members shall not represent conflicting or competing interests except with the express consent of those concerned given only after full disclosure of the facts to all interested parties.• Keeping up with skill development to make sure that identification of marketing opportunities process is done correctly and fully. Activity: Research and discussion Research any other codes of ethics and codes of conduct for marketers. Consider how effective these are in moderating marketing behaviour in the business world?The trainer/assessor will facilitate a class discussion about the outcomes from the research. LegislationThis will vary according to the industry or product/service being offered.Key legislation and regulations that apply to the marketing industry in Australia:• Australian Consumer Law: The Act ensures that consumer rights are protected and addresses unfair market practices, industry codes, warranties and guarantees, product safety, product labelling and price monitoring.• Do-Not-Call register: this register ensures that telemarketers may not call Australian phone numbers which are mainly for personal or domestic use and whose owners have put them on the do-not-not call register.• Privacy Act: the key requirement is that businesses must ask customers for permission to collect and use their information, obligations to disclose what information is being kept and for what purpose, and obligations relating to the correction of inaccurate or disputed information• Spam Act 2003 (Anti-Spam): This legislation ensures that commercial unsolicited email, SMS, MMS, and instant messaging cannot be sent• Advertising Standards Regulation: these voluntary regulations ensure that there is an avenue for complaints in relation to issues including the use of language, the discriminatory portrayal of people, concern for children, portrayals of violence, sex, sexuality and nudity, health and safety Activity: Research and discussion Research the following legislation and note key points. • Australian Consumer Law• Do-Not-Call register• Privacy Act• Spam Act 2003 (Anti-Spam)• Advertising Standards Regulation.The trainer/assessor will facilitate a class discussion about the outcomes from the research. Australian Privacy PrinciplesThe Australian Privacy Principles (APPs), which are contained in schedule 1 of the Privacy Act 1988 (Privacy Act), outline how most Australian and Norfolk Island Government agencies, all private sector and not-for-profit organisations with an annual turnover of more than $3 million, all private health service providers and some small businesses (collectively called ‘APP entities’) must handle, use and manage personal information. For further information visit: https://www.oaic.gov.au/privacy-law/privacy-act/australian-privacy-principles Activity: Video Watch some of following Ted Talks videos on Privacy: http://www.huffingtonpost.com/tedtalks/ted-npr-huffpost-the-end-of-privacy_b_4696444.htmlThe trainer/assessor will facilitate a class discussion about the outcomes from the video. Trade Practices Act and Fair Trading lawsTo run a business in Australia you need to operate fairly and ethically and that means working within the confines of the Trade Practices Act as well as the Fair Trading laws in your respective State and Territory.The Trade Practices Act is a federal law that deals with almost all parts of the marketplace including unfair market practices, product safety, price monitoring and industry codes of practice. Its aim is to inhibit unethical practices by competitors and to give customers confidence that they are dealing with businesses that adhere to high standards.The Australian Consumer and Competition Commission (ACCC) which is responsible for administering the TPA encourages small business to view the Act as an important management tool and that compliance with it should be part of good business practice.It is suggested that every business have a TPA compliance program. This might include a strategic vision that states your goals and how you plan to implement them, identifying compliance risks and assessing these at regular intervals.In addition to the TPA, each state and territory has fair trading laws to which you must adhere. The two sets of laws complement each other.Source and for further information visit http://www.infochoice.com.au/small-business/banking-loan/guides/trade-practices-act-and-fair-trading-laws/32846/1/16 Activity: Research and discussion Research cases of marketing/advertising business who have breached the Trade Practices Act. The trainer/assessor will facilitate a class discussion about the outcomes from the research. Topic 3: Marketing Plan Development Activity: Marketing plan development Use Appendix A The Juice Bar.pdf document to write a marketing plan for the organisation. The marketing plan is to include: • Executive summary• Introduction• Situation analysis• Marketing objectives• Target market• Marketing strategy• Budget• Implementation, evaluation and controlRead the scenario first and discuss any questions or comments. The Marketing Plan development will be completed in pairs or small groups. Complete small sections of the marketing plan as you work through the content. The Marketing Plan will be developed and then presented by each group. Activity: Marketing plan development For the Juice Bar, review the business, its operations, as well as product features and product benefits and the product mix of the business. Who are its target customers? Describe them. List all the legal and ethical considerations for the products and services of The Juice Bar.Develop SMART marketing objectives for the Juice Bar.Evaluate the marketing opportunity options that address the organisational objectives of The Juice Bar. Include any risks and returns in the selection process.Perform a PESTLE and SWOT analysis for the Juice Bar for inclusion in the marketing plan.Identify the main competitors of The Juice Bar. Why are they competitors? What is Juice Bar’s competitive advantage in the current market?Devise marketing strategies that address the identified strengths and opportunities researched. Include:• Product and service elements• Promotional mix that could be used• Distribution strategies (consider the business location, times, deliveries and distribution channels• Price-setting (include the cost pricing, competitive pricing, demand-based pricingEnsure each strategy is clearly justified and aligned with the organisation’s strategic direction (make assumptions where necessary).Identify and explain the marketing metrics you would use to review the organisational performance against the marketing objectives.Develop marketing tactics for the marketing strategies, including timelines and monitoring processes.Write down your analysis and save it for inclusion in your final marketing plan and presentation in the last session.The trainer/assessor will facilitate a class discussion about the outcomes from the research. Review and assessmentThe content of this unit has now been covered.Review and completionAllocate time for students to complete any outstanding activities, reading, role-plays, meetings, presentations or further tasks that require observation or submission to the trainer/assessor.The trainer/assessor should allow time to review any topics or activities undertaken by students to consolidate their learning.Discuss the assessment tasksTake time to discuss each task in detail if required, and ensure that the students understand the assessment procedures, submission instructions and deadlines.Students should use these sessions to work on their assessment tasks, with support from the trainer/assessor where relevant. Reasonable adjustment should be made where appropriate.SupportThe trainer/assessor should provide as much support as is appropriate for students whilst they undertake their assessment tasks. The trainer/assessor may have to timetable meetings or role-play’s that require observation for assessment so it is important to ensure that this has been considered into the lesson planning.HousekeepingProvide some time at the end of the last session for housekeeping such as administrational duties, student feedback and farewells.
