Marketing Planning Unit 4.2
• Marketing planning is the systematic process of devising marketing objectives and
appropriate marketing strategies to achieve these goals.
Marketing planning process involves:
• Marketing audit – an examination of the current climate in which the business
operates. Market research is integral to this investigation.
• Marketing objectives – The marketing audit enables the firm to set marketing
goals and targets, such as increased market share.
• Marketing strategies - the plan and use of the marketing mix to achieve the
• Monitoring and review – a continual process of checking and assessing that
targets are being met.
• Evaluation – an examination of the extent to which the firm has succeeded in
achieving its market objectives.
• The marketing mix is combination of the elements needed to successfully market
• Product – the good or service being marketed to meet the needs and wants of
• Price – how much customers are charged for the product.
• Place – the distribution channels used to get the products to customers.
• Promotion – informing, reminding and persuading customers to buy the product
3 examples of promotional activities
• Advertising – this tends to be the most expensive form of promotion.
• Sales promotion – these are temporary ways of boosting sales, e.g. price
reductions, gift vouchers, and free gifts.
• Publicity – this is the marketing process of getting good press (media) coverage,
perhaps through using famous celebrities to endorse a firm’s products.
• Marketing ethics refers to the moral aspects of a firm’s marketing strategies. Bait and switch
• Bait and switch marketing techniques are considered to be unethical. This is a
controversial marketing method used to entice customers by advertising deals that
are simply too good to be true.
2 examples of businesses that use this type of marketing.
• Mobile phone retailers
• Real estate companies
3 other examples of misleading or deceptive forms advertising.
• Health fraud – such as making unsubstantial promises of overnight medical cures.
• Travel fraud – involving misleading information being given to travelers such as
descriptions of hotel facilities and ‘sea view’rooms.
• Unsubstantial claims – using promotional declarations that cannot proved such as
‘9 out of 10 tests prove…’or ‘4 out of 5 people prefer …’
Code of practice
• Ethical codes of practice help to serve three main functions:
• To identify acceptable business practices (from society’s point of view)
• To foster internal management and control.
• To avoid confusion regarding what is and what is not acceptable.
• Amarketing audit is a review of the current marketing position of a firm in terms
of its strengths and weaknesses
• The audit helps to clarify the marketing opportunities and threats, and allows
managers to make any necessary changes to their plan.
• Marketing objectives are the targets that the marketing department wishes to
achieve. These objectives should be compatible with the firms overall objectives.
Marketing objectives are important because the targets can:
• Provide a sense of purpose, direction and motivation for the marketing department
• Allow progress to be monitored and success to be assessed
• Help in the planning and development of appropriate marketing strategies.
They include: • Maintain/increase market share
• Market leadership
• Product positioning
• Consumer satisfaction
• Market development
• New product development
• Product innovation
• High market standing
Constraints on achieving marketing objectives:
• There are numerous constraints or limitations faced by firms trying to achieve
their marketing objectives. These include internal constraints and external.
• Costs of production
• The size and status of the firm
• Social issues
• Time lags
• Activities and reaction of competitors
• The state of the economy
• Marketing research refers to marketing activities designed to discover the opinion,
beliefs and feelings of potential and existing customers
2 main categories of marketing research
• Ad hoc market research takes place on an as and when necessary basis. The
focus of the research is on specific marketing problems or issues and tends to be
on a one-off basis.
• Continuous research takes place on a regular and on-going basis, perhaps on a
Purposes of market research
• Gives businesses up-to-date information
• Enables businesses to improve their marketing by using a distinct marketing mix
for each customer target group.
• Assesses customer reactions to a new product by testing it on a small group of
customers • Gives businesses an understanding of the activities and strategies used by their
• Helps businesses to predict what is likely to happen in the future.
Answer questions such as:
• Are customers likely to buy the product?
• Which marketing segments are interested in the product?
• How much are customers willing to pay?
• How often are they likely to purchase the product?
• Which brands do customers see as being a rival to the marketed product?
• What are the preferred methods of promotion?
• Where and how should the products be sold?
Drawbacks of market research
• Findings are only as good as the research methodology used. This is known as
garbage in, garbage out whereby unreliable or inaccurate input data generates poor
quality output of information
• Data and information can also be inaccurate or unreliable due to bias
• The cost of good market research is often very high