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Basics of Marketing - Kotler Philip

Implementation of marketing activities

Work on analyzing market opportunities, selecting target markets, developing a marketing mix and implementing it requires the availability of ancillary marketing management systems. In particular, the firm must have a system of marketing information, marketing simulations, organization of marketing and marketing control. The system of marketing information will be discussed in Ch. 3. And now we will briefly dwell on the other three systems.

Marketing planning system

Any firm should look forward to clearly understand where it wants to go and how to get to the goal. Do not let your own future fade. To prevent this from happening, the company uses two systems at once: a strategic mining system and a marketing planning system.

The strategic planning system is based on the fact that the company has several areas of activity. For "Helen Curtis" it is the production of perfumery and cosmetic products, the production of equipment and supplies for cosmetic cabinets, the production of adhesive tapes and glues. Each field of activity is represented by several products. So, perfumery and cosmetic production "Helen Curtis" produces shampoos, hair strengthening products, skin care lotions.

Not all these fields of activity and not all goods are equally attractive. Some production is growing, others are stabilizing at one level, while others are declining. So, if all the production of "Helen Curtis" experienced a decline, it would be in serious difficulty. The company should be sure that to maintain its growth, it is deploying a sufficient number of new promising productions (or offering goods). In addition, "Helen Curtis" should know exactly how to allocate its limited resources to existing industries. It would be a mistake to use money to support losing industries and keep on hungry rations more promising. The purpose of the strategic planning system is to make sure that the firm finds and develops strong production and reduces or even curtails the weak.

Marketing planning is understood as the development of plans for each individual production, product or brand of the firm. At the same time, it means that the firm has already made a strategic decision on how to deal with each of its productions. Now, each of them needs a detailed marketing plan. Suppose, for example, that "Helen Curtis" decided to continue to offer the market shampoo "Suav", because it has a great potential for sales growth. In this case, the company will develop a marketing plan designed to ensure the desired growth.

In fact, the company will develop two plans - prospective and annual. The Governor will first prepare a five-year plan outlining the main factors and forces that will influence the market of Shoebud "Suav" in the coming five years, outlining the goals for the five-year plan, the main strategic methods of conquering the brand of the targeted market share and receiving the targeted profits, And expected revenues. Each year, this five-year plan will be reviewed and adjusted so that the firm always had a working plan for the next five years.

Then an annual plan is worked out - an expanded version of the plan for the first year of its implementation. The annual plan provides an outline of the current marketing situation, a listing of existing threats and opportunities, the goals and problems facing a conventional or branded product, outlines the marketing strategy for the year and the program of actions, specifies the amount of the estimated appropriations, determines the order of control. This plan becomes the basis for coordination of all types of activities - production, marketing, financial. (For more details on strategy and marketing planning, see Chapter 17.)