Marketing Planning

Marketing Planning July 13, 2009 BrandAmplitude, LLC All Rights Reserved Presented to Marketing Management class at University of Notre Dame Carol Phillips President, Brand Amplitude, LLC 07/22/09 Copyright 2009 Brand Amplitude, LLC All Rights Reserved

"Marketing is the process of making selling unnecessary .“ --Jennifer Aaker Professor at Stanford University www.Twitter.com/Aaker “ Marketing encompasses activities that maximize the value to the customer and the return on investment when bringing a product or service to market.“ --Sam Decker Chief Marketing Officer at Bazaarvoice www.Twitter.com/SamDecker " Marketing extends from understanding what the customers need to making sure they get it and are happy with it .“ --Nigel Dessau Chief Marketing Officer at AMD www.Twitter.com/NigelDessau " Marketing is a set of activities or processes aimed at creating satisfactory exchanges for both customers and sellers.“ --Harsha Gangadharbatla Assistant Professor at the University of Oregon www.Twitter.com/GHarsha http://www.systemicmarketing.com/marketing-definitions/ Marketing = Process & Purpose Purpose + Process 07/22/09 Copyright 2009 Brand Amplitude, LLC All Rights Reserved

Marketing is the activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that have value for customers, clients, partners, and society at large. 07/22/09 Copyright 2009 Brand Amplitude, LLC All Rights Reserved

"Marketing is the process organizations use to create value for their members, customers, donors, and other stakeholders. Effective marketing results in stronger brands. The strength of a brand reflects the quality of its relationships with its stakeholders. A strong brand can be an organization's most valuable asset. In this way, effective marketing returns measurable value to the organization .“ --Carol Phillips Adjunct Professor at the University of Notre Dame www.Twitter.com/Carol_Phillips 07/22/09 Copyright 2009 Brand Amplitude, LLC All Rights Reserved

Based on mass media advertising and reach

Trust is gained through familiarity.

A brand is built over a long time.

Marketing is responsible for the brand.

Consumers are targets

Based on total customer experience

Trust is gained through experience.

A brand can be built in a short period of time.

Everyone in the company is responsible for the brand .

Consumers are co-creators

Scope of Marketing is Broadening Changing Perspective

Procter & Gamble's Jim Stengel described a major cultural shift that is turning the world's largest marketer into a starter of conversations and a solver of consumers' problems rather than a one-way communicator. "It's not about telling and selling," said the chief marketing officer of the company that once lived by that simple mantra. "It's about bringing a relationship mind-set to everything we do." Stengel Exhorts 4A's: 'It's Not About Telling and Selling' P&G's CMO Ditches Simple Mantra for Dialogue-Driven Communications Advertising Age, March 01, 2007 Relationships Are Key 07/22/09 Copyright 2009 Brand Amplitude, LLC All Rights Reserved

What is it? (Product & Competition) Who will buy it? (Target & Need) Why will they buy it? What differentiates it? (Marketing Mix) What does success look like? (Goals and Objectives, Milestones) Marketing Planning 07/22/09 Copyright 2009 Brand Amplitude, LLC All Rights Reserved

Marketing plans set the course “ This is where are going, and this is how we are getting there.” - J&J executive “ The marketing plan is the road map.” -Pepsi executive Marketing Plans Set The Course 07/22/09 Copyright 2009 Brand Amplitude, LLC All Rights Reserved

The sad reality: many marketing plans are terrible

“ 5% of them are good, most of them suck wind.”

-Eli Lilly executive

“ Maybe 20% of companies do it right. Most have absolutely no clue.”

-Gillette executive

“ So much of marketing is common sense, but it all goes away when you write marketing plans.”

-Barilla executive

The typical marketing plan

Is more than 100 pages long

Begins with a long, detailed situation analysis

Ends with many programs, lots of details, lots of tactics

Is presented in a big meeting with dozens in the audience

Marketing plans are the bridge between information and action Data Programs Insights Tactics Ideas Initiatives Analysis Budgets Marketing Plan Best Plans Bridge Insights to Action 07/22/09 Copyright 2009 Brand Amplitude, LLC All Rights Reserved

A marketing plan needs to start with clear goals/objectives

A marketing plans has to start with the goal in mind: what are we trying to achieve?

Goals should be SMART

Specific, Measurable, Aggressive, Realistic, Time-specific

Having too many goals is a problem. Best is to have one or two

Goals/objectives should tie to the financials of the business

An organization might also have non-financial goals

Profit results are an important thing, but not the only thing

Building a strong, enduring business is also critical

As result, a marketing plan will often have a non-financial objective

Speaks to how you are going to deliver the profit number

Provides a more robust direction than simply using a financial target

Breakthrough Marketing Plans Outline Executive Summary State of the Business/SWOT Goals/Objectives Strategic Initiatives and Rationale Tactics and Rationale Financial Implications Milestones Outline 07/22/09 Copyright 2009 Brand Amplitude, LLC All Rights Reserved

Focus is critical

“ People think focus means saying yes to the thing you’ve got to focus on. But that’s not what it means at all. It means saying no to the 100 other good ideas that there are. You have to pick carefully.