Marketing Plan
1. Describe your products or services. Give a detailed description of your products or services to give the reader a clear idea of what you are selling. Describe, as well, applications or uses of your products that may not be apparent. This section of your plan is also for presenting the competitive advantages your product has over similar products as well as for identifying the products you will compete with. State your product’s advantages and disadvantages.
2. Identify your potential market. Determine who are your present or projected customers and how many. Be as specific as possible. Are you selling to bookstores? Grocery stores? Small ladies’ boutiques? If you are selling to the general public, you may need to group potential customers according to age, gender, income, education and other demographic factors. You then ask yourself how you can make use of the information. If, for example, you know that your potential customers will likely be children aged three to ten, what does this tell you about your location? your advertising? your prices?
3. Identify your competitors. Competition need not be a threat. Rather it should spur you to do your best. Learn as much as you can about your competitors. Include the following information in your plan:
a. Description of competitors. Identify businesses likely to become your competitors.
b. Size of competitors. Determine your competitors’ assets and sales volume.
c. Profitability of competitors. Which of your competitors are making money? Which are losing? By how much?
d. Operating methods. Determine the operating methods of each of your major competitors in terms of pricing strategy; quality of products and services; servicing, warranties and packaging; methods of selling and channels of distribution; credit terms; location; advertising and promotion; reputation; and, inventory levels. Discuss only the items relevant to your business.
4. Consider your pricing policy. In pricing your goods and services, all relevant factors should be considered, like cost of production and distribution and the degree of acceptance by the market. Another factor to account for is the pricing structure of your competitors. Of course, the aim of your pricing policy should be to set the price at a level that maximizes profit in the long run.
5. Determine your marketing methods. Selling a good product at a reasonable price is not enough. Your business plan must answer the following questions:
a. How will you promote or advertise your business?
b. How will you sell your product? Will you employ sales people? Will you have your own outlet? Will you engage marketing agents?
c. What channels of distribution will you use to reach your customers?
d. What do your customers think of your product? How can you improve your image as an enterprise?
Marketing Plan
2. Identify your potential market. Determine who are your present or projected customers and how many. Be as specific as possible. Are you selling to bookstores? Grocery stores? Small ladies’ boutiques? If you are selling to the general public, you may need to group potential customers according to age, gender, income, education and other demographic factors. You then ask yourself how you can make use of the information. If, for example, you know that your potential customers will likely be children aged three to ten, what does this tell you about your location? your advertising? your prices?
3. Identify your competitors. Competition need not be a threat. Rather it should spur you to do your best. Learn as much as you can about your competitors. Include the following information in your plan:
a. Description of competitors. Identify businesses likely to become your competitors.
b. Size of competitors. Determine your competitors’ assets and sales volume.
c. Profitability of competitors. Which of your competitors are making money? Which are losing? By how much?
d. Operating methods. Determine the operating methods of each of your major competitors in terms of pricing strategy; quality of products and services; servicing, warranties and packaging; methods of selling and channels of distribution; credit terms; location; advertising and promotion; reputation; and, inventory levels. Discuss only the items relevant to your business.
4. Consider your pricing policy. In pricing your goods and services, all relevant factors should be considered, like cost of production and distribution and the degree of acceptance by the market. Another factor to account for is the pricing structure of your competitors. Of course, the aim of your pricing policy should be to set the price at a level that maximizes profit in the long run.
5. Determine your marketing methods. Selling a good product at a reasonable price is not enough. Your business plan must answer the following questions:
a. How will you promote or advertise your business?
b. How will you sell your product? Will you employ sales people? Will you have your own outlet? Will you engage marketing agents?
c. What channels of distribution will you use to reach your customers?
d. What do your customers think of your product? How can you improve your image as an enterprise?
Marketing Plan
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