|Developing a Marketing Plan||| Print ||
Building a Successful Marketing Plan
The financial projections contained in your business plan are based on the assumptions contained in your marketing plan. It is the marketing plan that details when expenditures will be made, what level of sales will be achieved, and how and when advertising and promotional expenditures will be made. Here are the major elements of a marketing plan:
Once a small business has determined both its business positioning strategy and the size of the promotional budget, specific promotional activities can be selected. Promotion programs provide direct purchase incentives in contrast to most advertising, which provides reasons to buy your product instead of the competing brand.
Admittedly, some types of promotions can be expensive, complicated, difficult to execute, time-consuming, and difficult to administer legally. Many small businesses are local or regional, so some types of promotional activities will be too expensive or inappropriate for the type of goods and services offered. The most important thing is to come up with a promotion that is unique and that sends the right message about your business. And it is critical to monitor the effectiveness of your promotions. If they don't generate results, they aren't worth the time or money you'll spend.
Advertising is impersonal, usually paid communication intended to inform, educate, persuade, and remind. Advertising is a sophisticated form of communication that must work with other marketing tools and business elements to be successful. Advertising must be interruptive _ that is, it must make you stop thumbing through the newspaper or thinking about your day long enough to read or hear the ad. Advertising must also be credible, unique, and memorable in order to work.
Low and No-Cost Advertising
Public Relations Ideas
Public relations (PR) efforts, like advertising, can help to build business and product awareness among target buyers and end users, often at a fraction of the cost of advertising. Many small and large businesses consciously utilize PR as a way to obtain free advertising about their products and services. PR can be an effective way to generate valuable word-of-mouth advertising, sometimes due to the greater credibility and availability of information provided in editorial articles and interviews with your company personnel.
How persuasive is PR? Free media publicity was largely responsible for the brief (1989-90), frenetic ground swell for consumption of oat bran as an anti-cancer food. Melatonin, a naturally produced substance that aids sleep and may be an anti-aging product, is another PR craze, with newspaper, magazine, and electronic media discussing positive preliminary research results. Health food companies cash in on this free publicity, without spending funds for advertising, promotion, or public relations.
PR can leverage advertising and promotion programs.
Buyers and end users could be given a free promotional sample to take home and try in their cars.
Public relations is an ongoing process