marketing communication plan - markstrat

8/9/2019 Marketing Communication Plan - Markstrat

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Middlesex University Business School

MBA 4646

Marketing

MarkstratStrategic Marketing Simulation

Group Project

Ayyapa ao

!itisha Sancheti

Prachi Parasrampuria

Shivani Arora

Shoai" #han

Smitha Ghimire

Su"mission date$ %&th April %'()

*ord +ount$ %4&6 ,excluding re-erences and

appendices.


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Executive summary

/he report descri"es the +ommunication plan developed -or -irm 0 in the

Markstrat industry 1 A)(&2'3 ollo5ing key aspects 5ere identi-ied$

• ocusing on -ull market coverage using di--erentiated marketing strategy3

/his 5ill help in increasing the total sales o- the -irm 5hich 5ill eventually

result into high share price market capitalisation and net contri"ution3

• 7denti-ying the target audience on the "asis o- market si8e market gro5th

and pro-ita"ility3

• 9eveloping communication o"jectives on the "asis o- hierarchy o- e--ects

model in line 5ith our "usiness strategies to create a clear consistent and

competitive message -or our products3

• 9eveloping e--ective communication using A79A Model and using

cele"rities as a credi"le source o- communication to interact 5ith our

customers in a "etter 5ay resulting in high "rand loyalty3

• Selecting a com"ination o- personal and non1personal media channels to

communicate 5ith our target audience3 /his 5ill help in delivering

communication message e--ectively increasing "rand recognition and

"uilding customer "ase3

• 9eveloping various marketing measurements to analyse the e--ectiveness

o- the current marketing communication and decide on -uture marketing

strategy changes3

• Setting total marketing communication "udget using o"jective1and1taskmethod to achieve the advertising o"jectives 5ithin the allocated "udget3

Success-ul implementation o- this communication plan 5ill help us to increase

our total sales and gaining huge market share in near -uture3

Contents

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7ntroduction

+ommunication plan

(3 /arget audience

%3 +ommunication o"jectives

)3 Message

43 Media

:3 Message source

63 Measurement

23 Promotion "udget+onclusion

Appendix

e-erences

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1. Introduction/his report gives an outline o- marketing communication plan developed -or

irm 0 in Markstart 7ndustry ; A)(&2'3 /he plan 5ill -ocus on retaining and

targeting ne5 customers through existing products using di--erentiatedmarketing strategy ,di--erent products to di--erent segments. ,#otler < #eller

%'(%.3 +ommunication plan ensures that all activities are coordinated to

support the -irm=s marketing and communication strategies and -it 5ithin the

given "udget (>%''# -or next period ,?utchins +rang Marketing Group

%'((.3

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2. Communication Plan

(3 /arget audience According to Product @evel +ustomer1value hierarchy all our "rands -all

under expected product level ,e-er Appendix (3(. 5here 5e deliver 5hat

the customer expects ,@evitt (&>'.3*e 5ill select our target audience on the "asis o- -ollo5ing -actors ,#otler

< #eller %'(%.$

• Size of market1 *e 5ill target Singles and thers as they together

comprise o- 64 o- the market share3

(Source: Markstrat)

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• Growt! Another reason -or targeting Singles and thers is that they

have a high estimated gro5th rate over next -ive periods ,)>3( -or

Singles and 243) -or thers. compared to other segments3

(Source: Markstrat)

Profita"ility! S0@ S00! and S0?7 together generate approximately

>' revenues -or our -irm3 ?ence targeting Bu--s ?igh earners and

Pro-essionals 5ould "e pro-ita"le -or us3

(Source: Markstrat)

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Belo5 ta"le lists di--erent segments targeted and a 5ide range o- products

o--ered to them "ased on their needs price and 5ants through pre-erred

distri"ution channels$

Se#ment $ffered %rands and Caracteristics

Bu--s

S00!

• ?igh per-ormance

• @ess -ocus on convenience

• Average priced

Singles

S0CD

• Average per-ormance

• Average convenience

• @o5 priced

Pro-essionals

S0@

• ?igh Euality

• 0asy to use

• ?igh per-ormance

• ?ighly priced

?i10arners

S0?7

• Average per-ormance


• ?igh priced

thers

S0M7

• @ess -ocus on per-ormance


• @o5 priced

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&. Communication o"'ectives9eveloping communication o"jectives are essential in terms o- marketing our

products ,Sta--ord %''&.3Moving generic o"jectives to more measura"le

gives a more realistic picture in terms o- result ,+indy %'((.3Based on?ierarchy o- e--ects model ,e-er Appendix (3%. 5e have identi-ied -our

possi"le o"jectives ,ossiter F3 < Percy @3 (&&2.$

&.1 %rand awareness 1 7ncrease a5areness a"out our existing

products in order to retain and attract customers "y :' "y end o-

the next period3 A5areness o- our products and speci-ying 5hat

makes us di--erent -rom competitors identi-ying our UniEue Selling

Point ,USP. and marketing it 5ould -orm the "ase o- "rand eEuity3

03g3 S00! is our USP since it comprises o- a"out 6' o-

revenues3 Market it -urther "y its high per-ormance and average

price as pre-erred "y Bu--s3

&.2 Cate#ory (eed ) #eeping target audience in mind products have

"een designed and modi-ied3 urther promoting it in such a 5ay

that it 5ould satis-y the perceived notions3 03g3 S0CD has "een

designed to cater Single=s need -or average per-ormance and

convenience3

&.& %rand *ttitude! 0valuating our "rands to satis-y current need o-

the consumers3 7ncrease understanding "y 2: "y rein-orcing the

position o- "rand in the market3 Brands provide positive orientation

such as social status and intellectual stimulation3 03g3 S0?7 is a

high priced product targeting ?igh 0arners 5ho aim -or social

status3

&.+ %rand Purcase Intention1 /o consistently 5alk customers

through the purchasing process 5e 5ill in-orm as -ollo5s

,Armstrong et al3 %'(%.$

*hy our product should "e "ought

+omparisons to the competitor=s product

eed"ack -rom our current clients3

--er deals and discounts

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/his 5ill help in attracting consumers to purchase our products

thus increasing revenues and market share "y %' "y end o- next

period3 03g3 S00! provides "etter per-ormance at lo5 price as

compared to S7BB ,competitor=s product. -or Bu--s3

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+. Messa#e

*e 5ill use A79A model to develop e--ective communication strategies and

messages that 5ill help in interacting 5ith customers in a "etter 5ay3 /his 5ill

ena"le us to target a particular segment in an e--icient 5ay ,unctional

Marketing %'(%.3 /he message -or all our "rands are designed in such a 5ay

that it helps in$

• Gaining customer=s attention

• Arousing their interest "y speci-ying the "ene-its and -eatures o- our "rando 03g3 Per-ormance and convenience using multidimensional

scaling• +reating a desire among customers to "uy the product3

• inally encouraging them to purchase the product ,unctional marketing

%'(%.3

+.1Messa#e Content,

• *e plan to use rational appeal method relating to the sel-1interest o-

target markets to produce the desired response ,Mukesh et3 al %''2.3o A message sho5ing per-ormance and convenience 5ill help in

attracting Singles -or our ne5 product S0CD•

/he messages are also designed in order to stir up positive emotionso- customers to motivate them to purchase ,Solomon %''2.3

o A message sho5ing an expensive good Euality product 5ill help in

motivating high earners to purchase the product as a sym"ol o- their

social status

+.2Messa#e Structure, As a part o- message structure strategies$

a.-or i# Earners,• *e 5ill give end conclusion in our message to this market segment -or

our product S0?7 through use o- perceptual o"jectives such as Euality

and per-ormance ,0ngel et3 al (&&2.3• As high earners pre-er to hear positive messages a one1sided

message 5ith strong argument at -irst 5ill "e designed descri"ing

Eualities o- S0?7 ,good design.3 /his 5ill lead to increase in customer

"ase hence increasing the "rand loyalty ,Sternthal and +raig (&>%.3

".-or %uffs and Professionals

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• *e 5ill allo5 these customers to -orm conclusions according to them

-or existing product S00! as they are 5ell educated a"out the "rand

,0ngel et3 al (&&2.3• A t5o sided argument 5ill "e designed -or critical audiences like Bu--s

and Pro-essionals descri"ing "oth positives and negatives o- the

product3 /his 5ill increase their con-idence and "elie- in S00! thus

making them more loyal to the "rand ,eed %''6.3

+.&Messa#e -ormat,or all our products 5e 5ill

• +reate a strong message -ormat using print ads 5ith proper heading

illustrations and colours making the message look more attractive

,Pieters et3 al %''4.3• +arry message in1person ,sales -orce. so the proper gestures -ace

expressions and posture o- the person helps to deliver message

e--ectively ,#otler et3 al %'(%.3

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/. Media/he "elo5 -igure lists di--erent channels that 5e 5ill use to communicate 5ith

our targeted customers$

/.1 0IEC M*I3 ; 7t is the most cost e--ective 5ay o- reaching the

customer "y sending personali8ed message through mail to them

individually ,#otler < #eller %'(%.3 *e 5ill use direct mail to provide

in-ormation a"out our ne5ly launched products like our product S0CD

as an 7n-ormative advertising3

/.2 S$CI*3 ME0I* )*e 5ill use highly e--ective medium like ace"ook

and t5itter to reach a 5ider group o- customers to communicate our

existing ne5 and modi-ied products and o--ers ,#otler < #eller %'(%.3

*e 5ill upgrade our social media pages regularly through dedicated

social media experts3 *e 5ill "e "ene-ited most "y S0@ S00! and

S0?7 as Pro-essionals ?i1earners and Bu--s access internet the most3

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/.& 4E%SIES 5 E!M*I3 ) Another inexpensive and e--ective 5ay o- advertising our products is "y

creating 5e"sites and sending emails to the customers3 *e 5ill use

internet pu"lishers ,advertising agents. to advertise the 5e"site link tocustomers "y pay per click= method ,?ochman F.301mail is another 5ay o- keeping customers up1to1date a"out our

products o--ers and services ,Armstrong et3 al %'(%.3 Social media

even 5e"sites and 01mails 5ill target mostly "u--s ?i1earners and

pro-essionals3

/.+ S*3ES -$CE ) *e 5ill use in stores sales people e--ectively to

market our products to customers ,oss et3al %''(. through -ace to-ace interactions3 Unlike other personal communication channels sales

-orce allocated in various stores 5ill market all our products depending

on customer reEuirements3

/./ *06EISI(G ) 7t can reach geographically dispersed "uyers "uilding

a long1term image -or the product and trigger Euick sales3 *e 5ill

classi-y advertising as "elo5 -or our products ,#otler < #eller %'(%.

Informative advertisement$ !e5ly launched products i3e3

S0CD and S0?7 need to "e advertised in such a 5ay that target

audience 5ill "e a"le to understand the product in-ormation3

Persuasive advertisement$ *e 5ill advertise product S00! "y

providing comparison 5ith the competitor=s product in market so

as to persuade Bu--s to develop liking and conviction to5ards

our product and pre-er it over others3

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eminder advertisement$ By continuous advertising 5e 5ill

remind customers a"out our existing mature products S0M7 and

S0@ thus helping to increase their purchase intentions3

/he key aspect in advertising is to choose the right medium o-

advertising -or right product depending on the pro-ita"ility o- products

,Armstrong et al3 %'(%.3 or example /H advertising is appropriate -or

so high end products like S0?7 S0@ and S00! as /H is expensive

5hereas !e5spaper advertising a cheaper 5ay to reach greater

audience -or S0M7 and S0CD as these t5o products 5ill -etch us lo5

pro-it margins3

/.7 S*3ES P$M$I$( ) *e 5ill use sales promotion tools like -ree

product delivery ,-or our Sonite products. loyalty cards -ree gi-ts

product 5arranty etc3 to persuade customer using pulling method to

create customer loyalty and increase "rand value ,#otler < #eller

%'(%.3

/.8 E6E(S5 SP$(S$SIPS ) *e 5ill invest on events and

sponsorships in a 5ay that it explains our "rand attitude and "elie-s

,Armstrong et3al %'(%.3 or example product designed -or

?i1earners ,S0?7.$o /arget luxury events , G@ @uxury Parties.

Pro-essionals ,S0@.$o #no5ledge "ased events ,e3g3 Iui8 competition.

• thers < Singles ,S0M7 < S0CD. $o 0ntertainment events ,sports movies theatre etc3.

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8. MeasurementMarketing measurements provide clear and Euanti-ia"le evidence to the

management on ho5 our marketing expenditure helps to achieve the goals

and -inancial o"jectives ,#otler < #eller %'(%.3

M*9EI(G MEICS,

/o analyse the marketing plans e--ectiveness 5e 5ill use marketing metrics

5hich helps to Euanti-y compare and interpret the marketing per-ormance

using external and internal metrics ,#otler < #eller %'(%.3

or example 5e have "uilt a marketing metrics -or our product S00!$

E:E(*3 I(E(*3

A5areness ,223>. A5areness o- goals

Market Share ,:3(. +ommitment to goals

elative Price,J 4('. Active innovation support

Marketing 0xpenses,J %>:'#. Sta--ing or skill levels

Product Sales ,(%>>>%. *illingness to change

Sales cost ,J646#. Autonomy

rom the a"ove metric 5e can analyse the eturn on investment ,7. ,e-er

Appendix (3). through 5hich 5e can judge the e--ectiveness o- marketing plan

,/aking the mystery out o- marketing metrics %''&.3

M*9EI(G $I M*(*GEME( P$CESS,

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(Source: Adapted from Marketo, 2012)

rom the a"ove Measurement 7 management process 5e 5ill$• Use the calculated 7 5hich 5ill help to shape the -uture o"jectives

strategies and tactics3• Measurement process 5ill also help us to -ind 5eaknesses and guide

us to improve the e--ectiveness o- marketing plan ,Marketing

Measurements %'(%.3

/o measure the e--ectiveness o- marketing plan through 7 process 5e

-ollo5 the -ollo5ing steps$

• ?o5 5ell the marketing investments connect to the incremental

revenues and pro-its3• *hat impact 5ould a small change in the marketing "udget has on the

pro-it margins in -uture3• esearch on customer "ehaviour a5areness satis-action and

perceived Euality ,Marketing Measurements %'(%.3

rom the measurement process 5e can understand ho5 success-ul 5e are in

communicating our product to customers and it also sho5s us on 5hat

changes to "e made in strategies -or an e--ective marketing plan

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;. Promotion "ud#et"jective1and1/ask method 5ill "e used to set the total marketing

communication "udget ,#otler P3 < #eller #3 %'(%.3 As things appear to "e

going 5ell -or our -irm and there is no reEuirement to take "ig risks 5e haveselected this method ,*est 93 < Prendergast G3 %''&.3 *e 5ill "e a"le to

achieve targeted o"jective levels "y using this market1"ased and researched

sophisticated "udgeting techniEue ,*est 93 < Prendergast G3 %''&.3

/he various advantages o- "jective1and1/ask method are as -ollo5s$

• 7t 5ill help us to clearly state the advertising o"jectives and identi-y the

relationship in "et5een them ,+arlson 93 < Mc9evitt P3 %''2.3

• 7t also highlights the si8e o- "udget allocated -or achieving those

advertising o"jectives ,+arlson 93 < Mc9evitt P3 %''2.3 /hus it

increases our -irm=s pro"a"ility o- covering the overall marketing costs

"y setting aside su--icient amount o- money3• 7t relates the advertising e--ect theory to the "udgeting decisions made

,Art8t 03 %'('.3 or e3g3 there are -e5er reEuirements o- in-luencing

customers through advertising i- the purpose is to only "uild product

a5areness3 But these reEuirements are increased in case the main

advertising goal set is to achieve consumer pre-erence -or the product3

0ven though this method has various advantagesK there are several

challenges to "e taken care o- "y us$

• 9etermining and prioritising the tasks to "e accomplished in order to

achieve the set advertising o"jectives ,+arlson 93 < Mc9evitt P3

%''2.3•

*e 5ill "e reEuired to set accurate and realistic costs to each o- thetasks3 /hus the overall promotion "udget is determined -rom speci-ic

costs allocated to each o- these activities ,#otler P3 (&&2.3

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Belo5 ta"le lists the total marketing "udget allocated to5ards di--erent

marketing communication channels$

ollo5ing -igure lists the percentage distri"ution o- marketing "udget to5ards

di--erent communication channels$

Budget Allocation(%) of Advertising and Digital Marketing Communicationfor Next Period Events & Sponsorship

Salesforce

Television

Sales Promotion

e!spaper

"irect #ail

Social #e$ia

"ispla% #aretin'

E(mail #aretin'

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*==endix11.1 Product 3evel, Customer!value ierarcy

1.2 ierarcy!of!effects model,

,Source:http://gimmecca.wordpress.com.

1.&eturn on Investment >$I?,

7 L ,Product Sales x Gross pro-it. 1 Marketing < sales 0xpenses

eferences

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(63sgood +3 03 and /annen"aum P3 ?3 ,(&::.= /he principles o-

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(>3?ochman F3 n3d3 /?0 +S/ PAD1P01+@7+# ,PP+.

A9H0/7S7!GR/0!9S A!9 A!A@DS7S3 nlineN Availa"le

at$http$OO5553hochmanconsultants3comOarticlesOje1hochman1

"enchmark3shtml Accessed %) April %'()N3(&3oss e3 a3 %''(3 Marketing Principles < Practice3 4th ed3 ?arlo5$

Pearson 0ducation @imited3%'3Sta--ord Fuly %''& Marketing +ommunication "jectives Availa"le

-rom$ http$OO5553marketingcommunications"log3comOmarketing1

communication1o"jectivesAccessed on %) April %'()N%(3+indy e" %'(( 9on=t settle -or 5eak marketingOcommunication

o"jectives Availa"le -rom$

http$OOcindyshanley35ordpress3comO%'((O'%O(4Odon0%>'&&t1

settle1-or15eak1marketingcommunication1o"jectivesAccessed on %)

April %'()N%%3Marketing Measurements3 ,%'(%.3 nlineN3 Availa"le -rom$

http$OO5553marketo3comOQassetsOuploadsOMktgMetric1cheatsheet21

)(3pd- Accessed on %) April %'()N%)3/aking the mystery out o- marketing metrics3 ,%''&.3 nlineN3 Availa"le

-rom$http$OO5553leverage%market3comO5e"inarsOroger"estO@%M1BestQ*e"castQ61)1('Qr"QH61%3pd- Accessed on %) April %'()N

%43?utchins +rang Marketing Group3 *hat is a marketing communication

plan3 ,%'((.3 nlineN3 Availa"le -rom$

http$OO5553hutchinscrang3comO"logO%''&O'(O(:O5hat1is1a1marketing1

communications1plan Accessed on %4th April %'()N3

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http://www.functional-marketing.com/aida-marketing.html#axzz2RJrVWPjfhttp://www.marketingcommunicationsblog.com/marketing-communication-objectiveshttp://www.marketingcommunicationsblog.com/marketing-communication-objectiveshttp://cindyshanley.wordpress.com/2011/02/14/don%E2%80%99t-settle-for-weak-marketingcommunication-objectiveshttp://cindyshanley.wordpress.com/2011/02/14/don%E2%80%99t-settle-for-weak-marketingcommunication-objectiveshttp://www.leverage2market.com/webinars/rogerbest/L2M-Best_Webcast_6-3-10_rb_V6-2.pdfhttp://www.leverage2market.com/webinars/rogerbest/L2M-Best_Webcast_6-3-10_rb_V6-2.pdfhttp://www.hutchinscrang.com/blog/2009/01/15/what-is-a-marketing-communications-planhttp://www.hutchinscrang.com/blog/2009/01/15/what-is-a-marketing-communications-planhttp://www.functional-marketing.com/aida-marketing.html#axzz2RJrVWPjfhttp://www.marketingcommunicationsblog.com/marketing-communication-objectiveshttp://www.marketingcommunicationsblog.com/marketing-communication-objectiveshttp://cindyshanley.wordpress.com/2011/02/14/don%E2%80%99t-settle-for-weak-marketingcommunication-objectiveshttp://cindyshanley.wordpress.com/2011/02/14/don%E2%80%99t-settle-for-weak-marketingcommunication-objectiveshttp://www.leverage2market.com/webinars/rogerbest/L2M-Best_Webcast_6-3-10_rb_V6-2.pdfhttp://www.leverage2market.com/webinars/rogerbest/L2M-Best_Webcast_6-3-10_rb_V6-2.pdfhttp://www.hutchinscrang.com/blog/2009/01/15/what-is-a-marketing-communications-planhttp://www.hutchinscrang.com/blog/2009/01/15/what-is-a-marketing-communications-plan


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marketing communication plan - markstrat

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