Marketing Strategy and Planning

The assignment is based on various literature reviews and studies that discuss the importance of aligning organizational structure with market needs. It also explores how marketing can interact with other functional units within an organization to achieve business growth. The assignment requires students to understand different marketing concepts, strategies, and capabilities, as well as the role of marketers in today's business environment.

MARKETING ESSENTIALS
CONTENTS

INTRODUCTION...................................................................................................................................1
PART – 1 (ESSAY).................................................................................................................................1
PART – 2 (REPORT)..............................................................................................................................4
External environmental analysis by PESTEL tool..............................................................................4
Porter’s five force analysis (Competitor analysis)...............................................................................6
Marketing objectives for new product “Forever Young”....................................................................7
Marketing strategies.............................................................................................................................7
STP.......................................................................................................................................................8
Market control......................................................................................................................................9
CONCLUSION........................................................................................................................................9
REFERENCES......................................................................................................................................10

INTRODUCTION
Today’s business environment is quite competitive and dynamic in nature wherein
marketing has gained significant importance in almost every organizations. It encompasses
comprehending the market place, offering quality products and services, adopting customer
driven marketing strategy, developing profitable relations and fulfilling the demands of the
patrons. In this modern world, the core principles of marketing needs to be re-evaluated so as
to accelerate the marketing performance (Cravens and Piercy, 2008). Pertaining to this, the
main focus of the present research study is to carry out detailed marketing evaluation. The
report is divided into two parts wherein the first part is essay reflecting the role of marketing
in modern organization and will evaluate the inter-relationship of marketing with other
functions of the firm. The second part of the report is based on the case study of beauty giant
engaged in selling cosmetics which has decided to launch a new anti-ageing product known
as “Forever-young”. The main task here is to design a strategic marketing plan for the new
product and apply marketing mix so as to achieve the marketing objectives.
PART – 1 (ESSAY)
As per AMA (American Marketing Association), marketing is a systematic process
that helps the organization in disseminating their merchandise to the ultimate users.
Marketing is mainly focussed towards distribution activity of products. With the passage of
time, market conditions and upcoming trends in the market, the definition and core principles
of marketing is re-defined and re-evaluated (Hooley, Saunders and Piercy, 2003). The present
era is favouring customers as they are being treated as a king and when it is a retail business,
there importance increased manifolds. Now, marketers have realized that selling products to
the customers is just not enough and they are in need to offer other benefits to make them
satisfied and loyal. The success of modern organizations lies in their tactics, strategies and
processes. The major attention of the firms should be to offer quality merchandise to the
clients with innovative features, stylish appearance, accessible and finally that offers value to
them. Marketing function is thus defined as a role being performed by the organizations to
determine and source possible product for the market and adopting strategies for upholding
the same (Thompson, 2018).
Talking in regards with the roles and responsibilities of the modern marketers, it has
now extended far beyond just selling the stuff. Now it often holds oversights of digital
transformation all around the business that helps in shaping end-to-end experience of the
customers and also takes remit for all brand touch points. Underpinning the discussion,
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Ashely Friedlein, the founder of marketing week has developed new marketing paradigm
called “The modern marketing model or M3”. This model includes 10 components which is
broke down into four major stages i.e. strategy, evaluation, planning as well as execution.
Furthermore, it also blends, the major principles with skills being required so as to maximize
the opportunities available in the new digital world (Thompson, 2018). Roles, responsibility
and skills of a marketer is evolving to meet out this changing landscape. The core role of
marketing in the modern organization are being defined in the subsequent paragraph: Identifying the possible new markets – In the current time, determining the new
potential market for the product and services is the major task that need to be
performed by the marketer. Here, maintaining relationship with the exiting market is
also very necessary to increase market reach (Christian and Workman, 2010). Introducing new-fangled products and services – The main role of the marketer is to
allure new customers and maintain the old ones. In simple words, marketing generally
carry out research about the needs and demands of the market and as per the result,
the products are being introduced in the market so as to offer maximum satisfaction
level to their valuable customers. Evaluating the product – In this dynamic and digital transformation era, the
preferences of people keeps on evolving and thus, it is necessary to evaluate all these
upcoming trends meticulously for the purpose of having needed alteration in the
product that pleases the target market (Hausman, Montgomery and Roth, 2002). Marketing Planning – It is vital on the part of Marketer to create an action plan so that
marketing activities like distribution, promotion and sales forecasting can be
performed effectively (Wind, 2005).
Focusing in relation with inter-relationship or inter-dependence of marketing function
with other functions of the firms, it can be whispered that marketing function cannot exists in
isolation and permeates all other functions within the organizations. Different functions are
being performed within the firm such as production, human resource, operations, finance,
logistics, research and development etc. and each and every function defined above is
grouped into departments for better functioning and efficiency (Ruekert and Orvill, 2017).
Throwing light towards human resource management function, it overlooks training,
recruitment, selection, professional development, employee motivation, performance
management and related legal aspects of human capital. So, a marketing manager is required
to use HR department to support in recruiting a marketing assistant. The HR will organise
interview and select best candidate so that marketing objectives can be achieved (Day, 2006).
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As with the human resource management, the production, operations and logistics
functions within the business is also require to work in collaboration with the marketing
department. Operations generally encompasses activities like packaging, manufacturing,
logistics, warehousing and distribution. Marketers are required to sell products and services
which are presently in stock or can be manufactured in a reasonable period of time. However,
there are unworkable scenarios as well within the business where marketers are making an
attempt to increase the sales of the product and the concerned product is not supplied
(Hausman, Montgomery and Roth, 2002). Thus, there coordination and relation is necessary
for effective functioning.
Underpinning the discussion, research and development should also be driven by the
marketing concept. The demands of the customers’ needs to be central to any new research
and development so as to offer products that significantly contends the needs of the patrons.
The marketers is required to communicate with the researchers as well as engineers so as to
ensure that the needs of the customers are represented. Furthermore, processes related to
manufacturing should be researched and developed on the basis of some aspects of marketing
mix. For instance, logistics needs to be researched for the purpose of delivering products
effectively to the clients (Lamb and et.al, 2008).
Consequently, from the above discussion it can be said that the role of marketing is
valuable and vital for exchanging, transporting and moving the products and services to the
ultimate users. It is complex mechanism but a real need of the time. It provides employment
to numerous people and creates needs within the customers rather than identifying the needs
(Schultz, 2004). Further, the functional units of the modern organizations are co-related with
each other that significantly supports the firms in accomplishing their desired objectives,
growth and success. Today, the focus of each and every firm is towards providing products to
the clients that offers more value and therefore, they are adopting more focused approach in
regards with their marketing activities (Strydom, Jooste, and Cant, 2008).
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PART – 2 (REPORT)
As a marketing manager of Beauty Giant, the main tasks here is to design a strategic
marketing plan for the launch of the new product called “forever young” which will be the
first of its kid to be targeted in more than 30 markets. Further, the use of 7 P’s of marketing
will be done to achieve the marketing objectives.
Executive summary
The current research report pays attention on designing a strategic marketing plan for
the introduction of new product in more than 30 target markets. Beauty giant is a cosmetic
selling company that has more than 50 branches all across UK. They are engaged into selling
of men and women toiletries from various renowned brands. Till yet they have not produced
any product of their own and now they have decided to launch new anti-ageing product in the
markets of UK. For this, detailed analysis of both internal and external marketing
environment will be done along with various marketing strategy and marketing mix will be
used to achieve the objectives.
External environmental analysis by PESTEL tool
Political
 The political factors can influence the activities of the firm both
directly and in-directly
 In UK, the cosmetic industry takes into consideration Cosmetic
regulations 1223/2009. It involves laws such as animal testing,
free movement, safety measures, restrictions of particular
substances and ingredients etc. which is required to be followed
by the firm related to this industry and is very essential as well
(Anchrol, 2011).
 Many of the raw-materials need to be sourced by the Beauty giant
from Brazil for this new product and the unstable political
condition of Brazil will influence the functioning of the company.
Economical
 It significantly involves the rate of unemployment, interest rates,
growth rate, inflation, income level etc.
 These factors impacts the purchasing power of the consumers and
increasing demand of the product will raise the profits of the
organization (Mariadoss, Tansuhaj and Mouri, 2011)
 Rate of unemployment in UK is high in the year 2009 and
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pertaining to this, the purchasing of power of people was
decreased
 Interest rates were also decreased
 There has been increase in the rate of VAT as well
Social
 In UK, people are now more aware in regards with the fair trade
practices, use of natural products and animal testing.
 Male population is too showing high level of interest towards
their appearance
 UK is witnessing high number of ageing population and they too
are willing to spend more on premium products that claims anti-
ageing (Drummond, Ensor and Ashford, 2003)
Technological
 There is big e-commerce market in UK and thus, around 13
percent of the sales of cosmetic industry is being done through
online source. This will add benefit to Beauty giant in its new
product launch
 Utilization of internet has revolutionized the beauty and cosmetic
industry in UK
Environmental
 Beauty and cosmetic industry in UK are focusing more towards
to try and go green
 Packaging is done by eco-friendly products so as to have less
stress on the environment (Bennett, 2015)
 Ingredient called “Microbeads” were sweeping headlines for a
while which exfoliate the skin cells but it is made of plastic and
horrid for environment
Legal
 The beauty and cosmetic industry of United Kingdom is required
to follow the two leading laws i.e. The Federal Food, Drug and
Cosmetic Act (FD&C Act) and the Fair Packaging and Labelling
Act (FPLA).
 If the ingredients being used in the products are not up to the
code than it can be banned
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Porter’s five force analysis (Competitor analysis) Threats from new entrants – Talking in reference with the cosmetic industry, the
threat from the new entrants is quite low. This is because of various factors such as
huge costs of entry, requirement of lot of resources and ingredients, huge
manufacturing process, less funding options and high level of competition. All these
factors discourages the entry of new firms in the market. Companies such as Revlon,
Clinique, Avon, Mac etc. have large share in the market which reduced the
profitability of the companies in the industry (Brooksbank, 2013). Bargaining power of buyers – the bargaining power of the buyer is too high because
of rising level of competition and availability of range of cosmetic products from
different manufacturer. All these products have high number of substitutes it is
possible for the customers to compel their producers to decrease the prices of the
products by purchasing the products form their competitors. This is the major
challenge being faced by the producer of cosmetic products all throughout the world.
 Bargaining power of suppliers – In the cosmetic industry, the bargaining power of the
supplier is quite low. This pertains to the fact that there is high number of players in
the market and there is huge supply of different products to the market. Numerous
cosmetic products are being developed by both large as well as small manufacturers
and because of this large supply the customers enjoys the power to impact the prices
of the market in contrast with the suppliers (Hutt and Speh, 2012). Competitive rivalry – Further, in this industry, the degree of competitive rivalry is too
high. There are many competitors such as Revlon, Clinique, Avon, Mac etc. which are
competing with each other. Further, number of Spas are limited and they have their
own products and thus, supply is greater than the demand in the market. Additionally,
the exit barriers is also high. Threats from substitute products – There are numerous competitors in the cosmetic
industry and thus, threat from the substitute products is relatively high. For instance, if
the producers sells their products at increased prices and the products are too of low
quality than it is more likely that the consumer will go for substitute products.
Therefore, it is vital for the cosmetic players in the market to innovate their products
if they want to manage the challenges of the threat of substitute (Hutt and Speh,
2012).
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SWOT analysis of the Beauty Giant
Strength
 Large amount of share in the UK market
 Good brand name and reputation in the market
 Selling men and women toiletries from renowned brands
Weakness
 No experience of producing their own products
 There is lack of product awareness because of less marketing
activities
Opportunities
 Manufacturing eco-friendly as well as organic products
 Online buyers are increasing
 Animal testing is ban in UK and this will bring forth opportunity
for new product launch of the firm
Threats
 Risk concerning material supply
 Level of competition in the cosmetic industry is too high
 They are entering in the market for the first time so the current
market can pose threats to the firm
Marketing objectives for new product “Forever Young”
 To enhance the sale of the new product of Beauty giant by 6 to 12 percent in the next
8 months
 Generating more than 200 leads via websites in every two months
 Selling around 10000 “Forever Young” product in next 4 months
 Increasing the market share of the company by 10 percent in next 1 year
 To increase the awareness of the product in 6 months
Marketing strategies
Marketing mix
 Product – The beauty giants has decided to launch new anti-ageing product called
“Forever Young” in 30 markets of UK. The product will support the target group in
eliminating their appearance of defects. It will also help in cleaning as well as
moderating the sebum in the surface of skin (Davids and Newcomb, 2015).
 Price – Market penetration pricing strategy is being followed by the firm for this
product. At the initial level, the firm will charge lower prices and afterwards they will
increase the price.
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 Place – Forever Young is being launched for 30 markets of UK. Further, it will be
able in varied outlets, shopping sites and company’s online website. Promotion – For promoting the product different social media sites like Facebook,
Google and Twitter will be utilized. Sales promotion technique will also be used such
as free samples, discounts etc. People – This involves learning about the target audience and finding out how the
new product will fit into their lifestyle. Thus, the employees of the firm will engage in
determining the needs of the target group and will design the best-selling product so
as to develop a perfect sales pitch (Borden, 2011). Physical evidence – Physical evidence is nothing but the psychical element being
involved in the product such as brochure, pamphlets, flyers, packaging etc. Further,
record of all past experience of customer group about their buying behaviour is also a
part of physical evidence. Process – This involves processes being involved by the business to manufacture the
product as well as to deliver the product to the customers. Beauty Giant makes use of
effective process that it succeeds in minimizing the costs, maximizing the profits and
satisfies the customers as well.
STP
Segmentation Geographic – In this type of segmentation the firm is segmenting its product on the
basis of region, nation and area. They are segmenting the market of UK. Demographic – It includes segmentation by age, gender and income group. For the
new product of the firm, upper and upper middle class income group is being
approached Psychographic – It divided the market on the basis of Lifestyle, attitude as well as
motives (Blythe and Megicks, 2010)
Targeting
It means forming a groups of individual having similar needs and wants. The main
target group of the company is men and women of the age between 30 to 55 years both
professional as well as non-professional. They will target 30 markets of UK especially the
urban market. All the targeted group of the company is willing to spend extra pounds to look
better (Belsch and Belsch, 2005).
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Positioning
This is being regarded as the final level of the whole marketing process. This is the
stage where the firm decides about the strategies that can be adopted to position themselves
in the desired market. Since the customer of beauty giant falls in the higher income group and
thus it will be considered as a high end brand. It is vital to position the new anti-ageing
product by feature, values and beliefs. The firm can also make use of campaigns with
celebrities that showcase the advantages of “Forever Young” such as plummeting the
appearance of defects, reducing darkness and wrinkles and balancing oily skin (Duncan,
2011).
Market control
This is being regarded as the major component of the overall marketing plan. This is
the level, where each and every activities and tasks are controlled by the way of effective
matching of marketing objectives with the results being obtained. Further, drafted activities
are also taken into account so as to have proper checking. With this, it becomes easy for the
managers to take corrective actions if any type of deviation is being found within right time
().
CONCLUSION
Consequently, from the current research report it can be said that it is essential for the
companies like beauty giant to understand the significance of customers and their
relationship. Innovative as well as extra-ordinary products should be delivered to them by
adopting appropriate marketing strategies, tactics, procedures and plans.
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REFERENCES
Books and journals
Anchrol, R.S., 2011. Evolution of the marketing organization: New forms for turbulent
environments. Journal of Marketing, pp.77-93.
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Brooksbank, R.W., 2013. Successful marketing practice: a literature review and checklist for
marketing practitioners. International Journal of Wine Marketing, 1(2), pp. 34-45.
Christian, H. and Workman, J.P., 2010. Fundamental Changes in Marketing Organization:
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Hutt, M.D. and Speh, T.W., 2012. Business marketing management: B2B. Cengage Learning.
Lamb, C.W., Hair, F.H., Mcdaniel, C., Boshoff, C. and Terblanche, N.S., 2008. Marketing.
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Mariadoss, B. J., Tansuhaj, P.S. and Mouri, N., 2011. Marketing capabilities and innovation-
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Strydom, J., Jooste, C. and Cant, M., 2008. Marketing Management. Cape Town: Juta.
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Online references
Thompson, S., 2018. The role of the marketer has changed, shouldn’t the marketing model?
[Online]. Available through: < https://www.marketingweek.com/2018/02/02/the-role-of-
the-marketer-has-changed-shouldnt-the-marketing-model/ >. [Accessed on 18thNovember
2018].
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