Strategic Planning for ABC Retail

The assignment content discusses the importance of sales and marketing planning in maintaining relationships with customers, particularly for small and medium-sized enterprises (SMEs). It highlights the role of relationship management software and social media tools in improving customer interaction. The content also emphasizes the need to set a budget, communicate the plan to employees, and monitor its effectiveness. Furthermore, it suggests that sales and marketing theories, such as the AIDA model, can be applied to SMEs to improve their overall performance.

PLANNING AND IMPLEMENTING SALES
AND MARKETING STRATEGY

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1: SALES AND MARKETING PLANNING.....................................................................1
REVIEWING CURRENT SALES AND MARKETING PLAN....................................................1
The link between corporate strategy and marketing strategy......................................................1
Method for setting sales and marketing objective.......................................................................1
Method for implementing marketing and sales strategy..............................................................2
Method of monitoring..................................................................................................................2
NEXT YEAR PREPARATION......................................................................................................2
Sales and marketing planning......................................................................................................2
Scope of Sales and marketing planning.......................................................................................3
Role of situational analysis..........................................................................................................3
Future challenges effect...............................................................................................................3
Strategic model............................................................................................................................4
Technological advances...............................................................................................................4
Selecting criteria for evaluating the strategic option...................................................................4
Implementation method...............................................................................................................5
Sales strategy to operation...........................................................................................................5
Monitor the sales and marketing plan..........................................................................................5
The relevance of sales and marketing theories to SME...............................................................6
CONCLUSION................................................................................................................................6
REFERENCE..................................................................................................................................7

INTRODUCTION
This report is based on the case scenario in which sales and marketing plan for ABC
retail (a fictitious company) will be considered.
TASK 1: SALES AND MARKETING PLANNING
REVIEWING CURRENT SALES AND MARKETING PLAN
The link between corporate strategy and marketing strategy
Corporate strategy is related to the marketing strategy. Corporate strategy possesses
corporate actions of a firm that are required in order to accomplish the objective of the company.
On the other hand, marketing strategy possesses marketing actions that help in attaining
corporate strategy. For example, with the help of sales strategy manager of ABC retail can get an
idea about the amount of production which it needs to be made in order to fulfill the demand of
customers in the market. Thus, on the basis of a given strategy only firm can plan its corporate
strategy (McCamley & Gilmore, 2018). As per the sales strategy, the manager will need to plan
its corporate actions in the form of the amount of material it needs to order with an aim to fulfill
the sales demand. Similarly, corporate action is also taken in the form of assessing the level of
staffing as per sales demand. However, it is to be evaluated that if sales strategy is not correctly
framed then this will have an impact on the corporate plans of the firm.
Method for setting sales and marketing objective
SMART (Specific, measurable, attainable, realistic and time-bound) criteria are being
regarded as one of the most effective methods with the help of which primary sales and
marketing objective for the company can be set. This method is effective because it gives clear
direction to the firm regarding the aim that it needs to attain. To raise the sales of ABC retail by
20% till the year 2012 is the example of a SMART objective setting method. However, it is to be
critically evaluated that the SMART method will work well if the firm will have a thorough idea
about its department as well as company capabilities. Here, if the manager of ABC retail will not
have an idea about its product production capacity and set such type of sales figure then the
given method will be proved as ineffective.
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Method for implementing marketing and sales strategy
Sales and marketing strategy of ABC retail can be implemented with the help of methods
like effective communication and clear definition of strategy with the involvement of all
employees who are working in a firm. The very first method is effective communication. For
example, for ABC retail it is essential that it should communicate its strategy properly to its
respective employees. This is because clear communication will showcase path to cited firm
employees and they will be effectively able to implement the strategy. But, it is to be evaluated
that for strategy implement an employee should have significant skills in relation to attain sales
and marketing objective (Chaffey & Ellis-Chadwick, 2019). Thus, the work of strategy
implementation cannot be accomplished with effective communication. Further, the strategy can
be implemented with the help of a clear definition of strategy. For example, if strategy framed
have two meaning then also it will become difficult for ABC retail to perform work of
implementation.
Method of monitoring
Benchmarking and setting the key performance indicators are being regarded as two
major methods which could help in implementing sales and marketing strategy. In
benchmarking, actual performance is compared with standard. On the basis of deviation, the
manager of ABC retail can conclude that whether its marketing strategy is working well or not. It
is to be evaluated that benchmarking will work well if the manager has correctly identified the
standard target in relation to sales and marketing strategy. If this is not done well then the whole
process of monitoring the tactic could go wrong.
Similarly, in key performance indicator different KPI needs to be set as per plan.
Suppose, for marketing strategy KPI could be raising sales by 20% and raisin existing base of
buyers by 10%. But, it is to be critically evaluated that in KPI also it will become very difficult
for the manager with respect to set the exact indicator for performance. This is because of the
presence of different elements that are related to one strategy (Hollensen & Opresnik, 2019).
NEXT YEAR PREPARATION
Sales and marketing planning
Strategic sales and marketing planning is being regarded as one of the most important
components in today’s competitive scenario. This basically gives information about the specific
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customer market that ABC retail will need to target by using its campaign. It dictates about the
techniques such as advertisement and sales promotion etc that needs to be used with an aim to
attract customers towards the company. But, these plans will work well if the firm has defined its
targeted customers very well. This is because; selection of specific tool for promotion totally
depends on the type of customers that firm is targeting.
Scope of Sales and marketing planning
There is a need as well as the scope for strategic sales and marketing planning. Such
planning is needed because it helps in attaining the vision of the company. For example, ABC
retail has the vision to expand its operation in the global market. This goal can be attained by
using sales and marketing plan (Middlestadt and et.al., 2018). By using these plans, the firm can
use appropriate ways with the help of which it can inform its buyers about its product. This will
attract a large number of buyers. But, a firm should not be very much dependent on the planning
process. This is because, if it does then it will lose its capacity to innovate and risk-taking. There
is a scope for strategic sales and marketing planning. These can be used as a base in order to
prepare short term marketing plans for ABC retail.
Role of situational analysis
Situational analysis/environmental auditing has an important role in strategic sales and
marketing planning. PESTEL analysis is the tool for environmental auditing and it gives
information about company external environment. For example, from economic scenario, it is
assessed that the nation is going through with recession. Thus, on the basis of the given scenario
ABC retail can plan its sales strategy. Here, the firm can use discounts and offers, etc with an
aim to attract buyers towards the company in this scenario. But, it is to be evaluated that
sometimes use of tools like PESTEL creates confusion. This is because; many time manager of
ABC retail will be overburdened with different environmental factors. Thus, due to this manager
find it difficult to make a decision that what specific factor that needs to be addressed in its
strategic plan and what should be avoided (Gilligan & Lowe, 2018).
Future challenges effect
Challenges that will incur in the future will have an impact on next’s year strategic sales
and marketing plan. For example, in future new and digital sources for making the promotion of
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goods will be introduced. The same should be included by ABC retail in its marketing plan.
However, if the firm will have an idea about the same then its competitiveness in the market can
be lost. This will affect the profit of the company as well. So, in order to work as per future
challenges the firm should take help from an approach like contingency plan and scenario
planning, etc (Berman & Thelen, 2018).
Strategic model
The competitive advantage of a firm can be assessed with the help of a tool like porters
five forces model. This model includes information about the bargaining power of customers,
bargaining power of supplier, the threat of new entrant, the threat of substitute and rivalries
among competitors. It is an effective model as it covers different elements of business such as
new entrant, competitors, suppliers, and substitute, etc. This tool works well when the firm needs
information about the whole industry.
For the growth, Ansoff matrix works well as it gives a detail description of the type of
tactic firm should apply as per its market situation. But, it is evaluated that the given model is
based on only two dimensions that are product and market. Here, it will not suggest a growth
strategy as per the competitiveness condition of the company. Segmentation, targeting, and
positioning are called an STP model that helps in defining the marketing operation of the
company. Effective use of same will direct firm in the correct direction (Blythe & Martin, 2019).
Technological advances
Technological advances have an impact on strategic sales and marketing objective of the
firm. For example, technological advancement in the form of customer relationship management
software will change the whole way of maintaining a relationship with the company. It will
enable direct interaction of the firm with its customers. This will have a positive impact on the
overall profit of ABC retail. Similarly, social media tools will also be involved as a major part of
the sales and marketing plan in the future. This will also improve firm interaction with customers
(Chernev, 2018).
Selecting criteria for evaluating the strategic option
The criteria for evaluating strategic option should be selected on the basis of the type of
strategic option to be used. For example, if ABC retail is using product development as a
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strategic option then criteria for evaluation of this would be finance that firm have, skills that the
firm possesses and amount to be invested.
Similarly, if the firm will use the option in the form of diversification then criteria for
evaluating the same would be profit probability where the firm is planning to diversify and
amount of money to be invested and will gain after diversification.
For example, money invested and money to be received is the best criteria for evaluation.
If on the basis of same, product development will seem more suitable then the same should be
adopted and vice versa (Stead & Hastings, 2018).
Implementation method
Setting a budget is the very first way with the help of which sales and marketing plan can
be implemented. This sets the direction for the firm and thus guides it to the correct path. If this
will not be done well then the whole plan will be affected.
Communicating about the same to the lower and middle-level employees is another
method to perform the implementation of sales and marketing plan. If they will not be aware of
the plan then they will not be able to perform the action as per set plan.
Sales strategy to operation
Training and development is an effective method with the help of which sales and
marketing strategies can be applied to a firm’s operation. This is because this develops the skills
of employees to work well as per plan. But, it is to be evaluated that the training program will be
considered as successful if ABC retail will possess competent and talented individual for training
purpose.
Monitor the sales and marketing plan
The method can be a percentage of increase in the sales and market share of the
company. For example, if a firm has found out significant increment in its sales after
implementation of marketing plan then the given plan will be considered as effective. However,
if this will not happen then necessary actions need to be taken.
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The relevance of sales and marketing theories to SME
The marketing theories such as AIDA model have relevance to SME. For example, with
the help of a given model, cited firm manager can get an idea about the way to grab the attention
of customers (Camilleri, 2018). On the basis of this information, they can develop their interest
with regard to purchasing the goods and services from the SME. It is through this way only the
customers of SME will show their desire and will finally take the action. This will lead to having
an impact on the sales and profits of SME.
CONCLUSION
It can be concluded that sales and marketing planning has important for all the firms
irrespective of their type as well as strategy. The planning as well as implementation of such
plans should be made properly. This is because; if this will not happen then overall operation of
firm will be impacted.
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REFERENCE
Berman, B., & Thelen, S. (2018). Planning and implementing an effective omnichannel
marketing program. International Journal of Retail & Distribution Management, 46(7),
598-614.
Blythe, J., & Martin, J. (2019). Essentials of marketing. Pearson UK.
Camilleri, M. A. (Ed.). (2018). Tourism planning and destination marketing. Emerald Publishing
Limited.
Chaffey, D., & Ellis-Chadwick, F. (2019). Digital marketing. Pearson UK.
Chernev, A. (2018). Strategic marketing management. Cerebellum Press.
Gilligan, C., & Lowe, R. (2018). Marketing and healthcare organizations. CRC Press.
Hollensen, S., & Opresnik, M. O. (2019). Marketing Mix in the Marketing Planning
Process. World Scientific Book Chapters, 203-382.
McCamley, C., & Gilmore, A. (2018). Strategic marketing planning for heritage tourism: a
conceptual model and empirical findings from two emerging heritage regions. Journal of
Strategic Marketing, 26(2), 156-173.
Middlestadt, S. E., Schechter, C., Peyton, J., & Tjugum, B. (2018). Community involvement in
health planning: Lessons learned from practicing social marketing in a context of
community control, participation, and ownership. In Social Marketing (pp. 291-311).
Psychology Press.
Stead, M., & Hastings, G. (2018). Advertising in the social marketing mix: getting the balance
right. In Social Marketing(pp. 29-43). Psychology Press.
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