Marketing Planning for GSK: New Flu Vaccine Launch and Strategies

This report details a marketing plan for GlaxoSmithKline (GSK) focusing on the launch of a new flu vaccine in the UK. It begins with an introduction to marketing planning and reviews changing perspectives in the field, evaluating GSK's ability to plan future marketing activities. The report includes an organizational audit using PESTLE and SWOT analyses to assess external and internal factors. It then identifies and assesses barriers to marketing planning and suggests strategies for overcoming them. A comprehensive marketing plan is developed, including strategic planning, new product development techniques, and recommendations for pricing, distribution, and communication. Ethical issues affecting marketing planning are also discussed, alongside consumer ethics and their impact. The report concludes with a summary of the key findings and recommendations for GSK.

MARKETING PLANNING
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TABLE OF CONTENTS
INTRODUCTION ...............................................................................................................................5
TASK 1.................................................................................................................................................5
A Review changing perspective in marketing planning and evaluate GSK's ability for planning
its future marketing activity.............................................................................................................5
B Organisational auditing and analysing external factors that affect marketing planning and
implementation of one technique to carry out organisational auditing............................................7
TASK 2.................................................................................................................................................8
Assessment of the main barriers to marketing planning and examine how GSK may overcome
these barriers....................................................................................................................................8
TASK 3.................................................................................................................................................9
A Marketing plan for the launch of a new product for GSK...........................................................9
B Strategic planning process..........................................................................................................10
C Techniques for new product development and recommendation for pricing policy, distribution
and communication mix.................................................................................................................11
D Factors affect implementation of plan........................................................................................11
TASK 4...............................................................................................................................................12
A Ethical issue affecting marketing planning and analysis example of GSK responds to ethical
issues..............................................................................................................................................12
B Consumer ethics and their effect on marketing planning-.........................................................12
CONCLUSION..................................................................................................................................13
REFERENCES...................................................................................................................................14
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INTRODUCTION
For every business organisation, marketing plays a crucial role through which firm can able
to introduce its product and services in the market and earn probability by increase sales. The
mentioned aspect helps in promoting and selling product and services, including market research
and advertising. In this aspect, various kinds of activities and action are included such as promotion,
advertisement, distribution selling, purchasing, public relation etc. The following project report has
provided in-depth knowledge about marketing planning. It is a systematic process under which the
marketer identifies actual needs of customer and develops strategy to fulfil their needs. It includes
analysis of current market situation, detailed action programs, budget, sales forecasts, strategies etc.
In this report, a systematic marketing plan has been developed for introducing new product Flu
vaccine for old people with respect of GlaxoSmithKline organisation in UK. It is a British
Pharmaceutical company in London and this organisation is listed on the London stock Exchange
and is a constituent of FTSE 100 index. In addition to this, various marketing techniques for new
product development and analysis of external factors that affect the marketing planning have also
been discussed in this report. Furthermore, diverse range of barriers and strategies to overcome that
barrier has been also studied with respect to the cited venture.
TASK 1
A Review changing perspective in marketing planning and evaluate GSK's ability for planning its
future marketing activity
As per the given scenario, GlaxoSmithKline (GSK) is a healthcare organisation which is
engaged in creation and discovery, development, manufacture and marketing of pharmaceutical
products including vaccines, over the counter medicines and health related consumer products. The
company’s major objective is to deliver high quality medical product to customer and earn
maximum market share as well as profitability (Achrol and Kotler, 2014) For this purpose, cited
venture is going to develop marketing plan for a new flu vaccine for old people. In this manner,
corporation is required to make use of various perspectives. These marketing perspectives are as
follows-
 Market analysis- It is one of the most essential technique in marketing planning under which
GlaxoSmithKline organisation need to conduct market analysis before developing strategy
and planning. In this stage, corporation seeks to identify current marketing environment and
available competitors. With the help of PESTEL and SWOT, corporation can easily analyse
internal and external condition of the business. Furthermore, business enterprise can also
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determine actual needs and wants of the customer regarding medical product like vaccine.
 Developing marketing strategy- Once GSK identifies and analyse the internal and external
environment of business and customer requirement regarding pharmaceutical product then
in next stage the cited venture can develop an effective marketing strategy. The major
objective of this marketing strategy is to develop competitive position in the market and
acquire large number of customer as compare to available customers.
 Formation of marketing mix- It is a crucial stage in marketing planning under which the
corporation sets its marketing mix such as product, price, place, and promotion. With the
help of this aspect, company can deliver desired product and services to customer in the
market. GSK is going to develop new flu vaccine product for old people in UK so that by
using appropriate marketing mix it can effectively introduce its new product in the market.
 Identification of target market- It is essential to determine target market so that the
organization can fulfil requirement of customers. In this stage, GSK can select one specific
segment and according to their customer demand, product will be delivered (Athey,
Suckling and Rogers, 2012). GSK can identify target market on the basis of geographical,
demographical and behavioural.
GlaxoSmithKline is a British pharmaceutical company which was established in 2000 in
Brentford. It is the world sixth largest Pharmaceutical Corporation. It has three world leading
businesses which research, develop and manufacture innovative pharmaceutical medicines,
vaccines and consumer health products. It main mission is to help people do more, feel better and
live longer. It has committed to widening access to its product, so more people can benefit, No
matter where they live in the world or what they can afford to pay. By delivering a sustainable
business in the world, it render health benefits to service users and consumers and also improved
shareholder returns as well as supporting wider society (Berthon, Pitt and Shapiro, 2012).
GlaxoSmithKline has founded as the result of a merger between two large companies that is
Glaxowellcome and SmithKlineBeecham. It has sales of £22.7bn and it has also 110,000 employees
which gives their best contribution in order to attain company objective. Company have high and
strong financial condition so as it assist in developing quality product. Cited venture operates in
many countries of the world like Brentford, England etc.
The major strength of cited venture is that it is leading research based pharmaceutical and
Healthcare Corporation which has been committed to improve quality of human life by enabling
people to do more, feel better and live longer. It has excellent brand, excellent turnover and leads
top world products. This strength assists the company in developing effective marketing plan and
activities. Company have strong capability because it most sold products are based on nervous
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system therapies, respiratory drugs, antiviral therapies and vaccines. By these product and system
company can effectively generate market revenue. This thing will assist company in developing
new flu vaccine product for people. One of the most effective strength of the cited ventures it is the
top research and development organisation in UK so it can easily identify actual needs and wants of
old people regarding flu vaccine product (Bickhoff, Hollensen and Opresnik,2014). Company is
working with WHO (world health organisation) which is effective strength of organisation. It is a
winner of chemical industry manufacturing and resource efficiency award and has strength of over
97000 employees. With the assitnace of skill employees, company can develop high quality vaccine
for old age people.So as per the above discussion about the GSK it can be said that company have
strong capability for developing future marketing activities and planning.
B Organisational auditing and analysing external factors that affect marketing planning and
implementation of one technique to carry out organisational auditing
For survival in the competitive environment, organisation have to analyse its internal and
external business environment. With assistance of this practice, corporation can able to identify its
strength and drawbacks. There are various techniques which can effectively audit organisation
external and internal environment. GSK can adopt PESTLE and SWOT model in order to conduct
marketing audit. With assistance of PESTLE model, GSK can analyse various components which
largely affect business environment. This includes political, social and cultural, technological,
economical and legal. While company analyses on these components then it can effectively
understand their impact on the business activities and function. Furthermore, according to them
company can develop effective marketing strategy and planning. It can be said that with the help of
PESTLE model , GSK can audit the external business environment and develop effective marketing
strategy and planning for survive in the market as well as compete with rivals. On the other hand
SWOT model can assist to GSK in identifying internal strength, weakness, opportunity and threat.
With the help of this model, cited venture can effectively analyse internal business environment and
develop strategy and marketing planning according to them(Challagalla, Murtha and Jaworski,
2014). It enables to determine where the company stands and accordingly necessary actions are
taken so that they will be able change their products and services as per the requirement of
customers. SWOT model assist company in analysis its internal capability and ability for survival in
competitive market.
Following are implementation of PESTLE analysis in order to conduct organisation audit-
 Political factor-It includes government law, regulation, code of conduct, legislation etc
developed by the UK government. Here, employment and tax law puts its impact on the
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operation which are performed by the GSK. Cited venture have to follow the tax policies
and regulation while it develop marketing strategy and introduce new product in the market.
 Economical factor-In this includes recession, inflation, interest rates etc these all largely
affect product sales and profitability. According to the economic condition of country, GSK
have to set its prices of vaccine and other medical products.
 Social and culture factor-It includes customer culture, region, choice, life style, perception ,
occupation and education. GSK have to consider o this component an according to customer
requirement it have to deliver product and services in the market.
 Technological factor- In the product and r&d activities, GSK requires effective technology
so this factor largely affect company's performance. In addition to this to render effective
and high quality product to its all customer, cited venture utilise effective tools so that their
impression and reputation in the form of customer and competency market can also
increased to higher level (Craig and Campbell, 2012).
 Legal factor-In this includes employment and customer law and legislation. GSK have to
consider this component while developing marketing planning and introduce new product in
market. For example, consumer protection law stated that customer have right to get detailed
information about product which they purchase from company.
 Environment- This component should also be taken into account along with promotion of
business activities. According to the weather, natural resources, climate, company have to
carry out its marketing activities.
Micro environment factors
 Customers- This is very important factor which company haver to consider while
developing marketing planning. According to customer demand, firm have to deliver
product and services. GSK requires to identify the needs and wants of customer regarding
vaccine and other medical product and provide accurate update about product information.
 Employees- In order to carry business operation of GSK employees play a very crucial role.
For company it is very important to provide effective working environment and developing
effective working practices so as workers can effectively perform their job at workplace.
TASK 2
Assessment of the main barriers to marketing planning and examine how GSK may overcome these
barriers
GlaxSmithKline organisation is going to introduce new flu vaccine for old age people
customer. For this objective company requires to develop effective marketing planning through
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which it can easily attain desired results. In this manner, there are various kinds of barrier which
create problem in developing marketing plan. These barriers are as follows- Lack of skilled employees-In the absence of skilled and talented employees, company can
not develop and lead a realistic plan for future and can not gain innovative idea in the
product development. So in order to develop effective marketing planning, company
requires a well trained and skilled employees (Evans, 2012 ). Business environment-This is another major barrier in the developing marketing planning
which include all environmental components like political, legal, economical, social and
cultural, technological. Corporation have to systematically and proper analysis of all these
components because these largely affect business activities and functions.
 Lack of systematic approaches- In the absence of systematic approach and system, manager
of firm can not develop marketing planning. Ineffective approach may creates bad planning
of marketing and future development of business for GSK.
As per the above discussion ,GSK have to face various kinds of barriers which may affect
marketing planning for future. Following are some strategies to overcome these barriers- Training and development- Manager of GSK requires to organise training and development
programs so as he can render opportunity to gain skill, knowledge, ability to employees at
workplace. With assistance of this program, company's entire performance can improve and
employees can put innovative idea in developing marketing planning (Fullerton and Merz,
2012)
 Communication- Management of GSK should allow employees for open communication so
as it can identify issues and conflicts among workforce related to working in the company.
By use of this strategy, company can also get various suggestion, ideas, opinion of
employees and improve existing performance of business.
TASK 3
A Marketing plan for the launch of a new product for GSK
GSK is the world second largest pharmaceutical organisation which deliver various kinds of
high quality medicine to people so as they can prevent against various illness. As per the research it
has been founded by the GSK that in the UK old age people requires high quality vaccine which
prevent them against flu. The major reason behind this development is that old age people's
immunity system becomes weak after the age of 60 as they can not more effectively survive in the
flue. In order to prevent and supply effective treatment to old age people, GSK is going to develop
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new flue vaccine for old age people. This will very helpful for above 60 year old age people
because their human immune defences become weaker with age. This new flue vaccine will be best
protection for old age people against flue (Huang and Sarigöllü, 2012). It can reduce flu illnesses,
doctor visits and missed work due to flu as well as prevent flu related hospitalisation and death. The
main quality of flu vaccine is that it takes about one weeks after vaccinations for antibodies to
develop in the body and provide protection against influenza virus infection. In order to launch and
introduce this product into the market, cited venture have to develop marketing plan which are as
follows-
 Product- GSK is going to launch new flu vaccine for old age people because in the age of
after 60 old people immunity system becomes weak. The new product flu vaccine can
reduce flu illnesses, doctor visits and missed work due to flu as well as prevent flu related
hospitalisation and death. The main quality of flu vaccine is that it takes about one weeks
after vaccinations for antibodies to develop in the body and provide protection against
influenza virus infection.
 Prices- GSK can use price skimming strategy for pricing under which it sets a relatively
high initial prices for flu vaccine at first, then lowers the prices over time. Its objective is to
obtain maximum revenue from the market before substitute products appear. Another reason
for taking this pricing strategy is that GSK has taken fund from bank for develop new
product so with assistance of this high prices company can easily gain market revenue and
pay interest of bank.
 Place- Company will use online and offline distribution of product in the UK.It will develop
its won shopping web sites so as customer can place order by internet. On the other it has
various physical outlet in the commercial area of UK.
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 Promotion-In order to promote product, GSK will use online promotion like social media,
direct marketing, email marketing as well as traditional method of promotion like TV ,
radio, newspaper etc.
B Strategic planning process
In the strategic planning, marketing planning is very essential because by this company can
easily set its entire business operation. Marketing planning is a part of strategic planning and in the
absence of this company success and survival can not imagine. With assistance of marketing
planning, GSK aids in meeting the objective and goal of business as per the decided plan. For
example, company have planning to introduce new flu vaccine in the UK market for old age people
so for this purpose company have to develop a systematic marketing planning (Leonidou,
Katsikeas and Morgan, 2013). In this manner, it also has to consider strategic environment and
external and internal environment of business. It has to develop effective strategy and actions for
making better product which can compete the rival product. So it can be said that in the strategic
planning, marketing planning play a very crucial role, It assists in identifying current condition and
capability of enterprise well as future requirement.
C Techniques for new product development and recommendation for pricing policy, distribution and
communication mix
Following are some techniques for new product development
 SWOT analysis- With assistance of this method, GSK determine its existing strength and
weakness along with opportunities for further growth. It can easily identify the present scope
in te business for future development. On the basis of gathered information, GSK can takes
decision to develop new product.
 Innovation- In this method, marketer get the new creative idea in the mind then he/she
implement that idea in real for product development.
In order to implement marketing plan in UK, GSK can use price skimming strategy through which
it can set a high prices at starting or initial stage for get popularity in the market as well as effective
revenue. On the other hand cited venture can use direct channel of distribution. It can sale its flu
vaccine by physical outlets as well as online methods like websites or direct mail marketing (Luan
and Sudhir, 2010) In this online marketing, sale representative will deliver flue vaccine product at
customer door. As per the communication mix, GSK can use online as well as traditional method. It
can use advertising, public relation, digital and integrated marketing method.
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D Factors affect implementation of plan
Following are some factors-
 Demographic- It includes customer taste, choice, preferences, culture, income level,
education level , life style etc. In this manner, company have to take care about population
and their demand in the market.
 Market share- It is essential to identify percentage of current transaction in market that is
handled by company. It requires to know that factors that may fluctuate percentage either in
positive or negative.
TASK 4
A Ethical issue affecting marketing planning and analysis example of GSK responds to ethical
issues
Ethical issue is important problem for GSK organisation in which firm have to choose between two
alternatives right and wrong. Following are ethical issues related to marketing planning- Marketing research- Company conduct market research to identify customer taste, choice,
preferences, income level etc. This aids in predicting sales or demand of product,
competitors and trend in market. It is ethical issue for marketer while it analyse demand and
life style of customer (Yu and Ramanathan, 2012 ).
 Adversing and promotion- It is ethical issue while marketer select one advertisement and
promotional method. A negative adversing policy is an unethical practice done example a
advertisement showing disadvantages of other product rather than showing advantages of
showing his own product.
Response of McDonald on ethical issue-
 Respecting customer privacy- Personal information of customer should be accessed after
taking permission from them. As obtaining information without permission can break their
trust and leads to loss of customer. With assistance of these practices, company can effective
sustain with the situation of ethical issue in the market. GSK should maintain healthy
relationship with customer by provide them privacy (Mish and Scammon, 2010)
 Technology- By use of effective technology, company can easily maintain sustainability in
ethical condition. GSK should regular update its technology and equipment so as its
business operation can improve and increase. Management of organisation has to be making
sure that their firm use the latest technology and their staff members are not sharing the data
and information to other companies.
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B Consumer ethics and their effect on marketing planning-
It is very important for GSK to gain customer trust and understand their value.It helps to effectively
satisfy the needs of customer. Following are some practices to build consumer trust-
 Fair adversing- Company should not display fake advertisement in front of customer for
gaining only their attention. This can also bring legal attention to company.
 Fair pricing- Company should charge fair prices from customer for product and services.
Fair prices of product is charged on basis of demand supply force and market research.
CONCLUSION
From this project report it has been concluded that GSK can implement marketing planning
by effective market analyse and audit. Cited venture can use innovation and swot analysis in order
to develop new product. With assistance of online promotion technique, firm can use gain the
feedback from customer and promote its product in the market.
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REFERENCES
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