Comprehensive Marketing Plan for Softtech Company: A Detailed Analysis

This report provides a comprehensive marketing plan for Softtech Company, a UK-based software engineering and digital design solutions provider. The report begins with an introduction to marketing principles and the company's background, followed by an analysis of the macro-environment using SWOT and PESTEL frameworks. It defines marketing objectives based on SMART criteria and details the Segmentation, Targeting, and Positioning (STP) model to identify and reach the most valuable customer segments. The report then explores various marketing strategies, including Porter's Generic Strategies and the Ansoff Matrix, to determine the best approach for market growth and product development. The marketing mix (product, place, price, and promotion) is outlined, and a marketing budget is proposed for the launch of a new accounting software product. The report concludes with a summary of the key findings and recommendations for Softtech Company's marketing initiatives.

MARKETING
PLAN

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 3............................................................................................................................................3
P1 Background of business.........................................................................................................3
P2 Overview of macro environment and potential strength and weakness of business..............3
P3 Marketing objective of business............................................................................................5
P4 Marketing segmentation, targeting and positioning...............................................................5
P5 Marketing Strategies..............................................................................................................6
P6 Marketing-mix.......................................................................................................................9
P7 Marketing budget for new product/service..........................................................................10
CONCLUSION..............................................................................................................................10
REFRENCES.................................................................................................................................11
.......................................................................................................................................................11

INTRODUCTION
Marketing is a huge concept associated with activities of buying and selling of products
and services in a business, which further include advertising, selling and delivering of products
to end users. In this report, efficiency and significance of marketing plan at Softtech company
will be evaluated which will help in pulling together all it campaigns that may arise over a
specific time with additional information and instructions to measure or monitor them. Softtech
company delivers order based and personalised software engineering, digital design solutions
and consultancy services to various leading brands of UK. The project also focuses on company's
internal and external opportunities and threat that will assist in market planning to launch its new
product and services successfully.
TASK 3
P1 Background of business
A marketing plan is an operational document of Softtech Company that outreach and
advertise to generate leads and reach its target market. Marketing plan provides them marketing
research to support pricing decisions and new market entries as well as tailor and communicate
message to various demographics and geographic areas. However it will also help in setting or
selecting platforms for promoting product and services in addition to which marketing plan helps
in setting success metric of Softtech Company. The software developing company work with
many customers such as largely established product merchant to start-up internet ventures. The
company will be working with one hundred and thirty employees. Softtech's aim is to create best
possible environment to produce outstanding quality software and deliver high customer
satisfaction. Goal of the company is to hire brightest people, and provide them great autonomy,
remunerate them as well as give then number of opportunities to serve back to their local or other
communities.
P2 Overview of macro environment and potential strength and weakness of business
Business environment refers to all internal and external factors that affect functions of
Softtech company including employees, customers, management, supply or demand and business
regulations.

SWOT analyses of Softtech: The Internal environment includes strengths and
weaknesses of company whereas its opportunities and threats comes under external assessment
of company.
Strengths: Softtech have well qualified and skilled work force that help in deliver satisfactory
services and software solutions as well as developing market share. The company is high in
social services and employee well-being which strengthen its employee relationship.
Weaknesses: Research and development capabilities at Softtech are poor in performance and
unable to explore too much new trends and techniques.
Opportunities: Softtech technologies can develop their existing market by capturing more
customers. Although the company can also invest more in its research and development
department to increase its efficiency.
Threats: Softtech technologies have many competitors as well as threat of other substitutes
products and services.
PESTEL analyses of Softtech: The external environment includes all uncontrollable
factors that impacts over operations and functions of business.
Political: Due to dynamic political condition at UK, business operations at Softtech get affected
due to chance in policies and regulations.
Economic: These conditions are unstable in UK due to BREXIT effect which further effects
customer's demand and purchasing behaviour in Softtech company.
Social: Due to changing and varied demographics in UK as well as social benefits this factor
effects company's activities in many ways.
Technological: Due to high technological advancement in UK, Softtech and its competitors have
many opportunities in market.
Environmental: Many environmental laws and regulations exists in UK which must be followed
by Softtech company to perform its functions and activities successfully. The laws may carries
environmental acts that are concerned with company's production, technologies and other
processes.
Legal: With high stability in legal condition at UK, there are many rules and policies that has to
followed by Softtech Company during manufacturing and marketing its software solutions.

P3 Marketing objective of business
The SMART objective of a business provides comprehensive definition of goal setting at
Softtech company where acronym SMART can be explained as following:
Specific: The aim or goal of Softtech must be focused and identify a tangible outcome for
the company. Therefore specific goal of Softtech is to have qualified staff, manage great HR
practices and organises various CSR responsibilities and tasks.
Measurable: Goal must be measurable and meaningful so that they can be achieved and
possible to implement in Softtech company.
Attainable: Softtech goals must be attainable and can be achieved in addition to which its
goals are completely attainable.
Realistic: The goals must be realistic and relevant that is possible to implement and
achieve. Softtech have relevant and reasonable goals to achieve.
Time-based: To achieve its goals Softtech have specific time duration so that it can also
monitor its performance and make successful planning decision.
The SMART objective of this organisation is
 To introduce accounting software within two months to enhance business sales around
20% more.
P4 Marketing segmentation, targeting and positioning
The Segmentation, Targeting and Positioning (STP) Model, an approach that can use by
Softtech company to identify their most valuable market segments as well as to sell them
successfully with carefully targeted products and marketing strategies. The STP model includes
three steps that help in analysing company's offering and provides a specific way to
communicate its benefits or value to its customers. STP is a frame work that stands for segment
market, target profitable customers and position the offerings. This model is useful in Softtech
because it helps in identifying its most valuable types of customer and then develop products and
marketing messages that ideally suit them.
Segmentation: This divides customers of Softtech into groups of people with comment
characteristics and needs as well as tailor the approach to meet each group needs cost effectively
and provides a huge advantage over competitors. To segment customers there are many ways
such as:

Demographic: Personal attributes such as age, gender, marital status, gender, ethnicity,
education, culture or occupation are basic criteria of segmenting the customers. Softtech services
segment their customers on the basis of their occupation as well as purpose. The company also
prepares customised software according to customer's need and usage.
Geographic: When company divides in customers on the basis of country, region,
climate or area etc. according to which Softtech has segmented its customers only in UK and
other local areas.
Psycho-graphic: Softtech designs its product according to its customer's personality, risk
aversion, values or lifestyle. Here company's customers are segmented according to their
personality and risk management.
Behavioural: In this type of segmentation, Softtech divides its customers on the basis of
their usage and repeat purchase behaviour.
Targeting: In this section Softtech decides which segments to target by finding the most
attractive ones. It analyses profitability of each segment to know which consumer group
contribute most in revenue generation. This analyses size and potential growth of each customer
group that is large enough to serve. Here the company will choose differentiated marketing
strategy to serve its customers.
Positioning: Now after segmentation and targeting Softtech company focuses on its positioning
to make its products and services high in its valuable customer's mindset. Effective marketing
mix plays crucial in positioning a product into customer's mindsets.
P5 Marketing Strategies
There are several marketing strategies that can be applied into Softtech technologies
company such as:
Porter’s Generic Strategies: Michael Porter has introduced this model to determine the direction
for an organisation where Porter uses four strategies from which Softtech can select one to
develop its business. The four strategies of Porter Generic Model are:

(Source: Porter’s Generic Strategies, 2018)
Cost Leadership: Here Softtech can target a broad market with large demand and offer
the lowest possible price. There are 2 options within this which can be opt to keep costs as low as
possible or to ensure that company have a larger market share with average prices.
Organisations that apply this strategy successfully have substantial investment capital at their
disposal, efficient logistics and low costs when it comes to materials and labour. The
organisation is generally focused on internal processes for this strategy.
Differentiation: With this strategy Softtech company can target broad market with high
demand but the product or service carries unique features. Here company can make its product as
exclusive as possible, making it more attractive than comparable products offered by the
competition. To successfully implement this strategy Softtech company requires good research &
development, innovation and ability to deliver high quality as well as effective marketing is also
important, to make the market understand need and importance of company's unique product.
This strategy requires to be flexible and to be able to adapt quickly in changing market. Here
Softtech will be focused on outside world and have creative approach.
Cost Focus: Here Softtech will target a niche market that is little competition and offer
the lowest possible price. In this strategy, company will choose to target a clear niche market and
Illustration 1: Porter’s Generic Strategies

through understanding dynamics of market as well as needs and demands of consumers, they can
ensure that the costs remains low.
Differentiation Focus: Here Softtech company target a niche market that have little
competition and design its product or services that have unique features. This strategy often
involves strong brand loyalty among consumers. Here it will be very important for Softtech
company to ensure that its product remains unique, in order to stay ahead of possible
competition.
Ansoff Matrix: This is the other marketing strategy which is concern about potential risks of
each option and help Softtech company to devise the most suitable plan for its situation. The
Ansoff Matrix was developed by H. Igor Ansoff and first published in the Harvard Business
Review in 1957, in an article titled "Strategies for Diversification." This matrix takes place in
three steps that is analysing options from matrix, managing risks and choose best options to
implement for market growth.

(Source: Marketing Ansoff Matrix, 2018)
Market development: Here Softtech company will target new markets while keeping
existing products, which means company will sell more of the same products/services to
different people. With this strategy company can target different geographical markets and
conduct a necessary PEST analysis for it. Softtech can also use different channels like direct
sales, online marketing, agents or intermediaries.
Product Development: Here Softtech will sell different and new products to same
customers by extending products variants, repackaging, developing related product or service
and by increasing more uses of existing product.
Market Penetration: With this approach, Softtech will sell same products and services in
existing market and might develop a new marketing strategy to increase its sales. Here company
can increase its sales force activities and launch new prices and offers.
Illustration 2: Marketing Ansoff Matrix

Diversification: With this strategy Softtech company may face high risk and sell its
completely different and new products into new market or new customers. This strategy will
expand Softtech's business opportunities where its main advantage is that if its suffers adverse
circumstances it will not affect the other business of the company.
P6 Marketing-mix
The Softtech company's marketing-mix is a framework that will be designed as
following:
Product: Softtech company will launch its new product that is beneficial and helpful for
auditing in accounting management. The new software will function more smoothly and problem
solving for its customers.
Place: The company will serve in UK or its local areas initially and expands its market in
coming years.
Price: Initially Softtech company will adopt high pricing strategy to maintain its
uniqueness and pull its customer's attraction towards it and one the market will be developed it
will lower down its prices.
Promotion: The Softtech company will use online marketing and direct marketing
channels to communicate with its customers.
P7 Marketing budget for new product/service
Marketing Budget (in £)
Particulars 1st Month 2nd Month 3rd Month 4th Month 5th Month 6th Month
Initial money 6000 8500 12000 14500 18350 20000
Investment 14000 25500 32000 13500 15000
Total 6000 22500 37500 46500 31850 35000
Marketing
outlay
Promotion 6500 3200 4300 3300 3250 3000

Sales publicity 2200 2100 3300 2200 2000 2000
Direct selling 4200 2500 6000 3000 4650 4000
Total 12900 7800 13600 8500 9900 9000
CONCLUSION
In the above project, it is concluded that an effective marketing plan and its
implementation reduces risk in establishing new market and business. This project focuses on
developing a successful business plan that aim to strengthen the opportunities and lowering
down the threats for a new business. Therefore the report carries internal and external assessment
of business environment and provides successful marketing strategies that will assist in market
development. However it has also highlighted beneficial marketing-mix and budget to establish a
new company.

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Online
Porter’s Generic Strategies, 2018, 2018. [Online] Available
Through<https://marketingjunky.wordpress.com/2013/01/09/all-value-is-not-created-equal/>
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