How to Prepare a Marketing Plan
Your marketing plan section of your business plan is more than just defining a target market to sell your products and services to. It focuses on how you will get your supply of goods out to meet the demand. How you price, present and deliver your offerings should be spelled out and written down. A solid marketing plan is an actionable and important document that changes with your business and its customers. A well-prepared marketing plan is ever-changing and, as such, it moves your business forward.
- Difficulty:
- Easy
Instructions
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1
Describe your target market. Identify who currently buys and will buy your products and services. You must determine if there is a demand for your offerings and how each is different from the competition. To help gather target market information, visit the U.S. Census' Bureau American FactFinder website and research the demographics for your target. The SBA's Conducting Market Research website is another source of valuable marketing research information (see Resources).
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Describe how you will get your products and services out to your customers, also called distribution channels. Write down if you will place your products in a catalog, use a sales team, e-commerce, or a combination of distribution channels.
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3
Identify your products and services. Describe the features and benefits of each offering, as this justifies the added value to each one. The identified value elements will help you set fair pricing, promotion and distribution channel strategies.
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Explain your pricing strategy. Some examples include a "premium pricing" approach to justify a high price with a unique product, a "penetration pricing" approach to justify setting a really low price to gain entrance into a market share, or a "promotional pricing" approach such as "buy one, get one free."
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Explain your promotion strategies. Coupons, print or online advertising, and direct mail are some examples. Describe how each method will be used. Give details on the products and services promoted and how they will reach your target market.
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Explain your distribution channel placement strategies. You defined your distribution channels earlier in the marketing plan; now describe how you will sell your offerings through each one. For example, you may decide to sell your offerings over the Internet, via an e-commerce distribution channel. Describe the process of how customers will purchase your wares.
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Tips & Warnings
Diversify your distribution channels to increase exposure for your offerings.
You may want to create a separate, more comprehensive marketing plan document outside of the business plan for an easier review. If so, be sure to add a general, less-detailed overview of your marketing plan within the business plan. Add the line "Detailed Marketing Plan Under Separate Cover" at the bottom of the marketing plan page located within the business plan.
Review your marketing plan regularly to keep your business moving along in a profitable direction. Accessing the plan monthly or quarterly is best -- more often if the need arises. For example, if an opportunity to market to a new target opens up, an earlier review time would be warranted.
