You have now identified your potential market, described your competition, and identified the factors that are important to your success. In light of the key success factors, what marketing strategy do you need to follow? In this section, you will describe your marketing strategy in terms of your pricing and promotional approach to capture your market share.
Define your pricing strategy.
In the following questions, all references to products also apply to services.
1. How do you calculate the price for each product? Do you follow your competitors’ pricing or do you look at your costs and apply a mark up? If you need help in this area, talk to your accountant. Also search in bing.com and type in “how to price products”.
2. Which product sales are very sensitive to price changes?
3. Do you have any control over prices? If so, describe.
Define your promotional strategy.
1. What advertising media will you use? Examples: newspaper, radio, yellow pages, signage.
2. What media will you use during different seasons of the year?
3. How important are signs?
4. Are you planning to promote your business heavily for the first six months? Explain.
Define your customer services.
1. Is service important? What aspects of service are key?
2. What special customer services do you offer?
3. How will you ensure that you deliver the quality of service your customers want?
4. Do your employees require service training? If so, what is your training plan and what will it cost?
5. Is credit important in your business? What is your credit policy?
Effective use of your advertising dollars is critical to the success of your business. Complete the relevant categories of this advertising budget and then use it!