11

Principles of
Marketing
2nd Quarter

Module 6 (Week 7-9)

Preparation of a Marketing Plan

Yvonne P. Recelestino
Module Writer

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Content Standards:
The learners demonstrate an understanding of…
1. the essence of the new product development, pricing, placing (distribution),
and promoting a product or service
2. the necessity of a marketing plan in business
3. and proper interpretation of marketing strategies through workshop and
presentation

Performance Standards:

The learners shall be able to…

 design a new product or service, decide types of pricing approach, and
choose distribution methods and promotion tools that respond to
market trends
 create a new product or service design and pricing, and promotion
and distribution strategies
 orally defend the mini-marketing plan to a group of marketing
professionals

Learning Competency:

 integrate the marketing concepts and techniques learned by preparing a

marketing plan
 present a mini-marketing plan, orally and in writing

Learning Objectives:

At the end of this module the students will be able to:

1. Understand the content of a marketing plan.

2. Identify the purpose of a marketing plan
3. Appreciate the importance of it in a company or organization.

To the Learners

This module will equip you a necessary content knowledge, skills, and
competencies about designing or doing a marketing plan that you can apply in
understanding how decision making goes, especially in the operation and
marketing of the business.

You read and understand carefully each part of the module so that you can
be able to answers various activity that will help you develop your potentials in
understanding the lesson.

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 This module has the following parts and corresponding icons:

What I Need to Know This will give you an idea of the skills or
competencies you are expected to learn in
the module.

What I Know This part includes an activity that aims to

check what you already know about the
lesson to take. If you get all the answers
correct (100%), you may decide to skip this
module.

What’s In This is a brief drill or review to help you link

the current lesson with the previous one.

What’s New In this portion, the new lesson will be

introduced to you in various ways such as a
story, a song, a poem, a problem opener, an
activity or a situation.

What is It This section provides a brief discussion of

the lesson. This aims to help you discover
and understand new concepts and skills.

What’s More This comprises activities for independent

practice to solidify your understanding and
skills of the topic. You may check the
answers to the exercises using the Answer
Key at the end of the module.

What I Have Learned This includes questions or blank

sentence/paragraph to be filled into process
what you learned from the lesson.

What I Can Do This section provides an activity which will

help you transfer your new knowledge or
skill into real life situations or concerns.

Assessment This is a task which aims to evaluate your

level of mastery in achieving the learning
competency.

Additional Activities In this portion, another activity will be given

to you to enrich your knowledge or skill of
the lesson learned. This also tends retention
of learned concepts.

Answer Key This contains answers to all activities in the

module.

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 What I need to Know

In this module you will be able to encounter terminologies such as executive

summary, market description, current market situation etc. You are expected to
understand the importance of having and doing a marketing plan especially in
business industry.

There are various activities prepared by the writer/s that will help you
understand the importance, content and purpose of a marketing plan that the
management of the organization may use in order to achieve its vision, mission,
goals and objectives. It is hope that you will learn to value the knowledge and
wisdom of this module.

What I Know

Instruction: True or False. Write T if the statement is true and F if it is false.

___________1. Non-profit organizations do not use marketing plans.

___________2. A marketing plan has a more limited scope.

___________3. Analysis of internal data is the starting point for assessing the
current marketing situation.
___________4. Market analysis is important to anticipate important positive or
negative developments that might have an impact on the firm and its
strategies.
___________5. Product review identifies major competitors and assesses their
market position and strategies for product quality, pricing,
distribution, and promotion.
___________6. The objectives of the company must be aligned with its mission and
goals.
___________7. Executive summary is the list of the officers in the top-level
management.
___________8. Action programs should be the result of the strategies in the
marketing plan.
___________9. The budget becomes the basis for materials buying, production
scheduling, personnel planning, and marketing operations, once
approved by the management.
___________10. The budget must show expected revenues and expected costs of
production, distribution, and marketing.

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 What’s In

On your previous lesson you learned about

Before the lesson proper, kindly write the following guide questions to be given to
you in a piece of paper. Answer them based on your stocked knowledge or even as
a knowledgeable guess. After the discussion, try to answer those questions again,
and now apply the things learned from the lesson.

1. What is a marketing plan?

2. Why is it important to have a marketing plan?
3. What are the contents of a marketing plan?
4. As an ABM student, is it important that you know this topics? Why?
5. How can you be able to apply the things learned from the lessons in your
everyday living?

What’s New
As a marketer, you’ll need a good marketing plan to provide direction
and focus on your brand, product, or company. With a detailed plan, any business
will be better prepared to launch a new product or build sales for existing product.

Non-profit organizations also use marketing plans to guide their fund-raising and
outreach efforts.

Even government agencies develop marketing plans for initiatives such as building
public awareness of proper nutrition and stimulating area tourism.

What is it

The purpose and content of a marketing plan

Unlike business plan, which offers a broad overview of the entire organization’s
mission, objectives, strategy, and resource allocation, a marketing plan has a more
limited scope. It serves to document how the organizations strategic objectives will
be achieved through specific marketing strategies and tactics, with the customer as
the starting point. It is also linked to the plans of other departments within the
organization.

Marketing plan are not created in a vacuum. To develop successful strategies and
action programs, marketers require up-to-date information about the environment ,
the competition, and the market segments to be served.

Often, an analysis of internal data is the starting point for assessing the current
marketing situation; this is supplemented by marketing intelligence and research
investigating the overall market, the competition, key issues, and threats and
opportunities.

As the plan is implemented, marketers use a variety of research techniques to

measure progress toward objectives and identify areas for improvement if the
results fall short of projections.

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Contents of a marketing plan

Section Purpose
Executive summary Presents a short brief summary of the
main goal and recommendations of the
plan for the management review.
Current marketing situation Describes the target market and the
company’s position in it, including
information about the market, product
performance, competition and
distribution.

This section includes:

Market description- defines the market

and major segments.

Product review- shows sales, prices

and gross margin of the major products
in the product line.

Review of competition- identifies

major competitors and assesses their
market position and strategies for
product quality, pricing, distribution,
and promotion.

Review of distribution- evaluates

recent sales trends and other
developments in major distribution
channels.
Threats and opportunities Assesses major threats and
opportunities that the product might
face, helping management to anticipate
important positive or negative
developments that might have an impact
on the firm and its strategies.
Objectives and issues States the marketing objectives that the
company would like to attain during the
plan’s term and discusses key issues
that will affect their attainment.
Marketing strategy Outlines the broad marketing logic by
which the business unit hopes to create
customer value and relationships and
the specific of target markets,
positioning, and marketing expenditure
levels.
Action programs Spells out how marketing strategies will
be turned into specific action programs
that answer the following questions:
what will be done? When will it be done?
Who will do it? How much will it cost?
Budgets Details a supporting marketing budget

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 that is essentially a projected profit-and-
loss statement. It shows expected
revenues and expected costs of
production, distribution, and marketing.
The difference is the projected profit.
Once approved by the management, the
budget becomes the basis for materials
buying, production scheduling,
personnel planning, and marketing
operations.
Controls Outlines the control that will be used to
monitor progress and allow higher
management to review implementation
results and spot products that are not
meeting their goals.

What’s More

Activity 1: Matching Type: Choose the answer from the following terms/concepts.
Write the letter of the correct answer.

A. review of distribution D. product review

B. market description E. business plan
C. marketing plan F. Review of competition

__________1. It refers the market and major segments.

__________2. It refers to the part of marketing plan showing sales, prices and gross
margin of the major products in the product line.

__________3. It refers to the part of the marketing plan that identifies major
competitors and assesses their market position and strategies for product
quality, pricing, distribution, and promotion.

__________4. It refers to the part of marketing plan that evaluates recent sales
trends and other developments in major distribution channels.
__________5. It refers to a plan that has a broad overview of the entire organization’s
mission, objectives, strategy, and resource allocation

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 What I have learned.

Activity 2

Instruction: Design and create your own product. Draw it in the table below
and explain the reason behind the product. This will be use for the next
activity.

Product Explanation

What I can Do

Activity 3

Instruction: Using your created product in the previous activity design a

marketing plan for it, and present it to your teacher.

Marketing Plan
Executive summary

Current marketing situation

Threats and opportunities

Objectives and issues

Marketing strategy

Action programs

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Budgets

Controls

Assessment

Instruction: Read and understand the statement below and choose the
letter of the correct answer.

1. Which of the following refers to the part of marketing plan showing sales, prices
and gross margin of the major products in the product line?

A. business plan C. selling

B. product review D. review of competition

2. Which of the following refers to the part of marketing plan that evaluates recent
sales trends and other developments in major distribution channels?

A. marketing channels C. promotion

B. review of distribution D. market segmentation

3. Which of the following is TRUE about assessing the opportunities and threats?

A. to have a part on the competitor’s sales.

B. to promote customer lifetime valuing and soon penetrate the market that
may remove all the competition in the market.

C. to anticipate important positive or negative developments that might

have an impact on the firm.

D. to attain during the plan’s term and discusses key issues that will affect
their attainment

4. Which of the following is TRUE about the executive summary?

A. allows higher management to review implementation results.

B. a short brief summary of the main goal and recommendations of the

plan for the management review.

C. shows expected revenues and expected costs of production.

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 D. describes the target market and the company’s position.

5. Which of the following is TRUE about the current marketing situation?

A. allows higher management to review implementation results.

B. a short brief summary of the main goal and recommendations of the

plan for the management review.

C. shows expected revenues and expected costs of production.

D. describes the target market and the company’s position

Additional Activity

Instruction: Using your created product, design your marketing mix

4 P’s.

Marketing Mix
Product

Price

Place

Promotion

REFERENCES

I. Principles of Marketing 14th Edition (Kotler, Armstrong, 2012)

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