Saturday, November 23, 2019
Advantages and Disadvantages of a Marketing Plan
Advantages and Disadvantages of a Marketing Plan A well-written, comprehensive marketing plan is the focal point of all business ventures because marketing describes how you plan to attract and retain customers. This is the most crucial aspect of a business. Having a marketing plan is essential to any successful business. In fact, it is the heart of the business and the basis from which all other operational and management plans are derived. Marketing can give inventors a wealth of information that, if applied correctly, can virtually ensure your success. Therefore, it is important that you, as a first-time business owner, develop a comprehensive, effective marketing plan. If you need assistance in accomplishing this task, contact your local SBA office. You can find them by looking through the local telephone directory under U.S. Government for the telephone number and address of the office nearest you. You can also get that information by going to the U.S. Small Business Administrations website and entering your zip code in the section local assistance.Ã An effective marketing plan will certainly boost your sales and increase your profit margins. You must be able to convince customers that you have the best product or service for them at the best possible price. If you cannot convince potential customers of this, then you are wasting your time and money. This is where the marketing plan comes into play, and this is why it is so important. There are numerous advantages you can extract from the marketplace if you know how. And the marketing plan is an excellent tool for identifying and developing strategies for putting these advantages to work. Business Advantages Identifies needs and wants of consumersDetermines demand for a productAids in the design of products that fulfill consumers needsOutlines measures for generating the cash for daily operations, to repay debts and to turn a profitIdentifies competitors and analyzes your products or firms competitive advantageIdentifies new product areasIdentifies new and/or potential customersAllows for testing to see if strategies are generating the desired results Business Disadvantages Identifies weaknesses in your business skillsCan lead to faulty marketing decisions if data isnt analyzed properlyCreates unrealistic financial projections if information isnt interpreted correctlyIdentifies weaknesses in your overall business plan Review Its always good to review what goes into a marketing plan. Write down what you can remember on a blank sheet and then compare it to this quick fact sheet. The marketing plan offers numerous advantages; however, as you can see, there can be drawbacks. Keep in mind that the advantages outweigh the drawbacks and you can always seek professional assistance when you are developing the marketing section of your business plan. It may be worth the investment.