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Project Kernow Evaluation of the Planning Process Dec 2009 Membership number: 13239339 Word Count: 1,068 (Excluding cover page) Evaluation of the Digital Planning Process Introduction The key objectives of the planning process were: 1. To introduce marketing planning and e-marketing plans to the business process; 2. To introduce an e-marketing plan to deliver profitable new customers for the e-business An evaluation of the process “Online-marketing planning, in essence, will draw on everything we know about planning for conventional marketing disciplines and amalgamate the methods, benefits and expediency of IT and knowledge-based solutions” (Gay, Charlesworth and Esen 2007) Conventional marketing has established norms and procedures which have been tested many times whereas emarketing is still forming and being tested both practically and academically. Furthermore the process and the market situation are constantly changing for businesses, marketers, customers and consumers. New entrants from all these groups are acting in the e-market and consumers change as they become more aware, more knowledgeable and more practised with the channel. To exacerbate the situation for the marketer this change is happening rapidly and requires an agility and flexibility to ‘keep up’. This is best evidenced by debate amongst practioners and academics about the best routes to market, the best use of e-tools and the optimum marketing mix. The key benefit to marketers is the measurability and immediacy of using e-marketing, thus making most efficient use of marketing budgets. The major change that a marketer must take on board is to understand the fundamental change from ‘push’ to ‘pull’ marketing. We are now closer than ever to our consumers and the benefits will accrue to those who make optimum use of this two-way channel and serve their customers and sizzle. (Chaffey 2009) The newest step in this progression has been the advent of the i-phone and the availability of promotion directly to a specific customer. Marketers must use the technology to serve their customers in a personalised way, enjoying a dialogue and collaboration between a business and its customers. Social networks are an important facet in emarketing and consumer usage of and attitudes to it overall are extremely positive and thus, managed with skill they will prove an important tool to the emarketer. Marketing planning for the fishforthought e-business The positives in the process: Clear Vision and Business Objectives Involved at an early stage of development Clearly defined target group Simple sales revenue model as the basis for the e-business Able to combine offline and online tactics Able to exploit the team as an asset in the business based on their previous performance Senior management open to change and opportunity Small business without hierarchy and bureaucracy Giving a focus to the customer and emphasising the importance of customer information and understanding The negatives in the process: Lack of previous CRM with customers of the acquired site Lack of detail about the existing customers Management has no previous emarketing experience A simple view of e-commerce following the paradigm of the ‘fishmonger, but just online’ Conclusions on the process By introducing marketing planning the business has made its first major move to becoming customer-centric. This follows on from the CIM definition of marketing as ‘... identifying, anticipating and satisfying customer requirements profitably’. The business must accept that this will be a learning period for all involved and that review points and challenges to assumptions within the planning process will be a major part of that learning. This will be done in order to improve and progress. ‘it doesn’t really matter what business you’re in, planners outperform non-planners’ Smith (2003) Marketing implications for the organisation The web business has been developed as e-commerce only and the current skills in the business are mainly operational with customer service focused on responding to telephone calls. The intention is to invest in software and training to manage the necessary CRM. The business owner is marketing savvy and knows what he wants for the business. This new, developing business is not in a position to afford a full-time marketing manager but the management needs to focus on some critical factors for success. These will be: Excellent CRM and the resource requirement to invest the time, the people and the budget to make it so Investment in customer satisfaction survey – the business needs to know how it’s doing and how it compares with similar businesses Change of attitude from product providers to customer-centric business – this will need exploring with the team to ensure buy-in from all responsible to get them thinking from the customer viewpoint Management for implementation and monitoring of the activity plan – who will make sure things are done on time and right? Who will manage the on-going review process? Better definition of the ultimate business objectives and how marketing adds value – this needs more thought with the aim to differentiate the business from its competitors Potential barriers to success 1. Inability to persuade partners with websites to work with us 2. Cost for advertising and affiliate marketing too high 3. Skills base currently focused on operational team and there might be an inability to change focus to become customer-centric 4. Inability to persuade potential customers to purchase online 5. Delivery process and customer experience of too poor a quality 6. Low purchase frequency and low retention Strategies to overcome the barriers 1. Good market and customer analysis which indicate the mutual benefit of partnership thus resulting in agreement to partner with fishforthought 2. Analysis of LTV, customer trial, repeat and retention levels required for payback thus allowing a financial plan to fit alongside the marketing plan 3. Internal marketing campaign to highlight personal and business benefit of being customercentric, using workshops to involve the team and chosen illustrations from other businesses 4. Search out opportunities for advocacy and customer recommendation illustrating their confidence in and benefits of purchasing online to persuade others to also buy. The evidence for this confidence in and reliance on other’s recommendations for e-business are well documented 5. Ensure that the site has an easy process to invite comment and actively ask customers about their experience. Monitor the comments closely and make adjustments where there are major faults working with the 3rd party who delivers for the business 6. Trial different tactics and monitor the effects of each, ensuring the learning is known in the team and adjustments to marketing materials and messages are made e.g. special targeted offers; reminders and triggers; inducements to return.