A fresh look at clearly defining your marketing strategy by defining the 3 Ps of Price, Product & Promotion. Learn how to define your strategy by asking yourself the right questions on your Competitive Edge, Value-Added Clients and much more.

1. Marketing StrategyWorkshop Clarify the three P’s

2. What are they? Price How much do our services cost us? Which end of the market are we targeting? Product What are the key selling points? Promotion How are we going to promote the brand? Which mediums will we use? What’s the ‘mix’? 15 October, 2009 2 www.ltaylorsolutions.com

3. Price The important questions to be asked 15 October, 2009 www.ltaylorsolutions.com 3

4. Price What is the required gross margin? Allow for unseen shocks to the economy/business Is there any post-sales service to be added-in? Will it be sold on credit or in arrears? Allow for working capital finance costs Allow for bad debt What do my competitors sell at? Where are we positioning the price relative to the rest of the market? 15 October, 2009 www.ltaylorsolutions.com 4

5. Product/Service The important questions to be asked 15 October, 2009 www.ltaylorsolutions.com 5

6. Product/Service What are the products or services on offer? Clearly define them Where are they sold? Wholesalers, Online, Resellers, Agents etc Define the distribution channels What are the key selling points? Define the differences between your product/service & your competitors’ 15 October, 2009 www.ltaylorsolutions.com 6

7. Promotion The important questions to be asked 15 October, 2009 www.ltaylorsolutions.com 7

8. Promotion How do our competitors promote their brand? Analyse the mediums used Is ‘word-of-mouth’ important? If yes, find local networking associations Local partnership or go it alone? What drives the purchasing decisions? What is the client’s motivating force Do your key selling points match up to this motivating force? What’s the target client profile? Define the key characteristics found in the most value-added clients for each product or service. Identify trends/traits between these clients Which brand image do these clients expect? Identify the brand image that these clients respond to best 15 October, 2009 www.ltaylorsolutions.com 8

9. 3 ‘P’ Table Exercise Complete the tables to outline the correct strategy 15 October, 2009 www.ltaylorsolutions.com 9

10. 3 ‘P’ Table Task Complete the following table on the 3 P’s Use your notes from the last sections Write brief clear descriptions only of 4/5 words Use the previous slides & questions as a guide 15 October, 2009 www.ltaylorsolutions.com 10

11. 3 ‘P’ Table 15 October, 2009 www.ltaylorsolutions.com 11

12. Marketing Strategy Use the table to complete the strategy 15 October, 2009 www.ltaylorsolutions.com 12

13. Competitive edge What is your ‘edge’? Think of the key differences between you and the market leader/principle competitor Is there a sustainable value that you can maintain and develop over time? List how these‘edges’ will add value to your business and how it will be sustained Explain the direct & indirect (monetary) ‘Value-Added’ aspects of your ideas Is it actually needed? Describe how this also ‘adds’ value to the client 15 October, 2009 www.ltaylorsolutions.com 13

14. The ‘Edge’ Task Complete the following table on your competitive edge Use each line to make comparisons between you and your competition on each aspect Use short brief sentences (4/5 words) Use the questions from slide 13 as a guide 15 October, 2009 www.ltaylorsolutions.com 14

15. The ‘Edge’ Table 15 October, 2009 www.ltaylorsolutions.com 15

16. The ‘Mix’ Which mediums work best? Define each form of media to be used Ascertain client behavioural patterns to identify the most effective media forms How much of each medium? Define the percentage of budget to be used for each media form Build a pie-chart of this data Does the media match or promote your competitive ‘edge’? 15 October, 2009 www.ltaylorsolutions.com 16

17. The ‘Mix’ Example 15 October, 2009 www.ltaylorsolutions.com 17

18. Milestone Table Example 15 October, 2009 www.ltaylorsolutions.com 18

19. Summary Exercise Write the marketing strategy summary 15 October, 2009 www.ltaylorsolutions.com 19

20. Marketing Strategy Once all tables and charts are complete, write a summary including… Target market focus & Value-Added client profile Drivers behind the client’s buying decision Emphasis on certain services or media (the Mix) Ways to position your organisation and your service uniquely Competitive advantages of your business Desired ‘brand image’ 15 October, 2009 www.ltaylorsolutions.com 20

21. Example Let’s look at an example 15 October, 2009 www.ltaylorsolutions.com 21

22. Summary Example 15 October, 2009 www.ltaylorsolutions.com 22 It is important to the marketing strategy to develop an attractive image to the trade. This can be done in a number of ways: Advertising. Most designers interviewed suggested Design Times as the best place to advertise. Draperies & Window Coverings and Interiors and Sources are others. A quarter page ad in the regional edition runs £1,080 for Draperies and Window Coverings, and the same for Interiors and Sources runs £700 for black and white. These two latter publications have directories. There is no charge for inclusion in the directories. In Design Times, a colour 1/4 page ad would run £3,634 for three insertions if signed by December 1, 1997, which provides a 15% discount. This averages out to £1,211 per insertion, even less for black and white. Join ASID. The image of Cutting Edge Drapery would be elevated by joining ASID. This would cost only £285 for the first year. Advertising in the ASID directory is worth considering. The present directory which comes out once per year has a full page colour ad for Paul Brown and a full page black and white for Outside Inlook, both of whom are mentioned in the competitive analysis section of this plan. A small black and white ad by The Drapery Man can also to be found.

23. Summary Example cont. 15 October, 2009 www.ltaylorsolutions.com 23 Advertising. Development of a top quality logo and photography which can be used in ads, brochures, name cards, etc. Not counting printing costs, which relate to quantity and quality of paper chosen, the design costs for this would run about £1,500. A day's photography would be an additional £850-1,600. Participation in Showhouses. Another image-building marketing ploy is participating in showhouses. These showhouses are usually for the benefit of some charity event. This would require time and effort, but not much in the way of money. This should be coordinated with the company's favourite designer to insure satisfaction with the design concept when doing a showhouse room.

24. Summary Example cont. 15 October, 2009 www.ltaylorsolutions.com 24 In addition to the above-mentioned activity designed to elevate the company's image, it is essential to market directly the selected 15 target clients who are all members of ASID. Most of them are associate members while some are professional members. Success in making in-roads into these names would set the stage for entry into the more prestigious Boston designers. Marketing these prime prospects must be carried out in a thoughtful organised way. Colour literature including the newly designed logo should be completed as a first step. When marketing these prospects it will be important to present a portfolio of Cutting Edge Drapery's most innovative work. A relaxed face-to-face meeting, resulting in good communication between designer and the owner, should be all that's needed to generate a first order. Networking is also very useful. It is important, once the logo and artwork materials have been completed, for the owner to make a point of introducing herself to important players in the design world surrounding Boston. A good example is major upholstery businesses, custom carpets, suppliers of tile, etc. who often need to colour-coordinate or fabric-coordinate with workrooms.

25. 15 October, 2009 www.ltaylorsolutions.com 25 www.ltaylorsolutions.com info@ltaylorsolutions.com