Business Marketing Plan Needs to be Part of Overall Plan

The Marketing Analysis or Business Marketing Plan section is an integral part of your business plan document. The readers of your business plan document(bankers, would-be investors, potential employees) need to understand how you will make a profit and grow your small business into a larger business. Along with that they want to understand how well you know your market.

Whether you sell out of a traditional retail store, work out of an office or have an online business on the internet, you need to have a thorough understanding of your customers or clients. You may need to hire a marketing research firm to undertake primary and secondary market research for you, or you can do it yourself. In either case, you must detail for your business plan readers your business marketing plan. If you hire a market research firm, its report will make a great addition to your business plan Appendix.

In this section of the business plan on Market Analysis, you need to paint another striking picture to detail everything you know about your market. You can also expect follow-up questions from your readers who will want more information on your market to gauge your expertise. The bankers and potential investors in the audience really want to understand what you know about your market. In short, they want you to virtually know everything.

In this section of the business plan, do the following:

  • Describe your market in great detail.
  • Describe a typical prospect and why you think he or she is a typical prospect.
  • What are the needs of this typical prospect; how do you know those are their needs?
  • Describe how the prospects' needs are currently being met or not being met; once again, how do you know this?
  • What is your target market and how did you find it?
  • Create a profile of a typical customer or client.
  • Why do customers or clients buy what they buy.
  • Discuss market segmentation in this section.
  • Understand how to define your market.
  • Detail your strategy for reaching your customers

Glossary of Terms

Definition of Market or Marketing Segmentation—Market or marketing segmentation is the process that defines or breakouts your market into distinct groups that have similar needs or behave in a similar way. The theory is that because these market segments behave in a similar way, they are likely to respond to a similar marketing strategy.

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