With only a month and a half left in 2012, planning for 2013 is well underway. The Construction Marketing Association’s Marketing 2013 Outlook, Planning, Budgeting, & Strategies webcast was packed with planning and budgeting information and tips for success in 2013. Also, a marketing planning checklist was provided and the results of a 2012 CMA national marketing outlook survey were presented for the first time. Results were shared in a separate blog post, read Construction Marketing Outlook 2013 – Survey Results.
Following is the summary of the Marketing Outlook, Planning, Budgeting, & Strategies webcast including: why marketing planning is important, types of marketing plans, types of marketing budgets, and how to get started planning for 2013.
Marketing Planning
Why is marketing planning so important? First, most construction categories have declined in this recession, leaving little room for error. Measuring and reporting results are a top priority. This also means that marketing budgets/spending are being scrutinized more than ever. Also, marketing effectiveness is key. Finally, seat-of-the-pants marketing is just not cutting it anymore in the construction category!
There are 3 types of marketing plans; project or functional marketing plans, tactical marketing plans, and strategic marketing plans (note: business plans can have a marketing portion which tends to be strategic).
Project or functional marketing plans identify and detail steps, schedules, objectives, measures, and budgets for a specific project. They also focus on groups of activities, for example, advertising/media plan schedules.
Tactical marketing plans are a complete activity plan with schedules or calendars (consolidated project plans). They do not include strategy, research, situation analysis, etc. However, they do identify and detail all marketing programs, initiatives, and campaigns. Tactical marketing plans could be as simple as a spreadsheet!
Strategic marketing plans are used for a longer time frame (typically 3-5 years) and include analysis and research support such as segmentation, positioning, and more. They may also include financial analyses, projections, and measures and are typically updated annually.
Marketing Budgeting
The four most common marketing budget types include; percentage increase/decrease, task and objective, percentage of sales, or a combination of above.
A percentage increase/decrease vs. the prior years budget is the most common, likely because it is the easiest.
Task and objective budgeting is sometimes called zero-based budgeting. Its appeal is that budgets relate directly to activities. Task and objective budgets are simple with a very detailed tactical or functional plan.
Percentage of sales considers competitors and industry benchmarks. Compare your budget to competitors and industry benchmarks when formulating.
Finally, a combination of above may use any or all types listed above, a hybrid, depending on the situation of your construction brand.
Getting Started
How should you start planning for 2013? Start out by reviewing the prior years plans. That will give you a good idea of how your planning impacted 2012. Solicit input on changing customer and marketing conditions and adjust your plans accordingly. Also, it is not a bad idea to use marketing plan templates or spreadsheets to help you stay organized. Finally, conduct competitive and industry analysis and benchmarking before you start planning!
Did you miss the webcast? To download the entire presentation click here. Don’t miss our next webcast: Inbound Marketing Strategies For Construction (January 24, 2013). You can register today here.
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