Professional Documents
Culture Documents
Executive Summary 3
PEST Analysis 3
Financial Analysis 6
Porter’s Five Forces 8
Market Audit-Space 10
Boston Consulting Group( BCG) 13
Segmentation 15
Critical Success Factors 16
Key Problem Identification 17
Marketing Objectives 21
Other Strategies 22
Marketing Budget 24
Monitoring and Control-Balance Score Card 26
Bibliography 28
1
EXECUTIVE SUMMARY
We are the XYZ Group and our aim is to develop a Global Strategic Marketing Plan
for three years for Unilever Company.Unilever is the British/Dutch jointly owned
multinational consumer goods manufacturer. The Mission statement is deduced from
the case study and stated to give a clear picture and guide to the global marketing plan
for Unilever.
The paper will assess the changes taking place in the company’s environment and
how these changes will affect Company. To do this we will examine the Macro-
environment, Microenvironment. SWOT analysis and financial analysis will be
carried out on the company’s external and internal environment.
Corporate Objectives will also be stated to indicate the future of Unilever Company.
Marketing Audit, Internal analysis, Critical success factors, Segmentation, Targeting
will be analysed to find the position of Unilever Company in the foods, home and
personal care retail industry.
Different Growth strategies, Marketing Mix strategies and Competition Strategies will
also be analysed to assess their suitability and fit to the Marketing Objectives of the
company.
The Marketing Budget will be drawn to know how much will be spent and what time
in order to achieve the objectives of Company. The plan will also provide guidance
for the implementation of the chosen strategic choices undertaken by the company.
PESTLE ANALYSIS
ECONOMICAL
With the introduction of the European Union and single currency the whole European
market has been transformed to a single market hence increasing the market for
Unilever products.
Also inflation and exchange rates in most of the countries has been stable thus not
affecting the prices of products or any future Investments.
SOCIOLOGICAL
Due to recent developments people around the world have changed from using natural
food products to the use of genetic modified food products or to special types of foods
with special attributes like carbohydrate free meals, slimming foods, meal
replacements, appetite controllers and suppressants.
Unilever has tried to cope with all the changes that take place in the modern world.
2
TECHNOLOGICAL
The objective of Unilever is not only to maximize the wealth of its owners but also to
anticipate the aspirations of its customers and consumers and to respond creatively
and competitively with branded products and services that raise the quantity of life.
Unilever put much emphasis on research and development, modern technologies and
launching of modified products so as satisfy its stakeholders
SWOT ANALYSIS:
STRENGTHS
• Leaders in most food products like in culinary category, soups, packet teas, ice
creams, margarine and spreads, and branded oil-olive oil.
• Leaders of frozen foods in Europe
• Leaders in home care products such as cleansing and hygiene products.
• Best selling multiple brands.
• Ability to tailor products to customer demands
• In-depth understanding the different markets and innovate the products
suitable for each market.
• Adhering to a policy of listening to customers
• Range of brands to match the diversity of its consumers
• Global leader in products for skin cleansing, deodorants and antiperspirants.
• Successful Brand extension in dove from skin care to hair care
• Ponds Perfect launched in Japan gained leading position in the mass sector of
anti-ageing market
• Good social responsibility to shareholders and employees
• Good diversity of nationalities on the Unilever executive board which indicate
no discrimination
• Encouraging managerial personnel from developing world as well as women
• Large range of brands to match the diversity of its consumers.
• Recent successful innovation and launch of liquid tablets for laundry business
as well as fabric softeners, which make fabrics, smell fresher and prevents
lime scale when used in steam irons.
• Path to growth-concentrating and refocusing on core brands
• Frozen foods continued to show strong growth in Italy and Britain
• Increasing market share in Africa, Middle east and Turkey
• Increase of sales in Latin America
3
• Falling profits due to slim fast products
• Decline in sales value on slim fast
• Declining market share for slim fast products as people started emulating twig
like celebrities on low carbohydrates diets
• Health consciousness people found an alternative low calorie diets and
exercise
• Growth in healthy eating habits-OPPORTUNITY
• Firm’s structure was not suitable
• Facing competition from Marks & Spencer, and Sainsbury who have started
healthy eating brands
• Consumers believeth that meal replacements do not work in the long-term,
largely because they can’t keep them up. As a result they came to a conclusion
that exercises and consistent health diet was better way to stay slim.
• Struggling retailers like Ahold were running down their inventories
OPPORTUNITIES
FINANCIAL ANALYSIS
The assessment of the financial position of the firm constitutes an important aspect of
the internal analysis which must be carried out to determine the strengths and
weaknesses of the organisation .It is important to carry out a financial performance of
the corporation –Unilever Ltd. because the financial appraisal will indicate the extent
to which the firm is meeting some of its key objectives and also help management to
direct operations and make decisions in ways which will achieve or fulfil the overall
corporation objectives.
4
Two categories of financial performance measures are commonly used and these can
be based on absolute values, which measure profitability and those based on relative
form of return on investment or capital employed.
Profitability
Businesses come into being with the primary purpose of creating wealth for their
owners. Profitability measures indicate how effectively the total firm is being
managed and in many ways constitute the most important aspect. Profit is widely
used as an absolute measure of profitability and provides a means by which a
corporation can be compared with another in the same industry e.g. Novartis or the
same company over different times of period.
We can see the profit ratio was up in early years but due to intensive competition and
new product innovations it started falling. After Unilever’s revised its strategy and
innovation of slimming product, and acquiring of competitors like Best food in
America we can see profit is growing faster from 2.3% in year 2000 to 4.4% in year
2002. At 4.4 % in 2002 indicates that there is safety at the current prices as the
organisation successful performance suggests that the profit is not all eaten up by
expenses, which is a favourable trend.
Gross Profit
5
The gross profit margin indicates that the gross profit is stable over the five years
under consideration at 10% at the most is a favourable trend.
Liquidity
In analysing the liquidity position we want to know whether Unilever is able to meet
its short-term obligations as and when they fall due.
Year of 2002 2001 2000 1999 1998
Operation
From the given figures we can see that Unilever have a sound liquidity position of 1:1
meaning the corporation is able to meet its short-term obligations from its current
assets without having to raise finance by borrowing, issuing shares or selling fixed
assets which is a favourable trend.
Return on Investment
Return on Assets
21% 18% 11% 36%
Unlived are efficiently using their assets to full capacity in order to generate sales at
21 % in 2002 compared to the previous two years of 18%and 11% respectively
presuming to have been leaving some assets lying idle and not used to full potential to
generate more sales. It is a favourable trend in financial position.
The return on equity measures the rate of return on the shareholders capital.
The price-earning ratio is generally good at 31 it shows that the corporation is held in
high esteem in the market
6
2002 2001 2000 1999 1998
Dividend Cover 2441 1838 1320 2972 3088
The divided cover compares the amount of profit earned per ordinary share, which is
2441 in 2002, is good compared to the previous years.
Finally Unilever is financially sound and a going concern that is able to take up any
challenges.
Vision
Value and low prices as hallmark of development
Mission Statement
For best quality and best price. TOO NAROW
Potential entrants
Threat of
Entrants (Low)
Competitive
Rivalry (High)
• Norvatis
• Nestle
Suppliers • Kraft Food
Bargaining • Danone Buyers
Power (Low) • Sainsbury Bargaining
Power (low)
• Marks &
Spenser
Threat of
7
Substitutes (High)
Substitutes
Food, home and personal care requires high capital investment in order to enter
market and Unilever have built up experience and distribution channels to compete
effectively in the industry. Currently Unilever is operating in 100 countries and is
able to tailor its products to the different markets and anticipate customers’ demand.
Most of its products like Birhante, CIF for home care, Lipton teas and soups for
food are market leaders.
Emphasis on healthy eating and growth in consumer awareness has turned them to
look for alternative diets, such as low-carbohydrate, low calorie food, reduced-fat,
reduced salt. Programmes promoted by ‘twig-like’ celebrities and government
pressure on food producers to check food contents.
Unilever is a very big and strong business entity, which cannot be easily influenced or
forced in its decisions by suppliers, as it is not dependent on one supplier. As stated
in the case Unilever has no problem with supply of raw materials as is able to operate
in 100 markets with a variety of products without run short of raw materials.
Competition (High)
Unilever’s main competitors are Novartis, Nestle, Kraft Food and Danone. Due to
this Unilever was under restructuring programme, which aimed at cutting its old
portfolio of 1600 brands down to 400 core brands, urging divisions to improve
performance or alternatively to be sold.
Competitors such as Novartis, Nestle, Kraft food and Danone are producing the
same products as Unilever, hence bring competition in the market.
8
Producers of carbohydrate free meals, low carbohydrate programmes promoted by
‘twig-like’ celebrities, growth in healthy eating has been driven by meal replacements
and appetite suppressants provided by brands such as slim-fast and weight watchers.
All these above and the people’s awareness on healthy eating poised a threat on
growth of the market share in the UK where by slimming products market grew by
only 14%. In fact Unilever has been buying new products such as Hellmann’s
mayonnaise and Ragu sources from competitors, which came with the takeover in
year 2000 of an American firm, Bestfoods.
INTERNAL ANALYSIS
Resource audit
In this section we are going to look at the resources that are available to unilever
exposure by analysing the 5M.
Money
Unilever has the financial capability to take up any project, as we will see this fact
later with the financial analysis. The position is sound.
Machinery
Path to growth there is a shift in the balance of Unilever. In the north, factories were
closed and the supply chain narrowed. It was considered that in Europe and America
Unilever had half the physical plant it owned a decade ago, while at the same time
money was ploughed into building infrastructure in Asia and Latin America. Then we
can recommend that Unilever have to renovate its machines to use latest technology
so as to compete well in all markets.
Manpower
Unilever has enough skilled labour and efficient manpower as a company is made up
with staff from 33 different nationalities. This make the organization to have new
ideas, as we know Unilever is operating in different market.
Markets
Unilever has markets for its products.
Make up
The structure of the company is good, as they have successfully involved people with
different nationalities well placed in the organization chat. As we can see that the
senior corporate officers re responsible to ensure that board meetings and board
committee meetings are supplied with the information they need.
‘MARKETING AUDIT
SPACE ANALYSIS
The marking audit will be analysed in terms of SPACE analysis
Space is the acronym for
S- Strategy:
P- Position of Marketing department i.e. external and Internal
AC- Action
E- Evaluation
9
There are four areas to be considered under SPACE
Financial Strength (FS)
Market share – Unilever currently occupies a prominent share of the food and home
cares industry.
Profits – Profits have increased to £3979 million.
Sales - decreasing sales from £51514 million in 2001 to £48270 million in 2002 due
to the decline of sales in slim fast products
Earning per share – in 2002 was £2.14
Income – Unilever had £3979 billion in 2002
FS
Aggressive
CA IS
10
ES
In the SPACE analysis, Unilever ought to continue to occupy the Aggressive position
because of the strong Financial Strength (FS) and Industry Strength (IS). The
financial position is strong and sales have increased although the slim fast product has
not been performing well as it still is profitable and can support this position. This is a
good position to maintain for them to continue as market leaders in food and home-
care industry.
INTERNAL ANALYSIS
MARKET AUDIT
Competition – The core values of Unilever quality, affordability and service came
under the greatest attack, not from critics, but from competitor, Danone, Novartis,
Nestles and Kraft Foods Marks and Spencer’s
MARKETING MIX AUDIT
Price – Unilever has concentrate on all classes of customers, it has continued value-
pricing strategy and the company uses a similar ‘outstanding value’ campaign across
America, Europe and Latin America.
Distribution
Unilever distribute their products through intermediaries which range from retailer
large super stores like Asda, Boots, Safeway now Morrison, wholesalers and various
corner shops as well as off licence stores on the streets of cities of various countries.
Unilever is successful in two basic formats. The first format is a general home care
merchandise, with its basement dedicated to hygiene and cleansing, while the second
offers foods only.
MARKET PROFILE
BCG Matrix
11
The Boston Consultative Group BCG Matrix is a Portfolio strategic analysis tool. It
evaluates the portfolio of strategic business unit or markets according to their
performance and groups them as Stars, Cash Cows, Question Marks or Dogs. The
matrix is a market share - market growth matrix.
Companies must develop new businesses but also must carefully prune, harvest or
divest tired old businesses in order to release resources and reduce cost. In the case of
Uniliver, we are going to analyse the portfolio of the business based on BCG matrix,
examine the relationship between market share and market growth of the different
business units and identify their position in order to propose the right strategies for a
balanced portfolio
In the case at hand, the Market profile of Unilever is evaluated as in TABLE 1 and2
below:
BCG MATRIX FOR MARKETS
Market Share
growth
High low
Stars Question Marks
High • Latin America • Asia +Pacific
Market
Growth
Cash cows Dogs
• UK • Africa
• • Middle East
• USA • Turkey
Market Share
growth
High low
Stars Question Marks
High • Best foods • Deodorants
• Frozen • Anti- Prespirant
Market
Growth Cash cows Dogs
• Knorr • Slim Fast
• Flora
12
STARS (High market share, high market growth)
As we have seen in the question mark businesses, there are brands within the business
units that are performing well and if the question marks are successful they become
stars.
Brands like Bestfoods in America and Canada, Findus in Italy and Iglo in other
European countries among the frozen food business are stars, they enjoy high market
share in a growing market. Brands like Wall’s, Algida, Ben and Jerry under the ice
cream division fall in this category as the world leading ice cream producer.
In home and personal care, products for cleansing, deodorant and antiperspirant under
the brands of Axe Lux Pond’s, Rexona, CIF, comfort, Domesto, Omo, Skip and
Snuggle have a good share of the growing market. However, Uniliver may have to
spend substantial funds for its stars to keep up with high market growth and fight off
the competitors’ attacks as a leader in these core brands, Uniliver may be spending
heavily to gain that share, however, cost may be reduced over time and hopefully at a
rate faster than competitors. Even if these star businesses may not necessarily produce
a positive cash flow for the company, Uniliver would be justifiably concerned if it has
no stars.
With a relatively high market share in a mature market, products under the culinary
category with knorr, margarine, and spreads under Becel, Flora and Take Control,
branded olive oil under Bertolli brand, Brook and Bond tea, Comfort Vaporess are
cash cows. Uniliver does not have to invest heavily on marketing or to finance
capacity expansion, as the growth is low and market conditions more stable. As these
business units are market leaders, they enjoy economies of scale and higher profit
margin. Uniliver should use these cash cow businesses to support the lagging ones
that drive down the profit of the company. As the cash cows are not as many as the
question marks, they may be vulnerable if good care is not taken, They should
maintain their market share otherwise Uniliver may have to pump money back into to
maintain market leadership. If it does not the cash cows may devolve into a dog.
13
margin and as it is unlikely that these units achieve sufficient cost reduction benefits,
Uniliver may turn to its cash cow businesses to offset such investment.
As part of its path to growth strategy Uniliver must build on these businesses to
improve performance as the market share must grow if they are to become stars
otherwise they may face alternative solutions that could include the sale of the
business, which should be the last alternative because of the growing divisions inside
the business.
However, as the company operates 3 question mark businesses, it may be too many,
Uniliver might be better off investing more cash in frozen foods and household care,
since the market is growing it may gain more share and dominance
.
The slim fast products sales have brought down food revenues by 5%. With a weak
market share in low growth market, they may be considered as dogs. As consumers
started questioning the effectiveness of slimming products and turning to alternative
diet such as low-carbohydrate, reduced fat, low calorie food products, Uniliver started
loosing market share for its slimming products. Due to light innovation and the
growing concern of consumers for loosing weight, Uniliver slim fast products fail to
meet the need of health conscious customers. The growth of the market is lowered by
the consumers’ beliefs that exercise and consistently healthy diet is a better way to
stay slim. This has resulted to sales decline due to a 17% drop in revenues from Slim
Fast.
Uniliver may choose to sell off this business unit as it is acting as a drag to the
company’s profit, however, it should consider holding on to it as a turnaround may
take place considering the growing health conscious consumers, the surge in demand
for slimming products and their plan to fight back in order to gain more share and
meet customers needs. This includes the launch of slim fast ice cream in USA and the
introduction of reduced fat, reduced salt, low calorie food products or low
carbohydrate diets.
These dog products (slim fast) have a useful place in the portfolio. They may be
necessary to complete the product range and provide a credible presence in the
market. They may be held to keep competitors out. They are capable of revitalisation.
Uniliver has got a balanced portfolio with more cash cows and stars than dogs. Its
sound and growing businesses may support its lagging ones and strengthen its path to
growth strategy. As market leader in most of its products market growth is important
for Uniliver because it is easier to gain dominance when the market is in its growing
stage. GOOD BCG ANALYSIS
Segmentation
14
Targeting
Determine positioning. A market position is developed for the product so that the
target will clearly know where the product stands in relation to the competition, as
well as other products marketed by the organization.
• Unilever have positioned themselves as Foods and home and personal care
producers.
Product positioning is how a product is positioned in the mind of the consumer.
Positioning begins with finding a difference in the product that is worth establishing
to the extent that it is important, distinctive, superior, communicable, pre-emptive,
affordable, and profitable.
• Unilever have position their products-High Quality and good price
• Unilever products are positioned as good value products but are slowing threat
faced by Unilever was the fact their customers had lost confidence and trust in
their products as they decided that people did not necessarily have to eat a
powder mix to stay thin and were switching to reduced-fat and plenty of
exercising.
Differential advantage refers to any feature of a product or organization perceived
by customers to be desirable and different from the competition. An organization uses
its resources and capitalizes on them to obtain a differential advantage by offering
unique products.
Critical Success Factors are factors upon which the success of the business is
dependant. Unilever attend to these factors to ensure success.
• Ability to tailor products according to different market and anticipate customer
demands
• Understanding in depth of the countries in which Unilever operates
• Policy of listening to customers.
• Producing different range of products to match the diversity of its consumers
• Scaling down of portfolio of 1600 brands to 400 core brands
• Increased advertising budget and interaction with advertising agencies
• Reorganisation
15
KEY PROBLEMS
• Decline of market demand Slim Fast Foods
• Growth target for sales reduced from 5 – 6% to 4%.
• Demand for prestige perfumes, frozen food has gone down in America. As a
result the business is under performing against benchmark target of 5% annual
revenue growth.
• Corporate Structure is too tall, slowing down decision-making
• Growth target for sales reduced from 5 – 6% to 4%-not suitable.
• In stability in slimming products caused by new developments in “stay slim”
necessities.
• Competition intensified in the slimming product market as celebrities are
taking a leading role and super market are increasing their own label offering
in healthy eating products.
• It operates as a separate business between home and personal care and foods
division
• Retailers running down inventories
16
2 DECLINING MARKET
SOLUTION
MARKET DEVELOPMENT:
Adopt an innovative and creative approach in product production, advertising, sales
promotion, packaging, selling approaches and distribution so as to increase market
share in the developed world where market is at its matured level. Seek market in the
developing nations.
3 COMPETITION
SOLUTION
Adopt competitive strategies such as:
Cost Leadership- Produce products at low costs through economies of scale and
compete favourable on low price. Huge capital investment can be made which
competitors cannot easily copy.
Differentiation- Different products as far as possible by unique features, adding value
by high quality and can only be achieved by research and development by product
development.
Focus - This is a combination of the cost leadership and differentiation
• Push Strategy
When a company is pursuing a push strategy, it promotes to channel
intermediaries to encourage them to stock the products. This means that
when customers want to buy the product, it is readily available. Push
strategies normally involve the use of sales promotion and personal
selling.
17
When a company is pursuing a pull strategy, it promotes its products to the
final customers to encourage them to buy. They are encouraged to demand
the product from intermediaries.
Pull strategies normally involve the use of advertising; direct marketing
activities and consumer sales promotions.
Manufacturer
Manufacturer
Promotions
Intermediaries Intermediaries
Promotions Promotions
Customers Customers
18
IMPLEMENTATION STRUCTURE
EXECUTIVE
COMMITEE
*
FINANCE
MARKETING
PERSONNEL
PRODUCTION
6 Health conscious people-people who are eating healthy foods
which has reduced fat and salt.
Solution
Innovate products that promote good health with less fat and salt content.
Sponsor health programmes like Gyms, London Marathon.
CORPORATE OBJECTIVES
• Yet one of Unilever’s major and most important objective was anticipating the
aspirations of consumers and customers and responding creatively and
competitively with branded products and services which raise the quality of
life In crease customisation to local national taste by establishing additional
brand names.
• Regain Market Leadership with 5 years.
• Regain Stockholder confidence
• Internationalise Management
• Marketing Mission Statement
• ‘To provide the best quality products and Service to the customer and be the
market leaders in the retail industry.’
19
MARKETING OBJECTIVES
Uniliver, a British/Dutch multinational consumer goods manufacturer has these main
marketing objectives:
20
OTHER MARKETING STRATEGIES
GROWTH STRATEGIES
Growth Vector Analysis
Options
Existing Product Improved New Product
product (new,
changed)
Existing Market Penetration Product variants Product line
market or product extension
differentiation
Alternatives
The most suitable strategies of meeting the Marketing objectives stated above are:
Market Penetration
A market penetration strategy suggests that growth is possible by achieving a deeper
penetration (sell more) of its present product within a present market. An
organization could sell more of its current product(s) to its current customers, attract
competitors’ customers, or convince non-users to begin using the product, thereby
increasing its existing market share. Another growth alternative is to try and identify
new markets for its present products.
Unilever should sell more of the existing Products in Asia, Europe and North
America.
Product Line Extension
Through a product line extension strategy, an organization might create an
augmented product in order to stimulate the current markets and create new ones.
Unilever must quickly start pursuing this strategy as its current products are falling
out of favour with the consumer and should pursue this further.
Market Development
By employing a market development strategy, an organization might identify new
markets for its product by determining potential user groups for its current products,
seeking additional distribution channels in its present locations, or offering its product
for sale in new geographic locations, either domestic or international. Another
alternative is to develop new products for an existing target market.
21
Ford has the opportunity to develop a very profitable market in Africa and the pacific
region in particular the former commonwealth countries that readily identify with
anything British.
.
New Product Development – New Product development in existing Boundaries.
Entirely new products can be developed taking into consideration customer tastes and
preferences. This will enhance competitive advantage and keep competition at bay.
Unilever must use a combination of these strategies to achieve best result in market
growth and be able to compete effectively in the industry.
COMPETITIVE STRATEGIES
Focused Differentiation
This occurs when the company a range of clearly differentiated products which appeal
to different segments of the market. This will be the most suitable strategy to pursue
due to the companies reputation of quality, value and service. It will also be congruent
with the core aspirations of the company.
Cost Leadership- (problem solution)
Although Unilever has not competed on cost in the market it must try to cut costs
because it is currently under attack from its competitors on both quality and cost of
products. Therefore it must be seen to be challenging the competition not only on the
quality of the products but also on the cost.
The marketing mix is the means used by the marketer to satisfy customers.
Unilever must use this strategy because the brand name is well established, launch
costs of new products may be low and brand loyal customers are more likely to try the
branded new products
22
• New Product Development - An organisation that wishes to survive long term,
must invest in new product development (NPD). Always, all products
eventually reach the decline stage of the PLC. Without new products an
organisation’s sales will eventually become non-existent and Customers will
seek competitors’ products. Additionally, by introducing new and innovative
products to the market place first, an organisation may generate customer
loyalty and maintain its market share as the market grows. NPD is costly and
can be a long process. If a new product fails, a company may make huge
financial losses and the ensuring bad publicity can be detrimental. The NPD
process helps to minimise the risk of failure. Unilever must heavily invest in
this strategy of new product development.
3. Promotion policies
Promotion is more than just advertising. It includes almost any form of
communication that a company has with its customers.
Indeed, it includes communication with stakeholders, suppliers, intermediaries and the
general public. The range of parties that a company promotes to is known as the target
audience.
4. Place policies
Place is the term used in the marketing mix to mean distribution. Distribution involves
all the activities necessary in getting a product to a customer.
Distribution can be looked from two perspectives: channels of distribution and
physical distribution. Channel of distribution refer to the organisations involved
(distributors, wholesalers, retailer, agents). Physical distribution refers to the physical
transportation, handling and storage of products necessary to make products available
to customers.
STANDARDISATION VS ADAPTATION
.
MARKETING BUDGET
After years of little or no advertising, Unilever has embarked on an aggressive
marketing program. In line with this position we are proposing the following
marketing budget to reflect this aggressiveness and meet the set objectives. The
following assumptions are taken into consideration:
• The marketing budget will be 10% of the previous years sales
23
• 40% of this Budget will go to advertising. Advertising is the single most
important aspect of creating awareness and establishing brand and image in
the food and home care industry.
•
Marketing Communication Plan-Unilever
J F M A M J J A S O N D Millons
Activities £
Online Advertising xx xx xx xx xx xx xx xx xx xx xx xx 1930.80
TV Advertising xx xx xx xx xx xx xx xx 241.35
Trade Advertising xx xx 241.35
Promotional xx xx xx xx xx 724.05
Sponsorship-Gyms 724.05
Direct Mail xx xx xx xx xx xx xx 241.35
Personal Selling xx xx xx xx xx xx xx xx xx xx xx xx 241.35
Contingencies 482.70
4827.00
2002 Total Turnover has been used as a
yardstick-10%
IMPLEMENTATION
‘A Brilliant marking Plan counts for nothing if it is not implemented properly’ (Kotler
2000).
In implementing the marketing plan for Unilever the following should addressed:-
Who does what – Suitable Individuals and departments should be identified and
allocated specific tasks. E.g. managers in Japan can be tasked to increase sale by 30%
Where do they do it – Specific markets and methods adverting, promotion and
distribution must be selected and targeted.
When do the do it – By the use of a Gantt chart all activities must be planned and
scheduled. This helps to monitor and control what has been done and what remains to
be done.
How do they do it – Each activity in the marketing plan must have defined and
specific execution steps to accomplish the task.
24
MONITORING AND CONTROL
There are 4 type of marketing control that Unilever can employ by using the Balance
control card method as follows:
Financial Perspective –
• For Unilever to meet the marketing objectives to achieve increased profit of
10% they should closely monitor and measure the profit margin sales, profit
25
and other goals established in its annual plan through the use of Management
by Objectives.
• This implies that Unilever should measure the profitability of the products,
territories, and customer group, segments, and trade channel and order sizes.
• To meet the increase in shareholders value, they can measure this through
dividends.
Customer Perspective
The critical success factor of concentration in this area is customer satisfaction and
can be measure for control purposes by
• Maintaining customer satisfaction index and also analysing the problems
highlighted by addressing them immediately since Unilever is known to
listening to customers.
• Carrying a customer ranking survey
Internal Perspective
The other control measures are to improve the management structure as we have
recommended previously on the key problems in order to speed up decisions making
as the old structure was too tall.
Efficiency control – this will involve controlling such marketing aspects as sales
force efficiency, advertising efficiency, sale promotion efficiency and distribution
efficiency
Unilever have set themselves as service leaders and should therefore be speedy to
make response to customers needs through research and innovation.
.
Strategic Control –Unilever needs to undertake critical review of the overall
marketing goals and effectiveness. Unilever should reassess its strategic approach to
the market place with marketing-effectiveness reviews and marketing audit.
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BIBLIOGRAPHY
1. Alan H. Anderson and Dennis Baker (1994) Effective Business Policy, a skills
and activity-based approach, British Library
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