/ SECOND EDITION MARKETING THAT WORK MALCOLM H. B. MCDONALD AND WARREN J. KEEGAN Marketing Plans That Work * Marketing Plans That Work Second Edition Malcolm H. B. McDonald Warren J. Keegan B H UTTERWQRTH E I N E M A N N An Imprint of Elsevier Boston Oxford Auckland Johannesburg Melbourne New Delhi Copyright © 2002 by Butterworth-Heinemann An Imprint of Elsevier A member of the Reed Elsevier group All rights reserved. No part of this publication may be reproduced, stored in a retrieval system, or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without the prior written permission of the publisher. Permissions may be sought directly from Elsevier's Science and Technology Rights Department in Oxford, UK. Phone: (44) 1865 843830, Fax: (44) 1865 853333, e-mail:
[email protected] You may also complete your request on-line via the Elsevier homepage: http://www.elsevier.com by selecting "Customer Support" and then "Obtaining Permissions". Recognizing the importance of preserving what has been written, ButterworthHeinemann prints its books on acid-free paper whenever possible. Library of Congress Cataloging-in-Publication Data McDonald, Malcolm. Marketing plans that work / Malcolm H.B. McDonald, Warren J. Keegan.—2nd ed. p. cm. Includes bibliographical references (p.) and index. ISBN 0-7506-7307-9 (pbk. : alk. paper) 1. Marketing—Planning. I. Keegan, Warren J. 13. Title. HF5415.13 .M3154 2002 658.8'02—dc21 2001043345 British Library Cataloguing-in-Publication Data A catalogue record for this book is available from the British Library. The publisher offers special discounts on bulk orders of this book. For information, please contact: Manager of Special Sales Butterworth-Heinemann 225 Wildwood Avenue Woburn, MA 01801-2041 Tel: 781-904-2500 Fax: 781-904-2620 For information on all Butterworth-Heinemann publications available, contact our World Wide Web home page at: http://www.bh.com 10 98765432 Printed in the United States of America Contents Preface vii Chapter 1 What Is a Marketing Plan? Chapter 2 Understanding the Marketing Process Chapter 3 The Marketing Planning Process Chapter 4 Marketing Objectives and Strategies 37 Chapter 5 Marketing Research and Forecasting 61 Chapter 6 The Marketing Audit: Customers and Markets Chapter 7 The Marketing Audit: Products Chapter 8 E-commerce and Internet Marketing Chapter 9 The Communication Plan: Advertising and Sales Promotion 1 5 15 95 135 149 Chapter 10 The Communication Plan: Sales Chapter 11 The Pricing Plan Chapter 12 The Distribution Plan Chapter 13 Implementation Issues in Marketing Planning Chapter 14 Marketing Planning in Review Authors' Note Glossary Index 241 247 239 77 163 175 185 213 199 V Preface The purpose of the second edition of Marketing Plans That Work is to explain and demonstrate, in a clear and easy-to-follow format, how to pre¬ pare and use a marketing plan. The content of the book is equally relevant for consumer, service, industrial, for-profit, and not-for-profit organiza¬ tions; and for established and start-up companies. It is applicable to both traditional organizational marketing and societal marketing. The