Journey of a Serial Entrepreneur

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How to get from where you are to where you want to be

Marketing Objectives

“The major reason for setting a goal is for what it makes you accomplish. What it makes of you will always be the far greater value than what you get.” Jim Rohn

Using the opportunities identified in the situational analysis post, we will construct the next part of the marketing plan, which includes establishing objectives. These objectives will serve as beacons to be used as guides when developing specific strategies. It is important that these objectives should be specific, measurable, attainable, realistic and time specific. Without clearly identifying targets, is like throwing darts blindfolded. Listed below are some broad segments, for which specific objectives should be established:

1. Market Penetration: Using data collected during the research phase, should give an approximate idea of the market share held by the competition. Sometimes this data is difficult to come by, in the past, my teams and I have drawn up simple lists of our major competitors when adequate information was not available. The point of this task is to identify the competition, and set realistic targets of where you want to be on that list. The important part is setting a target. GE set targets of being number one or two in a particular segment or exiting the business line.

2. Marketing Metrics: When setting yourselves objectives, it is important to use key benchmarks which you can continuously compare yourself with. These objectives can be pegged to major activities such as website traffic, newsletter sign-up rates, number of queries, pipeline activity, deal closings or sales staff turnover. These numbers will be a reflection of whether your promotional strategies are paying off or not. More importantly you can develop your promotional strategies around these numbers as well. If your current website is attracting a 1000 visitors daily, what will it take to hit your website traffic objectives of 2000 visitors? When establishing these metrics make sure they are realistic and attainable.

3. Financial Objectives: The company CFO is always wary of the marketing budget. The reason being, there are often no clear financial objectives justifying marketing plans. This section of your plan should outline specific financial targets that need to be achieved when devising your plan. This would include turnover targets, profitability targets as well as improvement of product/service margins. At the end of the quarter or year, there should be justification for the expenditure incurred on marketing. It is important for a startup with limited resources to think this section through carefully. Usually the opportunity cost is high, it is imperative that it is used correctly.

It is upto the team to set objectives in such a manner, that responsibility for certain key metrics and objectives, is person specific. It is that individual’s responsibility to continually monitor  progress and provide feedback to the team. This will create a culture where responsibility will be shared, and more importantly, will help the team realize the importance of good marketing. If you have developed a business plan, use this section to support the financial objectives outlined in it and make sure that your marketing objectives are in sync.

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2 Responses

  1. Ken Kaufman says:

    I could not agree more with your comment that CFOs are often leary of the marketing budget. My company serves as the part-time CFO for over 50 start-up, emerging, and medium-sized companies. We are the most comfortable when the marketing budget has real metrics that can easily be tracked and to which the marketing team can be held accountable.

    • Usman Sheikh says:

      Thanks for the comments Ken. You have a very interesting company and a service that is greatly needed by many start-ups. I will be in touch with you regarding future collaboration opportunities. Regards Usman.

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