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Marketing Audit
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Suhermin Ari Pujiati
Dayaolahawarta - 2009
Should you audit your
marketing strategy?
Are you concerned about factors such as your
personnel skills, current performance, how to use
the Internet to grow your business, industry
trends, current capabilities, capabilities required in
the future, sales processes, organizational
structure, pricing promotion advertising ?
structure pricing, promotion, advertising...?
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2. 5/29/2009
Marketing Audit ?
The marketing audit is to the marketing
department what a financial audit is to the
accounting department. A comprehensive review
of a company's marketing environment,
objectives, strategies, and activities, the
marketing audit identifies operational strengths
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and weaknesses and recommends changes to the
company's marketing plans and programs.
Marketing audit using expert
system software
Business Insight called the quot;MBA on a disk , offers a
Insight, MBA diskquot;
unique way for you to bring structure and expert knowledge
to the process of a marketing audit. You describe your
business and Business Insight matches your strategy
against thousands of expert system rules drawn from real
world experience and published academic research Your
research.
insight is gained as the software leads you through the
extensive analysis results.
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Expert System Knowledge Base
Business Insight uses its extensive knowledge
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base of hundreds of marketing concepts to
generate analyses specific to your business. As
you review the analyses, each marketing concept
is explained and what influence factors unique to
your business have on them You can try quot;what
them. what
ifquot; scenarios and observe the changes in the
analyses
The analyses :
A score card that rates your chances for success in key
areas.
These ratings provide the incentive for and the means of
measuring improvements.
A list of your strengths and weaknesses.
This helps to leverage your strength and correct or compensate
for weaknesses.
Observations about inconsistencies in your marketing
strategy.
A powerful strategy is possible only if all parts of your business
work together consistently.
A written critique of your strategy.
This constructive criticism can serve as the basis of your formal
marketing plan
plan.
A review process.
Tells which factors can be changed to have the most positive
impact on your business.
A comparison of alternative strategies.
Shows the positive and negative impacts of changing strategic
factors.
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Top 10 list of the things a
marketing audit should assess
Key factors that impacted the business for good or for bad
during the past year.
Including an evaluation of marketing quot;surprisesquot;—the
surprises the
unanticipated competitive actions or changes in the marketing
climate that affected the performance of the marketing programs.
Customer satisfaction based on research among key target
groups.
Distributor, vendor, or intermediary satisfaction.
Marketing knowledge, attitudes, and satisfaction of all
executives involved in the marketing function.
The extent to which the marketing program was marketed
internally and bought into by top management and non-
marketing executives.
Top 10 list of the things a
marketing audit should assess
The extent to which each decision in the marketing
mix—e.g. targeting, positioning, pricing, advertising,
etc.—was made correctly after evaluating many
t d tl ft l ti
alternatives in terms of profit-related criteria.
The performance of advertising, promotion, sales
force, and marketing research programs with an
emphasis on return-on-investment issues.
Whether the marketing plan achieved its stated
financial and non-financial goals and objectives.
Which aspects of the plan that failed to meet
objectives with specific recommendations for
improving next year's performance.
The current value of brand and customer equity for
each brand in the product portfolio.
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5. 5/29/2009
External Audit
External factors can be split broadly into three
groups, the economic environment, the
competitive environment and your own market
environment. Consider these areas from your own
business's point of view - will any changes have
an impact on your business, will they affect your
competitors, will they allow you to compete where
p , y y p
you could not, or inhibit your ability to compete. If
the answer is yes, then the factors should be
included in the audit.
External Audit
1.1
1 1 The Economic Environment
Political Government actions, tax levels, privatisation, schools
policy etc EconomicIncome levels, employment levels, rate of
inflation, rate of economic growth Social and
CulturalDemographics (population growth/distribution, age),
lifestyles and cultural values (changing beliefs, skills, family
values) TechnologicalIT, internet, home shopping LegalUK Law
(
(health & safety, employment law, store opening etc), EU
y, p y , p g ),
Law EnvironmentalAffect of your business on environment,
'green' credentials
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External Audit
1.2 Competitive Environment
How competitive i your market? Wh t are your competitors doing,
H titi is k t? What tit d i
likely to be doing? Evaluate the following:
The threat of new entrants to your industry
The threat of substitute products
The bargaining power of customers
The bargaining power of suppliers
The rivalry amongst current competitors
Who are your competitors?
Who are your major competitors, how big are they, what is their
market share?
What reputation do they have?
How do they distribute their products, what are their production
capabilities?
What is their marketing like - do they diversify?
What are their key strengths and weaknesses?
External Audit
1.3 The Market Environment
Total market size growth and trends
Market characteristics, growth and trends
Products, prices
Physical distribution channels
Customers/consumers
Industry practices
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7. 5/29/2009
Internal Audit
This is your opportunity to put your own business under the
microscope - do you know as much about your own situation as
you should?
Sales (total, split by geography, industry, customer, product)
Market shares
Profit margins
Costs
Marketing information research
Effectiveness of marketing mix
Source :
http://www.brs-inc.com
http://www.copernicusmarketing.com
http://www.cim.co.uk/
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