STRATEGIC MARKETING

AND TACTICAL
MARKETING
Strategic Marketing - Goal

• Strategic marketing consists of selling your product in such a way that you
achieve a goal.
• Goals can include increasing sales, revenues, market share, segmenting
the market or creating a new brand or position in the marketplace.
• The strategy is the direction towards the goal. Strategic marketing
considers the long-term goals of your company such as expanding your
business, exploring new demographics, or creating a new brand. 
• Strategic planning involves recognizing the threats and opportunities
presented by the industry. What are the strengths and weaknesses in
manufacturing? Does your company have the strength and financial
capability to tackle those threats and grab those opportunities?
Tactical Marketing - Implementation

• Once you have goals, including specific strategies for achieving

your goals, determine how you will implement your strategies.
• Tactics are the action taken to support the strategy.
• Creating tactics to support your marketing strategies involve
detailed profiles of your customers.
• Only by knowing your target demographic can you choose the
right advertising media and determine which marketing channel
is most effective.
STRATEGIC AND TACTICAL
MARKETING
• Strategic marketing and tactical marketing are interdependent and employed in
combination. Your marketing plan starts with a strategy and followed by detailed
tactics. The presence of both forms of marketing is essential to the success of your
marketing.
• Essentially, strategic marketing is the concept while tactical marketing is the action.
• To get the highest impact on your marketing spend, start with strategy, then move to
tactics. Strategy drives growth. Ignoring strategy and starting with tactics is like
burning a pile of cash in your parking lot.
• Starting with tactical marketing without first addressing strategic marketing is like
building a house without a blueprint. It's based on a strategy of hope which is
guaranteed to fail.
 MARKETING ENVIRONMENT
(Business Marketing Environment)
 • Marketing Environment is the combination of
external and internal factors and forces
which affect the company’s ability to
establish a relationship and serve its
What is customers.
Marketing • Some of these factors are controllable while some
Environment? are uncontrollable and require business operations
to change accordingly. 
• Firms must be well aware of its marketing
environment in which it is operating to overcome
the negative impact the environment factors are
imposing on firm’s marketing activities.
COMPONENTS OF THE MARKETING
ENVIRONMENT
MARKETING
ENVIRONMEN
T

INTERNAL EXTERNAL
ENVIRONMEN ENVIRONMEN
T T

1. Micro- 2. Macro-
Environment Environment
1. INTERNAL ENVIRONMENT

The Internal Marketing Environment includes all the factors that are
within the organization and affects the overall business operations.

These factors include labor, inventory, company policy, logistics, budget,

capital assets, etc. which are a part of the organization and affects the
marketing decision and its relationship with the customers.

These factors can be controlled by the firm.

INTERNAL ENVIRONMENT: Five Ms of the
Business
1. Men: The people of the organization including both skilled and
unskilled workers.
2. Minutes: Time taken for the processes of the business to
complete.
3. Machinery: Equipment required by the business to facilitate or
complete the processes.
4. Materials: The factors of production or supplies required by the
business to complete the processes or production.
5. Money: Money is the financial resource used to purchase
machinery, materials, and pay the employees.
 • The external environment constitutes factors
and forces which are external to the business
and on which the marketer has little or no
control. 
• The business must act or react to keep up its
2. EXTERNAL flow of operations.
ENVIRONME • They interact with other entities and are
NT influenced by a wide range of events,
situations and other player’s decisions that
are out of its control. 
• The external environment can be broken
down into two types: the micro environment
and the macro environment.
 • The Micro Marketing Environment
2.A. MICRO includes all those factors that are closely
associated with the operations of the
ENVIRONMENT business and influences its functioning.
• The microenvironment factors include
customers, employees, suppliers, retailers
& distributors, shareholders, Competitors,
Government and General Public.
• These factors are controllable to some
extent.
 1. Customers– Every business revolves
around fulfilling the customer’s needs
and wants. Thus, each marketing
strategy is customer oriented that focuses
on understanding the need of the
customers and offering the best product
that fulfills their needs.
FACTORS OF 2. Employees– Employees are the main
component of a business who contributes
MICRO significantly to its success. The quality of
employees depends on the training and
ENVIRONME motivation sessions given to them. Thus,
Training & Development is crucial to
NT 3.
impart marketing skills in an individual.
Suppliers– Suppliers are the persons
from whom the material is purchased to
make a finished good and hence are very
important for the organization. It is
crucial to identify the suppliers existing
in the market and choose the best that
fulfills the firm’s requirement.
• Retailers & Distributors– The channel partners play an imperative role in determining
the success of marketing operations. Being in direct touch with customers they can give
suggestions about customer’s desires regarding a product and its services.
• Competitors– Keeping a close watch on competitors enables a company to design its
marketing strategy according to the trend prevailing in the market.
• Shareholders– Shareholders are the owners of the company, and every firm has an
objective of maximizing its shareholder’s wealth. Thus, marketing activities should be
undertaken keeping in mind the returns to shareholders.
• Government– The Government departments make several policies viz. Pricing policy,
credit policy, education policy, housing policy, etc. that do have an influence on the
marketing strategies. A company has to keep track on these policies and make the
marketing programs accordingly.
• General public– The business has some social responsibility towards the society in
which it is operating. Thus, all the marketing activities should be designed that result in
increased welfare of the society as a whole.
 • The Macro Marketing Environment
2.B. MACRO includes all those factors that exist
ENVIRONMENT outside the organization and can not
be controlled.
• These factors majorly include Social,
Economic, Technological Forces,
Political and Legal Influences.
• These are also called as PESTLE
framework.
FACTORS OF MACRO ENVIRONMENT:
PESTLE/ PEST Framework
1. Political & Legal Factors– With the change in political parties, several changes are seen
in the market in terms of trade, taxes, and duties, codes and practices, market regulations,
etc. So, the firm has to comply with all these changes and the violation of which could
penalize its business operations.
2. Economic Factors– Every business operates in the economy and is affected by the
different phases it is undergoing. In the case of recession, the marketing practices should
be different as what are followed during the inflation period.
3. Social Factors– since business operates in a society and has some responsibility towards
it must follow the marketing practices that do not harm the sentiments of people. Also, the
companies are required to invest in the welfare of general people by constructing public
conveniences, parks, sponsoring education, etc.
4. Technological Factors– As technology is advancing day by day, the firms have to keep
themselves updated so that customers need can be met with more precision.
THE
MARKETING
AUDIT
 • The Marketing Audit refers to the
comprehensive, systematic, analysis, evaluation
and the interpretation of the business marketing
environment, both internal and external, its goals,
objectives, strategies, principles to ascertain the
What is areas of problem and opportunities and to
Marketing
recommend a plan of action to enhance the firm’s
marketing performance.
Audit? • The marketing audit is generally conducted by a
third person, not a member of an organization.
• The marketing audit helps to determine how well
a firm’s marketing department is carrying out the
marketing activities. And how much it is adding
to the overall performance of the organization.
COMPONENTS OF MARKETING AUDIT

1. Macro-Environment Audit: It includes all the factors outside the

firm that influences the marketing performance. These factors are
Demographic, Economic, Environmental, Political, and Cultural.
2. Task Environment Audit: The factors closely associated with the
firm such as Markets, Customers, Competitors, Distributors and
Retailers, Facilitators and Marketing Firms, Public etc. that  affects
the efficiency of the marketing programs.
3. Marketing Strategy Audit: Checking the feasibility of Business
Mission, Marketing Objectives and Goals and Marketing Strategies
that have a direct impact on the firm’s marketing performance.
4. Marketing Organization Audit: Evaluating the performance of staff at
different levels of hierarchy.
5. Marketing Systems Audit: Maintaining and updating several marketing
systems such as Marketing Information System, Marketing Planning System,
Marketing Control System and New-Product Development System.
6. Marketing Productivity Audit: Evaluating the performance of the Marketing
activities in terms of Profitability and Cost-Effectiveness.
7. Marketing Function Audit: Keeping a check on firm’s core competencies such
as Product, Price, Distribution, Marketing Communication and Sales Force.
 1. Comprehensive - it should cover all the areas of
marketing where the problem persists and do not take a
single marketing problem under the consideration.

MARKETI 2. Systematic - an orderly analysis and evaluation of firm’s

micro & macro environment, marketing principles,
objectives, strategies and other operations that directly or
NG AUDIT indirectly influences the firm’s marketing performance.
3. Independent - the marketing audit can be conducted in

SHOULD six ways: self-audit, audit from across, audit from above,
company auditing office, company task-force audit, and
outsider audit. The best audit is the outsider audit;
ALWAYS wherein the auditor is the external party to an
organization who works independently and is not partial
to anyone.
BE: 4. Periodical - generally, the companies conduct the
marketing audit when some problem arises in the
marketing operations. But it is recommended to have a
regular marketing audit so that that problem can be
rectified at its source.