Use this section to explain to the reader any research you have done about the products or services you will provide. Supply and explain any industry analysis, customer information and market share data your research has uncovered.
If you are going to succeed in business you need to know who your competitors are by name, location, sales, and market share. Providing a simple pie chart graph like the one below may be particularly helpful in giving the reader a quick idea of your place in the market for your products or services. Select three competitors and discuss them in terms of strengths and weaknesses. It is important to know this because their strengths may be areas for you to strengthen your own operations. Likewise, if you know the competition’s weaknesses, you may find a place to increase your strength and fill a need in the market. This is a place for you to detail the strengths, weaknesses, and advantages of your business.
Use this section of the business plan to describe the market segments in which you plan to compete. When describing the market segments, be detailed and provide information on the demographics, geographic areas and as much information about your potential customers as possible. Pay careful attention that you match your products or services to your customers’ needs and wants.
In this section, state the primary market where you want to compete. Provide the demographics, geographical areas, and other identifying information. Take special care to describe as well as profile who it is you want to sell your products or services.
Marketing Mix Strategy
This is the area of your plan where you will describe how you intend to market your products or services. Give information on the various marketing methods you will be using and how much you will rely on each marketing method. List out how you will market each individual product or service.
List what you will sell, what products or services are you offering to the public. This is the section where you will list and detail customer service plans, market positioning, inventory control and quality standards you have established for each product or service you will sell.
In this section, explain how you will promote your business. Use this space to talk about the types of advertising you will use (such as media, direct sale, sales promotions, publicity campaigns and the like). Promotion is an important part of your business operations, explain your promotion activities here.
No matter how good your products or services are, and no matter how much better you are than the competition, you cannot succeed in business unless you have a plan for getting your product and service out to the market you want to serve. Explain how you plan to distribute your products or services. State whether you will be using direct distribution or established channels. Describe how your business site’s location, parking and security etc work with your distribution plans. If you have a location open to the public give a floor plan showing where customers will be permitted and will receive products or services. In addition, provide information on any retailers, wholesalers or suppliers with whom you plan to work.
Use this section to explain your overall pricing policy. Give an estimate of the average sale amount. Describe the terms and conditions of any sale. Explain any credit plans and terms you intend to offer your customers.
Your personnnell can make or break the success of your business. Take time before you hire anyone to make sure this section of your business plan is in order.