The Strategic Planning Process - Market Research For Political, Economic, and Competitive Factors

A well integrated Strategic Planning Process hasYou decide. As that marketing icon Bob Dylan would
always been the cornerstone of strong Companysay, 'the times they are a changing.'
earnings and positive market share growth amongThis could all seem like bad news, or possibly shock
industry leaders. Within the Strategic Planning Processtherapy to a Marketing Department but on the other
there is a wealth of information available on thehand it could serve your company well as a
potential impact of Political, Economic and Regulatorycompetitive advantage. As a key component at the
changes for the segments in which your companyfront end of the Strategic Planning Process to either
operates. Corporate Planning for the next fewgather market research or to use it as an additional
business cycles will pay particular attention to thetool to disseminate information to key market
potential impact of the very turbulent financialsegments.
markets worldwide.A word of caution should be added to all of this as
In 2009, this could include the potentially positivewell. 'Those who talk don't know and those who
impact of the 'bailout' action plans of the Barackdon't know, talk.' Validate your sources to be sure
Obama and Stephen Harper administrations, the 'Newthe research is qualitative research.
Reality' economic operating environment and itsEmbracing new technologies like blogging, wiki's, news
potential business consequences, regulatory changes,networks, social networks and micro blogging can
and social trends for the environments in which yourpossibly build brand loyalty faster than many
Company operates.traditional methods of reaching consumers in these
The competitive marketplace, however - that is anparticular market segments. It cannot be ignored.
entirely different matter.More e-communication in various forms now takes
The 'Competitive Intelligence' updates would payplace between individuals via these networks than
close attention each key competitor as well as newthrough e-mail.
entrants and those exiting the business. The researchThe new consumer is evident everywhere. It is no
data on customer and supplier profile changes thataccident that bricks and mortar video rental stores
may impact the business going forward is a 'missionlike Blockbuster and Rogers are giving way to other
critical' element. There is no question that both thealternatives. Interestingly enough, over 53% of their
advancements in technology and the seemingly 'outrental revenue came from late return charges. Some
of the blue' arrival of non traditional competitors mayinitial indications of change took place in larger cities
in fact, along with a floundering economy, be thelike New York, LA and San Francisco. With Real
most essential aspects of Strategic Planning in thisEstate costs at a premium it created the perfect
business cycle.opportunity for NetFlix. Consumers could order their
All too often the road of an internalized Strategicmovies; the movie would arrive at their doorstep and
Planning Process with only a cursory look at thethen, once viewed, is returned via the mail. A process
traditional competition as well as the potential impacthowever, that was still a bit clumsy.
of new trends or technologies has led to marketNow, the 'new and improved' NetFlix of Cisco
share self destruction. The emphasis is on marketSystems Inc. HD broadband Video-on-demand
research and qualitative data.subscribers have video direct streaming access to
As a good illustration, the Audio/Video, in-homeover 12,000 HD or Blu-Ray titles as well as PVR
entertainment, mobile devices and communicationsservices like TiVo. Viewers can order online, view
industries represent an excellent case in point. Theseonline, and even store it online and watch it any time
are all industries with very clear market leaders thatthey want. Both NetFlix and On-Demand represent
are now struggling to compete with new productscorporate strategies to improve the consumer
and /or systems that are connecting with a newexperience.
consumer who is on the grid; who is product savvy;With those questions then, what are the answers?
who is environmentally concerned and who wantsThe answer to all these questions again is simple:
immediate access to the latest of everything that istimely qualitative research. It could also be called the
just a 'point-and-click' away. Consumers just want to4R's of Marketing. The right product, at the right time
'plug and play'. They don't want to order or wait forat the right price to the right consumer; AKA the
CD's, DVD's, videos or have to buy a new device tobuilding block derivatives of an in depth strategic
get new features.planning process.
These same consumers make choices and formThe Strategic Planning Process is the first step within
opinions from Social Utility Networking Applications likethe discipline of Business Process Management. The
MySpace, Facebook and LinkedIn (primarily a businessfollow-up steps are then Business Case Methodology
relationship networking site) and beware, these mayto ensure that each and every meaningful Company
also be also the same consumers that have noinitiative is accompanied by a detailed Business Case
problem posting positive and negative videos aboutfor Senior Management and/or Board approval.
your company on YouTube. They will share positiveThe next stage in Business Process Management is
or negative press or reviews about your product oneither the Product Development Process or the
Digg, a social news website. They willingly provideProject Management Process that represents a
their own interpretation of your marketing or logosdisciplined, staged workflow process to ensure on
on MySpace and at the end of the day, have thetime/on budget results. Built into each of the
power, through Twitter micro blogging, to spread'processes' are 'go and no go' check points for timely
news faster than the New York Times, who is alsoreporting back to Senior Management/Board.
on Twitter themselves.The final stage of the completion of the project
Are the right wing leaning, very conservative Drudgewould be its transfer into Operations. The final stage
Report or the left leaning liberal Huffington Postof the completion and launch of the product would
relevant internet news hubs? Well, the Drudgebe the transfer of product responsibilities into the
Report, founded in 1997, drew internationalProduct Management Process.
recognition in 1998 as first news network to breakThe fact that the marketplace is in transition across
the Bill Clinton/Monica Lewinsky scandal. After Matteach end every industry segment isn't new. Change
Drudge's report, Newsweek published the story. Theand survival are commonplace and at least in concept
consists mainly of a selection of hyperlinks to newsare not a great deal different than 'The Theory of
websites all over the world. A few years ago, theEvolution by Natural Selection' by Charles Darwin.
two man team of Drudge and Andrew BreitbartThose companies that are best prepared for the
moved the website from their LA apartment to'New Reality' will thrive and those that are not well
Drudge's home in Miami, Florida. This virtual newsprepared will despair. There is nothing particularly
network will see Gross Revenue for 2009 projectedunique about the key components Business Process
at $15 million. Nielsen NetRatings reports a combinedManagement. Similarly, the fact that the 'excellence
5.3 million Drudge/Breitbart website visitors per monthcompanies' have ingrained both the discipline and the
with visitors spending an average of 66 minutes perfundamentals of Business Process Management into
visit. has 10.7 million visitors monthly. Is this relevant ?the evolution of their businesses is also not unique.