Guide to Writing a Marketing Plan

Instructions:
1. Complete as many sections in this document as possible, or as required. Throughout this document, Business Victoria has inserted example text to help guide customers on how to complete each section in a business plan. The text is BLACK and based on a fictional Bed and Breakfast company. nce you ha!e read this text and understood how each section is to be completed, ensure that you replace or adapt this example text, with your own. The text in RED is instructional and will disappear on "pre!iew print# or "print#. $. %ouble click the spreadsheets to acti!ate and add your own information. &lternati!ely, you can replace with excel spreadsheets from your accountant or exported from your accounting program. '. To add your own information on the spreadsheets (a!e the document regularly whilst completing. ). This template is best used in *icrosoft +ord ,-./$00.

<your logo here>

<Business Name>

Marketing Plan
<Business Address>

Prepared By:

<Your Name>

Table of Contents
1. Business Overview.......................................................................................1 2. Market Overview...........................................................................................1
2.1. Customer Information........................................................................................2 2.2. Market Information.............................................................................................3 2.3. Industry Information...........................................................................................3 2.4. Produ t!"er#i e Information..............................................................................4

3. Objectives......................................................................................................4 4. Strategy..........................................................................................................4
4.1. Produ t................................................................................................................ $ 4.2. Pri in%................................................................................................................. & 4.3. 'istri(ution..........................................................................................................& 4.4. Promotion........................................................................................................... & 4.$. )perationa* P*an................................................................................................+ 4.&. "a*es promotion................................................................................................., 4.-. .d#ertisin%.......................................................................................................... , 4.+. Pu(*i re*ations..................................................................................................., 4.,. 'ire t Marketin%...............................................................................................1/ 4.1/. )n*ine Marketin%............................................................................................1/

5. Budgets........................................................................................................10 6. Acti n !"an...................................................................................................11 #. Su$$ rting % cu&entati n.......................................................................12

1. Business Overview
Judy and John Abbe have made the move from the city to the country and at age fifty have purchased <Business Name> in the small but picturesque seaside resort of Point Vale. Judy is an e cellent gardener and the rose garden at the property !ill provide her many hours of en"oyment. John loves the outdoor life and is a great bush !al#er and amateur naturalist $ !ith the National Par# bordering Point Vale% he sees the opportunity to further his hobby. &he property is in good condition% having living space for the o!ners plus four large bedrooms each !ith their o!n facilities. Neither of them has run a Bed and Brea#fast 'B(B) before but they are outgoing types and are prepared to learn from those !ho have gone before. &his *ar#eting Plan has been designed to provide a business !hich produces a substantial income as !ell as allo!ing them to develop and en"oy a satisfying lifestyle.

2. Market Overview
&he Bed and Brea#fast industry is a vital part of the tourism industry providing accommodation to both domestic and international visitors. +t is centred on providing short stay visits to the travelling public !ho use these facilities for visiting a destination 'usually !ith a significant landmar# or eating out)% thus ta#ing a brea# from their regular lifestyle. &he #ey to a successful B(B is the location and the ability to attract visitors to a region providing the purpose for a visit. Accommodation differs from hotels% motels and caravan par#s as it is highly personal% usually !ith intimate surroundings and individual attention from the proprietor. &he provision of comfortable% secure and private accommodation along !ith a quality brea#fast is the #ey differentiator of the B(B industry and sets it aside from other forms of accommodation. &he Victorian B(B industry has been in decline for several years% particularly domestic tourism% as it has to compete !ith not only other forms of accommodation but also !ith the changes to destination of the travelling public. +t still% ho!ever% provides a significant proportion of the accommodation required !ith ,-.%/// visitors0 nights in 1//,. 2uccessful B(B operators have learnt they require a location !ith a natural attraction to visitors% and then provide a service that complements the reason for people visiting the area. &he changes affecting the domestic B(B industry are3 strength of the Australian currency ma#ing overseas travel cheap compared to domestic strong competition from !ell organised motel chains offering consistent cost effective accommodation the increasing use of the internet to boo# accommodation !hen B(B boo#ings can not usually be made directly online

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the increasing cost of petrol given most B(B locations are outside areas serviced by public transport lo!er discretionary income available for leisure travel as interest rates have increased impacting household incomes

&hese factors !ill continue to put pressure on the industry as a !hole. 4o!ever% there !ill al!ays be people loo#ing to travel to special destinations. Provided the individual B(B operator meets the public0s needs and is !ell$located% a successful business can be built. &his *ar#eting Plan is designed to identify the target mar#et for <Business Name> and enable it to attract clientele through careful promotion and sales support.

2.1. 'ust &er (n) r&ati n

Point Vale is located 56/ #m !est from *elbourne% on the coast. +t is bet!een t!o regional country to!ns% both 17 #m a!ay% and only accessible by road. &here are 87/ permanent residents catering to the forestry and farming community. &here is a small fishing fleet that provides employment and produce is sent to *elbourne on a daily basis. &he t!o ma"or natural attractions are the ad"acent National Par# !ith many fine !al#ing trails through old gro!th forest% and the spectacular seascape and cliff tops that loo# across the !aters of Bass 2trait. +n addition to the beauty of the location% the region has several !ineries% and specialised food manufacturing operations !hich have seen the opening up of five e cellent restaurants in the last three years. <Business Name> has a very !ell established large rose garden that has featured in the Victorian open garden scheme.

<Business Name> plans to target t!o distinct groups3 '5) 9ouples and:or singles in the ./ to ,/ age group% primarily from *elbourne !ho have an interest in outdoor life '!al#ing% gardening% beach activities) and are loo#ing for the comforts of e cellent accommodation and fine dining. +t is e pected they !ill be from the mid to higher socio$economic scale and have ready access to disposable income. &heir decision to visit the region are based on the need to get a!ay from the pressures of city living and indulge themselves. '1) 9ouples in the 77 to ;/ age group !ho are travelling around Victoria : Australia !ith Point Vale a convenient stopping place in their travels. &he rose garden is a feature and the chance to pause and en"oy a beautiful garden during their travels is a great attraction% along !ith the other sights on offer in the area. &here are no plans to target the international tourist as they are only small users of B(B style accommodation and Point Vale is off the main travel route. <or families !ith children% sleeping arrangements are not suitable.

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2.2. Market (n) r&ati n

Based on data from &ourism Victoria% mar#et share of domestic visitors has increased by ,.1= since 5888 to "ust on 18.7= share of the Australian mar#et. &he total number of visitor nights for Victoria is ,-.%///. As stated earlier this has declined by ..8= over previous years. &he region of Point Vale has gone against this trend as the region is a 1$hour drive from *elbourne and the local community approach to the environment and fine produce has provided a focus for people coming from *elbourne for a geta!ay !ee#end. Numbers recorded in the region have seen visitors increase by ..7= year on year. &he couples mar#et is the ma"or sector of the B(B industry !ith a .7= share% !hich is double the ne t mar#et of friends and relatives. >ith the pressure of inner city living continuing to create a need for convenient short term brea#s% locations li#e Point Vale are ideally placed to meet this mar#et. 9ompetition in the area for accommodation is high !ith three large caravan par#s !ith cabin style accommodation and si hotels !ith both motel and hotel style facilities. &here are also eight other B(B0s !ithin a 7/ #m radius of <Business Name>. ?iven the target mar#et for <Business Name> is li#ely to use B(B style accommodation these are the #ey competitors and the other facilities% !hile providing rooms% are generally catering to a different mar#et. &he eight B(B facilities have a total of 1. rooms available bet!een them. None of the other operations has a garden attraction li#e <Business Name> or are as conveniently located to the ma"or restaurants at Point Vale% !hich are all !ithin !al#ing distance. &his is a ma"or advantage <Business Name> plan to use in promotion arrangements.

2.3. (ndustry (n) r&ati n

>hile the tourism industry continues to e pand B(B accommodation has been in decline for the past si years. &he reasons for this have been described previously. @ne area that has impacted is the increasingly tighter rules applied by various forms of governments around the suitability of structures for sleeping accommodation% as !ell as a tightening of regulations on the serving of food. &his impacts all sectors of the travel and accommodation industry. +t does have a positive impact on the quality of accommodation on offer and the chance of encountering a sub$standard B(B has declined% !hich is good for the industry in general. <Business Name> facilities have recently received an overhaul !ith ne! bathrooms and a #itchen !hich meet the latest requirements. A recent development in Point Vale is the filing of a ma"or development plan for a large 1/ room boutique hotel by a large chain !ishing to participate in the mar#et targeted by <Business Name>. 2o far these have not been approved by local council !ho see this type of operation changing the area and impacting the environment due to the imposing structure.

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2.4. !r duct*Service (n) r&ati n

&he most important service on offer is the provision of a safe% comfortable facility !hich has easy access to the local sights. &his is coupled !ith local #no!ledge% a friendly approach% and a rela ing environment that delivers a stress free stay. &he service provided by previous o!ners of <Business Name> !as indifference as the B(B accommodation !as secondary to the lifestyle of the o!ners and their desire to develop the rose garden. +t is hoped that the change of emphasis !ill provide strong !ord of month references to the care and attention of the guest0s requirements but not to lose the spectacular nature of the gardens and location.

3. Objectives
&he #ey ob"ectives for <Business Name> are3 '5) &o gain an occupancy rate of ;/= for !ee#end traffic and 7/= for !ee#day traffic !ithin the ne t si months% by mar#eting the .$star quality of the accommodation in a location that has high appeal to both target mar#ets. &hese occupancy rates are to rise to 6/= and ,/= respectively over the course of the first year. At this level of occupancy the cottages provide substantial income and return on investment. &o develop the rose garden as a destination for tourists visiting the area. Auring the first year have a minimum of three special events to promote the garden as !ell as hosting functions such as !eddings% parties etc. &he garden is to become an income centre generating a minimum of B-/%/// over the first year from tourist income and functions. >ithin t!o years to be considered by the local community as a significant part of the regional tourist industry and a supporter of the community activities by being nominated in the tourism a!ards for the region.

'1)

'-)

&o provide the o!ners the opportunity to en"oy their hobbies and recreational activities !hile delivering an income of B57/%/// per year after t!o years of operation.

4. Strategy
<Business Name> !ill provide the customer !ith the finest e perience in B(B available in the south !est region of Victoria by blending superior accommodation !ith friendly personal service in a unique garden setting% that is as beautiful as it is tranquil. >hile the local sights and destination provide the

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reason to visit the area the aim is to ma#e the visitor remember the uniqueness of the property first !hen they recall their visit. Part of the strategy is to provide the guests !ith a seamless arrangement of being able to blend their needs to visit and use other parts of the regions facilities such as !ineries% restaurants% nature !al#s etc !ith the provision of a home base at the B(B. &his !ill be achieved by the development of strong relationships !ith other service providers and delivering information and assistance to the tourist to help them !ith their planning of their day.

4.1. !r duct
<Business Name> has t!o primary product offerings3 '5) &o provide .$star guest accommodation. &he facility has four delu e double roomsC each is furnished in a classical contemporary style that utilises Australian timers and soft comfortable tones. Dach room has its o!n private bathroom and toilet facility !hich has been recently refurbished. &here is a light and airy feel to each room as double doors ta#e the guest onto a large balcony overloo#ing a private section of the rose garden. +n addition guests have access to a large !ell appointed lounge !ith an open fire for !inter !armth and atmosphere% along !ith an e tensive selection of boo#s about the local area and rose gardening. A selection of !ines from the local !ineries is available for purchase and consumption by guests in the surrounding garden. Brea#fast is served in the dining room% !hich is set for eight people and consists of cereals% fruits% breads and an e tensive hot selection including choice of eggs% tomatoes% mushrooms etc. &hese are all sourced from local suppliers and !ill vary depending on session. A #ey part of the product offering is the #no!ledge of the o!ners and their offer to assist guests in ma#ing arrangements to visit other attractions of the region. Dach local restaurant and !inery has information available at the B(B as !ell as direct dial access to assist in ma#ing boo#ings. &he local tourist centre is available online to help visitors ma#e for!ard plans and the B(B offers free internet access. +n the afternoon John offers guest the chance to "oin him on his daily cliff top !al# and e plains the region0s history and natural beauty. &his free and is timed so guests can be bac# for dinner. Judy is also prepared to provide guests !ith tips on caring for roses% and cuttings% as she tends to the garden on a daily basis. '1) &o provide a garden setting and facility that can be either vie!ed or hired out for special functions. &he garden facility has all !eather paths% several undercover sitting areas and a central la!n section !here a small marquee can be erected. >hile no large #itchen facility is available there is an electric BBE facility !ith hot !ater and sin# for day visitors !ho !ish to bring a picnic. &oilet facilities are available for these guests.

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&he garden does have sufficient off$street par#ing for 7/ vehicles% !hich is separate to the par#ing for guests of the house.

4.2. !ricing
Prices for accommodation have been set at the higher end of the mar#et as the client base is seen as in the mid to higher socioeconomic sector. Pricing scheme is based on a room rate per night% !hich includes brea#fast. >here the guest is a single a discount of ;= is offered to offset the provision of brea#fast. Prices for !ee#ends are 5/= higher than !ee#days% and !hen a guest stays three nights or more a discount of 57= !ill be applied. As there is not a high level of seasonality for visitors coming to the region prices are set the same year round e cept for special events 'Daster% *elbourne 9up and 9hristmas : Ne! Fear) !hen a 5/= surcharge is applied. &he price list 'including ?2&) for 1//;$/6 has been set at3 >ee#end $ >ee#day $ 2pecial Dvents $ B 178.// per room B 1-7.// per room B 167.// per room

Price to visit the rose garden bet!een the hours of 5/am to .pm has been set at3 Adults $ 9hildren $ 9oncession $ B 7.// per person B 1.// per person B -.7/ per person

Prices for events held in the garden at price on application 'P@A). &hese !ill depend on the number of persons and the usage of the B(B facilities as part of the pac#age.

4.3. %istributi n
All services !ill be provided at the B(B

4.4. !r & ti n
Website: &he use of the internet is essential in providing information and access to <Business Name>. A fully functioning site !ill be developed that !ill enable

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perspective clients to see !hat accommodation is available as !ell as allo! them to boo# online. &he site !ill have a virtual tour facility and lin#s to the other attractions in the region. Search Engines Optimisation: &o ma imise the discoverability of the !ebsite <Business Name> !ill arrange for lin#s !ith the #ey internet search engine sites. &hese !ill include3 Bed and Brea#fast sites3 !!!.oGbedandbrea#fast.com.au !!!.bedandbrea#fast.com.au !!!.bbboo#.com.au !!!.babs.com.au Accommodation sites3 !!!.stayG.com.au !!!.roamfree.com.au !!!.boo#easy.com.au !!!.ta#eabrea#.com !!!.!otif.com.au &ourist sites3 !!!.tourismvictoria.com.au !!!.visitvictoria.com.au !!!.tourism.vic.gov.au !!!.visitmelbourne.com Advertising: <ollo!ing the change of o!nership at the B(B% advertisements !ill be placed in the local press highlighting the ne! o!nership and offering special deals for local customers !ishing to visit the facility. Advertorial !ill also be offered for placement in the Victorian @pen ?arden promotions highlighting the rose garden and the days it !ill be open for vie!ing by the public. Advertisement !ill also be placed in the Hoyal Auto Victoria magaGine !ith an offer of a 5/= discount for members sho!ing their card. Paid advertorial !ill also be placed in this magaGine highlighting the garden as a place to visit !hen touring the region. Public Relations:

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&he !ee# prior to opening% the ma"or travel editors are to be invited for a overnight stay and a chance to see and assess the ne! facilities. &his is done on a free of charge basis. Iocal restaurants are to be invited to participate by inviting guests for dinner !here <Business Name> !ill provide the !ines for the evening. ?rand @pening of the B(B to introduce Judy and John Abbe to the region for all local residents and businesses is to be organised !ith an afternoon tea and snac#s on offer. *usic and a vie!ing of the improved facilities !ill be available. &he cost is a gold coin that !ill be donated to the local school for improvements to the library. &he gardens are to be offered for the use of local community groups for functions on a no cost basis for charity fundraising. Promotions: A high quality multi$folded brochure is to be promoted and distributed to all tourist information centres !ithin 7/ #m of the B(B. +n addition this is to be provided to all other tourist facilities !ithin the region% and in return for having them made available the B(B !ill carry the brochures of these facilities and actively direct clients to these locations for a visit. A discount of 7= is offered to those !ho mention this cross$promotional arrangement. &en free nights accommodation !ill be made available to local sporting clubs and service organisations for use in raffles and fund raising for these organisations. +n con"unction !ith the large accommodation sites% 7/ pac#ages of Jt!o nights for the cost of one0 !ee#day deals !ill be offered in the first three months as !ell as 5/ Jthree nights for t!o0 !ee#end pac#ages. Branding: All documents and information placed into the public hands are to have a consistent loo# and feel that highlights the superior accommodation and beautiful setting of the B(B. &he branding should leave the impression of indulgence and pampering. &his branding is to carry over to the provision of monogrammed uniforms for the staff% linen !are on tables% glasses and bedding used on site. &hese items !ill also be available for sale at the B(B.

4.5. O$erati na" !"an

2uccessful B(B business depends not only on location and quality of service but on ho! it is delivered. &he tactics therefore% require a very attentive and direct approach to the client base. &his ho!ever% can not be seen to be pushy or overbearing but constructive and sympathetic to the clients needs to Kta#e a brea#L. +t is envisaged much of the repeat business !ill come from personal referral so the ability to offer simple clear information !ith a no fuss personal approach is important. &he use of electronic ans!ering machines is to be #ept to

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a bare minimum and all direct interactions should be at a one$on$one level !here possible. Hesponse to enquiries is to be measured in hours not days and the use of K!e !ill get bac# to youL is to be avoided.

4.6. Sa"es $r & ti n

&he pricing schedules are targeted to encourage !ee#day usage as !ell as ma imise the income for !hat is e pected to be popular !ee#end deals. &he offer of discounts to singles as !ell as the offer for referral selling should drive business. Pricing for the use of the facility for functions that !ould include the use of the garden setting and B(B accommodation as a total pac#age% requires further refinement as this mar#et could attract a different clientele such as !edding% birthday or other celebrations. &he use of promotions into specialised magaGines for this sector !ould need to be underta#en but does require the integration of other suppliers of services to ma#e this successful. At this stage it is not e pected to actively pursue this avenue of activities.

4.#. Advertising
2pecific target mar#et approach for advertising is seen as the direction for <Business Name>. &he target mar#et for using the accommodation facility is able to be reached !ith careful use of both online sites and information being posted in #ey travel magaGines such as the Hoyal Auto% &ravel Victoria etc. &he emphasis is on having a brea# in a rela ing but beautiful location and is the #ey% so this does not have to be shouted at the consumer using intense mass media but !ill be easily available !hen required.

4.+. !ub"ic re"ati ns

&he <Business Name> is to be seen as being a positive contributor to the local community !ithout e pecting anything in return. +t is to actively participate in local functions and support the regional initiatives around the promotion of tourism in the region. Both o!ners !ill ma#e themselves available for these activities. >ith the garden profile being increased% Judy !ill see# out a position on the #ey gardening organisational committees in the 2tate and !ill loo# to use the facilities for community based functions. A series of brochures !ill be developed for the care and propagating of roses and this is to be offered to gardeners online% similar to the current !ine sites offering information to !ine lovers. &his can include access to cuttings% plants and specialty events.

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4.,. %irect Marketing

&he use of a high quality brochure is seen as essential to providing potential client0s information about the B(B and its surrounds. &his is to be available at all tourist destinations in the region and it is e pected both Judy and John !ill deliver these by hand to discuss the offering. +n addition% they !ill gather information about other facilities they can pass onto their guests. &he use of a bul# mail$out either via post% fa or email is not seen as productive as it does not provide the personal touch. 4o!ever% all guests to the B(B !ill go onto a direct email database 'provided they give permission) and promotions offering discounts to previous users !ill be offered on a regular basis. &hese !ill be in the form of a reduction in price per night.

4.10.

On"ine Marketing

&he internet is seen as a critical tool to reach customers. Auring the opening phase of the program special deals !ill be on offer. &hese !ill be repeated if consumers accept these offers. &he !ebsite is to be fully functional and !ill enable clients to request boo#ings and be able to ma#e these in real time. @n receiving the boo#ings the customer !ill receive a personal confirmation along !ith information of things to do in the region. All tourism !ebsites !ill be advised of the change to o!nership and the offers being made to customers.

5. Budgets
+tem >ebsite build Paid search engine advertisement to increase e posure 9ost to pressure test operations <ive colour brochure Aate 9ompletion 15 st *arch 15 st April 9ost B ;%/// B 5/%/// B 1%/// B ,%/// *easure of 2uccess Number of hits at 1%/// per month All sites listed carrying !eb lin# 2mooth performance of B(B All sites carrying information

5, th April 15 st April

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printed and distributed through out region Advertisement in HA9V and other travel magaGines Ne!spaper advertisement for local paper 2ite hosting costs 9ost of publishers evening 15 st April B .%7//

in prominent location

*onthly slot secured for five months. Advertorial accepted <eatured on page -

5, th April

B5%7//

5 st June 17 th April

B1%7// B;%7//

2ecured and feature on first page of ?oogle search @ne article !ritten and published over the ne t month in all ma"or travel magaGines and paper supplements <eature article

Advertising and editorial in Victorian ?arden Program ?rand @pening &@&AI

17 th June

B 7%7//

5 st *ay

B 5%7// B .6%///

1// people in attendance

6. Acti n !"an

Action Aevelopment of !ebsite Prepare logo and brand M order stationary Iin# !ebsite to #ey tourism sites @pen !ebsite to public Pressure test operation !ith family and friends

March 15 st

April

May

June

July

Who John

5 st

Judy

57 th 57 th 5, th

+& Aev +& Aev Judy

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Visit all local tourist offices Place advert in Hoyal Auto and other #ey magaGines +ntroduce business to local groups and other businesses. Aistribute brochure and special offers. Prepare ne!spaper advert and place in local paper >eb specials to be released on sites +nvited !riters and publishers !ee# ?rand @pening of B(B for local groups 2ubmit advertorial to 4ouse and ?arden and Beautiful ?ardens Hepublish brochure Victorian @pen ?arden 2cheme @pen Aay >eb specials for feature days to be offered

57 th M 15 st 15 st 15 st M -/th 15st 15 st 15st

John Judy John and Judy Judy +& John 5st John and Judy Judy

1- rd 17 th 17 th $-/ th

57th

57 th 5- th 57 th

Judy Judy John

#. Su$$ rting % cu&entati n

&he capital purchase of the Hose ?arden from the previous o!ners !as B5%57/%///. &his !as funded by the o!ner0s capital in"ection. Additional capital !or#s to the buildings and the development of facilities in the Hose ?arden 'paths and drought proofing) as !ell as furniture% soft furnishing% table !are% and #itchen facilities have been covered by a B1//%/// loan from the local ban#.

Attac-&ent .u&ber Attachment 53

% cu&ent .a&e 2econd Fear Balance 2heet

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Attachment 13 Attachment -3

Fear 1 P ( I Aaily 9ost of Aoing Business 'lin# to this !ithin BV site)

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