Marketing Plan for the Independent Inventor

The Advantages and Disadvantages of a Marketing Plan

A well-written, comprehensive marketing plan is the focal point of all business ventures because it describes how you plan to attract and retain customers. This is the most crucial aspect of a business.

Having a marketing plan is essential to any successful business. In fact, it is the heart of the business and the basis from which all other operational and management plans are derived. Marketing can give inventors a wealth of information that, if applied correctly, can virtually ensure your success.

Therefore, it is important that you, as a first-time business owner, develop a comprehensive, effective marketing plan. If you need assistance in accomplishing this task, contact your local SBA office. You can find them by looking through the local telephone directory under "U.S. Government" for the telephone number and address of the office nearest you. You can also get that information by going to the U.S. Small Business Administration's website and entering your zip code in the section "local assistance." 

An effective marketing plan will certainly boost your sales and increase your profit margins. You must be able to convince customers that you have the best product or service for them at the best possible price. If you cannot convince potential customers of this, then you are wasting your time and money. This is where the marketing plan comes into play, and this is why it is so important.

There are numerous advantages you can extract from the marketplace if you know how. And the marketing plan is an excellent tool for identifying and developing strategies for putting these advantages to work.

Business Advantages

  • identifies needs and wants of consumers
  • determines demand for a product
  • aids in the design of products that fulfill consumers needs
  • outlines measures for generating the cash for daily operations, to repay debts and to turn a profit
  • identifies competitors and analyzes your product's or firm's competitive advantage
  • identifies new product areas
  • identifies new and/or potential customers
  • allows for testing to see if strategies are generating the desired results

Business Disadvantages

  • identifies weaknesses in your business skills
  • can lead to faulty marketing decisions if data isn't analyzed properly
  • creates unrealistic financial projections if information isn't interpreted correctly
  • identifies weaknesses in your overall business plan

Review

It's always good to review what goes into a marketing plan. Write down what you can remember on a blank sheet and then compare it to this quick fact sheet. The marketing plan offers numerous advantages; however, as you can see, there can be drawbacks. Keep in mind that the advantages outweigh the drawbacks and you can always seek professional assistance when you are developing the marketing section of your business plan. It may be worth the investment.

Next: Making An Effective Plan