Parts of business plan

Business plan part3 8. MARKETING STRATEGY a. Target market 1.Problem to be solved or benefit to be offered 2.Demographic profile 3.Other significant customer characteristics b. Customer’s motivation to buy c. Market size and trends 1.How large is the market? 2.Is it growing or shrinking? How fast? d. Personal selling efforts 1.Sales force size, recruitment, and training 2.Sales force compensation 3.Number of calls per sale 4.Amount of average sale E. Advertising and promotion 1.Media used (reader, viewer, listener prof iles) 2.Media costs 3.Frequency of usage 4.Plans for generating publicity (free -of -charge) 5.Sample infographic (tells your story on one page) 6.Sample brochure f. Pricing 1.Cost structure a. Fixed b. Variable 2.Desired image in market 3.Comparison against competitor’s prices 4.Discounts (coupons at initial introduction?) 5.Gross profit margin g. Distribution strategy (if applicable) 1.Chann els of distribution used 2.Sales techniques and incentives for intermediaries h. Test market results 1.Surveys (copy of blank survey) 2.Customer feedback on prototypes 3.Focus groups i. Customer orders or letters of support • Description of management team (10) • Plan of operation (11) • Financial forecasts (12) • Associated references for this part (15) 12. THE FINANCIAL FORECASTS a. Key assumptions b. Financial statements 1.Income Statements (Monthly year one all on one page, quarterly years 2 -3) 2.Balance Sheets (Quarterly years 1 -2- 3) 3.Statements o f Cash Flows (quarterly for years 1 -2- 3) c. Br eak -even analysis d. Ratio analysis with comparison to industry average