Marketing Your Service - First Lessons...Confirm Each Element of Your Marketing Strategy Goal and...

© accomplice 2009 Marketing in the NHS: 10 Lessons 1

Marketing Your Service - First Lessons -

Nicky Spencer

marketing:accomplice

www.accomplice.uk.com


AIM

Early learning aboutthe value of marketing

to health services


Overview

10 summary lessons to-date, providing a brief introduction to

– Marketing and the Marketing Process– Pre-requisites for Marketing– Market Analysis– Marketing Positioning Models– Marketing Mix – and the place of promotion in

marketing


with thanks to

for sponsoring ‘Marketing in the NHS’pilot training programmes

and the delegates who contributed to those programmes

© accomplice 2009 Marketing in the NHS: 10 Lessons 5A m b l e s h i r e

M o n t o n s h i r e

R o

t

h

s

h

i

r

e

RothshirePCT

Midton

River Rail

A & B roads

PCT boundary‘

Locality boundary

Easton

AmbletonFT

H

H

URH

H

RothshireAmb. Trust

RothtonPCT

N

Monton (10km)

Ambleton (15km)

Marham

H

H

Wooding ton

Emery Private

H

RPT Healthcare PONDS

Rothton-on-Sea

Greenshire

Midshire Eastshire

Rothton

LONDON (300km)


LESSON 1

Marketing now has a place in the NHS

Definitions

“The management process responsible for identifying, anticipating and satisfying

customer requirements profitably”

Chartered Institute of Marketing

“Groups of consumers with similar needs that may be satisfied by a similar target”

(product/service/idea)

Ennew, 1993


Drivers

PBR ‘Tariff’Finance follows Choice

Better Care and Patient Experience

System ManagementInspection & Regulation

ChoicePlurality

of Providers

turbulence More risky


LESSON 2

Having a Marketing Plan Makes Sense

• An essential element of the overall business planning process

• Clarifies your marketing aims and objectives –and rational for selection

• Focuses your marketing activities in the right direction (good use of limited resources)

• Offers potential to gain ground on competitors

The plan itself will not guarantee success in the market but the lack of one will offer you no

assistance at all (Phil Stone, 2001)

© accomplice 2009 br12.11.4-Marketing in the NHS (Tutor Part 1) 9

Prerequisite

Work within Your Corporate Strategy

Aim (Mission)Benefits

Principles & Values

Objectives& Sub-objectives

Resources:People, Finance, Facilities, Information

And, the strategy for your service/specialty


Purpose of a Marketing ‘Strategy’

To identify, build and maintain

competitive advantage for the organisation

[or service]in its chosen market

Ennew (1993)

To identify, build and maintain

contestabilityfor the organisation

[or service]amongst its chosen

commissioners,and with the public, patients and users

Ennew (1993) Adapted


LESSON 3

The Marketing Cycle Can Fit In …

Planning

Feedback and

Control

Development/Revision of Marketing Objectives relative to performance

Assessment of Market Opportunities and

Resources

Revision / Formulation of Market Strategy

Development/Revision plan for implementation

and control

Implementation (and monitoring) of

Marketing Plan

Source: ‘Marketing Concepts and Strategies’ Dibbs, Simkins, Pride & Ferrell (1991)


And the cycle allows you to be pragmatic…

…re-work your plan again and again

… cycle after cycle.

… ‘til it’s done.


Pragmatic about …

• The information available (and what you need to collect)

• Assumptions you have had to make• Mapping or responding to (sudden)

changes in your environment –competition and customer needs

• Refining your objectives and plans• Implementation – regular progress

monitoring progress• The fit with your overall business plan


The Marketing Cycle

Planning

Feedback and

Control



Resources



and control


Marketing Plan



LESSON 4

Confirm Your Marketing Objective (or Brief) at the Start

• SMART– Specific (focused, purposeful)– Measurable (outcome)– Achievable (deliverable, ‘can do’)– Realistic (within time, resources, quality)– Timeframe (timescales)

• Other issues– Gain a clear brief– Scope (organisation, service, ‘lines’)?– Right first time or refine over time?


Starter Marketing Objective

To produce an achievable marketing plan for the [Service]

to ensure that it is sustainable in the new ‘health era’


The Marketing Cycle

Planning

Feedback and

Control



Resources



and control


Marketing Plan



LESSON 5

Use the tools to help analyse your market

Purpose of Market Analysis

To generate reliable informationso that

marketing efforts (and resources) can be prioritised

and concentrated on best solutions


Some Known - The ‘SWOT’

Your Service

Outside the Service

What’s going well? What needs improving

What threats are there?What’s good news?

STRENGTHS

THREATS

WEAKNESSES

OPPORTUNITIES


Some New – Assessing Competition

• % of the ‘market share’ (potential customers)

• Type of threat:– Leader, challenger, nicher, follower

• Degree of threat:Spencer Marketing

Dimension PilotScore:3 Score:2 Score:1

Likelihood High Medium Low

Time Short Medium Long Term

Approach Aggressive Cautious Passive

Sustainability String Intermediate Weak

© Nicky Spencer, July 2006


… to assist you prioritise your efforts

Leader Detailed Analysis

+

Double CheckThen

Re-assessat

Challenger Marketing Strategy

+

Defer Analysis+

(Annual) Marketing

review

Nicher Sharpen USPs

+

ReviewPeriodically

+

Follower Activate Plan Set Reminders for

next review12 9 6 4

Incr

easi

ng th

reat

Spencer Competitor Assessment Grid © Nicky Spencer 2006


Patients in areaand out-of area

Staff from the service

GPs (and practice-

based commissioners)

CommissionersLinked

Influence

influence

Carers & FamiliesIn area

andOut of area

influence

Some Overdue: Mapping Customers is Complex

influence

influence

[Existing and Potential Customers: sample only]


As is gathering information about them …

• Preferred Services: What do they ‘buy’

• Services not purchased: What services could they buy but don’t – and why not?

• Reason(s): Why do they purchase what they do?

• Influencers Who influences their decisions

• Frequency: When? How often?

• Location/Means Where do they ‘buy’ (referred, get information, hear about, access)


The Marketing Cycle

Planning

Feedback and

Control



Resources



and control


Marketing Plan



Strategy … where you are going and broadly what you need to do to get

there


LESSON 6Market Positioning Models are valuable

Adapt them Re-jargonise (1) them

Use them

to get the full picture of how your service compares with alternatives (competitors)- both now and in the future

to prompt debate, discussion and learning

Caveat: Adapt themWhat happens to services that are not viable using

these ‘positioning models’?


Product Life Cycle

[Sales]Activity

Time

Capacity Reached

Introduction Growth Maturity Decline

Know DemandMaintain

CompetitiveAdvantage

Reap Rewards&

IncreaseMarket Share

Beware ofInvestment

Rate Varies

XX

X

X X0


Other Positioning Models

• Boston Consulting Group Matrix– Growth rate– Amount of the ‘market’ you hold

• McKinsey/General Matrix– (Market) Effectiveness: Commissioners and

users– Contestability (strength vis a vis competition)

• Ansoff Matrix– Decisions on growing your service


Marketing Tactics

… ‘how’ to get there

… achieving the right ‘marketing mix’ Borden, 1965


LESSON 7 The Marketing Mix are Familiar Friends

• The four ‘P’ [Product]s:-– Right Product or service – precursor to confirming the

measure of other ‘ingredients’– Right Price – and productivity (fixed, variable costs)– Right Place, time and ‘quantity’ of a service - service

models – Right Promotion – right information to the right people

at the right time in the right medium

• ensure the correct perceptions about your service’s features, value, image and availability

• emphasise your service’s uniqueness, focus or targets to secure your position within the market


• Physical Evidence – e.g. catering, cleanliness, noise, privacy, timeliness

‘waiting’, temperature – and topical issues (MRSA)• People

– e.g. appearance, attitudes and commitment, communication, discretion, interpersonal behaviour

• Process – e.g. policies and procedures; customer engagement and

involvement; mechanisation, flow (or lack of flow) in activities-pathways’?

– Factors: Customer-friendly ‘patient-centred’; consistent, standardised front to the consumer; dealt with in the right order … as speedily as possible … in the most effective manner

Three further [service] P’s


And – the formal ‘P’ -The Right Philosophy • Explicit about principles and values (ethos,

philosophy) • Integrate, from the start, into the marketing …

– Evaluations, planning and positioning– Mix, strategy and plan

• Fundamentally affect your marketing strategy:– approach – consistency – outcomes

• Draw from and feed back into the organisational value statements


LESSON 8 Confirm Each Element of Your Marketing Strategy

Goal and Objectives reflected in: • Position sought within the market• Target group(s) to be focused upon• Unique Selling Points (USPs) ‘differentiate’

– significantly different from your competitors?– valued by your customers? – benefit your customers?– motivate customers to ‘choose’ your service?

• A marketing mix to steer the way• Measurable benefits to result.


Our Goal

Sustain ‘our’ service as the market leaderwithin a new, more competitive environment

whilst delivering the highest possible quality of care to elderly patients


Our Priorities (draft 1)

1. Increase our good reputation through promotion (and demonstration) of the service’s– USPs and benefits - including exceeding nation

requirements – flexibility in meeting commissioners’ and referrers’

requirements e.g. localised2. Influence commissioners (and referrers) to

pursue best practice in and to invest in innovation

3. Confirm and develop a more balanced portfolio of services (in line with investments and by being creative with the resources we have)


Our Unique Selling Points – Draft 1

Synergy of …• Established service of good quality +• Good reputation – national and local +• Well trained staff with expertise: efficiently

organised with strong leadership and excellent CPD +

• Strong multidisciplinary and partnership working +

• [Known for proven outcomes]


The Marketing Cycle

Planning

Feedback and

Control



Resources



and control


Marketing Plan



LESSON 9A Strong but ‘Simple’ Implementation Plan

is Essential to DeliveryAction Outcome Measure Lead DateWhat will be done How we will know it is done By Whom By When


LESSON 10Plenty for all – and more to explore?

• Elementary level– Services marketing– Reputation management– Customer management etc.

• Laboratory conditions– Simulation – Emerging practice (primary care)– Few exemplars (confidentiality)

• Value to commissioners?


AIM

Early learning aboutthe value of marketing

to health services


Overview

10 summary lessons to-date, providing a brief introduction to

– Marketing and the Marketing Process– Pre-requisites for Marketing– Market Analysis– Marketing Positioning Models– Marketing Mix – and the place of promotion in

marketing


Towards a Marketing Plan

Planning

Feedback &

Control

Develop/ReviseMarketing Objectives

Assess Market Opportunities & Resources

Revise/ Formulate

Market Strategy

Develop/Revise Marketing

Plan

Implement (and monitor)

Marketing Plan

SWOT. PESTE

Commissioner, User (Partner)

Alternative Provider

Organisational Strategy SWOT, PESTE

Organisational Marketing Plan

Service Statement of Purpose

Marketing Objective

Positioning

Marketing Mix

Prerequisites

U.S.P’s

Benefits

Target Groups

Con

test

abili

ty

Stra

tegy

Resources (& Budget)

Implementation Plan

Operational Implications


Links and Follow Up

marketing:accomplice

• www.accomplice.uk.com– Simulation Marketing Plan Download– Support, advice and training – Articles– Contacts and links

• Nicky Spencer– [email protected]– Telephone: (01949) 829234


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