An online marketing proposal is a formal document that usually accompanies an online marketing plan. It is used to sell an idea, concept, or product to potential investors, stakeholders, or customers. The document usually contains various pieces of information such as the background of the business, its products or services, the market size, and the objectives and strategies of the business.
The objective of the proposal is to convince the reader that the business is viable and worth considering. To do this, the writer must provide solid evidence or arguments to support their claims. The business plan should be concise but comprehensive enough to present a clear picture of the business’ activities and their objectives.
The format of the proposal depends on how the marketing manager plans to disseminate the proposal. If they intend to present the proposal in person, then they should use PowerPoint or Prezi to make it more engaging. If they plan to distribute the proposal digitally, then they should use a PDF version or a Microsoft Word file.
The contents of the proposal are fairly standard across industries, but the order in which the information is presented can vary. The writer should start by briefly introducing themselves and their role in the company. Next, the writer should present the business’ mission and objectives. These are key points that the business wants to achieve and should be presented in the clearest, most concise way possible. The writer should then move on to describe the products or services the business offers. In doing so, the writer should include the specifications, the advantages, and the disadvantages of the products or services. There should be a clear link between what the business offers and what the customer needs. For instance, if the business is a catering company then the customer needs food, but the business also offers packages where the customer gets a dessert too.
The structure of the proposal is fairly standard too. After the business’ mission and objectives, the proposal should include the following sections:
An executive summary is a short version of the business’ proposal that usually appears at the beginning. An executive summary is used to grab the reader’s attention and make them want to continue reading. It should be no more than two or three paragraphs and contain a summary of the important information in the business proposal, including the background of the business, its products or services, its objectives, and the strategies it will use to achieve those objectives.
Overview of the Business
An overview of the business is often the first section of the business plan. The overview of the business is a short introduction to the company, its history, and its existing operations. This section is usually between one and two pages long.
The market analysis is a section of the business plan that focuses on the market size, the market share, and the segments of the market the business plans to target. The market size is the population of potential buyers for the business’ products or services. The market share is the proportion of the market that the business manages to capture. The segments are subgroups of the market, typically determined based on the buying behaviors of previous customers. The market analysis should include the following sub-sections:
The market size is usually presented in the form of a pie chart. The size of the various markets should be proportional to the revenue that the business will generate. Some businesses may choose to present the market size in terms of units (sales or users). The market size is an important figure to present as it indicates the number of people or devices that are potential customers for the business. It also allows the writer to determine how much investment should be made in promoting the business, developing new products, or expanding into new territories.
The market share is the proportion of the market that the business manages to capture. It is usually presented in the form of a pie chart as well. The market share is an important figure to present because it indicates the success or failure of the business based on which sub-segments of the market it captures. The more the market share increases, the better the business does in capturing new customers and retaining those it already has. This is why the market share is usually presented after the market size.
The segments are subgroups of the market, typically determined based on the buying behaviors of previous customers. The segments are the smallest marketing groupings that a business can target based on the needs of its customers. For example, if the business is a hotel then it can target guests, residents, or both. The segments are used in the marketing plan to establish the businesses’ point of difference (POD) and to present a simple way of breaking down the customers’ journey from the initial point of contact through to the final purchase. For example, a business that owns several hotels can target convention attendees by presenting them with a variety of hotel rooms and inviting them to make a booking. At the end of the process, the hotel can present the customer with a variety of deals based on their booking preference.
The ops section of the business plan contains the following elements:
Overview of Manufacturing
The overview of manufacturing is a brief description of the production process of the business, including where and how the products are made. This section usually starts with a short description of the materials used in the business, followed by a detailed description of the procedures used from raw material extraction through to the final product.
The financial analysis is a section of the business plan that presents the financial information of the business, broken down by segment. The writer should include this section last since it typically comes last in a business plan. However, the writer may choose to present the financial analysis first if the business is a start-up and does not have the required funds to invest in marketing or research and development. The following elements should be included in the financial analysis:
Overview of the Parent Company
The overview of the parent company is a short description of the corporate history of the business. This section is usually between one and two pages long.
Operations of the Business
This is the section that contains the actual operations of the business. The writer should include a detailed description of the processes used by the business, how products are marketed, and the costs associated with manufacturing and marketing the products. The following elements should be included in the operations section:
– Product Development: This element includes the steps used to create new products, identify and solve problems, and improve existing products.
– Marketing, Sales, and Operations: This element includes the processes for marketing and selling the products, any special services offered, and the overall organization of the business, including its physical setup.
– Strategy and Plan of Action: This element includes the objectives and the strategies the business will use to achieve those objectives.
– Analysis of Competitive Advantage: This element includes a description of the strengths, weaknesses, and unique features of the business.
– Pricing Strategy: This element includes the pricing strategies of the business, as well as the benchmarks used to measure its success.
The market environment is a section of the business plan that presents the socio-economic environment in which the business operates. This section is usually between one and two pages long. The writer should describe the regulatory framework within which the business operates, including the spectrum of available regulation and the government assistance to be found there. The writer should also include details about the dominant players in the market, including their organizational structure, the type of products they offer, and the degree of competition within the market.
To illustrate, the market environment of travel insurance in the UK might include the following:
Travel Insurers in the UK
There are three major travel insurers in the UK—AXA, Aviva, and Swiss Reinsurance. The market share of these companies in 2016 was as follows:
- AXA 82.2%
- Aviva 17.2%
- Swiss Re 11.6%
The dominant players in this market share are Swiss Reinsurance and AVIVA, with an estimated 85% of the market share combined. This is because both companies have a significant number of independent agents that sell insurance products. These agents need to generate revenue, so they are encouraged to sell as many products as possible.