If you follow the principle that the customer - rather than the business idea - is at the center of the company, you are acting in accordance with the classic tenets of marketing. Although often used synonymously, marketing is far more than just "advertising." Marketing represents the orientation of the entire company toward the customer. The marketing plan is therefore a cornerstone of the business plan.

In your marketing concept, you describe how you intend to organize your market entry and capture the targeted market potential identified in your market analysis. A comprehensive marketing concept encompasses the elements of product policy, pricing policy, communication/promotional policy, and distribution policy (the "marketing mix"), all of which must be aligned with one another. If, for example, you have opted for a product policy that places great emphasis on ecological aspects, this added value must be communicated clearly to the target audience (communication policy). Your product may well be more expensive than competitor offerings that neglect ecological considerations. Your distribution policy should likewise reflect and reinforce the unique character of your product.

Product Policy / Strategy

In the Product / Service chapter, you provided a fundamental description of your offering. Here, you now address whether you intend to offer a single product/service or multiple products/services to optimally satisfy customer needs (single-product vs. multi-product strategy), and whether your product or service will be offered in different variations for different target groups (product variants). Furthermore, you determine whether you are planning ongoing product modifications (continual adaptation to emerging trends) or product innovations. Branding policy and brand management also fall under this scope.

Pricing Policy / Strategy

Pricing is primarily guided by customer willingness to pay - in other words, the price that the market will accept. The price you can command depends entirely on what the perceived value of your offer is worth to your customers. In the Product / Service chapter, you described and potentially already quantified your customer benefit. Based on this, establish a price range for your offerings. The choice depends on whether you aim to penetrate the market rapidly with low prices and high sales volumes ("penetration strategy") or whether you intend to skim off high margins with a premium price point ("skimming strategy"). Even if you initially pursue a penetration strategy to capture market share, you should recognize that this only makes sense if you subsequently leverage the gained market position to generate profits. A skimming strategy can yield high returns in a relatively short timeframe, but typically attracts new competitors into the market. Consider what measures you can implement to make market entry as unattractive as possible for new rivals (barriers to entry). Both strategies have advantages and disadvantages: for instance, a penetration strategy usually requires higher initial investments to meet the larger demand, whereas businesses with very high fixed costs must rapidly reach a broad customer base to cover their operating expenses.

When determining your pricing, make sure not to lose sight of your own production and delivery costs.

Communication Policy

Customers can only buy your product if they know about it and their attention is drawn to it. If you stay "hidden," even the most outstanding customer benefit will be of no use.

In your communication policy, you describe all instruments you intend to use to establish and deepen contact with customers. In principle, the following instruments are available to you:

• Traditional advertising across conventional media (press, radio, TV, cinema, and print/online)
• Direct marketing (targeted mailings to selected customers, telemarketing, online outreach, etc.)
• Presence at trade fairs and exhibitions
• Public relations (PR) - articles and features about you, your company, and your product(s) represent an efficient and cost-effective way to build brand awareness among customers
• On-site customer visits
• Social media and digital channels

Communication can be costly. Calculate your expenditures here with precision. Remember that your communication activities must be tailored to your target audience and their behavioral habits. Different media channels reach different target groups, which you should research thoroughly beforehand. When addressing potential buyers, focus on the individuals who ultimately make the purchasing decision or exert the strongest influence on it.

Distribution/Sales Policy

Distribution policy determines the channels through which you intend to sell your product or service - in other words, the pathway through which your offering reaches the customer. The choice between direct and indirect distribution channels depends primarily on the nature of the product, customer structures, and your selected pricing strategy. Relevant factors include, for instance: how large the number of potential customers is, what purchasing methods they prefer, what price segment your offering occupies, whether the product requires extensive explanation, and whether you are selling to businesses (B2B) or end consumers (B2C). Crucially, you must decide whether to handle sales in-house or engage specialized external service providers, as this significantly shapes your organizational structure.

Examples of Distribution Channels

Company-owned retail outlets (stores) are attractive when the presentation and physical display of the offering are vital to sales and when a large footprint of locations is not required to cover the market. Keep in mind that company-owned stores require capital investment, but grant you optimal control over sales operations.

Third-party retail stores sell your product to end consumers. Note that the product must allow retailers an attractive profit margin to be included in their assortment in the first place.

In-house sales representatives can be deployed when offering products that are highly complex or require in-depth consultation and personal customer visits. Bear in mind that the addressable customer pool cannot be limitless under this model, and internal sales staff represent relatively high ongoing costs.

Independent sales agents / commercial representatives distribute products from various manufacturers as external agents. This route is ideal if you do not wish to launch immediately with an internal sales team. The risk is limited, as costs are incurred only upon successful sales; however, commission rates are typically relatively high.

Wholesalers maintain established relationships with multiple retail outlets. Here, you can leverage existing distribution networks, albeit in exchange for granting substantial wholesale margins.

E-commerce / online sales can be very lucrative, allowing you to reach a broad customer base at relatively low overhead. However, be mindful of your target audience and their online purchasing habits. Additionally, you must ensure seamless fulfillment, shipping, and customer support.

Once you have developed and synchronized all necessary activities across the four pillars - Product, Price, Promotion (Communication), and Place (Distribution) - your customized marketing mix is complete. Please ensure that product design, pricing, promotional measures, and sales channels remain consistently aligned with your respective target audiences.

At this stage, you can already quantify the cost estimates for individual marketing initiatives. This data will feed directly into your financial plan later on.

Guiding Questions

Product Policy

• Does your product portfolio effectively address the needs of your customers?
• What specific features must the product possess to satisfy the relevant customer need?
• Which versions/tiers of the product or service are intended for which customer segments?
• Does your product policy incorporate sustainability considerations?
• Does this align with customer needs and preferences?

Pricing Policy

• At what price point do you intend to position yourself in the market?
• Have you accounted for the willingness to pay (price elasticity) of your target group(s)?
• What is the perceived value of the product's benefits to the customer?
• Do you intend to penetrate the market rapidly with a low price, or capture high margins from the outset?
• What strategic objective are you pursuing with your pricing model?
• What criteria do you use to calculate the final retail price (profit margin, sales volume, etc.)?
• Is your pricing aligned with your specific target audience?
• Have you planned special commercial terms, such as volume discounts, extended payment terms, etc.?
• Does your pricing policy support sustainable development (e.g., through green discounts, cross-subsidization of sustainable products, or funding specific social/environmental projects)?

Communication Policy

• What communication strategy are you pursuing?
• How will you attract the attention of your target customer group(s) to the product / service?
• Through which channels will you reach your customers?
• Which communication measures best fit your target group(s)?
• How will you acquire early reference/pilot customers? Which marketing measures are planned for which point in time?
• What marketing expenditures will be incurred (for launch and ongoing operations)?
• Is the scope of your planned communication strategy commensurate with the scale of the venture?
• Do you clearly articulate and communicate the added value delivered to customers, society, and the environment through the integration of sustainability aspects?

Distribution Policy

• Through which sales channels will your product be distributed?
• Do your selected distribution channels effectively reach your prospective buyers?
• What operational requirements (headcount, qualifications, tools/equipment, etc.) must the sales organization fulfill to execute the marketing strategy successfully?
• How do you safeguard quality standards when relying on third-party distribution?
• How are you structuring your sales organization? What will you manage in-house, and what will you outsource?
• Can existing distribution channels (cooperations, strategic partnerships) be leveraged?
• Have you factored in the time and acquisition costs required to convert customers?
• Do you take into account the environmental impact of your supply chain (e.g., carbon emissions)?
• Can you reinforce unique, sustainable features of your product / service through your distribution channels (e.g., exclusive distribution via organic/specialty retail stores)?