Transforming Microfinance Institutions

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Transforming Microfinance Institutions

Figure 4.7 Proposed MFI Organizational Structure Incorporating Marketing General manager

Business strategy / competitive positioning

Commercial director (sales)

Marketing director

Operations

Regional directors

Market intelligence

Customer service

Branch managers

Product development

Channels (including ATMs)

Product managers

Systems

Publicity and promotion Source: Author.

The simplest way to develop a marketing plan is to start with a thorough diagnosis of the four C’s (client, competition, company, context) of marketing intelligence followed by a strategy built around the classic four P’s—product, price, promotion, place—as outlined in annex 4A, Sample Outline of a Marketing Plan. Most of the time spent (at least 60 to 70 percent) developing a marketing plan is invested in the diagnosis of the four C’s (that is, gathering marketing intelligence). It is in this part that ad hoc charts or analysis tools are developed that will be used to define the objectives, marketing strategy, and action plan. The problems and opportunities identified in the diagnosis phase, if well done, will spell out the possible solutions and strategic routes to be recommended in the strategy and action plan. It

may be useful for the MFI to engage a marketing consultant to help develop the marketing plan. See annex 4B, Sample Terms of Reference for Development of a Marketing Plan. Brand development is typically presented as part of the “promotion-communications” P, while sales-related activities are elaborated in the “placedistribution” P. For well-developed markets with high brand differentiation, the brand development plan is tackled at the corporate strategy level and thus is separate from the marketing plan. Similarly, the competitive strategy should be fleshed out in the business planning process that precedes the development of the marketing plan. Annex 4C provides a summary checklist of the major aspects of marketing and competitive positioning covered in this chapter.


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Transforming Microfinance Institutions by World Bank Publications - Issuu