Originally created in the 1990s by writer and speaker PR Smith, the SOSTAC® framework has built an authoritative reputation as the framework of choice for different scales of business including multinational and start-up organizations across the world as the basis of the great marketing plan.
Strategy-Driven Transformation requires 6 steps:
I. Situation Analysis (Where are we now?):
The situation should provide an overview of your organization – understanding how we are performing, what are our distinctive competitive advantages, how effective our Marketing Mix, are we focusing on the best segments with the right type of customers and are we using the most appropriate channels for communication and distribution? and how you interact and trade online by addressing internal and external factors impacting the business.
This section should be painting a picture of your organization and to do this, consider using some of the following methods to bring this section to life:
Goal Performance (5S’s): Explained in details in the Objectives section
Customer Insight (who, why, how?)
Competitor Analysis: who are your competitors? How do they compete? e.g. price, product, customer service, reputation, what are their key differentiators?
E-Marketplace SWOT Analysis: what are the strengths, weaknesses, opportunities, and threats to the whole organization.
Internal Capabilities and resources
(For guidance this section should take 20% of your total planning time)
II. Objectives (Where do we want to be?):
Clarify Business mission as well as Business, Marketing, communication objectives and use the SMART (Specific with numbers, Measurable by monitoring progress and confirm achievements, Actionable that can do it, Reasonable and realistically attainable, Timed with incorporating deadlines) test for objectives. Help list an overview of goals for the business by 5S’s objectives;
Sell: Growing sales, achieving through wider distribution to customers can’t serve offline. Setting customer acquisition and retention targets such as online sales or conversion rates.
Serve: Adding Value, achieving through giving customers extra benefits online. Customer satisfaction targets such as increasing no. of customers using online services
Sizzle: Extending the brand online, achieving through providing a new proposition and experience online. WoW factor (added value), site stickiness, visit duration
Speak: Get closer to customers by creating a two-way dialogue through digital channels, gather research & information. Setting targets on a number of engaged customers, followers.
Save: Saving cost through using digital technology (communications, sales, service, transactions etc) Quantified efficiency gains such as targeting web self-service usage.
(For guidance this section should take 5% of your total planning time)
III. Strategy (How do we get there?):
Strategy means how do you plan to get there in terms of fulfilling the objectives set. The strategy section should also identify which segments of the market you aim to target with your plan by answering three key questions