November 2003

Business Plans vs. Marketing Plans: Do You Need Both?
By Cymber Quinn

Do you know the difference between a business plan and a marketing plan? Although they are related and both very important to growing your business, it’s important to understand the function of each and why you need both.

Business Plans
A business plan outlines and details how money will move in and out of your company, as well as defining your business, identifying your goals, and serving as your firm’s resume.

According to the Small Business Administration, “the basic components include a current and pro forma balance sheet, an income statement, and a cash flow analysis. It helps you allocate resources properly, handle unforeseen complications, and make good business decisions. Because it provides specific and organized information about your company and how you will repay borrowed money, a good business plan is a crucial part of any loan application. Additionally, it informs sales personnel, suppliers, and others about your operations and goals.”

There are lots of terrific resources for writing business plans, including WIC’s November speaker, Jim Horan’s One Page Business Plan, www.onepagebusinessplan.com. You can also get free information about writing business plans, including sample business plans for high tech marketing consultancies from the Small Business Administration at www.sba.gov/starting_business/planning/basic.html. Sample business plans are located at www.bplan.com/samples/sba.cfm.

Marketing Plans
A marketing plan is a subset of the overall business plan and focus specifically on how you will look for new customers. Marketing plans include strategic messages that describe the problems you solve and the benefits you offer. The plan also includes ways that you can get the message out including networking, cold calls, letters and direct mail, talks and seminars, referrals, strategic alliances, advertising, trade shows, and permission-based email newsletters.

Molly Gordon, author of Authentic Promotion and business coach, talks about the importance of the Rule of Threes. The Rule of Threes says that you focus your marketing message by identifying three attributes that, if widely known, would create the perception you want people to have about you. Then pick three methods of marketing these messages and do each one three times or more in three months. That means you might give three talks in three months, do three direct mails in three months, and attend three networking events in three months. “There’s something magical that starts to happen when you adhere to the Rule of Threes,” Molly says.

Chip Doyle, owner of Sandler Sales Institute and a previous WIC speaker agrees. However, Chip thinks that you should be doing seven or more activities at a time. “Something shifts in the universe,” he says. “This is for real. You have to try it to believe it.”

Both agree that consistency and persistence are the keys to driving new business. “Don’t give up before the miracle occurs,” Molly says.

Learn more about Molly Gordon and Authentic Promotion at www.mollygordon.com. Information on Chip Doyle’s marketing and sales methods can be found at www.train2improvesales.com.

About Cymber Quinn
Cymber Quinn is president of Ink Communications, Corp., a writing services company focused on deep technology and non-profits. Her clients include Informatica, iMedica, Sun, Los Gatos Rowing Club, and Ghost Ranch Conference Center. She can be reached at 408-353-9775, cymber@inktc.com, www.inktc.com.