THE MARKETING MIX CHAPTER 03

CHAPTER 03 THE MARKETING MIX D. Saraniya [BBA (Hons) - Sp. in Marketing, ACIM & AMSLIM] Preliminary Certificate in Marketing Creativity is intelligence having fun 0 The Marketing Mix 0 The Traditional Marketing Mix 0 The Extended Marketing Mix 0 Key Characteristics of Effective Marketing Mix Marketing Mix Right Mixture & Vital Spark Marketing Mix is the set of controllable, tactical marketing tools that the firm blends to produce the response it wants in the target market. Marketing Mix • Product – is anything that can be offered to a market for attention, acquisition, use or consumption that might satisfy a want or need. • Price – is the amount of money charged for product or service, or the sum of all the values that consumers exchange for the benefit of having or using the product or service. • Place – includes all activities in order to make the product available to target consumers in the right place and at the right time . • Promotion – are the means by which an organization attempts to inform, persuade & remind consumers directly or indirectly. TRADITIONAL MARKETING MIX (4P’s) Features, designs, brands, and packaging & along with post-purchase benefits List price including discounts, allowances, and payment methods Distribution of the product or service through stores and other outlets Advertising, sales promotion, public relations, and sales efforts designed to build awareness ALTERNATIVE MARKETING MIX Why Extended Marketing Mix? Booms and Bitner included three additional 'Ps' to accommodate trends towards a service or knowledge based economy: • People • Process • Physical Evidence EXTENDED MARKETING MIX People Relates to all personnel dealing with delivering the marketing experience to the target audience • Careful policies of recruitment & selection • Job Design • Programs of training & development • Standardized rules & practices • Motivation & Reward Systems • Internal Marketing Process All procedures, systems & policies a consumer needs to go through in dealing with the organization • Procedures, ordering systems & policies • Automation of processes • Queuing & waiting times • Information flow to service units & customers • Capacity Management • Accessibility of facilities, premises, personnel & services Physical Evidence Deals with all aspects of giving tangibility to the intangible service offered to the consumer Important in service industries because of : • Intangibility • Lack of ownership of services If physical evidence does not match customer expectations then they will withdraw Physical Evidence Elements: -Tangible evidence of purchase • Labels & other printed information • Tickets, vouchers & purchase confirmations • Logos & other visible evidence of brand identity -Environment of service delivery • Staff uniforms • Facilities • Noise levels • Smells • Ambience • Website design 7Ps & 7Cs The 7 Ps The 7 Cs Organisation Facing Customer Facing Product = Customer Value Price = Cost Place = Convenience Promotion = People = Communication Caring Processes = Co-ordinated Physical Evidence = Confirmation Key Characteristics of an Effective Marketing Mix Matches Customer Needs Matches Corporate Resources Effective Marketing Mix Well Blended Creative Competitive Advantage DIFFERENCES Time For QUESTIONS? What is the SOLUTION?