The Marketing Process

MARKETING MIX - TRADITIONAL 4 Ps The 4 Ps in marketing is termed as Marketing Mix The 4 Ps are: PRODUCT PRICE PLACE PROMOTION

& Intended Positioning Marketing Mix PRODUCT PRICE Variety Quality Features Brand Name Packaging Services List Price Discounts Allowances Credit Period Credit Terms Customers & Intended Positioning PROMOTION PLACE Advertising Sales Promotion Public Relation Publicity Personal Selling Channels Coverage Assortments Locations Inventory Transportation

4Ps List Price Discounts Allowances Credit Period Credit Terms PRODUCT

Marketing Mix PRODUCT It is good, service, idea, place or person that is offered to customer to satisfy his/her need The attributes of product are variety, quality, warranty, design, packaging and service The product is the element that get differentiated over time Products need to be modified overtime to retain the interest of the consumer Product is an area where frequent innovation takes place

PRODUCT

PRICE Price is the value at which a marketer offers the product/service/idea to a customer Price is determined by the interaction between the supplier and the customer Supplier makes offer price based on cost and profit margin Since the market is buyers’ market, cost determination is very important The objective is to reduce the costs to the minimum so that the price can be competitive Sometimes the same company may offer one product at a price lower than the cost and compensate this loss by pricing another product much more than its cost

PRICE

PLACE PLACE It is the distribution of goods from the factory to the target customers It includes distributors, wholesalers, stockiest, C&F agents and retailers and are called as channel partners. The attributes are channels, its coverage, assortments, locations, inventory and transportation There are others too like franchisees, branches, depots, logistics support like transportation, warehousing, loading, unloading services etc

Place

PROMOTION PROMOTION Communicating product features and it benefits to target customers through different media is known as promotion Some of the promotional tools are advertising, personal selling, public relations, sales promotion, sponsorship etc.

PROMOTION

PROMOTION Communicating product features and its benefits to target customers through different medium is known as promotion. Advertising, personal selling, public relations, sales promotion, sponsorship etc are some of the promotional tools being used in marketing. Promotion answers questions such as how quickly the product should be brought to the notice of the customers, how persistently and how the differentiations in the products are highlighted etc.

Modern Components of Marketing Mix PEOPLE PROCESS PHYSICAL EVIDENCE

PEOPLE

PEOPLE People are important in service marketing Eg. the front office staff in hospitality industry, staff in a wellness care center etc People are the real differentiators in this industry Now service marketing has become a separate branch of study in management

PROCESS

PROCESS Many enterprises are process driven now Now due to TQM, marketers are not merely satisfied with quality in the final product but are deeply involved in the entire processes that an enterprise follows E.g. Carpet vendors in Germany Process management has become more easier due to the implementation of ERP In certain cases the difference between process and product becomes very thin E.g. e-learning process

PHYSICAL EVIDENCE Giving physical evidence to intangible products E.g. photographs of dishes displayed by a hotel, experimental learning of the products as test use, specifically attired attendant etc.

PHYSICAL EVIDENCE