The Four P’s and Two C’s of Marketing The Marketing Mix The Four P’s and Two C’s of Marketing

The Marketing Mix The Four P’s of Marketing are: Products and Services Price Place Promotion The Two C’s of Marketing are: The Competitive Market The Consumer Market

Products and Services Quality If Product or Service quality is high, you will attract more customers Can you think of high quality products which consumers will pay for? Products do not always have to be of high quality If products or services or low quality can meet demand then they also have a high chance for success Can you think of lower quality products which consumers demand?

Products and Services Design/Style We often think of design and style in relation to clothing, but all products have design We often buy products for the way they look As consumers we often identify a product by its design For example the Coca-Cola bottle is one of the most identifiable packages in the world Can you name some identifiable packages?

Design/Style

Design/Style

Design/Style

Design/Style

Products and Services Features Features of the product may include what materials are used in construction, the smell of the product, the taste, etc. What are features for an automobile? Service providers must outline what they do If you were an office cleaner are windows included?

Products and Services Benefits What are the benefits of purchasing one product over the other Each product or service has benefits that attract different customers The consumer must be aware of these benefits in order to buy What benefits does Audi offer that Kia does not?

Price Pricing decisions can make the difference between success and failure With the advent of technology consumers are increasingly becoming price sensitive It is important to know how price sensitive consumers are If prices are similar in a competitive market then the other P’s will determine success

Place Place refers to the method that is used to get the product of service to the consumer This is referred to in Marketing as Channels of Distribution The three types of channels are: Direct – Producer to Consumer Indirect – Producer to Wholesaler to Retailer to Consumer Specialty Channel – Vending Machines or E-Commerce

Promotion There are Five Types of Promotions: Coupons – Where do we find them? Contests – Can you name any? Premiums – Something consumers get free with the purchase of a product Can you name any Premiums? Samples – Where do we get them? Special Events – Can you name any?

Competitive Market This consists of all the sellers of a specific product This is expressed as the total dollars spent on this product For example: Soft Drink Market The Fast Food Market The percentage of the market that a company or brand has is called its Market Share

Competitive Market Competitive Market Indirect Competition Other Businesses that compete with us for consumer dollars Indirect Competition Other spending needs that may draw customer dollars away from our products Direct Competition Other sellers of products similar to ours

Competitive Market How do companies take away market share from a competitor? The first is to increase the size of the market For example energy drinks expanded the size of the beverage market Can you think of any other examples? Hybrids, Gaming Systems, Lowe’s What is the risk with this strategy?

Competitive Market The second way to increase market share is by taking sales away from competitors How is this done? Promotions Advertising