Finals

• A marketing mix includes multiple areas of focus as part of a comprehensive marketing plan. The term often refers to a common classification that began as the four Ps: product, price, placement, and promotion. (Will Kenton, 2019)
• E. Jerome McCarthy, a marketing professor and author, first introduced the four Ps classification for developing an effective marketing strategy
• Product - It represents an item or service designed to satisfy the needs and wants of the customer. It can be tangible or intangible.
• Product differentiation - form, features, customization, conformance, performance, durability, reliability, repairability and style.
• Service differentiation - ordering ease, delivery, installation, customer service, maintenance, and repair.
• Price - It reflects what consumers are willing to pay for product or service.
• cost-based pricing - consider costs related to research and development, manufacturing, marketing, and distribution
• value-based pricing - consumers' perceived quality or value
• Placement - distribution or the distribution channel.
• Basic consumer products - paper goods, often are readily available in many stores.
• Premium consumer products - typically are available only in select stores
• Marketing mix


  Combines the main marketing elements to sell products that meet the needs and wants of the customers: product, price, placement, and promotion
• E. Jerome McCarthy


  A marketing professor and author who first introduced the four Ps classification: product, price, placement, and promotion
• Consumer-centered marketing mixes


  Focus on customers in their approaches
• Product


  An item or service designed to satisfy the needs and wants of the customer, can be tangible or intangible
• Product differentiation


  • Form
  • Features
  • Customization
  • Conformance
  • Performance
  • Durability
  • Reliability
  • Repairability
  • Style
• Service differentiation


  • Ordering ease
  • Delivery
  • Installation
  • Customer service
  • Maintenance
  • Repair
• Price


  What consumers are willing to pay for a product or service
• Pricing approaches

  • Cost-based pricing
  • Value-based pricing
• Placement


  Determining the areas of distribution or the distribution channel
• Product availability


  • Basic consumer products readily available in many stores
  • Premium consumer products available only in select stores
• Promotion activities


  • Advertising
  • Sales promotion
  • Personal selling
  • Public relations
• Additional Ps in service marketing

  • People
  • Process
  • Physical evidence
• People


  All people who directly or indirectly influence the perceived value of the product or service, including knowledge workers, employees, management, and consumers
• Process


  The method or flow of providing service to the clients, often incorporating monitoring service performance for customer satisfaction
• Physical evidence


  The direct sensory experience of a product or service that allows a customer to measure whether he or she has received value
• Market analysis


  A quantitative and qualitative assessment of a market, investigating the size of the market, various customer segments and buying patterns, the competition, and the economic environment
• Parts of market analysis


  • Industry overview
  • Target market
  • Competition
  • Pricing and forecast
• Industry overview


  Describes the current state of the industry and where it is headed
• Target market


  • Market size
  • Demographics
  • Location
  • Psychographics
  • Behaviors
  • Trends
• Direct competitors


  Companies offering very similar products and services
• Indirect competitors


  Alternative solutions to the problem being solved
• SWOT analysis

  Strengths, weaknesses, opportunities, and threats
• SWOT factors

  • Strengths and weaknesses (internal)
  • Opportunities and threats (external)
• Raw data


  Can be used in strengths and weaknesses by customer feedback and employee surveys
• Secondary data


  Can be used in opportunities and threats by environmental information, industry information and competitive data
• Pricing and forecast


  Determine how to position the company in the market, and show what portion of the market is hoped to be captured
• Pricing approaches

  • Cost-based pricing
  • Competitive pricing
  • Demand-based pricing
• Market survey


  Survey research and analysis of the market for a product/service, including investigation into customer inclinations
• Brand


  A name, term, design, symbol, or any other feature that identifies one seller's good or service, used in business, marketing, and advertising for recognition