Showing posts with label marketing mix 7ps. Show all posts
Showing posts with label marketing mix 7ps. Show all posts

Monday, 18 March 2019

Warning : you're loosing money by not using Marketing Mix

If you have questions about marketing mix, elements, marketing mix 4ps,7ps, and marketing mix of companies like Pepsi and adidas.you ought to read till the end .you will get answers in this post, warning: you're losing money by not using marketing mix.

marketing mix




DEFINITION


 Before understanding the marketing mix, ask yourself what is marketing ?? dunno ??

simply put, marketing is action of promoting and selling products /services, it also includes market research as well as  advertising 

it is defined by AMA as "the activity, set of institutions, and process for creating, communicating, delivering, and exchanging offerings that have value for customers, clients, partnerss and society at large" 

then what is a marketing mix ?? 

Marketing Mix is a combination of factors, which can be controlled by the company to influence the customer to buy the company's product.

it is a bunch of marketing tools that the firm uses to pursue its marketing objectives in the target.

MARKETING MIX 4Ps

The marketing mix is a bunch of four decisions which is required to be taken before launching any new product, these variables are known as a 4 ps of marketing

these 4 ps help the firm to make strategic decisions necessary for the smooth running of any organization, these elements are,

1. PRODUCT (WHAT THE COMPANY IS MANUFACTURING  ??)

2. PRICE (WHAT IS THE PRICING STRATEGY USED BY ORGANIZATION ??) 

3. PLACE (WHERE IS THE COMPANY SELLING ??)

4. PROMOTION (HOW IS THE COMPANY  PROMOTING THE PRODUCT)


So lets now look each in detail,




PRODUCT IN MARKETING MIX

The first thing you need if wanna start a new business is a product, therefore the product is also the first element of marketing mix, product decisions are the first decisions you need to make before making any marketing plan.

a product can be divided into three parts, which are the core product, augmented product, and tertiary product, before deciding on product components you need to ask yourself some questions

which product are you selling?
what would be the quality of your product?
which features are different from the market?
what is the use of the product?

based on these questions several decisions have to be made, these product decisions will, in turn, affect other variables of the mix

however, if the product features are not fitting in the mix, you can alter the product such that it can fit into the marketing mix 

PRICING IN MARKETING MIX

Pricing of the product depends upon many factors and it is constantly updated, the major consideration in pricing is the costing of the product, the advertising and marketing expenses, any price fluctuations of the market

many of the factors can change separately, thus the pricing has to be such that it can bear the brunt of changes for a fixed period of time, however, if all these variables change, then the pricing of the has to be increased or decreased accordingly 

along with the above factors, there are also other things which have to be taken into account when deciding on a pricing strategy 

competition can be the best example, similarly, pricing also affects targetting and positioning of a product 

marketing mix


PLACE IN THE MARKETING MIX

Place refers to the distribution channel of a product if a product is a consumer product it needs to be available as long and wide as possible, besides it, if the product is a premium consumer product it will be available in selected stores

similarly, if the product is a business product, you need a team which interacts with businesses and make the product available to them, thus the place where are the product is distributed depends upon the product and pricing decisions

PROMOTIONS IN THE MARKETING MIX

It includes integrated marketing communications which includes ATL and BTL advertising as well as sells promotions, promotions are dependent lot upon product and pricing decisions 

what is the budget for marketing and advertising? which stage is the product in? if the product is completely in the market, it needs a brand, product awareness promotions

whereas if the product is existing then it will require brand recall promotions, promotions also decide the segmentation  targetting and positioning of the product, the right kind  of promotions affect all the other three variables product, price, and  place,promotion is helpful even in inflation period

MARKETING MIX 7PS

The 4 ps are discussed earlier there are other 3 extended Ps are people, process and physical evidence.let's dig deep into all of them one after another

marketing mix

PEOPLE IN THE MARKETING MIX

Of both the target market and people associated with business

though  research is important to discover whether there are sufficient people in your target market that is in demand for fixed types of products and services 

the company's employees are cruical in marketing as they are the ones who deliver the service, it is imperative to hire and train the right people to deliver superior services to clients

when a business finds a people who truely believe in the products or services that the particular business creates, it is highly likely that the employees will perform the best way they can

additionally, they will be more open to honest feedback about the business and input their own thoughts and passions which can scale and grow the business

PROCESS IN THE MARKETING MIX 

The systems and processes of the organization affect the implementation of the service 

so you have to make sure that you have the well-tailored process in place to minimize costs 

it could be your entire sales , a pay system, a distribution system and other systematic procedures and steps to ensure a working business that is running effectively 

tweaking and enhancements can come after to "tighten up" and to minimize costs and maximize profits

PHYSICAL EVIDENCE IN THE MARKETING MIX

In the service industries there has to be physical evidence that the service was delivered, apart from it, physical evidence pertains also to how a business and its products are perceived in the marketplace

it is physical evidence of a business's presence and establishments, a concept of this is branding. for example, when you think of fast food word comes to mind is Mcdonalds

when you think of sports name Nike and Adidas comes to mind, you immidetaly know what their presence in the marketplace, as they are generally market leaders and established physical evidence as well as in their marketing

they have manipulated their consumer perception so well to the point where their brands seem first in line when a person is asked to broadly name a brand in their niche or industry 

MARKETING MIX OF THE ADIDAS

One of the top brands in sports and footwear Adidas has seen its share of ups and downs, it started in 1936 and it is one of the oldest brands of footwear, it faced stiff competition by Nike in 1980 but soon overcame by  targetting young customers

let's look at the 4ps 

PRODUCT 

The Adidas group has four subsidiaries, the first is its own brand name ADIDAS, Which is there in clothes as well as in customer, second is REEBOK which overtaken the Adidas and one of the leading subsidiaries in Adidas group 

third is ROCKPORT which specializes in outdoor footwear, apparel's and accessories and fourth is TAILOR MADE  which is focused on golfing clothes, equipment, out of the four reeboks is strongly followed by Adidas group

adidas have various products, of course, the main product is footwear, coming in various designs and styles, Adidas footwear is robust and athletic (well I'm not promoting it don't get me wrong), the secondary product of the Adidas is apparels and accessories

apparels like t-shirts, jackets, sweatshirts, shorts are in great demand

adidas

PRICING

Adidas because of its style, design  uses skimming prices as well as competitive pricing, keeping in mind competitors like nike, Reebok and Puma, but for products which just came into the market are uniquely designed ,addidas uses skimming price

apparels uses continuously skimming price and are higher priced due to the rand equity of adidas in the apparel's market ,t he targets customer for adidas are upper middle class as well as high end customers

adidas hardly uses penetrative pricing because that will affect the brand equity 

PLACE

The major way  through which adidas sold , is through retail outlets ,adidas has its own xecutive stores in which the material is provided directly from the compny, on the other hand, many multi brand showrooms will also have adidas apparels and footwears

these multibrand showrooms get the product from the distributor, and the last mode of distribution is online, the products are sold through online medium via fashion stores like myntra.com and as well as adidas.com 

PROMOTION

Adidas markets through various marketing vehicles but the majority of marketing is concentrated on telivision and product placements, the creative team of adidas is known to pump adreneline to their customers through ads which are very creative and filled with energy 

this ads attract customers by sending the marketing message to the customer ,

the tagline of adidas "impossible is nothing" is in itself is a vry powerful message.

after television, the product placement is the second line of promotion for adidas , the popularity of the brand is because it ties up with top players acroos the world such as lionel messi , ronaldinho , sachin tendulkar and many others

MARKETING MIX OF PEPSI

to know about marketing mix , 4ps of the pepsi , you can visit , you will get information thoroughly



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