What is the Marketing Mix? Description
The Marketing Mix model (also known as the 4 P's) can be used by marketers
as a tool to assist in defining the marketing strategy. Marketing managers
use this method to attempt to generate the optimal response in the target
market by blending 4 (or 5, or 7) variables in an optimal way. It is important
to understand that the Marketing Mix principles are controllable variables.
The Marketing Mix can be adjusted on a frequent basis to meet the changing
needs of the target group and the other dynamics of the marketing environment.
|
Product
|
Historically, the thinking was: a good product will sell itself. However
there are no bad products anymore in today's highly competitive markets.
Plus there are many laws giving customers the right to send back products
that he perceives as bad. Therefore the question on product has become:
does the organization create what its intended customers want? Define
the characteristics of your product or service that meets the needs
of your customers. |
Functionality; Quality; Appearance; Packaging; Brand;
Service; Support; Warranty. |
| Price |
How much are the intended customers willing to pay? Here we decide
on a pricing strategy - do not let it just happen! Even if you decide
not to ask (enough) money for a product or service, you must realize
that this is a conscious decision and forms part of the pricing strategy.
Although competing on price is as old as mankind, the consumer is often
still sensitive for price discounts and special offers. Price has also
an irrational side: something that is expensive must be good. Permanently
competing on price is for many companies not a very sensible approach. |
List Price; Discounts; Financing; Leasing Options; Allowances.
|
| Place |
Available at the right place, at the right time, in the right quantities?
Some of the recent major changes in business have come about by changing
Place. Think of the
Internet
and mobile telephones. |
Locations; Logistics; Channel members; Channel Motivation; Market
Coverage; Service Levels; Internet; Mobile. |
| Promotion |
(How) are the chosen target groups informed or educated about the
organization and its products? This includes all the weapons in the
marketing armory - advertising, selling, sales promotions,
Direct Marketing, Public
Relations, etc. While the other three P's have lost much of their meanings
in today's markets, Promotion has become the most important P to focus
on. |
Advertising; Public Relations; Message; Direct Sales; Sales; Media;
Budget. |
The function of the Marketing Mix is to help develop a package (mix) that
will not only satisfy the needs of the customers within the target markets,
but simultaneously to maximize the performance of the organization. There
have been many attempts to increase the number of P's from 4 to 5P's in the
Marketing Mix model. The most frequently mentioned one being People or Personnel.
Booms and Bitner have suggested a
7-Ps approach for services-oriented companies.
Book: Nirmalya
Kumar - Marketing As Strategy: Understanding the CEO's Agenda.. -
Book: David A.
Aaker - Strategic Marketing Management -
Recent User Comments
|
Aung Chit Khin - Myanmar
|
Customers' Value Bundle |
"I think I saw the term(s) in P. Kotler's book. the word "Product" makes your thinking centered around the physical product only. So, i prefer using "market offering" or "Customers' value bundle". Sure, it's a mouthful. But, those terms make you think of th 7 Ps and customers simultaneously and integratively." |
 |
|
11 |
|
 |
|
Aung Chit Khin - Myanmar
|
the 7Ps Mix |
"Most of today's products are not purely physical. We are also offering intangible values like brand feelings and after-sale services in additional to the physical benefits. So, I think, only the 7Ps mix is complete for both products and services." |
 |
|
17 |
|
|
|
obed gbamire - ghana
|
marketing mix |
"The 4ps have played an important role in the disemination of products." |
|
|
8 |
|
|
|
Dan - US
|
4Ps renamed: the SIVA model |
"An interesting customer-focused variant of the 4Ps was suggested by Chekitan S. Dev and Don E. Schultz in Marketing Management v.14 n.1 January/February 2005. Their approach is known as the SIVA model (Product > Solution, Promotion > Information, Price > Value, Place > Access)." |
|
|
10 |
|
|
|
Editor - NL
|
Quotes on Marketing Mix |
"Do you know some deep, famous or funny quotes on the Marketing Mix? Quotations? Proverbs? Please share them as a reaction to this posting and mention the author. To get started, here's my favorite: 'Half the money I spend on advertising is wasted, and the problem is I do not know which half.' - Lord Leverhulme 1851-1925, British industrialist and philantropist" |
|
|
23 |
|
|
Best User Comments
|
Wellington - UK
|
The 6th P |
"There is actually a 6th P which is PROCESSES as organisations are now competing more on processes and capabilities especially with the emergent of the network organisation" |
|
|
10 |
|
|
|
FormulaOne - Canada
|
The 5th P |
"As all things tend to evolve, the gap in this theory is failing to recognize the other key element in Marketing .......... People. The 5th P reflects demographics and the dynamics that occur when the other 4 P's are established and how people's behaviour and propensity to buy are influenced. Sales and Consumption can only be achieved through People responding and transacting which is where the 5th Element emerges." |
 |
|
10 |
|
|
|
Wouter - Netherlands
|
4S Web Marketing Mix |
"Constantinides constructed a 4S Web Marketing Mix Model which is better suited for use with Internet Marketing. The 4S's stand for Site, Synergy, Scope and System. For example, Place is not suited for the Internet, since a webshop is not the same as a fysical store. You find it via a link in the Compare to section below." |
|
|
5 |
|
|
|
Phil - USA
|
4P's for B2B services firms |
"Michelangelo Celli recommends the following 4 Ps for B2B services firms: 1. PROSPECT – The customer’s need that is creating opportunity. 2. PROMISE – The factual/intimacy argument for why you are superior. 3. PRODUCT – The rubber meets the road. Delivering what was promised. 4. POSITION – The sum total advantage that is created over your competition by doing the above 3 things with excellence.
And yes, if you want to throw PROCESS in there, then go right ahead!
" |
|
|
-6 |
|
|
|
Marketeer - US
|
Trends for Marketing Mix |
"An article in Entrepreneur (Aug 2006) by Gwen Moran describes the following trends that should become part of a business enterprise's marketing strategy in the twenty-first century: multimedia marketing on cellular telephones, Internet marketing, the baby boom generation, Really Simple Syndication, social networks, advertising in unusual places, luxury versions of commercial products, and blogs." |
|
|
-22 |
|
|
Marketing Mix Special Interest Group
Marketing Mix Education & Events
Add a link to this page
Copy and paste this code to your web page:
More information?
12manage Premium may contain the following additional information about (the) Marketing Mix :
- Expert Tips and Management Papers - More info
- News and Videos on this method - More info
|
Compare with the 4-Ps: Extended
Marketing Mix (7-Ps) |
4S Web Marketing
Mix | 3C's |
Product/Market Grid |
SERVQUAL |
Competitive Advantage
framework | BCG Matrix
| Bass Diffusion
Model | Positioning
| Co-Creation
| Disruptive
Innovation |
Relationship Marketing
Return to Management Hub: Communication & Skills | Marketing
| Strategy |
Supply Chain & Quality
More Management Methods, Models and Theory
|
|
12manage for:
|
