...THE APPLICATION OF THE MARKETING MIX AND EXTENDED MARKETING MIX FOR SERVICES IN A BUSINESS ORGANIZATION OF YOUR CHOICE The marketing mix refers to variables that a marketing manager can control to influence a brand’s sales or market share (Ellis, 2006). The marketer E. Jerome McCarthy proposed the four Ps classification in 1960, which has since been used by marketers throughout the world (Wikipedia, 2014). These variables are summarized as: product, price, promotion, and place (distribution). The 4P’s are also known as product marketing mix because their application is traditionally for marketing of products. Robert F. Lauterborn proposed a four Cs classification in 1990 which is a more consumer-oriented version of the four Ps (Wikipedia, 2014). They are: consumer, cost, communication and convenience. In this discussion we concentrate on McCarthy’s 4P’s. The extended marketing mix is, as the name suggests, an extension of the marketing mix which was traditionally for products (Bhasin, 2014). As services came more into the picture it was seen that the 4p’s could not justify the marketing mix. Bhasin further reports that the extended marketing mix was brought forward by adding the following 3 elements: Process, Physical evidence and People to make the 7P’s. These 3 more elements were necessary to explain the marketing of services. Therefore this extended marketing mix is also known as the service marketing mix. The marketing mix and extended marketing mix can be illustrated as...
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...Marketing Mix Janea’ Jackson MKT/421 Stephanie Jenson April 25, 2011 Introduction A marketing strategy provides an in depth look at what a company can do within the market. When creating a marketing strategy, the company must first identify the target audience and a related marketing mix. According to businessdictionary.com, the target audience is “a particular group of people, identified as the intended recipient of an advertisement or message.” The four P’s make up what is commonly referred to as the marketing mix, “a set of controllable tactical marketing tools - product, place, price and promotion - that the firm blends to produce the response it wants in the target market” (Armstrong & Kotler, pg. 51). Focusing on a specific audience can help a company develop a marketing mix that will satisfy the needs of this audience better than the competition. It is quite useful to reduce all of the elements in the marketing mix down to just these four basic marketing tools. These four tools are essential to the development of organizations' marketing strategies and tactics. This paper will describe the elements individually, as well as looking at an organization such as Wal-Mart, a national retailer, who individualizes the marketing mix to fit the company’s specific strategies and tactics. Breakdown of Elements So now let’s discuss the four Ps in further detail. The product tool is based upon the development of the right product. This product has to be appealing to the...
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...Marketing mix The Marketing mix is generally accepted as the use and specification of the "four P's" describing the strategic position of a product in the marketplace. One version of the marketing mix originated in 1948 when James Culliton said that a marketing decision should be a result of something similar to a recipe. This version was used in 1953 when Neil Borden, in his American Marketing Association presidential address, took the recipe idea one step further and coined the term "Marketing-Mix". A prominent marketer, E. Jerome McCarthy, proposed a 4 P classification in 1960, which has seen wide use. The four Ps concept is explained in most marketing textbooks and classes. Definition A"Marketing Mix" is the set of controllable, tactical marketing tools that work together to achieve company's objectives, they are: product, price, promotion and place: o Product - A tangible object or an intangible service that is mass produced or manufactured on a large scale with a specific volume of units. Intangible products are often service based like the tourism industry & the hotel industry. Typical examples of a mass produced tangible object are the motor car and the disposable razor. A less obvious but ubiquitous mass produced service is a computer operating system. o Price – The price is the amount a customer pays for the product. It is determined by a number of factors including market share, competition, material costs, product identity and the customer's...
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...SUMMARY AVIVAH RAHMANINGTYAS. 105040100111070. 7p Marketing Mix of Banyuwangi Traditional Food Bagiak Ardial’s Merk. Dibawah bimbingan Ir. Heru Santoso, SU sebagai Pembimbing Utama Basically, one of the goals set up agro-industries are to benefit. Profits earned if the company can attract consumers to buy its products. Thus, the marketing strategy became a thing to think about. Currently, the marketing mix is one of the marketing strategies that generally applied to companies. With critical thinking of publics, traditional marketing mix consists of 4P before, now became 7P. The 7P are product, price, place, promotion, process, people, and physical evidence. UD Siardial Mubarok is one example of the agro-industries that implement the 7P. Eventhough with increasing the competition among food manufacture of bagiak in Banyuwangi, UD Siardial Mubarok with Ardial brand is able to prove its stability with the implementation of the strategy. To understand the marketing strategy of UD Siardial Mubarok, student internship follow all the activities there. These activities are follow the production process of various Ardial product, do the packaging, labeling, pressing, serving consumers, arrange products in store , and also discussed with owners. Of these activities, students can understand the 7P strategies. The 7P marketing mix strategies were applied UD Siardial Mubarok are: Product bagiak has a variety of flavors and packaging Prices more cheaper and variation than the...
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...Marketing Mix University of Phoenix MKT/421 MARKETING Introduction Marketing mix is important for every company to choose which direction to go. The four p’s of marketing mix are product, price, place, and promotion. An evaluation mix of the four elements allows the company to achieve the expectations between the targeted customers and the organizational buyers. Elements of Marketing mix: • Product – The products or services offered to your customer: Their physical attributes what they do, how they differ from your competitors and what benefits they provide. • Price – How you price your product or service so that your price remains competitive but allows you to make a good profit. • Place (Also referred to as Distribution) – Where your business sells its products or services and how it gets those products or services to your customers. • Promotion – The methods used to communicate the features and benefits of your products or services to your target customers (About.com). Product Product is anything that a company may produce or a service that occurs to fix a specific problem. Companies that produce multiple products have an advantage in gaining the trust of customers. With each product a company produces a marketing plan must be in place for that item to secure the trust. If one product does not work properly, the customers would not think the other products the company produces are trustworthy. There are different products made by separate...
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...Competition, Marketing Mix, and Pricing goes hand in hand with the services of the healthcare provider i choose. Througout this paper you I'll analyze the competitive environment of health s ervices. You will also see the diferent tools of the marketing mix that available. Although many any other healthcare providers have different purposes in objectives. Key Charactics of Services There are four distinctive characteristics of services. According to Koltler and Shalowitz those four are intangibility, inseparability, variability, and perishability. Intangibility is when services cannot be seen tasted, felt, heard, or smelled before the are brought. Inseparability is when services are produced and consumed simultaneously. Variability is when services are highly variable because the depend on who provides them and when and where they are provided. The last one is Pershisability, you cannot store services, you can only build capacity to perform them when they are needed. (Lotler, Phillip, Shalowitz, Joel and Stevens, Robert 1st Edition (2008)) Pinnacle Orthopedics falls under the characteristicsc of Intangibilty and Variable. The service provider has to follow certain things to improve the confidence of the client: The provider can try to increase the tangibility of services. For example, by showing the patients models of Lumbar (spine) and Cervical (neck) of what to expect after surgery. This allows...
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...Marketing Mix Paper Piña MKT/421 June 6, 2011 Carlyn Carmichael Marketing Mix Paper To achieve the marketing objectives the strategy must include different elements – that is the different parts of the marketing mix. In this reading, the elements of the marketing mix which is product, place, price, and promotion will be defined and explained. McDonald’s will be used in this reading to describe how each one of the four elements of the marketing mix affects the development, marketing strategy and tactics. Marketing is having a great product, being sold at the right price at the right place while utilizing the appropriate promotion. Sounds simple but a lot of hard work goes into these simple steps. A company has to go to great lengths to find what the customer likes, where they shop, and what they consider a good value. This is where the marketing mix comes in. The marketing mix was intended to recommend that you have a well-adjusted mix of marketing activities within your marketing plan. Reviewing these steps can help through the plans and avoid faults. The marketing mix as identified by McCarthy consists of the 4 Ps; product, price, promotion and place; and is a good way in outlining the marketing mix. Product – this element defines the characteristics of your product or service that will meet your customers’ needs. Price – this portion refers to the price of the product or service, including the strategy that is used. It is important to test numerous pricing...
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...Product In marketing, the term “product” refers to tangible, physical products as well as service such as brand name, functionality, styling, quality, safety, packaging, repairs and support, warranty, accessories and services. In OldTown White Coffee, the product refers to local foods and products offered to consumers. OldTown White Coffee used its own uniquely Malaysian taste (the authentic Ipoh White Coffee) to introduce a product to the market in Malaysia. In Malaysia, the OldTown White Coffee set its base at Ipoh, Perak. In mere time span of 5 years, OldTown White Coffee has grown up to over 176 outlets since the first outlet in 2005 in Malaysia. OldTown White Coffee has became the first largest kopitiam restaurant chain in Malaysia OldTown White Coffee‟s products include tangible elements. Tangible elements are the things that customers are able to see, touch, feel, taste, and smell. These all tangible elements OldTown White Coffee were done as perfectly and completely. To satisfy the palate of local population in country, OldTown White Coffee uses the localized version of its product. In other words, OldTown Coffee offers local foods and meals in Malaysia. For example, the meals included Nasi Lemak Special, Prawn Noodles, Kaya or Butter Toast and Asam Laksa. While, hot and cold beverages included, Hazelnut White Coffee, Old Town White Coffee Signature Freeze, Old Town White Coffee, and Old Town Nanyang O. With the intention to provide quality white coffee to Malaysian...
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...Compiled by: Gerard Perry Topic: UCB Marketing Mix United Colors of Benetton is a global brand, and one of the most well known in the world, with an international style that combines color, energy and practicality. The womenswear, menswear, childrenswear and underwear collections offer a total look for everyday, for work and for leisure, in the city and outdoors. The brand is broadening its horizons, expanding into new areas of merchandise from Home Collection to baby products, travel bags and new perfumes. Considering the product range of UCB, the basic benefit from the core product would be body protection against external factors, whereas another benefit could be a desire to stands out and be admired. The core product is then turned into a tangible product by the use and development of such characteristics as branding, features, styling, packaging, and quality level. Under the global brand name UCB there is a mix of products. Each womenswear, menswear, childrenswear and underwear collections is accompanied by accessories and shoes collections to complete each look. In addition, the company publishes “Colors” magazine that echoes the entire UCB philosophy. The main product of UCB is the clothing line that has a strong Italian character in design and style, which combines bright and expressive colors and practicality. By buying Benetton brand customers can be seen as individuals with their own style as well as sensitive to social issues raised in Benetton’s campaigns...
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...Marketing mix-the case of Aesop Serial number MEB1499 Student ID 26779595 Class PMD Table of contents Executive Summary 3 1.0 Background 4 2.0 Marketing Mix 4 2.1 Marketing mix theory 4 3.0 Aesop-a case study 5 3.1 Product in marketing mix 5 3.2 Price in marketing mix 6 3.3 Strengths and weaknesses in marketing mix 7 4.0 Conclusion and recommendations 8 Reference list 9 Executive Summary The purpose of this report is to evaluate how marketing mix elements are used in Aesop’s promotional strategy; how effective Aesop has been in the promotional strategy; and it provides some necessary recommendations. In this report, two marketing mix elements product and price are analyzed. By analyzing Aesop’s strategies of product and price, it is easy to identify the strengths and weaknesses of the company. The findings indicate that Aesop has made great progress in high-quality products and product orientation. What is more, price policy which based on the cost of production is reasonable. However, the capacity of the market still needs further expansion. This report gives some advice on expanding the market, and it will ensure that Aesop develops better in the future. 1.0 Background Aesop was founded by Dennis Paphitis in 1987 in Melbourne. The name originates from Aesop’s Fables. It is an organic herbal cosmetics company. Aesop devotes itself to natural skin care, body care and hair care, and it aims at providing the finest quality...
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...6.1 Marketing Mix Marketing mix is a set of controllable marketing tactics used by business to promote their product and achieve its marketing objectives. (L. Lake, 15 June 2017) Marketing mix is also called the 4Ps which consist of Promotion, Place, Product and Price. (M. J. Baker, 2001, p.54) 6.1.1 Product A product is the item that business makes with aim to fulfil the needs and wants of customers. It is also the item that business actually sold to the customers. For our company, our product is the ice cream. (Talloo, 2007, p.154) 6.1.1.1 Product Design- features and quality Our company has designed our products according to the features and quality that all range of customer desires. Our ice cream is made from natural fruits such as...
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...The Extended Marketing Mix also known as the 7 P’s of the marketing mix. The Original 4 P’s of marketing is consists 4 original elements or specific topics. Created by Edmund Jerome McCarthy an American Marketing Professor in 1960’s simplified the marketing mix concepts of these 4 Specific elements. The four elements of marketing mix is: 1. Product (or Service): In this Portion we discuss the aspects of the products deal the specification of actual good of product or services. We have to think what does the customers or clients need. Also we have to think what the customer satisfies. What feature does the product have to meet such need? As a Provider we have to know what features have to add to meet such needs, how and where it will use, what would be the cost, and also what will be maximum cost in sufficient and sustainable profit etc. 2. Place: In this portion we discuss how can be the products gets to the customers. Where will be the buyer’s looks for my product? If in a store what kind of Store? Do we have to provide catalog? What are the competitors doing? How can we provide different from them? We have to find the answers and keep it in our knowledge. 3. Price: In this portion we discuss the process of selling the price. The discount associate with the Products. We have to know what price we would set for the product. What price is asking by our competitors? How we set the discount values. We also have to find the answers for our product. 4. Promotion:...
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...How can the marketing mix be used to effectively differentiate and position your product or service? What exactly is this Marketing Mix? Borden (ND) first coined the term following a discussion with one of his colleagues, Professor James Culliton, in 1948 regarding one of his manufacturing costs studies. In Bordens paper he identifies twelve pertinent points that form the marketing mix for manufacturers : Product Planning Pricing Branding Channels of Distribution Personal Selling Advertising Promotions Packaging Display Servicing Physical Handling Fact Finding and Analysis This was narrowed down around the 1960’s by Edmund Jerome McCarthy to the 4P’s which are used to this day. McCarthy et al (2002) state these as being : Product - the goods or services offered by an organisation that can satisfy the needs of the end customer. Place (Involves channels of distribution, logistics and distribution customer service) - essentially making the product available to the end customer. Promotion - providing the information to the potential customers so that can make an informed decision and, hopefully, make the purchase. Price - inclusive of all costs prior to reaching the end customer including transport overheads, margins etc, this is the price the customers pay for the goods. Differentiation of your product or service can take place within any of the 4P’s, From a Product point of view you may be offering one that outperforms the competition or has...
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...Marketing mix Kotler defined that marketing is a societal process by which individuals and groups obtain what they need and want through creating, offering, and exchanging products and services of value freely with others. (Kotler, 2002) McCarthy’s Four Ps A marketing expert named E. Jerome McCarthy created the Marketing Four Ps in the 1960s. This classification has been used throughout the world. Business schools teach this concept in basic marketing classes. The marketing four Ps are also the foundation of the idea of marketing mix. Product A product is an item that is built or produced to satisfy the needs of a certain group of people. The product can be intangible or tangible as it can be in the form of services or goods. Price The price of the product is basically the amount that a customer pays for to enjoy it. Price is a very important component of the marketing mix definition. It is also a very important component of a marketing plan as it determines your firm’s profit and survival. Adjusting the price of the product has a big impact on the entire marketing strategy as well as greatly affecting the sales and demand of the product. Place Placement or distribution is a very important part of the product mix definition. You have to position and distribute the product in a place that is accessible to potential buyers. This comes with a deep understanding of your target market. Understand them inside out and you will discover the most efficient positioning...
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...Discuss how the marketing mix strategies are likely to change over burritos’ product lifecycle. Marketing mix strategies are likely to change over burritos’ life cycle as they influence the product’s succession. With reference to Cantinas frozen burritos’, marketing mix strategies help evolve the product’s lifecycle towards the target market. The four marketing mix strategies include product, place, prime and promotion used in each stage of the product lifecycle (Armstrong et al. 2010). A new product progresses through stages from the introduction, growth, maturity, and decline in a sequence known as the product life cycle that is likely to change over the burritos’ time (QuickMBA 2009). As the burritos’ product hits the market as a new product development, it enters the introduction stage of the product lifecycle. Marketing mix strategies at this stage is extensively attracted to the promotion, as the frozen burritos’ is a new and unique product in the Australian marketplace. Profits are heavily spent on the promotion, which means high competitive prices of the product are through advertisement. Promotion at this stage targeted towards a small market segment, which is catered towards 15 – 30 year olds looking for alternative foods. (Armstrong et al. 2010). Extensive marketing testing was placed to build product awareness and to educate potential consumers about the product being introduced. This ultimately ensured its place in the lifecycle process with its slow growth...
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