Understand the term Marketing Mix that describes the successful business
The term marketing mix describes a combination of marketing tools that the company uses for selling items or products to their prospective customers.
What is Marketing Mix ? The term describes the important business elements
Businesses have used tools for marketing to advertise and sell their products; however, marketing mix is a term that was coined in the middle of the 20th century. One of its first applications occurred in 1953 in the American Marketing Association. Harvard professor and expert in marketing Neil Bordon describes how marketers can create and implement a winning marketing strategy by introducing marketing mix.
Understanding and arranging the various marketing mix elements enables the business to make successful business decisions on every level. These decisions can help a company:
- Build on its strengths and reduce the weaknesses
- Be more competitive and flexible to the changing market
- Increase the efficiency of collaboration between departments
From the 50s onwards, marketing mix elements have gone through different changes in response to technological advancements and other shifts in best practices for marketing.
For your better understanding we have describes the term marketing mix with real examples.
The 4 Ps of Marketing Mix With Examples
In the 60s and 70s, the marketing mix was linked to 4 Ps : Price, Promotion, Product, and Place.
The price you keep for your product can decide whether you will stay in the market and make profit or will be out of the market. The price is determined by the customer’s opinion of the product’s value and could dramatically alter your marketing strategy. Lower prices make an item more accessible to buyers, while a more expensive cost attracts buyers looking for exclusiveness. In either case, the price should be more than the cost of production to ensure that your company makes an income. But you can’t just go into the market and start selling products at cheaper or higher rates. Pricing is a strategy so think a lot before launching the product into the market.
Product is the basic foundation on which you want to create an empire of business. But if your product is not able to solve the customer complaints, then you will try to push the product to your customers and this strategy will not run for long time.
An example of a good product is iPod:
Before the iPod, people used to carry walkmen for listening songs. But the problem with the walkmen was that it was bulky; you could listen to limited music because of the cassette system, and yes, walkmen had a low battery life as it used to run on a regular battery.
When the iPod came into the market, it solved all customer complaints. It was very handy, it can store upto 1000 songs and 12 hours of battery life. This made the iPod a very successful product of that time, led by Steve Jobs, The Apple founder.
Promotion is a process of reaching out to your existing or prospective customers through any mode of communication. Direct marketing, Digital marketing ,advertising, and sales promotions. Commercials on TV, Internet ads, catalogs, billboards, trade fairs, and even ads placed on top of taxicabs are all examples of promotion. This also covers public relations, like the publication of press releases or ongoing partnerships with media.
Nowadays, the most effective platform for the promotion of goods is social media. But there are some goods you can’t promote on social media, for eg, Alcohol. In the alcohol case, most companies sponsor big youth festivals and other events where their customers are present. You need to understand where your audience is and the most effective way to reach them.
It’s a place where you will be selling the goods. While choosing the location for selling the goods, whether digital or physical, you need to think strategically. Should I sell my products on Amazon, or should I have my website? Should I open the store in tier 1 city or tier 2 city?
The best example for choosing the right place for business: Upgrad is one of the best examples in the online education field. They brought MBA and PGDM Online from the world’s top universities and now ruling the market in this segment.
The 7 Ps of the Marketing Mix with examples
As time passed, things evolved, so as marketing. Now 4 Ps have been extended to 7 Ps in the marketing mix. In addition to the traditional four Ps, The seven Ps comprise physical evidence, people, and processes.
5. Physical Evidence
The physical evidence is any tangible evidence related to a product or the physical space where a service takes place. Physical evidence could include packaging or delivery, signage, or the layout of a store.
For example, one of the best examples of physical evidence is a supermarket with proper lighting, signage, air conditioning, and a brilliant market layout that makes the customer shopping experience smooth and easy.
It includes employees directly in contact with customers (such as salesmen, customer service, or delivery staff). These are the people who are the face of the brand and are in direct touch with the customers. So you need to make sure your staff is well trained and groomed so they can represent your brand correctly in front of the customer and can manage any conflict.
The process is how a product or service is made available to customers.
Examples: Uber is the first company that introduced the app to book a cab or taxi. This process of booking the cab was revolutionary. It saved a lot of physical struggle and time for the customer. So by introducing this process, Uber became the leading player in the USA market and other parts of the world.
Factors affecting Marketing Mix
Important factors affecting marketing mix are directly related to 7 Ps. When you are working on 7 ps only factors which can affect is your budget and competition. But if you understand your 7ps in depth you can overcome these factors easily.
Conclusion of Marketing Mix
The 7ps of marketing are the checkpoint for starting any business or to monitor the existing business. If your marketing strategy doesn’t involve 7ps of the marketing mix, take my words, you won’t survive for long. Luck may work for the 1st time, but it won’t work every time. You need to make sure all the 7ps are studied properly as business and embedded in your strategy.If you don’t understand what I mean, please go through all the 7ps once again.
Final conclusion on marketing mix is: If you have dedicatedly worked on all the 7ps for your business, mark my words, you will be a leading player in your industry.
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