The Marketing Mix
Once an organization has decided its overall marketing strategy, it can begin planning the details of the marketing mix, which is one of the major concepts in marketing.
The marketing mix is the set of tactical marketing tools that the firm blends to produce the response it wants in the target market. The marketing mix consists of everything the firm can do to influence the demand for its product."
For many years the possibilities were collected into four groups of variables, called the "4P's", comprising product, price, promotion and "place" - a pseudonym for physical distribution, or ensuring availability of a tangible product in the marketplace.
We believe that this model of marketing is now too simplistic, particularly in the marketing of services. Other factors assume greater importance, which has led to the "extended marketing mix", discussed below. We also feel that the category previously called "promotion" needs expansion and clarification, in view of the explosion in digital technology, virtual communication and social media.
Extended Marketing Mix
The extended marketing mix includes people, processes and physical evidence. People are especially important in marketing services where the person providing the service is the service (aka "product"). Customers often can’t judge the quality of the service, and so providing physical evidence of the quality of a service is important in convincing the customer. Finally, processes are also important in marketing—both production processes and service processes.
Integrated Communication Mix
e terminology of "Promotion" really should be expanded to "Integrated Marketing Communication", which we cover in depth during training programs. The "traditional" elements of this "P" were, and still are defined as:
- Advertising: Any paid form of non-personal presentation and promotion of ideas, goods or services by an identified sponsor.
- Sales promotion: Short-term incentives to encourage the purchase or sale of a product or service.
- Personal selling: Personal presentation by the firm’s sales force for the purpose of making sales and building
- customer relationships.
- Public relations (PR): Building good relations with the company’s various publics by obtaining favourable publicity, building up a good corporate image, and handling or heading off unfavourable rumours, stories and events.
- Direct marketing: Direct connections with carefully targeted individual consumers to both obtain an immediate response and cultivate lasting customer relationships.
According to Pew Research Center, 73 per cent of teens, 72 per cent of young adults and 40 per cent of adults (over 30) have an account on at least one social network. A running tally of emerging social networks, now beyond 7000 by one estimate, suggests an explosive market. That is both an opportunity and a headache for brands trying to nail down the best new network for their campaigns.
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