THE MARKETING MIX

What is the Marketing Mix?

This can be categorised as the the 4 P's, namely Product, Price, Place and Promotion.
Product includes factors such like what a customer will want from a product, features that a product must have to meet a clients needs, brand name and logo, packaging, sizes and additional features like warranty.

Price considers discounts, credit terms, allowances and list price discount. Price is the only element in the marketing mix that produces income and help to determine the value of the product in consumers eyes. Generally if a product is low price it can be seen as low quality.

Some pricing strategies that can be used are:

Premium Pricing: Products are priced high to indicate high quality.
Skimming Pricing:Pricing initially set high but lowered as the product reaches the end of its life cycle.
Penetration Pricing:Price initially set low to gain market share and increase sales then price may increase as customer base grows.

Place involves distribution channels and channel conflict, the online presence of a company, disintermediation and the effects of this and intensive, selective or exclusive distribution.

Promotion cover advertising strategies and channels that this would be effective, Public Relations, sales promotion, offers, stores cards, Personal Selling and Direct Marketing.

Each organisation will use these in different ways to achieve individual objectives and organisational goals.