The Marketing Mix – Concept of Marketing Mix
The marketing mix involves a number of activities. Regardless, an association may settle on its objective gathering of clients to be served. When the objective gathering is chosen, the item is to be set in the market by giving the proper item, value, dissemination, and limited time endeavors. These are to be consolidated or blended in a proper extent in order to accomplish the advertising objective. Such a mix of product, price, distribution and promotional efforts is known as “Marketing Mix”.
The term marketing mix was coined and introduced by professor Neil H. Borden of Harvard Business School. Both the term and concept have since been adopted throughout the world.
- According to W.J. Stanton: “Marketing Mix is the term used to describe the combination of the four inputs which constitute the core of the company’s marketing system the product, the distribution system, the price structure, and the promotional activities“
- According to William Lazer: “The Marketing Mix is the result of blending, compounding and mixing factors into an integrated whole at a particular period of time“.
Let’s have a look from the above definitions we may come into conclusion that marketing mix is the policies in the market. It is a set of product, price, place, and promotion, which are used to attain the firm’s objectives in target markets.
Major 4 ps Marketing Mix
The marketing mix is gathered remembering the requirements of target clients, and it shifts starting with one association then onto the next relying on its accessible assets and promoting destinations. The components of the mix marketing are known as 4 Ps, which include product, price, place, and promotion. Let us now have an idea about the 4 Ps of the marketing mix.
- Product Mix
- Price Mix
- Place Mix
- Promotion Mix
A product mix is a good service or an idea. Product is one of the most important components of the marketing mix. It is a lot of unmistakable and elusive qualities including bundling, shading, value, maker’s renown, retailer’s esteem and producer’s and retailer’s administrations which the purchaser may acknowledge as offering need fulfillment.
The actual physical production of the product is not a marketing activity. but researching consumer’s product wants, planning the product with the development and production personal to give the product the desired characteristics developing the package, and creating a brand name are a few activities and decision areas upon which marketers focus in order to facilitate exchanges. One of the main objectives of a firm is to produce such types of products which satisfy human needs and wants. The product mix includes the following Ps.
- Product Planning and Development
- Standardizing and Grading
Price is also an important component of the marketing mix because of the manufacturing of a product, its distribution and promotion have no meaning unless the product is priced. No Marketing job can be done properly without pricing. Consumers are interested in the prices of products because they are concerned with the value obtained in exchange.
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In dealing with the price mix, a marketing manager is usually concerned with establishing pricing policies and determining product prices. Because the price is often so important to many consumers, it is a critical part of the marketing mix. It often is used as a competitive tool to gain an advantage. Price is also used to help establish a product’s image because consumers associate a product’s quality and price with its image.
Pricing decision is based on the economic environment, quality of the product, costs, competition, etc. The firm should consider the demand for products, their costs, competition, government rules, and regulations while determining the price. Generally, price mix includes the following components:
- Formulation of Pricing Objectives
- Setting the price
- Analysis of competitor’s prices
- Determining terms and conditions of sales
- Discounts and commission etc.
Place Mix (Distribution Mix)
Another component of the marketing mix is the place or distribution mix. It is concerned with the activities that direct the flow of goods and services from manufacturer to consumers or users to satisfy their needs and wants by developing relationships with many intermediaries. It is also concerned with moving the right amount of the right products to the right place and the right time.
It creates time, place and possession utilities or products. To satisfy consumers, products must be available at the right time in a convenient and accessible location. In dealing with the place mix, a marketing manager attempts to make products available, in the quantities described, to as many customers as possible and to hold the total stock, transportation, and capacity costs as low as could reasonably be expected.
A marketing manager may become involved in such activities as selecting and motivating middleman (i.e. wholesalers and retailers), establishing and maintaining inventory control procedures and developing and managing transportation and storage systems. In general, place or distribution mix includes the following components:
- Channels of Distribution
- Distribution Networks
- Dealer promotion and motivation systems
- Physical distribution or logistics management, etc.
Promotion is a very obvious part of the marketing mix. It is used to perform or persuade actual or potential consumers about the merits of a product or service for the purpose of introducing a consumer either to continue or to begin buying the company’s item or administration at a given cost. The promotion mix is used to facilitate exchanges by informing one or more groups of people about an organization and its products.
Promotion is used for a variety of reasons. For example, it might be used to improve a firm’s image, to make consumers aware of a new brand or to educate consumers about product features. Promotion includes all aspects of the marketing mix designed to communicate with and influence the target market. Promotion mix consists of the following components:
- Mixture of Advertising
- Personal Selling
- Sales Promotion
- Public Relation
Supportive Components of Marketing Mix
Product, Place, Price, and Promotion are the main components of the marketing mix. Besides them, there are some other supportive components of the marketing mix for service marketing. They are as follows:
- People Mix
- Physical Evidence Mix
- Process Mix
Important of Marketing Mix
Marketing mix has a highly important role in the marketing process. Its important becomes clear from the following lists:
- Customer Satisfaction
- Increase in Sales
- Increase in Profit
- Interconnection and Interdependence
- Facilities Different Customers
Conclusion of Marketing Mix
The marketing mix is the term used to describe the combination of the four Ps inputs which constitute the core of company’s marketing system the product, the distribution system, the price structure, and the promotional activities.
The components of the marketing mix are known as 4 Ps, which includes:
- Product Mix
- Price Mix
- Place Mix
- Promotion Mix