Marketing Mix: The bread and butter for a Marketer
Do you know what marketing is? How does it works? If you’re a marketing student you may know this but if not, now is the time. The American Marketing Association defines marketing as the activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that have value for customers, clients, partners and society at large. This definition is a very broad and understandable one. It just says that marketing is everywhere, from billboards, to artists, to names, and so on. But, how do marketers do their work? Marketeers have been using this next tool for a very long time to perform their job like they’re supposed to. This simple tool or principle is called the “Marketing Mix”. It is basically 4P’s of marketing which are: Product, Price, Place, and Promotions. Let’s discuss each element to know and understand them better.
Product is a tangible or intangible good, service, or idea that satisfies the needs or desires of the consumers. Some kind of exchange, money or value, is received. A tangible product is a good that can be touched, moved, seen and heard. A good can also be intangible like a warranty. The product is the essence of marketing and that is why marketeers have to know which products are for their markets. In developing a product, marketeers have to make sure to create the right products to offer the better ones for their consumers, in order to satisfy their needs. A product includes its features, name, brand, packaging, colors, among other things that makes the product be.
Price is the value of the product; the amount each customer is willing to pay for his desired products. The price adjusted by marketeers has an effect on the sales and demand of the products. This element is very important in a Marketing Plan because it determines if your customer wants to buy your product or not. Marketeers have to be aware when setting price in terms of the customer perceived price. The C.P.P. is when customers evaluate the products benefits against its cost. For that to happen, marketeers use three pricing strategies: market skimming strategy, market penetration strategy, and neutral pricing. The market skimming strategy is when you set the price very high at first and then periodically lowering it depending on the product’s life cycle. Marketeers use this to attract the attention of consumers and the demand on the market. The market penetration strategy is focused in lowering the price of the products to reach and penetrate the market rapidly. With this strategy, marketeers want to establish a new brand with a lower price than its competition, and make people switch brands and/or products. The neutral pricing is when prices are set equal to what the market establishes.
Place is where the product will be distributed and where the customers can buy the products. Place includes a store, boutique, supermarket, online webpage, a catalogue, among others. The distribution of a product or service is basically the where it becomes accessible to the customer. Marketeers choose where the products will be distributed taking into consideration the target market. As the web design and marketing firm Purely Branded says “is about putting the right product, at the right price, at the right place, at the right time”, meaning that not all products are right for all people.
Promotion is a very important element in marketing due to its use to promote products or services. It helps the product have a good market position by getting out the right information and differentiating the products from its competitors. There are several ways to promote with different types of promotions. These different types of promotions are: advertising, public relations, sales promotions, and word of mouth among others. Advertising is a paid type of promotion that mostly use communication for television, radio stations, internet ads, newspaper. It is often used by business that wants to introduce a new product or brand. The purpose of advertising is to increase sales and consumption, and educate the consumers by using celebrities, benefits, and models, among other things to ensure the sale. Public relations is another type of promotion but without having to pay. The objective of public relations is create and maintain a communication between organizations and the public. This includes press releases, conferences, seminars, interviews for an article. Word of mouth is an informal and also a pay-free promotion. This type of promotion is used everyday by people when they talk about something they like and create an engaging communication to capture the attention and pursue the person into buying the product. A perfect example of word of mouth used a lot this 21t century is social media. “The Joneses” is a movie about how word of mouth is used and it’s benefits. Sales promotions are direct promotions to the consumers using discounts, bundles, coupons, freebies, among many others. The purpose of they the customers chose to buy. Marketers need to know with researching which type of promotions to promote its product or services.