Marketing is all about putting the right product in the right place, at the right price, at the right

time.

“Marketing mix” is a general phrase used to describe the different kinds of choices organizations have
to make during the process of bringing a product or service to market. The 4Ps is one way – probably the
best-known way – of defining the marketing mix, and was first expressed in 1960 by E. J. McCarthy in his
book, “Basic Marketing – A Managerial Approach.”

The 4Ps are:

Product (or Service).

Place.

Price.

Promotion

Importance of Marketing Mix

Helps understand what your product or service can offer to your customers. Helps plan a successful
product offering. Helps with planning, developing and executing effective marketing strategies. Helps
businesses make use of their strengths and avoid unnecessary costs.

Challenges of Marketing Mix:

State of Data (SoD) …

Multicollinearity. …

No standards of measurement. …

Lack of transparency. …

Measuring advertising CONTENT. …

Dynamic Effects. …

Marketing Mix

1. Product

A product is any good or service that fulfills consumer needs or desires. It can also be defined as a
bundle of utilities that comes with physical aspects such as design, volume, brand name, etc. The type of
product impacts its perceived value, which allows companies to price it profitably. It also affects other
aspects such as product placement and advertisements.

Importance of product

Product is the centre of all marketing activities, Without a product, marketing cannot even be imaged.
Good products are the key to market success. Product decisions are taken first by the marketers and
these decisions are the centre to all other marketing decisions, such as price, promotion, distribution etc

Classifications of Products in Marketing: Consumer and Industrial Products:

Consumer products are the products purchased for ultimate consumption by the consumers for
satisfying their needs. For example soaps, shoes, clothes, tooth pastes etc. They can further be divided
on the basis of durability and shopping efforts involved.

Industrial products:

The products which are used as inputs to produce consumer products are known as industrial
products.For example raw material, machinery, tools, lubricants etc. These products are used for non
personal & business purposes. Manufacturers, transport agencies, banks & insurance companies, mining
companies etc. are the main parties involved, in marketing of industrial products.

Characteristics of Product/Service

It may be tangible or intangible.

It consists of associated attributes such as brand, package, warranty etc.

It has an exchange value.

It has the ability to satisfy consumer needs and wants.

Products pakging and labeling:

Packaging refers to the process of designing and developing a suitable package for enclosing and holding
the product so that it can be easily covered and secured.

labeling refers to the text, design, symbol, logo, instructions and suggestions for usage.

Product life cycle:

A product life cycle is the length of time from a product first being introduced to consumers until it is
removed from the market. A product’s life cycle is usually broken down into four stages; introduction,
growth, maturity, and decline

2. Price

The price of a product directly influences sales volume and, consequently, business profits. Demand,
cost, pricing trends among competitors, and government regulations are crucial factors that determine
pricing. Price usually reflects the product’s perceived value rather than its real value. This means that
pricing can be increased to promote exclusivity or reduced to create access.

Objectives of price:

Five main objectives of pricing are: (i) Achieving a Target Return on Investments (ii) Price Stability (iii)
Achieving Market Share (iv) Prevention of Competition and (v) Increased Profits

Importance of pricing

Pricing is an important decision making aspect after the product is manufactured. Price determines the
future of the product, acceptability of the product to the customers and return and profitability from
the product. It is a tool of competition.
Pricing strategies :

Price skimming. …

Market penetration pricing. …

Premium pricing. …

Economy pricing. …

Bundle pricing. …

Value-based pricing. …

Dynamic pricing.

3. Promotion

Promotion involves decisions related to advertising, salesforce, direct marketing, public relations,
advertising budgets, etc. The primary aim of promotion is to spread awareness about the product and
services offered by a company. It helps in persuading consumers to choose a particular product over
others in the market.

Objectives of promotion

The goals of promotion are to create awareness, get people to try products, provide information, keep
loyal customers, increase use of a product, identify potential customers, and even teach clients about
potential services.

Importance of promotion

The most important purpose that a promotion serves is that it sets a business apart from its
competitors. No business will ever need to run any promotions if there wasn't any competition

Communication process

The steps that a promotional plan must incorporate to communicate their message to their target
market are sending, encoding, choosing the correct channel, reaching the receiver, decoding and
receiving feedback. The end result should be the communication of a promotional message to the
consumer that leads to sales.

Promotional Mix Elements:

Advertising.

Public relations or publicity.

Sales promotion.

Direct marketing.

Personal selling.

4. Place (or Distribution)

Place involves choosing the place where products are to be made available for sale. The primary motive
of managing trade channels is to ensure that the product is readily available to the customer at the right
time and place. It also involves decisions regarding the placing and pricing of wholesale and retail
ooutlets

Objectives of placement

The goal is for the prospective consumer to be positively influenced by the brand, without overtly
noticing the placement of that brand. The ultimate goal of superior placement is to positively influence
their perception of your brand or product so you buy it.

Importance of placement

Product placement is becoming an increasingly important way for brands to reach their target audience
in subtle ways. Businesses are using product placement to increase their sales, brand awareness, and
draw in customers – all without “traditional ads.

Channels of Distribution

There are two basic categories of distribution approaches: direct distribution and indirect distribution,
which is often called channel marketing. In a retail environment, the entire customer-facing team is the
sales team. One of the most rapidly growing distribution channels is online stores.

Direct Distribution

A direct distribution channel is organized and managed by a company that sells directly to consumers. In
such a case, the company keeps all aspects of delivery in-house (instead of using vendors)

Indirect Distribution

An indirect distribution channel involves intermediaries that perform a company’s distribution functions.
Functions of Placement:

Placement is an important HR function, and if properly handled, it does the following:

Improves the morale of the employees.

Reduces employee turnover.

Decreases accident rates.

Enhances labour productivity.

Clarifies expectations