Extended Marketing Mix


Published on

The mearketing mix explained, including the additional Service Mix elements

Published in: Business
  • Thank you for the resource. It is good.
    Kind regards,
    Are you sure you want to  Yes  No
    Your message goes here
  • T
    hanks for sharing this brilliant data....very usefull for my hnc course.
    Best regards,
    Liz Collins
    Are you sure you want to  Yes  No
    Your message goes here
  • Hi Steve

    Thanks for sharing the slides ~ I've added them to my group Training 'Powerpoint Resources'.
    Kind regards,
    Jim McNeill
    Are you sure you want to  Yes  No
    Your message goes here
No Downloads
Total views
On SlideShare
From Embeds
Number of Embeds
Embeds 0
No embeds

No notes for slide

Extended Marketing Mix

  1. 1. The Extended Marketing Mix
  2. 2. Objectives of this session: <ul><li>What is the ‘Marketing Mix’? </li></ul><ul><li>What is the difference between the traditional 4 Ps and the ‘Service Mix’? </li></ul><ul><li>What are the range of decisions to be made for each of the marketing Ps? </li></ul><ul><li>What is meant by an integrated or co-ordinated marketing mix? </li></ul>
  3. 3. Marketing Mix: The Four Ps <ul><li>The Four Ps are controllable variables </li></ul><ul><li>Should be tailored to needs of defined Target Group </li></ul><ul><li>All four Ps are linked and should support each other </li></ul>Product Price Place Promotion
  4. 4. Four P’s: The Product Product Decisions Branding Quality Features <ul><li>Customer Value = the ‘bundle of benefits’ delivered to the customer </li></ul><ul><li>Need to change benefits as customers’ needs change </li></ul>Benefits offered
  5. 5. The Four Ps: Pricing Pricing Strategies Penetration Skimming Competition Product Line Bundle Psychological <ul><li>Only ‘Price’ generates income </li></ul><ul><li>Price must support costs of all other Ps </li></ul><ul><li>Price also must reflect the relationship of supply and demand within the marketplace </li></ul><ul><li>Price = Cost the customer is prepared to pay </li></ul>
  6. 6. The Four Ps: Promotion Promotional Mix Advertising Public Relations Sales Promotion Personal Selling Direct Marketing Internet/ E-commerce <ul><li>The task of Promotion is to target customers and Communicate with them </li></ul><ul><li>An integrated mix of promotional techniques should reach customers by all available channels </li></ul>
  7. 7. The Four Ps: Place Manufacturer Consumer Manufacturer Retailer Consumer Direct Distribution Indirect Distribution <ul><li>The task of Place is deliver the Product to the customer at the right Price </li></ul><ul><li>There are many options of channel design </li></ul><ul><li>Channel design should take into account Cost and Convenience for the customer </li></ul>Manufacturer Franchisee Consumer
  8. 8. Marketing Mix: The Service Ps <ul><li>Product </li></ul><ul><li>Price </li></ul><ul><li>Place </li></ul><ul><li>Promotion </li></ul><ul><li>People </li></ul><ul><li>Physical Evidence </li></ul><ul><li>Processes </li></ul>
  9. 9. People Decisions The Service Ps: People Service & Quality Relationship Marketing Marketing Training Internal Marketing <ul><li>The most cost-effective means of differentiating yourself from the competition is the degree of customer focus, competence and efficiency of the People the organisation employs </li></ul><ul><li>Customers experience this as the degree of Care and Concern they receive from the organisation </li></ul>
  10. 10. The Service Ps: Processes <ul><li>All Processes are concerned with the consistent creation and delivery of Customer Value </li></ul><ul><li>The Customer’s experience is affected directly at those points at which s/he interacts with the Organisation </li></ul><ul><li>Processes should be continuously reviewed and co-ordinated to improve the customer experience and demonstrate Customer Consideration </li></ul>Process Decisions Enquiry / Info Search Point of Purchase Delivery After Sales
  11. 11. The Service Ps: Physical Evidence Physical Evidence Evidence of Ownership Environment of PoP Product Design Packaging Corporate Identity <ul><li>Provides Physical Evidence of delivered Quality </li></ul><ul><li>Should be consistent through entire customer experience </li></ul><ul><li>Especially important where customer is purchasing an intangible (service) </li></ul><ul><li>Provides Confirmation of Customers’ expectations </li></ul>
  12. 12. In Conclusion The 7 Ps The 7 Cs < Organisation Facing Customer Facing > Product = Customer Value Price = Cost Place = Convenience Promotion = Communication People = Caring Processes = Co-ordinated Physical Evidence = Confirmation