Market MixIt is a mix or a combination of tactics usedto market effectively to a target market.It can also be defined as the combination ofelements, tools, or efforts used to achievemarketing objectives.The concept was given by Theodore Levittwho proposed the four p’s i.eProductPlacePricePromotion
Expanded Market Mix An expanded mix was proposed by Britner that added three more Ps : People Process Physical evidence
Market Mix (contd) Process: Flow of activities Number of steps
Market Mix (contd) Product- It is the offer of the marketer to satisfy a need & want. It includes the product variety & assortment, quality, features, style, brand name, packaging, warranties & guarantees, product logos, trademarks, & associated benefits.
Market Mix (contd) Place- Refers to the distribution of the products to the consumers. It involves the movement of the product from the sellers to the buyers, as well as storage at different points to make these available at convenient time & locations to the buyers.
Market Mix (contd) Price:It is the monetary value of the product. This is what the buyer pays to the seller, including discounts, allowances, credit terms, payment period etc.
Market Mix (contd) Promotion- It refers to all methods & tools used to give product information to the buyers & persuade them to purchase it.
Market Mix (contd) People- People imply the human elements involved in the service experience. The most visible elements are those engaged in exchange, i.e. sellers & buyers.
Market Mix (contd) Process- Process of service delivery decides the satisfaction of the customers. It includes the procedures, task schedules, mechanisms, activities & routines by which a product or service is delivered to the customer.
Market Mix (contd) Physical evidence- Physical evidence creates tangibility for the intangible services. I t portrays an image through physical presence such as building, décor, uniform etc.
Product Def- A product is anything that can be offered to a market for attention, acquisition, use, or consumption that might satisfy a want or need. It includes physical objects, services, places, organizations & ideas.
Core Product/ Consumer product Itincludes what exactly the consumer is buying, it could include a package of problem solving seervices
Facilitating Product These are those services or goods that must be present for the guest to use the core product, eg hotel services & facilities
Supporting Product These are extra products offered to add value to the core product & to help differentiate it from the competition. In a hotel a business centre or health spa is a supporting product
Industrial product Arethose products that are used for industrial consumption.
Product Planning & development/New product planning &development Acompany can obtain new products through two ways: Acquisition New product development – setting research & development department
Stages of product planning &development Idea Generation Idea screening Concept development & testing Marketing strategy Business analysis Product development Test marketing Commercialization
Idea Generation Internal sources Customers Competitors Distributors & suppliers Other sources
Idea Screening The following are the objectives of idea screening: Fulfilling mission Meeting corporate objectives Meeting property objectives Protect & promote core business Protect & please our key customers Better utilize existing resources Support & enhance existing product line.
Concept development & testing Product Idea- envisions a possible product that company managers might offer to the market Product concept- a detailed version of the idea stated in meaningful consumer terms Product image- is the way that consumers picture an actual or potential product.
Marketing Strategy Designing an initial marketing strategy for introducing the product into the market. It is divided into two parts: Target market, planned product positioning, sales, market share & profit goals. Planned price, distribution, marketing budget.
Business Analysis It involves a review of the sales, costs & profit projections to determine whether they satisfy the company’s objectives.
Product Development The product concept develops into a prototype of the product. It also means that it satisfies the following criteria: Consumers perceive it as having the key features described in the product concept statement. It performs safely under normal use It can be produced for the budgeted costs
Test Marketing It is the stage in which the product & marketing program are introduced into more realistic market settings.
Commercialization Atthe final stage, the product is rolled out in the market. It may be done in a phased manner moving from one market to another market in one go.