Business - Marketing mix
What is the marketing mix?
The marketing mix is a business tool used to try and serve the needs of customers and allow a profitable income. A company must use this tool in order to meet consumer needs effectively. The elements of this tool include; product, price, promotion and place.
Product : The goods or services received by customers. This is the key element of the marketing mix as the others are defined around this. Products have three main features. These are; the core benefits (function of product), physical elements (looks, dimensions, duration) and other benefits (added features, brand name or sales services).
Place: The point where the goods or services are made available to customers. This factor is largely concerned with methods of transporting, storing, and the overall distribution method between producers and consumers. Some manufactures prefer to deal with wholesalers only, while others deal with retailers too, depending on who their preferred customer is and whether or not transactions take place on-line or in a store.
Promotion: How customers are informed about a product. This is the process by which customers in the target market are persuaded to purchase a product. The method of communication with customers, provides them with information about a product. Raising awareness of a product includes; advertising, sponsorship, sales promotion and public relations.
Price: How much customers pay for a product. For some businesses, this is very important as it generates the revenue and indicates the value of a product. A high-value product will naturally have a high price.