Transcript Marketing Mix

Marketing Mix
GCSE Business Studies
Marketing
Marketing is the management process
responsible for identifying, anticipating and
satisfying customer requirements
profitably.
CIM's official definitions
The Marketing Mix –
The Four Ps
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Product
Price
Promotion
Place
The Marketing Mix
In order to achieve success all businesses
must get the marketing mix right. This
involves having the right product at the
right price in the right place using the right
promotional methods. These are known
as the 4 P’s.
Product
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Appearance
Function
Cost
USP
Market Position
Product Life Cycle
Product Life Cycle
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Research and Development
Introduction
Growth
Maturity
Saturation
Decline
Strategies to Extend
Product Life Cycle
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Modify the product
Change the packaging
Increase promotion
Reduce the price
Find new market
Encourage increased use of product
Legislation Relating to
Products
• Sale and Supply of Goods and Services
Act
• Consumer Protection Act
• Food Safety (Northern Ireland) Order
• Weights and Measures (Northern Ireland)
Order
Pricing Policies
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Cost Based Pricing
Skimming
Penetration
Competitor Based Pricing –
– Market Led
– Destruction
Factors that Affect
Price
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Cost of Production
Need to Make a Profit
Competition in the Market
Price which the Market can Bear
Season
Quantity of Stock in Hand
Relationship between
Price and Demand
• Demand is when consumers want a
product and have the money to purchase it
• Businesses want to know how much
demand there will be for their products at
different prices.
• Demand for a product will be higher if the
price is lower.
Methods of Promotion
• Advertising
– Informative
– Persuasive
• Sales Promotion
– Coupons and Loyalty Cards
– Competitions
– Product Endorsements
– Free Offers
– Merchandising
Legal Controls on
Promotion
• Trade Descriptions Act
• Consumer Protection Act
Place - Channels of
Distribution
Manufacturer
Manufacturer
Retailer
Retailer
Manufacturer
Wholesaler
Consumer
Consumer
Consumer
Factors Affecting Choice
of Distribution Channel
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Type of Goods
Value of Goods
If the Product is Perishable
Costs Involved
Key Trends
Distribution Channel
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Growth of E-commerce
Growth of Call Centres
Growth of Retail Parks
Growth of Digital Television Shopping
Diversification of Products and Services
Offered by Retailers