The business organization intermix a set of controlled marketing elements in order to generate the response it needs in target market. This set of controllable marketing variables is called marketing mix.
In fact everything is included in marketing mix that a business organization can perform to enhance the demand of its product. Here below this post is all about the 4ps of marketing mix.
The 4PS of the Marketing Mix
Marketing mix includes the following basic ingredients.
Product
Marketers specify the need of customer and then deliver the good or service to satisfy that need. It is the duty of marketer to locate and comprehend the prevailing needs, wide among them, and specifies the new needs.
For example currently there are smaller families as compared to the past years, so the marketer should consider the need such products that are to be sold in smaller quantities or smaller packets.
How this can influence the other professionals in business or process of marketing? Suppose your business develop a product that produces immense demand of customer.
Your department of marketing may enquire you to determine a method to boost up the flow of work in order to crank out more products quickly. After one year of the introduction of product, cheap imitations are emerged in front of marketer.
As one strategy of marketing is to maintain the price-competitive products, a marketer may then enquire you to determine the way to produce the product less expensively.
Read More: What is Marketing
This connection functions in both ways. Work process is changed by visualizing industrial & production engineers in some way in order to create surplus options for customers.
Those engineers are also implemental in creation and designing of products for which human factors and ergonomics are essential aspects.
May be another product line can be added. For example product A is still red but new product B is green. You can communicate this to your department of marketing which will make research to create immense demand of customer about the new line.
Price
In fact a marketer should be remaining proactive in determining price rather than make simple reactions to the marketplace.
So possible price points should be created in order to locate opportunities by making thorough research about the market & competitors
The marketer should be confident about the competitiveness of the product, when launching new product. And if higher price is charged from customers than the customers should assumed that they are obtaining more value than their money.
Different other technical experts play a significant role on pricing decisions of marketers. Again you may be enquired to find if manufacturing can be increased so that the product can be created & sold at low price.
Place or Distribution
Even if you manufacture efficient product but it if that product is not properly delivered to the desired customers, then that product cannot be profitable.
So marketers should assume different possible distribution channels in this regard. For example either the business organization maintains its direct t sales force or it delivers its product to the distributors who further deliver it to whole seller and then further retailer?
Marketers should also consider about the placement of their product in the geographical region. Either it is sold internally, nationally or regionally?
Moreover either the product should be sold to discounters or to the high-end stores? The above questions help the marketers to point out best distribution channels for successful distribution of their product.
These questions are of significant importance to the industrial experts and other kinds of engineers in a business organization.
For example the decision about the distribution of product in regional or international market can have significant impact on the package design &clear aspects of supply chain like distribution, logistics, transportation and warehousing.
Promotion
Promotion comprises different methods that are covered by the marketers about the wording out of the product. Most of the ways include advertising, sales promotion and public relations.
Best offers designed for all the people to buy a product are referred as sales promotion. These can contains rebate offers, coupons, free samples, two for one deals and contests.
Paid messages shown to the people to notice about certain product is known as advertising. This may contain billboards, magazine ads, web site ads, TV& radio commercials and much more. Repetition is the most important element in the aspect of advertisement.
In everyday life we are all deal with a large number of media messages. When a customer sees a message about a product, he does not pay attention to such ad.
But when he sees again and again that specific message, he starts paying attention to the product. This is the reason that business organizations run their ads frequently.
The emergence of a positive image into the mind of customers about certain product through non-paid communication designed is known as public relations. The mentioning of the name of business organization or product in the news is a good way to achieve this.
This is called media relations and it is a significant area of public relations. As with price, promotions change the demand of the product which directly influences the working of many other experts.
Functions of Marketing
Marketing includes eight universal functions which are as below.
- Buying
(Raw materials to generate services & goods and to buy finished services or goods as a whole seller or retailer for selling these again to the ultimate customers or consumers).It is the function that confirms customer demands are satisfied by offering of products that are available in sufficient quantities.
- Selling
Any function taken to satisfy the needs & wants of customers by selling the relative products, ideas or services. Customer needs are matched with the relative goods or services by using advertising, sales promotion and personal selling.
- Transporting
This function is concerned to generate the presence of goods and services. It is employed for transferring goods from the point of their manufacturing to the location suitable for purchase.
- Storing
For further distribution, warehouses are used to store the goods.
- Standardizing & Grading
To deliver more value able goods & services without changing the quality and Confirming that goods offered are in accordance with the developed & grading quantity and quality controls of weight, size and other variables of goods.
- Financing
In order to perform various functions, financial resources are provided. For example promotion of goods and giving credit to the members of channel (retailers wholesalers) or customers.
- Risk Taking
Risk is taken by marketers especially in case of launching of new product in the market because of the reason that the new product will have equal chances of failure & success. Facing the uncertainty about the buying of customers resulting from production & marketing of product that customer may buy in future time.
- Securing Marketing Information
For making decisions of marketing, useful information is gathered about competitors, customers and members of channel (retailer wholesalers).Most of the functions of marketing lie on the information obtained from the external environment of the organization and information delivered out of the organization.
A marketer searches the information to figure out the needs & wants of customers in order to fulfill them. After generating product, knowledge about the presence is needed so that customer can buy the present product.
Business Studies Notes is a one place stop for all the business students who are looking for business studies class 11 notes, business studies class 12 chapter 4 notes, graduation and master.
