Many will ask “Why do I need a marketing mix strategy?” “what can I benefit from marketing mix?” and many will say “I’ve spoken to many business experts and none have mentioned marketing mix”.
If you have fallen into this bracket do not click elsewhere you are in the right place! In this post you will not just learn what marketing mix is, you’ll have a solid understanding of how it plays a fundamental role in your strategy & can help your business grow
What is the marketing mix you ask?
The marketing mix is the actions, strategies and procedures, your company will implement to combine the promotion of products or services at the right place and at the right time. Ultimately businesses will plan this out and it will control the influence that aids consumers to make their choice purchasing the product/service.
Why it is important for your business to implement the marketing mix?
The marketing mix will play a large role in your business marketing strategy. if you are not focusing on the factors of the marketing mix, you are neglecting potential customers.
Your marketing mix will aid many fields such as a combination of promotion through channels such as the media, aids a strategic position and the best fit giving an insight into the market and maximum returns. It will put you in the path to see all your objectives clearly and how to reach your targets.
• It will help you budget correctly and not overspend
• It gives you an advantage over your competitors
• Helps make targeting and segmentation decisions
• Gives a better understanding of your market and market operations
• Highlights key areas needed to be improved
Marketing Mix 7P’s
Initially started with 4 factors (4 P’s – Product, price, promotion & place) This explained how products will be marketed and the base to marketing strategies. Over the years, it has developed into 7 p’s as there were more factors that needed to be accounted for.
PRODUCT: Refers to the product/service (tangible/intangible) that is sold to the consumers, it is made to satisfy individuals or groups of people. It is important to know your consumers shopping patterns & behaviour in depth and your product life cycle. Implementing this to your strategy will enable to reduce issues. For your product to flourish it is important to research the market and its competitors.
Is your product suitable for the market/target audience?
How long does your product intend to last with consumers?
PRICE: Price is the value placed on your product. There are a lot of factors that influence the price of a product such as manufacturing costs, materials needed, distribution costs, competition, quality & consumers perception. Having a pricing strategy in place enables your business to be as profitable as can be
Product price should be fair to the target audience to consider demographics. Often prices resemble the quality of the product
will your consumer feel they’re getting their money’s worth?
Are there any discounts you can offer?
PROMOTION: is the marketing tools and techniques you will use to promote your product. It is how you are communicating your product to the target market attempting to gain more leads and conversions. This could be marketing methods such as
- Social media marketing
- Email marketing
- Influencer marketing
- Content marketing
- Public relations
- Video creation
The way products are promoted have changed significantly changed over the last years, what worked in the past may not work today and the same for future dates. Update your promotion techniques and communications often to keep up to date and use the relevant methods
What methods are you already using?
What other methods could you use to increase awareness?
PLACE: Refers to where your product is accessible to the consumers is and how they can purchase it the POS (point of sale). It can range from offering your products in-store, on the web or a mobile app.
Where would your target market usually purchase a product like yours from?
Is your physical location convenient for customers?
Are you selling directly to customers?
PEOPLE: Concentrates of the staff involved in the product. From the people at the beginning thinking of the idea until it reaches its point of sale. It is vital to have a strong team who all have the same vision and passion. They need to be fully equipped to do the tasks delegated at the top quality. Your business reputation is assessed in many aspects including your employees
Do your staff have the required training needed to complete their job role to a high standard?
Are customers satisfied with the staff?
PROCESS: the activities and interactions have taken place between the customer and the business, every link in the chain this is generally the service between you and customers. Your businesses should aim for their process to take a minimal amount of time. Focusing on the process is as important, it will ensure your business delivers an enhanced level of service at a low output cost leaving both you and customers satisfied.
What are your customers’ process needs?
Have you analysed your customer retention?
PHYSICAL EVIDENCE: Overlooked by many businesses but is a very valuable factor as it enables the business to build credibility with customers. With your services being delivered at the highest quality it brings in social awareness of the brand, word of mouth and recommendations. Including things such as feedback and reviews is essential. Things such a good running, ecstatic website or a clean physical store is also a part of physical evidence.
Does your company have someone customer can give reviews and feedback offline/online?
What could your customers say about your brand to other people about why they should purchase from you?
How to develop a marketing mix
- Set a target and objective – it must be distinctively defined what you want to gain from the marketing mix & strategy. You should have a reasonable target and time frame
- Establish a target market – get an in-depth idea of the type of consumers that will purchase, i.e their spending habits, demographics, think how you can communicate with these customers
- Identify the USP – what is it about your company or products that is different from competitors
- Set a budget – think about the amount you want to spend on things such as research
- Outline and define your product/service fully in depth. Incorporate this into the marketing campaign and outline everything about the product that makes it great and unique
- Distinguish where the product will be marketed and distributed – links to the importance of knowing who your consumers are. Think about the best ways for them to come across it when promoted and how they purchase products and where from
- Have a pricing strategy in place – market research is thoroughly important here… you need an understanding of the general pricing in the market and competitors pricing to ensure that quality matches the price, you don’t want to overcharge customers
- Marketing methods – discover what methods you’re going to use to get the product out in the open whether it be the use of SEO techniques, social media, blogging, paid ads, email marketing etc.
Apple has used a marketing mix to stay at the top of their game, they have a product and understand the product life cycle and their target market, their regular release of new iPhone increases the demand for the product.
They have expanded the product range by diversifying their phones offering consumers multiple choices of the same phone. They have a great pricing strategy which matches the different products they offer. They offer the product in high volume places that is accessible to most e.g. shopping malls most commonly and they are online.
Starbucks uses its pricing strategy to maximize its profitability, with having a strong awareness on their customers’ behaviour and spending they have the knowledge and ability to increase their pricing in increments, gradually moving its price to the highest without losing customers
Lego Used promotion to be amongst to top-selling toy brands. The company was slowly in a declined until the idea to partner up with big banded franchises such as Batman, Disney, cartoon network and many more, as well as being one of the highest streamed YouTube pages.
What does this mean for my business?
From this post, you should have learned what marketing mix is, what the 7 factors of the marketing mix are and how to develop a general strategy. High quality and successful marketing strategy will include the marketing mix, to aid meeting the objectives and provide customers with value. Looking into these 7 factors will allow you to seek out many new opportunities and gain a competitive advantage.