Module 2 - Lecture 6

Marketing Management
Elements of Marketing Mix

IMBA Semester VI –
Marketing Management Prof. Subhasish Mitra www.atmiya.net
The 4 Ps of Marketing

IMBA Semester VI –
Marketing Management Prof. Subhasish Mitra www.atmiya.net
Conceptual Understanding
• Cake Mix vs. Marketing Mix

• The offer you make to your customer can be

altered by varying the mix elements.
• So for a high profile brand, increase the focus
on promotion and desensitize the weight given
to price

IMBA Semester VI –
Marketing Management Prof. Subhasish Mitra www.atmiya.net
Designing the Right Mix
• The most creative & challenging step in
marketing is designing the right marketing mix
• The marketing mix is the specific collection of
actions & associated instruments employed by
an organisation to stimulate acceptance of its
ideas, products & services

IMBA Semester VI –
Marketing Management Prof. Subhasish Mitra www.atmiya.net
Designing the Right Mix

• First, the firm chooses the product to meet the

identified need of the target segment
• Second, the right distribution channel is used to
make the product available
• Third, the firm undertakes eye catching
promotion
• Fourth, the price platform is acceptable to the
customer & firm

IMBA Semester VI –
Marketing Management Prof. Subhasish Mitra www.atmiya.net
Fundamental Actions

• The term 'marketing mix' however, does not

imply that the 4P elements represent options.
• They are not trade-offs but are fundamental
marketing issues that always need to be
addressed.
• They are the fundamental actions that
marketing requires whether determined
explicitly or by default.

IMBA Semester VI –
Marketing Management Prof. Subhasish Mitra www.atmiya.net
Product
• In marketing, a product is anything that can be
offered to a market that might satisfy a want or
need.
• In retailing, products are called merchandise.
• In manufacturing, products are bought as raw
materials and sold as finished goods.

IMBA Semester VI –
Marketing Management Prof. Subhasish Mitra www.atmiya.net
Price
• It is the amount of money or goods for which a
thing is bought or sold.
• The price of a product may be seen as a financial
expression of the value of that product.
• Price is also the marketing variable that can be
perhaps changed most quickly, in response to a
competitor price change.

IMBA Semester VI –
Marketing Management Prof. Subhasish Mitra www.atmiya.net
Place

• Place in the marketing mix refers to the

channel, or the route, through which goods
move from the source to the final user.
• Place could be the intermediaries,
distributors, wholesalers and retailers.

IMBA Semester VI –
Marketing Management Prof. Subhasish Mitra www.atmiya.net
Promotion

• Promotion refers to raising customer awareness

of a product or brand, generating sales, and
creating brand loyalty.

IMBA Semester VI –
Marketing Management Prof. Subhasish Mitra www.atmiya.net
4 Ps and 4 Cs
• Product - Customer /Consumer
• Price – (Customer) Cost
• Place - Convenience
• Promotion - Communication

IMBA Semester VI –
Marketing Management Prof. Subhasish Mitra www.atmiya.net
4 Ps and 4 Cs
• The Four Cs model is more consumer- oriented
and fits better in the movement from mass
marketing to niche marketing
• The product part of the Four Ps model is
replaced by consumer or consumer models,
shifting the focus to satisfying the consumer.

• Pricing is replaced by cost, reflecting the reality

of the total cost of ownership.
IMBA Semester VI –
Marketing Management Prof. Subhasish Mitra www.atmiya.net
4 Ps and 4 Cs
• Placement is replaced by the convenience
function.
• Convenience takes into account the ease to buy
a product, find a product, find information
about a product, and several other
considerations.
• Finally, the promotions feature is replaced by
communication.
• Communications represents a broader focus
than simply promotions.
IMBA Semester VI –
Marketing Management Prof. Subhasish Mitra www.atmiya.net
Extended Marketing Mix
• Booms and Bitner included three additional 'Ps'
to accommodate trends towards a service or
knowledge based economy:
• People
• Process
• Physical Evidence

IMBA Semester VI –
Marketing Management Prof. Subhasish Mitra www.atmiya.net
Extended Marketing Mix

• People – all people who directly or indirectly

influence the perceived value of the product or
service, including knowledge workers,
employees, management and consumers.

• Process – procedures, mechanisms and flow of

activities which lead to an exchange of value.

IMBA Semester VI –
Marketing Management Prof. Subhasish Mitra www.atmiya.net
Extended Marketing Mix

• Physical evidence is the material part of a

service.
• It is the direct sensory experience of a product
or service that allows a customer to measure
whether he has received value.
• Examples might include the way a customer is
treated by a staff member, or the length of time
a customer has to wait, or a cover letter from an
insurance company, or the hygiene of a store
IMBA Semester VI –
Marketing Management Prof. Subhasish Mitra www.atmiya.net
Extended Marketing Mix

• There are many examples of physical evidence,

including some of the following:
• Packaging / Uniform / The Building itself
• Internet/web pages.
• Paperwork (such as invoices, tickets and
dispatch notes).
• Brochures / Business Cards
• Furnishings
• Signage
IMBA Semester VI –
Marketing Management Prof. Subhasish Mitra www.atmiya.net
Finally….
The 7 Ps The 7 Cs
Organisation Facing Customer Facing
Product = Customer/ Consumer
Price = Cost
Place = Convenience
Promotion = Communication
People = Caring
Processes = Coordinated
Physical Evidence = Confirmation

IMBA Semester VI –
Marketing Management Prof. Subhasish Mitra www.atmiya.net