MARKETING MIX is the set of controllable variables that the firm can use to influence the buyer’s response. These controllable variables are referred to as 4 P’s namely the product, price, place (distribution) and promotion. All these variables are inter-related because a decision on one area affects decisions in other areas. Each firm strives to build a composition of the 4 P’s that can lead to the highest level of consumer satisfaction and meets the organizational objectives. Thus the 4 P’s are assembled while keeping in mind the needs of the target customers and it varies from one organization to another.
Product is a set of tangible and intangible attributes including packaging, color, price, manufactures prestige, retailers prestige, and manufactures and retailers services which buyer may accept as offering satisfaction of wants and needs. It is also the assurance that service facilities will be available to meet customers’ needs after the purchase. Product can be classified on the basis of use, durability and tangibility.
It is the exchange value of goods and services in terms of money. Costs, demand, competition, market objective and government regulations are all factors that need to be taken into consideration when price is determined. Price can be determined using the following costing methods: cost based pricing, competition based, demand based pricing and objective based pricing.
Promotion refers to the process of informing and persuading the consumers to buy certain products. By using this process, the marketer conveys persuasive messages and information to its potential customers. The main objective of promotion is to seek buyers’ attention towards the product with a view to: arouse his interest about the product, inform him about its availability and state how its different compared to other products.
Goods are produced to be sold to the consumers. They must be made available to the consumers at a...