Marketing Mix - Concept, Product & Price Mix
Marketing mix is the set of marketing tools used by a firm to pursue its marketing objectives in the target market. The marketing mix consists of four P’s : Product, Price, Place and Promotion.
• Product refers to goods or services or anything of value which is offered to the market for exchange.
• Price is the amount of money that customers have to pay to obtain the product.
• Place or physical distribution includes activities that make firm’s products available to the target customers.
• Promotion refers to the activities communicating availability, features, merits, etc of the products and services to the target customers and persuading them to buy.
Under product mix, product is classified into consumer and industrial products. Consumer products are classified on the basis of durability and buying behaviour. Industrial products are classified into materials and parts, capital items and supplies and business services.
Branding refers to creating a corporate brand identity for consumer and getting that brand identity imprinted on the minds of consumer. Brand refers a name, term, sign, symbol, design or some combination of them used to identify the products-goods or services of a seller or group of sellers and to differentiate them from those competitors. Features of brand are: name should be short, easy to pronounce, etc. Brand name strategies are classified into individual branding, blanket family, company cum individual name and separate family brand name. Advantages of branding are helps in product identification, gives quality assurance, acts as status symbol, etc.
Packaging refers to the act of designing and producing the container or wrapper of a product. Levels of packaging are classified into primary, secondary and transportation package. Good packaging helps in proper identification, protecting the product, product promotion and facilitating use of product.
Labelling refers to the process of designing a label to be put on the package to provide information regarding the product’s quality, price, etc. It helps in describing the product and its contents, identifying a particular brand or product, grading of the products, promotion of products and providing information required by law. Important factors affecting price determination are product cost, utility and demand, extent of competition in the market, government and legal relations and pricing objectives.