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Marketing Mix Cadbury's

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Introduction

Marketing mix A business must have a product which customers want to buy and it must be sold in a place which the target audience will use. In addition to this, the price of the product must be acceptable to the customer, if customers are to be attracted to the product, the business must undertake some promotion. This way of looking at marketing is known as the marketing mix, Made up from the 4 P's; Product, Place, Price, and Promotion. It is called a mix because the 4P's have to be mixed correctly for the product to be successful Product Product life cycle All products have a time-span over which customers will want them, This is called the product life cycle. As you can see there are 5 main stages to a product life cycle: Development Introduction Growth Maturity Decline Introduction The introduction is where the product is launched or first put on sale. Before this a business may conduct market research and invest money developing the product. When the product is launched a business may advertise it in a number of ways to help it get off to a successful start. Growth This is the second stage, where the sales show the most rapid growth. Advertising and other promotion support change slightly as the product will generally known to consumers. The product is still new and will be in great demand Maturity This is the next stage in which sales are towards their highest, but most importantly the rate of growth is slowing down. ...read more.

Middle

Price Penetration As a new business which is not known to the public, its hard to persuade customers to buy their product instead of the popular, familiar brand named products which the consumer would be used to, so the new business may make their products cheaper than the others to get customers to buy them. Skimming This is when a product is majorly better than the competing products, the new product can be offered at a higher price, this is because many consumers are willing to spend more to get the "latest product". This is also known as "creaming". After a while the product becomes "ordinary" so the demand drops resulting in the customers not willing to spend more on the product, so the company reduce the price so more customers would buy it like penetration pricing skimming would be only used for only a short period of time. Differential Pricing This method of pricing is used when different businesses charge different prices for the same product when selling to different customers. It's common to transport businesses like trains charge different prices for adults then to children. Promotional Pricing Promotional pricing is a reduction in price used either to attract customers to an existing product or to sell off old products (as in a sale). Sales of a product may be falling a little and in need of a boost, or stock may need to be sold to make room for the new stock. ...read more.

Conclusion

This category has grown each year for the past decade while most other forms have suffered. It is the only form of advertising that targets all five senses and has the recipient thanking the giver. Public relations are where the communication is not directly paid for and includes press releases, sponsorship deals, exhibitions, conferences, seminars or trade fairs and events. Word of mouth is any apparently informal communication about the product by ordinary individuals, satisfied customers or people specifically engaged to create word of mouth momentum. Cadbury's adverts have been some of the most successful adverts in a long time. Cadbury's caught onto the idea of that if they had a "entertaining piece" instead of an original advertising commercial they would catch more of an audience. It started off with the Gorilla Advert in 31 August 2007, the advert was a hit, it had completed and checked all boxes that a commercial has to do, The main thing is that it was on everyone's mind, most people were talking about the ridiculous monkey playing the drums, and every time someone herd the Phil Collins song, you instantly thought about the monkey which then thinking about Cadbury's. And even now Cadbury's continue their Good work of promoting their products with the new adverts like the one with the eyebrow's and the Cream egg/twisted. There promotion methods are some of the best because it gets you talking about their products and that is the main aim of a commercial, obviously as well as to get people buying them. Cadbury's Also Promote though billboards, internet, competitions and offers. ...read more.

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