The Marketing mix Price
Task 6 - The Marketing mix Price Cost based - It is when a business works out the total cost of producing a product by adding together all the fixed variables costs. Then it adds an amount for a profit, often called mark up, to give the selling price. The mark up is usually expressed in the form of a percentage. For example, if the kosher food shop works out that the total cost for producing a kosher chicken is £10. They decide they want to add a 10% mark up to create profit for them. This would give the following calculations: Total cost £10 Percentage mark up per chicken 10% of the total cost £10 x 10 divided 100 = £1.00 Total price = £11.00 Market based - It is when a business looks at how much other business are selling a product for and selling the same product for around the same price or maybe a bit lower to gain the advantage amongst its competitors. For example if a kosher chicken at La Boucherie cost £11.00, my shop will sell it at £10.60. This generally happens in an environment where there is a lot of competition and opposition. Promotional pricing - Pricing to promote a product is a very common application. There are many examples of promotional pricing including offers such as Buy One Get One Free and 2 for the price of 1. Skimming pricing - Charge a high price because you have a large competitive advantage. The high price attracts new
The Marketing Mix.
E1. The Marketing Mix Promotion There are many methods I can use to promote Classic Cola. I can use above the line promotion methods, where I can use media to get through to potential and actual customers. I can also use below the line promotion, such as personal selling. But I think I will use above the line promotions methods as I think it will be more affective. I will use television adverts as over 90% of homes have television sets in them. Also I will have the choice to choose the timings of when I can advertise Classic Cola, as different advertising spaces during the day target different people. Price I will have to chance the price of Classic Cola from the current price, which is 64p for a 2-litre bottle. I have decided to change the price to 55p and lower as time goes. I say this because I will make sure the production of Classic Cola will benefit from Economies of Scale, which then I can pass the benefits over to the consumers via lower prices. Place I will also place Classic Cola in national and international stores, in order for more people to actually know and buy the product. I say this because not everyone has seen or heard about Classic Cola, so by placing the product nationally and internationally there is more change of people taking an interest in the product, resulting in an increase of sales for Classic Cola. Production Classic Cola is a
Marketing mix of McDonalds
Marketing Objective A marketing plan must be created to meet clear objectives. Aims to lead marketing efforts and are used to measure how well the plan works. They may be related to market share, sales, goals, reaching your target audience and build awareness in the market. Objectives communicate what marketers want to achieve. Long-term goals are divided into short-term measurable objectives which McDonald used as milestones on the road. The results can be analysed regularly to see whether the objectives have been achieved. This type of feedback allows the company to change plans. This gives you flexibility. Once marketing objectives are set next step is to determine how they will be achieved. A marketing strategy is to determine how the objectives will be delivered. It explains what marketing actions and resources will be used and how they work together. Marketing mix of McDonald’s Marketing mix and consists of various elements in the following way, which form the backbone of the company, the economic system and thus contributes to the achievement of marketing objectives. Marketing mix of services for McDonald's is as below . Product McDonald places a strong emphasis on developing a menu that customers want. Market research defines exactly what it is. However, customer requirements change over time. In order to meet these changes, McDonald's has introduced new
Elements of the Marketing Mix.
Marketing Mix 1 Elements of the Marketing Mix Mrs. Fields Famous Brands Debbie Blakesley Marketing MKT 421 Nicholas Skelton February 23, 2004 Marketing Mix 2 Elements of the Marketing Mix Mrs. Fields Famous Brands E. Jerome McCarthy identified the principals of marketing when he wrote his book Basic Marketing. This marketing concept is over 40 years old and has been the topic of many marketing books and journals. The marketing mix includes the four basic P's, that include Product, Price, Promotion and Place. These elements support the basic goal of marketing, which is to find the need of the customer and fulfill that need. Product is a description of the product or service your customer desires. Product features, quality, instructions and installation are elements that fall under the product category. When determining the Price of a product, the strategy should include the objective of the company to make a profit. Pricing strategy should also address any discounts applied; the demand for the product and flexibility needed when introducing the product (Cohn, 2003). Promotion is about the communication to the customer. How is the information about the product going to be received or perceived? What method of communication is going to be used to send the message to potential customers? Promotion is about advertising the product and what media type
Current Marketing Mix for Payne's Poppets.
Current Marketing Mix for Payne's Poppets. What is the Marketing Mix? The marketing mix is the successful implementation of four aspects. A correct mix of these aspects will result in a product or service being marketed successfully. The four aspects of the marketing mix as mentioned before are * Product - something that the customers would want to buy * Place - where the business is selling this product, at a place, which the target market would frequent. * Price - the cost of the product should appeal to the customers whilst also generating profit * Promotion - attracts and raises awareness of people towards the product. The marketing mix is important because having the correct marketing mix can make the difference whether or not a product is successful. The Marketing Mix is closely linked to Market Research, from which a suitable marketing mix can be drawn up. In this section I will research and analyse the current marketing mix employed at Payne's under the four headings: product, price, place and promotion. The information collected will be from the Payne's website and through other such sources. Product From visiting the product range page on the Payne's website at www.paynes.co.uk, I have found out that Payne's have a selection of products, which they market which include "Just Mints", "Just Brazil's", "Just Almonds", "Just Hazelnuts", "Lift" and also
Sony Ericsson Marketing Mix
.0 INTRODUCTION In the corporate world today, marketing is the vital component needed to increase the profitability of a company, increase the rate of longevity and boost the sales of a certain product or service. This certainly applies in the telecommunication industry especially when there are so many mobile phone providers in the market that caused the industry to be extremely competitive. But what is marketing? Marketing is the general term used to describe all the process that lead to final sales, including the planning and executing of price, promotion and distribution to satisfy individual and organizational needs. (Erickson, 1996). From the definition above, it is seen that marketing is not just selling a product and service but an essential part of business to ensure the success of a company. Sony Ericsson Mobile Communication is a global provider of mobile multimedia devices, and it is a joint venture of Sony Corporation and Ericsson (www.sonyericsson.com). It is one of the most successful mobile phone providers that implemented the concepts of marketing and gained competitive advantages within the industry. In this report, I will be explaining on how Sony Ericsson has serviced me as a customer, and how they maintained my loyalty towards their products. 2.0 The Marketing Mix The marketing mix is a general term used to describe the different kinds of choices
Marketing Mix - The 4 Ps.
Marketing Mix - The 4 Ps "Strategies are broad statements of the action to be taken to achieve the objectives identified in the plan. Marketing strategies are all the methods used by an organization to achieve its long term marketing objectives. They will specify * A target market the group of customers to whom a company wishes to appeal * A marketing mix the controllable variables the company puts together to satisfy this target group. Marketing tactics, on the other hand, are the methods used by the organizations to achieve its short term marketing objectives. Note that the distinction between strategy and tactics is in terms of broad statement/ detailed statement and long term/ short term plans. Both are expressed in terms of the elements of the marketing mix- the 4 Ps. Programmes or plans of action (tactics) Programmes specify what has to be done, who is to do it and by when. Programmes are developed for major functional areas within marketing. For example: * The sales plan will include details of territories, distribution networks, control systems and sales teams; * The promotion plan will specify, in detail, the forms of promotion that will be employed, as well as how and when they will be used; * The market information plan will specify the details of the market research effort. The programmes or plans of action will be expressed in terms of
Apple ipod Marketing Mix
The Apple Ipod Marketing Mix Apple Ipod is currently in the growth stage, where more and more people are aware and purchasing the product, increasing product demand. Sales are growing rapidly and profits are rising quickly, however competition is increasing, as competitors are more aware of the tactics of Apple Ipod i.e. using new features to market their product. During this stage, there are also opportunities for wider distribution, which will result in higher sales. Price Apple Ipod will use cost base method to derive its prices. They will add a 65% profit margin to the cost of the product to gain efficient revenue. Price and quality interactions - In this way, price creates perception of quality. - High price attract an image of quality - This will allow Apple Ipod to increase its market share Promotion By promoting the Apple Ipod this will satisfy the needs of the customers and business. Consumers will gain better understanding of the product and how it can satisfy their needs, but on the other hand will help Apple Ipod increase their profits and market shares. Advertising - Apple Ipod will spotlight on a successful advertising campaign comprising of magazine and television advertisements focusing on - The target market (teenagers and young adults) - How often they want the target market to be exposed to the advertisement - When they want to reach their
marketing mix analysis
Main Aspects of Marketing Mix (100) The easiest way to understand the main aspects of marketing is through its more famous synonym of "4Ps of Marketing". The classification of four Ps of marketing was first introduced and suggested by McCarthy (1960), and includes marketing strategies of product, price, placement and promotion. The following diagram is helpful in determining the main ingredients of the four Ps in a marketing mix. Product In simpler terms, product includes all features and combination of goods and related services that a company offers to its customers. So the Airbusproduct includes its body parts such as the engine, nut bolts, seats, etc along with its after-sales services and all are included in the product development strategy of the Airbus. However, a serious criticism can be raised here in terms of how marketing mix analysis will cater for companies such as ABN Amro Bank, Natwest Bank, British Airways and Fedex Corporation as they don't possess tangible products. It was argued that is it feasible to omit service-oriented companies with the logic that the term "services" does not start with a "P", however, it was asserted that these companies can use the terminology of "service products" under marketing mix strategy making (Kotler & Armstrong, 2004). Lazer (1971) argued that product is the most important aspect of marketing mix for two main reasons.
The 4Ps and the marketing mix
The 4Ps and the marketing mix The 4Ps are the ideas to consider when marketing a product. They form the basis of the marketing mix. Getting this mix right is critical in order to successfully market a product. The 4Ps are: . Product 2. Price 3. Promotion 4. Place If market research is carried out effectively, a company can plan a promotion for the right product, at the right price, and to get it to their chosen market, in the right place. Now look at the 4Ps in more detail. Price No matter how good the product is, it is unlikely to succeed unless the price is right. This does not just mean being cheaper than competitors. Most people associate a higher price with quality, so you would expect to pay more for a Rolls Royce than for a Lada. On the other hand, is one cola worth more than another, and if so, how much? As a rule, a producer of luxury or medical products will use skim pricing or premium pricing initially, in order to maximize its profits. This is useful, as it helps them to recover expensive research and development costs quickly. For fmcg's (fast moving consumable goods) like colas, penetration pricing is usually used. The firm will want a large share of the market, so will settle for a small profit on each item. In the long term, they hope that the turnover, and therefore their profits, will be high. The simplest method of all is cost-plus pricing,
