Marketing Mix Definition
Marketing mix is a combination of strategies and tactics that businesses use to promote and market their products or mix of products to their buyers.
Marketing mix is essential because it allows businesses to examine the feasibility and role of a product in the marketplace, find a way to get it to those who need it, price it well, and promote it effectively.
7 marketing mix elements
The marketing mix is made up of seven elements called 7PS: product, price, promotion, place, packaging, positioning, and people.
The seven marketing mix elements 7PS can help companies evaluate and reevaluate their marketing activities. As the need of the buyer’s changes, business needs to revisit this marketing mix to ensure that they’re doing the right things and maximizing the best opportunities in their market. Here are the full details of the seven marketing mix elements:
Product refers to both physical products and services that are intended for customer need or demand. Marketers must know the key problem their product solves. This will help them in crafting a sales message that clearly spells out what an intending buyer stands to get.
Business doesn’t have to be emotional about their product or service when evaluating their products or services. They don’t have to think about how much time, money, and energy they have put in the product development. Instead, they’d view their product from their buyers perspective and ask the necessary questions such as does this product solve any pressing need of the target market, how will the product improve the lives of the buyers.
Whenever business begins to experience downtime in business, it’s essential they pause and reevaluate their business asking the right questions like are these the product the buyers need at this point?
Enterprises have to compare their product to that of their competitors to see if there’s any way their product is better or lesser to that of their competitor’s product. From this critical analysis, they can tell if the time they’re offering the product is the right time and if the product is perfect for their buyers.
The price component of the marketing mix describes the amount of money a customer is expected to pay for goods or services. If a product is priced below its perceived value, it will have a hard time selling.
The constant evaluation of product price is essential as it helps the business know if their product price is still appropriate realities to the current market. There are times it’s necessary to reduce product prices. While in some cases, a rise in price is also vital. But then, brands need to continually examine their worth in other to know the right time to increase or reduce their product price.
The promotional element of the marketing mix contains all the strategies a company must implement to reach their target market and build demand for their product or service.
Example of promotional techniques include: advertising, sales promotion, special offers, and public relations.
These techniques will vary according to demographic and psychographic information of the company’s target market.
Promotion impacts profoundly on business growth. Even a small change in advertising can lead to higher sales. Just by changing the headline of a campaign can increase the response rate up to 500%. Businesses of different sizes regularly increase experiment with different ways of promoting, advertising and selling to their customers. Because the world is ever-evolving, what works today may not work tomorrow.
The fourth P in the formula represent place, and this has to do with the channel with which the business will use to sell its product. Constant revision and reflection on the exact channel to be used to sell to the buyers is very important. A change in a sales channel can increase or reduce sales to some certain Percentage.
Business uses different channels to market and sells its products. Some company sells through a catalogue; some sell by sending out their salesperson to meet up with their buyers one on one, some deal through social media, some through paid advertising, some through email. Some company sells by combining two or more of this method.
In each situation, the company must choose the right channel for its buyers to receive necessary buying information on the product they need to make a buying decision on. The company has to continually lookout for new channels where they could offer their product in order to scale up their marketing efforts.
The fifth P in the marketing mix formula is packaging. Standing back to review every one of your visual elements is essential. Buyers form their first impression about a brand within 30 secs of seeing a business or any element of the company. A small improvement in a company’s appearance can lead to an increase in sales and leads.
Concerning the packaging of a business product, the business should think in terms of every single thing the buyer sees when he or she first comes in contact with the company through the buying process.
Packaging doesn’t just end with the way your product appears on the outside. It also includes how the company people dress, how company website looks, the company brochure, how the company brand themselves on social media, and every single visual element of the company. Every one of those matters. Every one of that helps or hurts the brand. It affects business customer confidence in dealing with them.
The sixth P in the marketing mix formula is positioning. It’s essential for businesses to continually think about how they’re positioned in the heart of their buyers. What do people say about the brand when they’re not present? What specific word do the brand buyers use when describing them and their offerings? It’s vital to form the habit of thinking about how you’re positioned in the heart and minds of your buyers and how you can improve it.
Start by determining the position you’d want to occupy in their hearts and minds. The company could create their ideal impression what could it be? What could you have to do to every customer that comes in contact with your company to think and talk that way?
The very last P in the marketing mix formula is people. The people inside and outside of a business is essential. Brands need to take out time to think about the people who are responsible for every element of their marketing strategies, sales, and other activities.
More often than not, most brands spend a lot of time evaluating and thinking through other marketing mixes, and they pay little or no attention to the seventh marketing mix. But then, every single decision and policy is going to be implemented by specific people in a particular way.
The company’s ability to select, recruit, hire, and retain the right workforce with the right skills and abilities to do the job that’s required of them, is very vital compared to anything else. For any brand to move forward, they’ve to attract and put the right people in the right position.
A marketing mix is a vital tool for creating the right marketing strategies and its implementation through effective tactics. The evaluation of the marketing mix elements: product, price, promotion, place, position, and people plays a vital role in the overall marketing approach.
The marketing mix helps brands to determine which marketing strategy is okay for their business. It’s the first step before creating a marketing plan. The reason is that company marketing mix decision affects their segmentation, and as well as their targeting decision.