If any organization want to bit in today’s competitive market then, every organization have to make their marketing plan whether it’s a small scale organization or large scale. The marketing plan is all about the segmentation of the targeted customers or targeted market. The movement when every organization makes their proper marketing plan, then the marketing mix helps them to a chive their goal successfully. That is why we should know about the term marketing mix. But what is marketing mix?
Let’s understand what is marketing mix? According to Neil H. Borden –
” The marketing mix is the set of marketing tools that the firm uses to pursue its marketing objectives in the target”.
The marketing mix is also called the 4 Ps. The concept of 4 Ps of marketing is introduced by E. Jerome McCarthy. These 4 Ps are the product, Price, place, Promotion.
The marketing practices are carried from last thousands of years. Over the period of time in the early twentieth century, Booms and Bitner have introduced more 3 Ps of marketing these are People, Process, and Physical Evidence. These 3 Ps of marketing covers service marketing. that is how the 4 Ps of marketing got extended to 7 Ps of marketing also it called service marketing mix.
Thus now we discussed, what is marketing mix? Now let’s have a look at 7 Ps of service marketing mix.
Service marketing mix includes 7 Ps. These are,
- Physical Evidence
Let’s understand these above 7 Ps of service marketing mix in detail.
The first P of service marketing mix is Product. The product is a thing which consumers or customers buy it for them to satisfy their needs or wants. That product can be goods or services, that product can be the tangible product or intangible. According to Philip Kotler – there are ten types of products which can be marketed. These types are, Goods, Services, Experiences, Persons, Events, Places, Properties, Organizations, Ideas, and Information. That product can be a mobile phone, an insurance policy, a lawyer’s consultancy and many more.
- How the term product is useful to the organization?
The term product can help the organization in marketing decision making. The term product can help at the time of designing the product’s features, quality and Verity, product’s packaging and labeling, product’s branding, deciding the service after the sale (paid/complimentary), managing product’s guarantee and warranty etc.
See also: new product development process
The price is a second P the service marketing mix. The price is the amount of money which a customer pays for the product as a return. According to David J. Schwartz – ‘Price is the money; you pay for any product or service’. The price is a very important factor in the organization and also in the particular marketing sector. Because the price is an only one factor which can bring the revenue of the organization.
That price you may pay in the form of tuition fee, school fee, college fee, airfare, hotel tariff, toll, wage, commission, lease rent, consultancy fee etc. That price can be sometimes variable or fixed.
- How the term price is useful to the organization?
Price helps to the organization in the marketing decision making. Like, deciding price Discount offers, price strategy, price setting, payment terms, credit terms, and methods etc.
The Place is the third P of service marketing mix. The Place is a platform or an area where organizations can reach to their customers or consumers by distribution channels, marketing channels or trade channels to sell their product or products. The place provides the convenient access to the customers to get or buy their required product. The place a platform where customers or consumers can get the access to choose and buy their required products and satisfy their wants.
According to Louis Stern & Adel EI-Ansary – ‘Marketing channels are the set of independent organizations involved in the process of making a product or services available for use or consumption’.
According to Robert J. Dolan – ‘ The marketing channels help to generate the demand for the company. Then, the company fulfills these demands by selling their products and also provides after sale service. It also helps in giving the information and feedback to the company from the customers.
- How the term place is useful to the organization?
The term place is very useful to the organization. It helps in marketing decision making of the organization. While deciding strategies like Intensive/exclusive/selective distribution, Assortment, location decisions, franchising, market coverage, selection of channel members and their relationship etc.
Promotion is the integrated marketing communication. It covers public relations, sales promotion, advertising, personal selling, direct marketing, and nowadays also the digital marketing. With the help of these, all types of communications, all the organizations try to advertise their product or promote their product in the market and get more sales out of it.
In the business, promotion or advertisement is very important at the initial stage of the business. Because when the product gets promoted then only the customers or consumers can get aware of that product. And if customers are aware of the product, then only they find the product in the market and the can buy it otherwise no.
There are various channels of promotion. These are Posters, TV advertisements, print advertisement, Points of purchase (POP), Hoarding, Catalogue marketing, fair and trade shows, telemarketing etc.
- How the term place is useful to the organization?
The term promotion is very useful to the organization. It helps in marketing decision making of the organization. While deciding channel or media strategy, message frequency (frequency of promotion), promotion mix, and message strategy.
People is the fifth P of service marketing mix. The term people means a person who directly or indirectly involves in the service. Including knowledge workers, top/middle/lower management, consumer and employees these can be considered as a people in a service marketing. People is a most important part of the business for its success. Without people, noa any business can be conducted.
- How the term people is useful to the organization?
The term helps the organization in the terms of staff recruitment and their training (as it is a role of HR), doing daily routine activities, handling customers, serving the services, managing social interactions, Handling the complaints of customers and make them satisfied. In these type of many more important activities, people help to the organization.
The process is the flow of activities by which the services can be delivered and can satisfy to the customer. As we talked before it is all about the flow of activities. Process plays a very vital role in the business. we can say these process as standard operation procedure (SOP). And SOP helps to any type of business to maintain their standard quality of product and also helps at the time of expansion of the business. In this flow of activities, everything is fixed in the process (SOP).
i.g. When we go to MacDonalds to have a good quality of burger or meal, we just have to order our product in the first window, pay the payment in the second window and collect the meal or burger in the third window. And within this such a short period of time, we get the fresh and same quality of the meal at every time. If we buy the same meal in any outlet of the MacDonalds then we get the same quality of the product at any time. The fastest service is the specialty of the MacDonalds. You know? MacDonalds could do this only because of their streamline processes. And that’s the power of process.
- How the term process is useful to the organization?
Yes, Process plays a very vital role in an organization. Because it helps in decision making regarding product standardization and customization, process designing, tracking, and monitoring performance,
7. Physical Evidence:
The basic nature of services is intangibility, so while you are selling an intangible product then physical evidence plays a very important role. With help of physical evidence, the service provider can deliver a delightful experience to the customers. If there is no physical evidence then your customer may not enjoy the service which you are providing.
i.g. When we stay in any restaurant, then, of course, we will expect the clean place or a table where we are going to eat, good and comfortable seating arrangements, well-mannered waiters, hygienic food, good interior etc. If everything will be opposite means dirty table, dirty place, rood behavior of waiters or staff, unhygienic food then no one will prefer that restaurant.
So, that is why the physical evidence is very important in the service business.
- How the term physical evidence is useful to the organization?
The physical evidence is helpful to the service provider to serve the delightful experience to the customer. while the service provider considers this term in his business then he do not sell only a good product to the customer. Rather, he sells a delightful experience to his customers. And I think when the customer enjoys this delightful experience then, that business will have a great future.
So, this is what all about what is marketing mix? and 7 Ps of marketing.
I hope you like this article. You can share your experience below in comment box or if you think, any changes or improvements are required in the post then please comment that also. So that, I can improve it and can give a more knowledgeable information and delightful experience at the next time.
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