The marketing mix is a special set of tools that allows the marketer to achieve the main goal: to satisfy the needs of customers and increase sales. These tools generate demand and manage consumer behavior.
The concept and goals of marketing
The concept of marketing appears in the second half of the 19th century, when, in response to overproduction, it became necessary to find new tools to stimulate the sale of products. The new concept was defined as a certain activity aimed at increasing the profits of the company. Today there are at least a thousand different definitions. In general, marketing is understood as a process aimed at studying the market and forming a circle of consumers of the goods.
The main goal of marketing is to satisfy the needs of consumers. To do this, the market is studied, the product is designed, its price is determined and promotion is planned. Marketing seeks to establish effective communication between the producer and the buyer of a product in order to maximize consumption. In addition, he faces the goals of in-depth research of the market situation.and studying the needs of the consumer and the characteristics of his behavior. It is designed to increase customer satisfaction with the product in order to lead him to repeat purchase. Improving the quality of life of consumers, expanding the product range to best meet the needs of the population - this is also the scope of marketing. Based on these goals, marketing functions are determined: sales, analytical, product and production, communication, management and control.
Marketing Mix Theory
In 1953, the term "marketing mix" was first used in American marketing, by which Neil Borden understood a special set of tools to achieve the desired marketing results. Later, McCarthy refined this concept and developed the concept of 4p marketing, which has become synonymous with the concept of "marketing mix". It included such elements as product, price, place, promotion. He discovered that four basic elements, without which it is impossible to organize the marketing activities of an enterprise, exist in any kind of production and are universal.
In general terms, the marketing mix is a set of measures and tools that allow a company to influence the demand for goods and services produced.
Product
The first element of the marketing-mix is the item (or product). This is the starting point of marketing activities, and it refers to a certain item or service that has a certain value forconsumer. At the design stage, it is necessary to lay in the product those qualities and properties that will be in demand by the consumer. For the successful implementation of the product, the marketer needs to have a good idea of what need he is able to satisfy, what are the advantages and weaknesses of the product. You should also imagine what product improvements can increase its sales, in which markets it can be in demand. To increase sales volumes, it is necessary to take care of the packaging of the goods, its attractiveness and informativeness, and the registration of a trademark for quick identification of the product by the consumer. To form consumer loy alty to the product, it would be nice to provide guarantees and additional services for the client.
Price
The marketing mix includes pricing. This is a very important action on which the success or failure of a product in the market depends. The price should not be too low or unreasonably high, as it can scare away the buyer. Despite the apparent ease of maximizing profits through a high price, you should be very careful about setting a high or low price, as it is a powerful factor in the image of the product and manufacturer. The price must be competitive, adequate to the purchasing power of consumers and the chosen strategy. Price can become a promotional tool in strategies such as market penetration or cream skimming. When designing the cost of a product, several options should be considered for differentdistribution channels, the possibility of discounts.
Place of sale
Choosing a product distribution location is an important element of the marketing-mix complex. This choice is based on a thorough analysis of consumer behavior. It is necessary in the course of the study to identify places where it will be most convenient for the consumer to make a purchase. Sales organization, like other methods of sales promotion, should encourage a person to buy. The procedure for purchasing a product should be extremely simplified and fast, the consumer should not spend a lot of effort on making a purchase. When developing a marketing strategy, you should determine the target markets and distribution channels. Also an important part of the sales organization is the merchandising system (advertising at the point of sale, including product display, atmosphere and navigation in the store).
Promotion
The marketing mix is what is most often associated with promotion. Indeed, promotion is an essential component of the marketing mix. It is customary to distinguish four groups of tools in its structure: advertising, sales promotion methods, PR, direct sales. These funds are used in combination, solving long-term and short-term problems. Advertising and sales promotion usually give quick results, PR is a low-intensity technology and creates a delayed effect. A set of promotional tools is implemented in the form of a company's media strategy. Different tools are used for B2B and B2C markets.
Toolsmarketing
Marketing mix is a plan of action, operations cannot be swapped or released as unnecessary. Each element of the complex requires coordinated and thoughtful marketing actions. The main marketing tools are the marketing, pricing, product and communication policy of the enterprise. In addition to the marketing mix, there is the concept of a media mix - a set of means for promoting a product in the information environment. It includes direct advertising in the media (radio, television, etc.), event marketing, various promotions, advertising on the Internet.
