The Promotion Mix

The Promotion Mix

Let us look to each element of the promotion mix elements , in more detail
Remember Promotion objectives are : sales increases, new product acceptance, creation of brand equity, positioning, competitive retaliations, or creation of a corporate image.
The elements of the promotions mix are:
1- Personal Selling :

Personal Selling is an effective way to manage personal customer relationships. The sales person acts on behalf of the organization. They tend to be well trained in the approaches and techniques of personal selling. However sales people are very expensive and should only be used where there is a genuine return on investment. For example salesmen are often used to sell cars or home improvements where the margin is high.
2- Sales Promotion :

Sales promotion tend to be thought of as being all promotions apart from advertising, personal selling, and public relations. or Buy One Get One Free. Others include coupling, money-off promotions, competitions, free accessories (such as free blades with a new razor), introductory offers (such as buy digital TV and get free installation), and so on. Each sales promotion should be carefully cost and compared with the next best alternative.
3- Public Relations (PR) :

Public Relations is defined as 'the deliberate, planned and sustained effort to establish and maintain mutual understanding between an organization and its publics' (Institute of Public Relations). It is relatively cheap, but certainly not cheap. Successful strategies tend to be long-term and plan for all eventualities. All airlines exploit PR; just watch what happens when there is a disaster. The pre-planned PR machine clicks in very quickly with a very effective rehearsed plan.
4- Direct Mail :

Direct mail is very highly focussed upon targeting consumers based upon a database. As with all marketing, the potential consumer is 'defined' based upon a series of attributes and similarities. Creative agencies work with marketers to design a highly focussed communication in the form of a mailing. The mail is sent out to the potential consumers and responses are carefully monitored. For example, if you are marketing medical text books, you would use a database of doctors' surgeries as the basis of your mail shot.
5- Trade Fairs and Exhibitions :

Such approaches are very good for making new contacts and renewing old ones. Companies will seldom sell much at such events. The purpose is to increase awareness and to encourage trial. They offer the opportunity for companies to meet with both the trade and the consumer. Expo has recently finish in Germany with the next one planned for Japan in 2005, despite a recent decline in interest in such events.
6- Advertising :

Advertising is a paid for communication. It is used to develop attitudes, create awareness, and transmit information in order to gain a response from the target market. There are many advertising 'media' such as newspapers (local, national, free, trade), magazines and journals, television (local, national, terrestrial, satellite) cinema, outdoor advertising (such as posters, bus sides).
7- Sponsorship :

Sponsorship is where an organization pays to be associated with a particular event, cause or image. Companies will sponsor sports events such as the Olympics or Formula One. The attributes of the event are then associated with the sponsoring organization.

Marketing Mix ( Promotion ) .

Marketing Mix

Promotion

One of the four elements in marketing mix is ( PROMOTION ) .

Promotion includes advertising, sales promotion, publicity, and personal selling, branding and refers to the various methods of promoting the product, brand, or company .
That mean promotion includes all of the tools available to the marketer for marketing communication .

Promotion is generally sub-divided into two parts:

Above the line promotion: Promotion in the media (e.g. TV, radio, newspapers, Internet and Mobile Phones) in which the advertiser pays an advertising agency to place the ad
Below the line promotion: All other promotion. Much of this is intended to be subtle enough for the consumer to be unaware that promotion is taking place. E.g. sponsorship, product placement, endorsements, sales promotion, merchandising, direct mail, personal selling, public relations, trade shows .

Marketing has marketing mix , also promotion has promotion mix .
as we said that marketing mix elements like cake mix , the same way with promotion mix .
The basic ingredients are always the same. However if you vary the amounts of one of the ingredients, the final outcome is different. It is the same with promotions. You can 'integrate' different aspects of the promotions mix to deliver a unique campaign.

The elements of the promotions mix are:
1- Personal Selling.
2- Sales Promotion.
3- Public Relations.
4- Direct Mail.
5- Trade Fairs and Exhibitions.
6- Advertising.
7- Sponsorship.

Promotion objectives are :sales increases, new product acceptance, creation of brand equity, positioning, competitive retaliations, or creation of a corporate image.

Marketing Mix ( Place )

Marketing Mix

PLACE

Another element of Marketing Mix is Place.

What is The concept of PLACE ?
Place represents the location where a product can be purchased. It is often referred to as the distribution channel. It can include any physical store as well as virtual stores on the Internet .

Distribution Channel comprises a set of institutions which perform all of the activities utilised to move a product and its title from production to consumption.

There are six basic channel decisions:

1. 
   Do we use direct or indirect channels? (e.g. 'direct' to a consumer, 'indirect' via a wholesaler).
2. 
   Cumulative length of the multiple channels.
3. 
   Types of intermediary .
4. 
   Single or multiple channels.
5. 
   Which companies as intermediaries to avoid 'intrachannel conflict' (i.e. infighting between local distributors).
6. 
   Number of intermediaries at each level (e.g. how many retailers in Southern Spain).

Marketing Mix ( Product )

Marketing Mix

PRODUCT

One of the four elements in marketing mix is ( PRODUCT ) .
What is The concept of product ?

The product is the end result of the manufacturing process, to be offered to the marketplace to satisfy a needs .

1. Raw Materials
2. Manufacturing Process
3. Product

That mean we take raw materials put it in manufacturing process to mix these materials , and produce new material we call it a product .

We will use simple example to know what is product mean ? ..
If you need to make a cup of tea , you will use ( tea , sugar and water ) let's call these elements ( raw materials ) , then you will boil the water and mix tea , sugar and water ( raw materials ) .
Let's call mixing process ( Manufacturing Process ) .
After manufacturing process you will have cup of tea and we will call these ( product ).
The product is the end result of the manufacturing process, to be offered to the marketplace to satisfy a needs ..
That mean the firms produce product to satisfy consumer needs .
And that is the Target of Marketing .

Concepts of Marketing .

Concepts of Marketing .

There are many definitions of marketing e.g :

Kotler
Marketing is the social process by which individuals and groups obtain what they need and want through creating and exchanging products and value with others .

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CIM

( The Chartered Institute of Marketing )

Marketing is the management process that identifies, anticipates and satisfies customer requirements profitably .

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Palmer

Marketing is essentially about marshalling the resources of an organization so that they meet the changing needs of the customer on whom the organization depends .

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Bartles

Marketing is the process whereby society, to supply its consumption needs, evolves distributive systems composed of participants, who, interacting under constraints - technical (economic) and ethical (social) - create the transactions or flows which resolve market separations and result in exchange and consumption.

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Cohen

Implementation of the marketing concept [in the 1990's] requires attention to three basic elements of the marketing concept. These are: Customer orientation; An organization to implement a customer orientation; Long-range customer and societal welfare.

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Jobber

The achievement of corporate goals through meeting and exceeding customer needs better than the competition.

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Barwell

This customer focused philosophy is known as the 'marketing concept'. The marketing concept is a philosophy, not a system of marketing or an organizational structure. It is founded on the belief that profitable sales and satisfactory returns on investment can only be achieved by identifying, anticipating and satisfying customer needs and desires.

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Drucker

Marketing is not only much broader than selling, it is not a specialized activity at all It encompasses the entire business. It is the whole business seen from the point of view of the final result, that is, from the customer's point of view. Concern and responsibility for marketing must therefore permeate all areas of the enterprise.
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The better definitions are focused upon customer orientation and satisfaction of customer needs ..

Firms and Consumers .

Firms And Consumers

let's ask our selfs two questions :
1 - What do consumers want ?
2 - What do firms want ?
to answer first question ( What do consumers want ? ) , We should consider our selfs as consumers , so what do we want ?
If we want to buy a product any product , how do we choose product among other products ?
we will want ( High Quality ) ( Suitable Price ) and other things but quality and price both of them are most important for a lot of consumers ..
to answer the second question (What do firms want ? ) , We should consider our selfs as firms , so what do we want ?
if we want to produce a product or service , What is the target of firms ?
First target is achieve perfect profit , and that will happen if a big number of consumers bought our product .
so firms must know " consumers needs " to make her product harmony with consumer needs .

And these is consistent with the Marketing Concept .

The marketing concept .

The Marketing Concept .

The marketing concept mean that firms should analyze the needs of their customers and then make decisions to satisfy those needs , and they must satisfy those needs better than other competitors .
In 1776 in The Wealth of Nations, Adam Smith wrote " The needs of producers should be considered only with regard to meeting the needs of consumers. " And this theory is consistent with the marketing concept . While this concept would not be adopted widely until nearly 200 years later.

Now we can say that Marketing mean that to know what are consumer needs and take our decisions to satisfy those needs . We should also know how competitors satisfy those needs and try to take decisions better than competitors took ...

To take good decisions ask yourself :

What are your consumers needs ?

How are your competitors satisfy consumers needs?

Then if you know the answer you will be able to take your decisions ...

Marketing Mix ( price ) .

Marketing Mix

PRICE

What is The concept of price ?

price is a simple word we hear it a lot of times in a day and we hear it in a lot of places , we hear it in market , shops and in economic news .If you want to buy a quantity from food so you will give the seller a quantity from money and take quantity from food , here we call the quantity from money ( price ) .. In the most times the price which you pay it equiponderate what you took . I said that In the most times not at all times .
The concept of price is central to microeconomics where it is one of the most important variables in resource allocation theory (also called price theory).And as you read Price is also one of the four variables in the marketing mix that business people use to develop a marketing plan.

The price is the amount a customer pays for the product. It is determined by a number of factors including market share, competition, material costs, product identity and the customer's perceived value of the product. The business may increase or decrease the price of product if other stores have the same product. also it is the result of an exchange and from that trade we assign a numerical monetary value to a good, service or asset. If I trade 4 tomatoes for a carrot, the price of a carrot is 4 tomatoes. Inversely, the price of a tomato is 1/4 carrot.

In general terms price is the result of an exchange or transaction that takes place between two parties and refers to what must be given up by one party ( buyer ) in order to obtain something offered by another party ( seller ).

Pricing:This refers to the process of setting a price for a product, including discounts. The price need not be monetary it can simply be what is exchanged for the product or services ( time, energy, or attention )

Elements Of Marketing Mix ..

Elements of Marketing Mix , as we said that Professor E. Jerome McCarthy, at the Harvard Business School in the early 1960s, suggested that the Marketing Mix contained 4 elements .and this elements are :

1- Price .

2- Product .

3- Place .

4- Promotion .

It called also Four Ps , by this elements you can control your offers

And we will study each element alone ..

Marketing Mix .

1- Concept of Marketing Mix :
The marketing mix is probably the most famous marketing term. Its elements are the basic, tactical components of a marketing plan. Also known as the Four P's .
let me show you that the concept simple , Think about another common mix , Everything have elements become mix eg ( bread , tea . cake . etc. ... )
Tea Mix contain ( tea , water , sugar ) .
Bread Mix contain ( flour , water , yeast and salt ) .
Cake Mix contain ( flour , milk , eggs and sugar ) .
you can alter the final tea by altering the amounts of mix elements contained in it So for a sweet tea add more sugar!
that mean you can control in results by changing the amount of elements , the same thing in the Marketing Mix . The offer you make to you customer can be altered by varying the mix elements .

2- history of Marketing Mix :
The term "marketing mix" became popularized after Neil H. Borden published his article 1964 , The Concept of the Marketing Mix. Borden began using the term in his teaching in the late 1940's after James Culliton had described the marketing manager as a "mixer of ingredients". The ingredients in Borden's marketing mix included product planning, pricing, branding, distribution channels, personal selling, advertising, promotions, packaging, display, servicing, physical handling, and fact finding and analysis. E. Jerome McCarthy later grouped these ingredients into the four categories that today are known as the Four Ps (Price , Product , Promotion , Place ) .

Definitions of marketing .

Definitions Of Marketing

After the introduction in 4 ps , maybe you didn't understand a lot of expressions as ( marketing , marketing mix .. etc ) , so it is important for beginners who want to learn marketing to know the meaning of marketing .
Marketing Is the set of processes or activities that work for the discovery of the wishes of customers and develop a range of products or services that satisfy the desires of the institution and achieve profitability during the period of time .
There are many definitions of marketing science will be remembered most important of these definitions: first u should know that " You must know that the marketing does not mean the Declaration . "- Marketing is a process that will determine interest in the client and work to meet this desire. - Social marketing management process that provides individuals and groups to what they need, and are achieved through the production and exchange-value products with others. "Philip Kotler" - Is the set of processes or activities that work for the discovery of the wishes of customers and develop a range of products or services that satisfy the desires of the institution and achieve profitability during the period of time.
All of this is simple definition about marketing and it was necessary to began in

" Marketing Study"

Introduction in 4 Ps .

Introduction in 4 Ps

Maybe you heard about ( Four Ps ) or maybe you saw it in some articles , If you interesting in Marketing so you should know what is Four Ps mean .

In the early 1960s, Professor Neil Borden at Harvard Business School identified a number of company performance actions that can influence the consumer decision to purchase goods or services. Borden suggested that all those actions of the company represented a “Marketing Mix”.
" Marketing Mix " is the division of groups to make a particular product, by pricing, product, branding, place, and quality. Although some marketers have added other P's, such as personnel and packaging .
Professor E. Jerome McCarthy, at the Harvard Business School in the early 1960s, suggested that the Marketing Mix contained 4 elements: product, price, place and promotion.

Product: The product aspects of marketing deal with the specifications of the actual goods or services, and how it relates to the end-user's needs and wants. The scope of a product generally includes supporting elements such as warranties, guarantees, and support.

Pricing: This refers to the process of setting a price for a product, including discounts. The price need not be monetary - it can simply be what is exchanged for the product or services, e.g. time, energy, or attention.

Promotion: This includes advertising, sales promotion, publicity, and personal selling, branding and refers to the various methods of promoting the product, brand, or company.

Placement (or distribution): refers to how the product gets to the customer; for example, point-of-sale placement or retailing. This fourth P has also sometimes been called ( Place) .

These four elements are often referred to as the marketing mix, which a marketer can use to craft a marketing plan.