Getting the Marketing Mix Right
Source: Harvard Business School “Working Knowledge”
Published on: October 20, 2011
Author: Dina Gerdeman
Marketer’s job is to plan marketing activities and pull together fully integrated marketing programs to create, communicate and deliver value for consumers. McCarthy classified these activities as marketing mix tools, which he called the four Ps of marketing: product, price, place and promotion.
Marketers make marketing mix decisions for influencing their trade channels as well as their final consumers. In the short run the firm can change its price, quantity and advertising expenditures on the other hand it can develop new product and modify its distribution channel only in the long run.
The four Ps represent the seller’s view of the marketing tools available for influencing buyers. From a buyer’s point of view, each marketing tool is designed to deliver customer benefit. Summary
Businesses depend on solid marketing strategies to boost sales but the tool used to measure these strategies often give the wrong conclusion because of this manager’s cannot make the right decision where they would get the most return on their investment. Thomas J. Steenburgh has developed a new analytical tool that measures the effectiveness of various marketing efforts with more precision. According to Steenburgh this model will help brand managers to determine which marketing strategies work best to invest in. Steenburgh says "Companies really need to pay attention to the effectiveness of their marketing instruments,” and "They need to look at whether they're creating new customers or whether they're just drawing customers away from competitors. It's a fundamental question in the field, and this model helps measure that.”
The Ideal Mix
Brand managers have wide range of weapons at their disposal while formulating marketing; they include in-store merchandising,...
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