Marketing Mix
Business: BTEC Level 3 National Extended Diploma, topic 2.2.1
The Marketing Mix
The marketing mix is the combination of factors (the '7Ps') which affect a customer’s purchasing decision. Customers may buy a product if they find each of the marketing mix factors satisfactory.
People
- People is one of the 7 Ps and includes customer-facing staff, such as customer service assistants, and the employees involved in a transaction when a customer purchases a product or service.
- For example, Marks & Spencer prides itself on the quality of its customer service which suggests that the ‘People’ factor of the marketing mix is valued by the customers of this business.
Process
- Process is one of the 7 Ps and includes the systems in place to support the transaction which the customer must deal with to complete the transaction successfully.
- For example, some doctor’s surgeries have now introduced on-line booking systems which suggests that the ‘Process’ factor of the marketing mix is valued by the customers wishing to visit the surgery.
Physical environment/evidence
- The physical environment or physical evidence is one of the 7 Ps and includes physical premises, the design, and layout of premises and the condition and placement of products within a store.
4 Ps
- These three Ps are in addition to the existing 4Ps in the marketing mix:
- Product.
- Place.
- Price.
- Promotion.
Changing the marketing mix
- As market conditions and customer tastes and preferences change, a business may update its marketing mix.
- For example, Morrisons used to emphasise the importance of its physical stores, which relates to ‘Physical evidence’, but now offers online shopping, which suggests it has re-focussed some of its effort on the importance of ‘Process’.
Factors Influencing the Marketing Mix
When a business is deciding its marketing mix, it may consider the type of product being sold and the influence this may have on the overall decision.
Availability
- Convenience items, such as basic groceries, need to be accessed quickly by customers so businesses may focus on marketing mix factors related to speed and availability.
Product information
- Shopping items, such as computer tablets and clothes, may be considered for purchase by customers for a longer period so a business may focus on the customer service ‘people’ factor so that customers can access product information easily.
Luxury products
- Specialty products, such as cars and jewellery are luxury purchases for customers. Consumers who buy luxury goods may expect sophisticated stores and customer service processes to support the transaction. Businesses operating in luxury or specialty goods is likely to focus on processes & physical evidence, whilst making sure the other Ps are consistent with their brand.
Test yourself on Marketing Mix
Which of the 7Ps does customer facing staff meet?
Pia Jewellery originally had several brick and mortar shops. Now, they have moved their business to be solely online. Which P in the marketing mix have they abandoned?
If a business is selling smartphones, which of the following factors will be most important for marketing decisions?
If a business sells groceries, which of the following factors will be most important for marketing decisions?
Which type of product requires lots of product information?