Definitions [3]
Define the term ‘marketing mix’.
Marketing mix refers to a combination of four P's, viz. product, price, promotion, and place. These are closely interrelated because decisions in one area influence those in others. These constitute the core of a company’s marketing system.
Define the term ‘product mix’.
Product mix is a component of marketing mix which involves developing new products and improving the existing products as per the requirements of the consumers.
Define a channel of distribution.
A channel of distribution is a route along which products flow from the point of production to the point of consumption or use.
Key Points
Key Points: Concept of Marketing Mix
- Marketing mix has four elements: Product, Price, Place. and Promotion.
- Product includes core offering plus extended features like after-sales service.
- Price is influenced by demand and involves discount/credit decisions.
- Place deals with physical distribution and dealer support.
- Promotion persuades buyers through advertising, personal selling, and sales promotion tools.
Key Points: Marketing Mix> Product
- Product is a bundle of utilities satisfying a need.
- Customers buy products for the benefits they provide.
- Benefits are functional, psychological, and social.
- Motorcycle example shows all three types of benefits.
- These benefits must be considered while planning a product.
- Products are classified into consumers’ products and industrial products.
Key Points: Packaging
- Packaging is about the product's container or wrapper.
- There are three levels: primary, secondary, and transportation.
- It is important for health, hygiene, and selling in self-service shops.
- Packaging supports innovation and product differentiation.
- Main function: identification, protection, easy use, and promotion.
