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Introduction

Marketing Mix is the set of


marketing Tool the Firm uses to
pursue its Marketing Objectives in
the target Market.
7 Ps (seller view point) 7 Cs (buyers view point)
1. Product
2. Price
3.Place
4.Promotion
5. People
6.PhysicalEvidence
7. Process
1. Customer Solution
2. Customer Cost
3. Convenience
4.Communication
5. Customer Care
6. Customer Attractions
7.CustomerConfidence
Winning Companies will be those that can
meet Customer Needs most Conveniently
with Effective Communication.

PRODUCT
I. SERVICE ATTRIBUTES
A. Characteristic of Services :
Intangibility
Inseparability
Perishability
Variability
B. Classification of Services :
1. Pure Tangible Goods
2. Tangible Goods with accompanying services
3. Hybrid
4. Major Services with accompanying minor
goods and service
5. Pure Service
The Service Concept
Core benefit/ Service
Generic Service
Expected Service
Augmented Service
Potential Service

II. THE LIFE CYCLE CONCEPT
Stages :

1. Introduction
2. Growth
3. Maturity
4. Decline

III. NEW SERVICE DEVELOPMENT
New Service Development Process :
1. Generation of Ideas
2. Screening
3. Testing the Concepts
4. Business Analysis / Evaluation
5. Practical Development
6. Market Testing
7. Launch
IV. POSITIONING THE SERVICE
What attributes of the service do our
consumers rate most highly ?
How do they rank our competitors
performance against ours with
regard to these attributes?
Who makes the decision, and how do
they establish criteria for such a
decision?

PRICE
I. KEY PRICING CONCEPTS
Price Skimming
Penetration Pricing
Mixed Pricing
Cost-plus Pricing
Variable Pricing
Marginal Pricing
Promotional Pricing
Differential Pricing
II. PRICING ISSUES FOR SERVICES
Costs of producing the service and
breakeven analysis
Competitor Pricing
Demand Levels and Elasticity
Regulatory factors
Marketing Mix
Positioning

III. ORAGNISATIONAL OBJECTIVES
& PRICING POLICY
Maximize Current Profit
Maximize Current Revenue
Maximize Price Leadership
Survival
Maximize Growth
IV. A FRAMEWORK FOR PRICING
DECISIONS
Analyse organisational objectives in terms
of pricing.
Determine demand levels and customer
characteristics.
Examine competitors pricing and
positioning.
Set prices utilising pricing concepts,
e.g. cost-plus
Monitor market response to prices set and
identify problems.

Externally
To inform the target market
To educate customers
To persuade
To remind
To publicize policy decisions
To make public announcements

PROMOTION
I. INTERNAL / EXTERNAL COMMUNICATIONS
II The communication process
The Source: encoding
The message
The media selected to transmit the
message
The recipient: decoding
The Promotional Message
To inform
To entertain
To educate
To persuade
To remind

Appeals
Rational appeals
Emotional appeals
Fear appeals
Humour appeals
IV. The Promotional Mix
Advertising
Personal selling
Publicity
Sales promotion

Advertising
Control
Mass communication
Cost-effective
Support other element of the marketing
mix
Creates strong brand image and appeal
Advantages of Advertising
Publicity
Publicity through the media
Involvement in social and community
initiatives
Sponsorship of events
Public announcements and special
publications
Corporate brochures and other publicity
material
Sales promotion
Free samples
Money-off coupons and special offers
Competitors
Point-of-sale displays
Free gifts and other incentives
Sales promotion tools
V. Media Choice and Selection
The available budget
Target audience factors
Level of coverage required
Exposure and frequency
Cost effectiveness
Desired impact
Determining Factors:
Media
Television
Newspapers
Magazines
Cinema
Radio
Outdoor
VI. Managing The Promotional Effort
Developing the promotional mix
Assigning the promotional budget
Monitoring and evaluation
Stages in promotional management
Factors influencing the promotional
mix
The nature of the organization
The service offering
Service life cycle stage
Type of markets the organization is operating
in
Customer characteristics
Buyer behavior and decision processes
Channels of distribution
VII. Monitoring And Evaluation
Are communications objectives being met?
Has the target audience received the message?
Have they received the right message?
Are budget being adhered to?
Evaluation methods
1) Marketing research
2) Direct response
3) Point-of-sale monitoring
Place:
Accessibility: it refers to the ease and
convenience with which a service can be
purchased, used or received.
Availability: It refers to the extent to which a
service is obtainable or capable of being
purchased, used or received.
I. Accessibility and Availability
II. Location
Service inseparability
Perishability
The role of customer as co-producer of the
service
Customer needs and wants
Importance of geographical location as part
of the service
Target market
III. Direct Distribution
Company resources / company objectives
Type of service
Geographical spread of the market
Legal and political restrictions on foreign
operations
Levels of technical expertise or skill required to
deliver the service satisfactorily
Customer preferences
Factors influencing to direct
distribution

People
High contact
Low contact
Professional
Non-professional


I. The Role of the Employee in
Services Marketing
II. Staff Selection and Recruitment

1. Preliminary stage

2. Selection stage

3. Follow-up stage
III. Training and Development
Identification of training needs
Implementation of training programmes
Evaluation of training effectiveness
Functional Training
Personal development
Organizational development
Appraisal system
IV. Human Resources Management
Issues
Organizational objective
Recruitment
Induction
Appraisal and review
Training and development
Pay structure and benefits
Communication
Quality



Physical Evidence
Peripheral evidence
Essential evidence

Process
Customer participate in the process
Location of service delivery
The service itself
High-contact or low-contact service
Degree of standardization
Complexity of the service