Product a breakdown of the principles and processes involved in formulating a marketing strategy including those of market research.
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A marketing strategy is composed of several interrelated elements. According the definition of marketing strategy by Study Market (2011), it outlines the manner in which the marketing mix is used to attract and satisfy the target market(s) and accomplish organization's objectives. This is quite an encompassing definition of marketing strategy as it touches all the elements. It shows that marketing strategy gives a direction on how the marketing mix (product, price, promotion & place) are ...view middle of the document...
A product can be viewed as a tangible object or an intangible service. Apple has portable computers as products, which consists of Mac Book Pro, iMac, MacBook Air and Mac Mini.
The next marketing mix is the price. Price refers to as the amount of money charged for a product or service. There are internal factors that affect a firms pricing strategy, they are namely marketing objectives and marketing mix strategy. Pricing decisions are affected my the design of product, distribution channels and promotion decisions which means pricing strategies have to be properly coordinated with other marketing mix variables (Armstrong et al 1998). It also notable to know that there are many pricing strategies that organization can employ such as cost-plus strategy, competitive and skimming. Apple is a premium brand that does not attempt to compete on price with other companies therefore it uses skimming pricing which means introducing product at a high price for the rich customers and later bringing the cost down. Apple charges $1199 for the MacBook Pro.
Promotion is the third element in the marketing mix. Promotion can be viewed simply as process of communication that takes place between a business and its various publics (individuals and organizations). To have an effective promotion, businesses have to plan their promotional activities using the four basic promotional tools: advertising, sales promotion, public relations and personal selling. The purpose of promotion is to inform or persuade a targeted audience to purchase a product or service, visit a location, or adopt an idea. Apple offers a $100 rebate when one purchases a MacBook Pro.
The fourth element of the marketing mix is place. Place simply refers to having the right product, in the right location, at the right time to be purchased by the right consumers (enotes, 2011). Two types of channel of distribution methods are available; direct and indirect distribution. The strategies for distribution are intensive, exclusive and selective distribution (learnmarkting, 2011). Apple has a worldwide coverage; they have stores in Asia/Pacific, Africa, Middle East, Europe and Latin America.
The development of the extended marketing mix: (People, Physical Evidence & Process) was brought by Boom and Bitner in (1981) which was to address the limitations of the marketing mix. In Booms and Bitner’s 7Ps services marketing framework, All people directly or indirectly involved in the service encounter, namely the firm's contact employees, personnel and other customers. Due to the inseparability of production and consumption for services, which involves the simultaneous production, and consumption of services, service firms depend heavily on the ability of contact employees to deliver the service. Apple offers complimentary telephone technical support for 90 days after your purchase a MacBook Pro and a one-year limited warranty. Physical evidence refers to the environment in which the service is...