In recent years, leaders in the marketing sector have started adopting new strategies, tactics, and methods to improve engagement with customers and prospects. However, high ROI and funnel performance remain the foremost marketing metrics of success. Overall, customer referral rates, customer acquisition costs, and retention rates have experienced the biggest boosts.
The increasingly strategic nature of marketing means that KPIs must be in line with those of company leadership. Research has found three-quarters of CMOs have started to align their KPIs with those of the CEO. At the center of a management plan should be the prioritization of the team’s well-being. Teams should be looking at driving measurable outcomes. Marketing mix has increasingly become a key revenue driver for businesses.
What is Marketing Mix? An Overview
Marketing can be defined as the medium to communicate value to customers in terms of quality products and services. A marketing mix incorporates a combination of elements that a business can focus on to influence potential consumers to purchase its products.
By strategically executing marketing mix practices and continuously optimizing them, businesses can deliver better results to their customers; in turn, boosting business ROI. Simply put, When it comes to the marketing mix, it is a process to promote your product or service among your potential customers using six marketing Ps.
Marketing mix, built around the 4Ps — product, price, place, and promotion — arguably simplifies the complexity of current-day marketing. However, market leaders have added two critical layers for marketers into the marketing mix in recent years: process and people. So now the marketing mix is built around 6Ps instead of 4 Ps.
The product incorporates the design, packaging, quality, features, and positioning of a product or service. The emphasis on this “P” is constantly growing as consumers become more educated about and critical of their purchases. The product must deliver satisfaction as expected; otherwise, even the best work of the marketing mix elements won’t do any good as intended.
The price implies the amount a customer is willing to pay for a product or service. Thus, pricing strategies are critical to keeping up with consumers frequently changing demands. For instance, discounting strategies could be anchored in consumers’ minds for a long time, who may refuse to pay retail prices later.
The emerging technology has enabled market leaders to think out of the box and directly connect with the consumers. And the integration of AR capabilities makes it possible for manufacturers to sell directly to consumers. They are doing this by allowing them to visualize merchandise to replace the need to tangibly feel the product before purchasing it. All of these changes highlight the need to communicate value based on the positioning selected for the product. Moreover, pricing is also useful as a demarcation, to distinguish and enhance the uniqueness of a product.
Place refers to product availability to prospect customers, whether a physical shop or an online eCommerce platform.
Simply put, place means the ideal distribution platform as well as the final destination. Going through the following questions is a great way to start:
- How will customers find your products and services?
- Will you be selling directly to consumers or wholesalers?
- Will you have your physical store or online store sell on an e-commerce platform like Amazon or through an intermediary?
This “P” recently evolved with the introduction of e-commerce. Deciding whether or not to sell a product on a website could significantly impact your selling and distribution strategies. Placing a product on Amazon is an excellent option to make your prospective consumers aware of a product. It will also help you improve your brand credibility due to trusted reviews.
Promotion is the most visible “P,” including advertising, sales promotions, and PR efforts. Through understanding your integrated marketing communications (IMC) and your place in the marketing funnel is more applicable than ever, media has evolved, and it’s important to incorporate the views of those who are most familiar with the new media mix.
The promotion covers the communication strategies that you can execute to aware people of your products and services.
This includes promotional messages through multiple mediums and distribution channels. The following questions cover the factors you should keep in mind when thinking about your promotional strategy:
- What will the message contain? A promotional message shouldn’t just tell people that your product exists. It should provide all the necessary information they might need about the product, such as the problem your product solves and how it benefits users.
- Who is your target audience? Are you addressing a 60-year-old retiree or a 25-30 years old adult?
- What medium is your message in—text, video, or audio?
- What channel are you using to get your message out? Podcasts or email newsletters? Online or mobile advertising?
Automation processes now play a critical role in the marketing mix. They reduce cost by optimizing time-to-market and product quality. Moreover, it plays an integral role in achieving customer satisfaction and measuring results. According to market leaders, focusing on advanced processes like automation means channeling discipline to ensure you put the right marketing practices in place at the right time.
Companies need to hire and train employees about customer habits and behaviors that improve consumers’ personas. Asking for customers’ feedback regularly and improving your product and services accordingly also plays a critical role in clear communication and ensuring that the company’s voice stands united. Focusing on people from salesperson to customers while making marketing strategies ensures right implementation of practices at the right time.
Whether you begin with the 4 Ps or 6 Ps, it’s often advisable to start with a list of questions or follow a comprehensive step guide thoroughly before you adopt new marketing strategies. So, when you start making your marketing strategy, make sure you follow the above useful tips and pointers. The marketing mix needs a lot of understanding, from researching to executing. When done right, it can ensure great success and fruitful results.
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