Market Mix - Product Flashcards
what are the seven P’s?
- Product
- People
- Promotion
- Place
- Price
- Process
- Physical evidence
why must marketing mixed be used?
Every product must be marketed correctly in order for the product to be successful. In order for the correct marketing to happen, the marketing mix must be used.
what does market mix ensure?
The right product is sold in the right place at the right price using the right promotions.
how does business make sure that they make available the right product to consumers?
This is done through carrying out market research to find out what consumers want
what is the process of ensuring that the right product is made?
Usually a prototype is made, consumers test it, feedback is given, changes are made and the final version is released for sale.
instead of releasing a brand new product what do some companies do?
instead of releasing a brand new product, a business will just adapt an existing one to prolong its lifespan.
extension strategies
what is a product also concerned with?
Product is also concerned with how the product looks – packaging, image of the product and the after sales care provided.
what are the extension strategies?
- Change in price
- Add new features
- New advertisements and marketing campaigns
- Change the packaging
- Improve the product
- Target new markets
what should extension strategies lead to?
Using these should lead to increase sales and less competition.
what does product portfolio refer to?
This refers to the different products an organisation may choose to sell.
This means businesses sell more than one product.
what is product portfolio?
This is the range of different products a business sells, usually under the SAME brand name.
A product portfolio is the sum of all the various product lines an organisation produces.
However, the business could also decide to move into very different product ranges
what is product line portfolios?
product line is a group of products that are closely related
Different products within a product line will appeal to different market segments.
what is diversified product portfolio?
where a business sells a mix of unrelated products.
some business have both what?
both a product line AND diversified product line
what are the advantages of having a product portfolio?
- To spread the risk of failure – if sales of one product decline, others could be growing.
- The chances of success with a new product are enhanced because of loyal customers will be happy to try.
- Appealing to more than one customer segment should increase customer sales.
- To cope with products which have seasonal demand