«CBM221: Marketing and Branding in a Digital Society»

Introduction to Marketing and

Branding in the Digital Age //
The 8 Ps of the Marketing Mix
Session 1

Dr. Sebastiano Mereu, 2021/22, BHMS Lucerne

What we cover today

‣ General introduction to the module
‣ Introduction to Marketing and Branding in the Digital Age
‣ The 8 Ps of the Marketing Mix
Learning outcomes:
‣ Students understand how the module is structured
‣ Students know the importance of digital marketing and its in uence on the 8 Ps of the
Marketing Mix.
Main literature
‣ See Campus Moodle

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Bring a laptop or
tablet with Internet
connection to every
class.
How we manage the
material covered:
see Moodle
🗓Program
 Session Topic

1 Introduc on to the module // The 8 Ps of the Marke ng Mix

2 Social media building blocks & How to mo vate users to engage

3 Website Design

4 In uencer Marke ng

5 Email Marke ng

6 In-class exam (on material session 1-5)

7 Introduc on CW2: Digital Marke ng Plan // «Situa on analysis» in a digital marke ng plan

8 «Objec ves» in a digital marke ng plan

9 «Strategy: The Brand Experience Approach» in a digital marke ng plan

10 «Tac cs» and «Control» in a digital marke ng plan

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 📓Boo
📑PDF
💻Website
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 material
preparation in-class
exercises

ℹExpectations management

focus …
exams

IMPORTANT GENERAL INFORMATION:

You can ask me questions related to your

CW1 and CW2 assignments up until 7
days prior to their respective hand-in day. I
will not answer any questions afterwards.
Reason: I want you to start working on it
early enough.

🚦Let’s go!
De nition: Marketing

“Marketing can be de ned as a business activity that

helps ‘introduce and gain acceptance of new
products that ease or enrich people’s lives’ (Kotler
and Keller, 2012, p. 4). In order to achieve that goal,
strategies and tactics need to be developed along a
set of marketing components, also known as the
marketing mix (cf. Borden, 1964).”

Source: Mereu (2020a)

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De nition: Digital Marketing

“Digital marketing is marketing online whether via

Source: Chaffey and Smith (2017, p. 13-14) Digital Marketing Excellence

web sites, online ads, opt-in email, mobile apps or
emerging platforms. It involves getting close to
customers, understanding them better and
maintaining a dialogue with them. It is broader than
e-commerce since it is not limited to transactions
between an organization and its stakeholders, but
includes all processes related to marketing.”
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👈 [This] summarises the themes identi ed [in
marketing concepts] within the 1960s to
2000s time period. The horizontal bars
👈 indicate the number of papers in which a

Source: Gamble et al. (2011, p. 237) The Marketing concept in the 21st Century
theme was mentioned.

👈👈
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📊Stats on our digital society
Source:
Source:slideshare.net/DataReportal,
slideshare.net/DataReportal,accessed
accessed20
5 April 2019
2021
Source: slideshare.net/DataReportal, accessed 20 April 2021
 Most famous social
network sites
worldwide as of
January 2021,
ranked by number
of active users (in
millions) LinkedIn** 740

Source: statista.com, accessed 5 April 2019

*Platforms have not published updated user
gures in the past 12 months, gures may be out
of date and less reliable
**These platforms do not publish MAU data, user
gures from third-party reports
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📜How did we get here?
Integrated multichannel distribution as a consequence of digitisation // example

Multichannel 2.0

Multichannel 1.0

Single-channel
distribution

Customer uses
according to own
Customer can use needs wholly

Source: zeb research, 2013; adapted by S. Mereu

additional channels to integrated channels
engage

Customer has one

Aggregator
touch-point

Social web
Call center

Website
Branch

Mobile
Call center

Website
Branch
Integrated solution

1990 Digitisatio (ideally) today

easier, faster, independent, cheaper, comfortable
n

📊Marketing Mix in the Digital Age

 PRICE

PRODUCTIVITY
PRODUCT
AND QUALITY

PROCESS THE 8 Ps OF THE

PROMOTION
MANAGEMENT MARKETING MIX

PHYSICAL
PLACE
EVIDENCE

PEOPLE
 Traditional 4 Ps as
PRICE put forth by
McCarthy in 1960.

PRODUCTIVITY
PRODUCT
AND QUALITY

PROCESS THE 8 Ps OF THE

PROMOTION
MANAGEMENT MARKETING MIX

PHYSICAL
PLACE
EVIDENCE

PEOPLE
 PRICE

PRODUCTIVITY
PRODUCT
AND QUALITY

PROCESS THE 8 Ps OF THE

PROMOTION
MANAGEMENT MARKETING MIX

PHYSICAL
PLACE
EVIDENCE

Extension to 8 Ps often PEOPLE

referred to as services
marketing mix
(Lovelock et al., 2008)
The Traditional Marketing Mix
Based upon the following article:
Mereu, S. (2020a). The Marketing Mix in the Digital Age Part 1: Price, Product, Promotion,
and Place in the Context of Sports Brands. [online]
Available at: https://sportsbusinessresearch.blog (Accessed 20 April 2021).

 Traditional 4 Ps as
PRICE put forth by
McCarthy in 1960.

PRODUCTIVITY
PRODUCT
AND QUALITY

PROCESS THE 8 Ps OF THE

PROMOTION
MANAGEMENT MARKETING MIX

PHYSICAL
PLACE
EVIDENCE

PEOPLE
 PRICE

PRODUCTIVITY
PRODUCT
Price refers to “the monetary cost
AND QUALITY
incurred by the buyer” (Fetchko et
al., 2019, p. 21).

PROCESS THE 8 Ps OF THE

PROMOTION
MANAGEMENT MARKETING MIX

PHYSICAL
PLACE
EVIDENCE

PEOPLE
PRICE

Prices are set based on three perspectives:

• customer-based perspective re ects on ‘What will
the market bear?’;

Source: thesolesupplier.co.uk, accessed 24 August 2020

• competitor-based considers ‘What do competitors
charge?’; and
• cost-based asks ‘What margin should we
make?’ (Cram, 2008).

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PRICE
• customer-based

‘What will the market bear?’
• competitor-based
‘What do competitors charge?’
• cost-based 

‘What margin should we make?’

Source: thesolesupplier.co.uk, accessed 24 August 2020




Source: Cram (2008, p. 289)

 PRICE

PRODUCTIVITY
PRODUCT
AND QUALITY

Anything that satis es a want or need

through use, consumption, or
PROCESS
acquisition … products THEinclude
8 Ps OF THE
PROMOTION
MANAGEMENT MARKETING MIX
objects (TVs, radios, cars), services
(medical, educational), places (New
York, Moscow), people (Barack
Obama and
PHYSICAL
other politicians
everywhere), PLACE
EVIDENCE activities (entering a
contest or visiting a weight- loss
clinic), and ideas (have youPEOPLEhugged
your kids today?)
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PRODUCT

The service or bene t

Source: Kotler and Keller (2012, p. 326)

the customer is really
buying
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PRODUCT

Based upon the de ned

core bene ts, the company

Source: Kotler and Keller (2012, p. 326)

designs the product or
service.
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PRODUCT

A set of attributes and

conditions buyers normally
expect when they purchase
this product.

Source: Kotler and Keller (2012, p. 326)

PRODUCT

Exceeds customer
expectations by delivering
functional and affective
value above and beyond
core and expected

Source: Kotler and Keller (2012, p. 326)

products.

PRODUCT

Encompasses all the

possible augmentations and
transformations the product
or offering might undergo in
the future.

Source: Kotler and Keller (2012, p. 326)

 PRODUCT

Source: thesolesupplier.co.uk, accessed 24 August 2020

 PRICE

PRODUCTIVITY Marketing campaigns PRODUCT

AND QUALITY
rely on effective
promotion and
communications to
PROCESS reach
THE their
8 Ps OF THE goals.
PROMOTION
MANAGEMENT MARKETING MIX
In recent times,
promotion is known as
integrated marketing
PHYSICAL communications. PLACE
EVIDENCE

PEOPLE

 PRICE

PRODUCTIVITY Marketing campaigns PRODUCT

AND QUALITY
rely on effective
promotion and
communications to
PROCESS reach
THE their
8 Ps OF THE goals.
PROMOTION
MANAGEMENT MARKETING MIX

Source: Aaker (2014), accessed 2 March 2021

In recent times,
promotion is known as
integrated marketing
PHYSICAL communications. PLACE
EVIDENCE

PEOPLE

 PRICE

PRODUCTIVITY Marketing campaigns PRODUCT

AND QUALITY
rely on effective
promotion and
communications to
PROCESS reach
THE their
8 Ps OF THE goals.
PROMOTION
MANAGEMENT MARKETING MIX

Source: Aaker (2014), accessed 2 March 2021

In recent times,
promotion is known as
integrated marketing
PHYSICAL communications. PLACE
EVIDENCE

PEOPLE

TRADITIONAL PROMOTION / MARKETING COMMUNICATIONS

Source: Fill and Jamieson (2009, p. 1/9)

CONTEMPORARY PROMOTION / INTEGRATED MARKETING COMMUNICATIONS

Source: Mereu (2020b)

Source: Batra and Keller (2016) Integrating Marketing Communications
Source: Batra and Keller (2016) Integrating Marketing Communications
Source: Batra and Keller (2016) Integrating Marketing Communications
Source: Batra and Keller (2016) Integrating Marketing Communications
 PRICE

PRODUCTIVITY
PRODUCT
AND QUALITY

PROCESS THE 8 Ps OF THE

PROMOTION
MANAGEMENT MARKETING MIX
Place is often referred to as
distribution; this component
considers how consumers are
PHYSICAL
EVIDENCE
concerned with the PLACE
convenience of purchasing a
product or service in a given
PEOPLE
distribution network (Mullins et
al., 2016).
Question to ask for assessing how
consumers perceive the distribution
intensity of a product:
1. “More stores sell X, as compared to
its competing brands.”
2. “The number of the stores that deal
with X is more than that of its

Source: thesolesupplier.co.uk, accessed 24 August 2020

competing brands.”
3. “X is distributed through as many
stores as possible.”
(Yoo et al., 2000)



Question to ask for assessing how

consumers perceive the distribution
intensity of a product:
1. “More stores sell X, as compared to
its competing brands.”
2. “The number of the stores that deal
with X is more than that of its

Source: thesolesupplier.co.uk, accessed 24 August 2020

competing brands.”
3. “X is distributed through as many
stores as possible.”
(Yoo et al., 2000)



What are the differences in the relationships between

uses and grati cations, brand-user imagery t, and
the intention to watch a Chicago Bulls game across
users of Net ix, NBA TV, and YouTube?

Source: Mereu (2020c)

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Source: Mereu (2020c)
RECAP
Traditional 4 Ps as
PRICE put forth by
McCarthy in 1960.

PRODUCTIVITY
PRODUCT
AND QUALITY

PROCESS THE 8 Ps OF THE

PROMOTION
MANAGEMENT MARKETING MIX

PHYSICAL
PLACE
EVIDENCE

PEOPLE
The Extended Marketing Mix
Based upon the following article:
Mereu, S. (2020). The Marketing Mix in the Digital Age Part 2: People, Physical Evidence, Process
Management, and Productivity and Quality in the context of a Sports Brand. [online]
Available at: https://sportsbusinessresearch.blog (Accessed 20 April 2021).

 PRICE

PRODUCTIVITY
PRODUCT
AND QUALITY

PROCESS THE 8 Ps OF THE

PROMOTION
MANAGEMENT MARKETING MIX

PHYSICAL
PLACE
EVIDENCE

Extension to 8 Ps often PEOPLE

referred to as services
marketing mix
(Lovelock et al., 2008)
 PRICE

PRODUCTIVITY
PRODUCT
AND QUALITY

“Customers will often judge the

quality of the service they
PROCESS THE 8 Ps OF THE
MANAGEMENT MARKETING MIX
receive largely on their
PROMOTION
assessment of the people
providing the service”
(Lovelock et al., 2008, p. 1/21)
PHYSICAL
PLACE
EVIDENCE

PEOPLE

Source: esquireme.com, accessed 2 Sept. 2020

 Employees
Customers

Source: nike.com/job, accessed 2 Sept. 2020

 Figureheads

Source: usatoday.com, accessed 2 Sept. 2020

 Figureheads

Source: harrisongross.com, accessed 2 Sept. 2020

 Figureheads

Source: solecollector.com, accessed 2 Sept. 2020

Source: fortune.com,
esquireme.com,
accessed
accessed
2 Sept.
2 Sept.
2020
2020
 Multiple In-group Identity Framework by Lock and Funk (2016):
•‘superordinate’ group –– most inclusive behaviour to include all fans and consumers
•‘subgroup’ group –– more possibilities for social exchanges than ‘superordinate’

Photo source: dezeen.com, accessed 2 Sept. 2020

group because of physical proximity
•‘relational’ group –– most possibilities for social exchanges, due to its members
knowing each other; least inclusive group.

 PRICE

PRODUCTIVITY
PRODUCT
AND QUALITY
Lovelock et al. (2008, p. 1/22) note that “the appearance of
buildings, landscaping, vehicles, interior furnishing,
equipment, staff members, signs, printed materials and
PROCESS THE 8 Ps OF THE
MANAGEMENT
other visible cues
MARKETING MIX
all provide tangible evidence”
PROMOTION of a
company’s existence and service quality.

PHYSICAL
PLACE
EVIDENCE

PEOPLE
Points to be considered when assessing physical evidence:

(1) The staff appears in attractive uniforms.

(2) Public facilities (i.e.: waiting space, queuing arrangements,
etc.) of the company are comfortable and attractive.
(3) My [product or service] provider uses modern and
sophisticated equipment.
(4) The overall atmosphere is comfortable.

Source: Al-Dmour et al. (2013)

How do these points apply in a digital setting?

 PRICE

PRODUCTIVITY
PRODUCT
AND QUALITY

The delivery of services and products can be

undertaken through tangible or intangible actions
PROCESS and be THE
directed
8 Ps OFat
THEpeople’s bodies (people
PROMOTION
MANAGEMENT MARKETING MIX
processing) or minds (mental processing
stimulus), or they can be directed at people’s
possessions (possession processing) or assets
(information processing) (Lovelock et al., 2008)
PHYSICAL
PLACE
EVIDENCE

PEOPLE
 Who or what is the direct recipient of the service?
What is the nature of
People Possessions
the service act?
(People processing) (Possession processing)
Services directed at people’s bodies: Services directed at people’s
Passenger transportation possessions:
Healthcare Lodging Freight transportation
Beauty salons Repair and maintenance
Physical therapy Warehousing/storage
Tangible actions Fitness centres Office cleaning services
Restaurants/bars Retail distribution
Hairdressers Laundry and dry cleaning
Funeral services Refuelling

Source: Lovelock et al. (2008); adapted by the author

Landscaping/gardening
Disposal/recycling

(Mental stimulus processing) (Information processing)

Services directed at people’s minds: Services directed at people’s assets:
Advertising/PR Accounting
Arts and entertainment Banking
Broadcasting/cable Data processing
Management consulting Data transmission
Intangible actions Education Insurance
Information services Legal services
Music concerts Programming
Psychotherapy Research
Religion Securities investment
Voice telephone Software consulting
 PRICE

PRODUCTIVITY
PRODUCT
AND QUALITY

Productivity and perceived quality may

PROCESS THE 8 Ps OF THE
increase, if brands offer PROMOTION
personalisation
MANAGEMENT MARKETING MIX
opportunities to users and consumers,
which in a digital society equals
additional interaction and engagement
PHYSICAL possibilities with the brand PLACE
through
EVIDENCE
digital channels.

PEOPLE
Source: Ramaswamy (2008) Co-creating value through customers’ experiences
DART Model:
• dialogue between the
brand and users, as well
as between users (how
to communicate)
• access between the
brand and users (how to
receive and experience

Source: Juventus.com, accessed 3 Sept. 2020

product or service)
• risk-return for both
users and the brand
• transparency of
information, possibilities
and opportunities for
users

RECAP

PRICE

PRODUCTIVITY
PRODUCT
AND QUALITY

PROCESS THE 8 Ps OF THE

PROMOTION
MANAGEMENT MARKETING MIX

PHYSICAL
PLACE
EVIDENCE

PEOPLE
📊Let’s take a closer look at
Integrated Marketing
Communications
Traditional marketing communications mix

Source: Fill and Jamieson (2009, p. 1/9)

 Source: Batra and Keller (2016) Integrating Marketing Communications
“Integrated marketing communications
are the coordinated, consistent means
by which rms attempt to inform,
incent, persuade, and remind
consumers—directly or indirectly—
about the products and brands they
sell.” (p. 137)
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 Awareness, Interest, Desire, and Action

Source: Batra and Keller (2016) Integrating Marketing Communications

Source: Batra and Keller (2016) Integrating Marketing Communications
Source: Batra and Keller (2016) Integrating Marketing Communications
Source: Batra and Keller (2016) Integrating Marketing Communications
Source: Batra and Keller (2016) Integrating Marketing Communications
List of references (click to see articles)
‣ Batra, R. and Keller, K.L. (2016) Integrating Marketing Communications.
‣ Chaffey and Smith (2017, p. 13-14) Digital Marketing Excellence
‣ Cram, T. (2008). Pricing. In: M.J. Baker and S.J. Hart, ed., The Marketing Book, 7th ed.
‣ Data Reportal: Global Stats April 2020
‣ Fetchko, M.J., Roy, D.P. and Clow, K.E. (2019). Sports Marketing, 2nd ed.
‣ Fill, C. and Jamieson, B. (2014) Marketing Communications
‣ Gamble et al. (2011, p. 237) The Marketing concept in the 21st Century
‣ Kotler, P. and Keller, K.L. (2012). Marketing Management. 14th ed.
‣ Mereu, S. (2020a). The Marketing Mix in the Digital Age Part 1
‣ Mereu, S. (2020b). The integrated marketing communications mix in the digital age
‣ Mereu, S. (2020c). Uses and grati cations of «The Last Dance» and their effect on
brand-user imagery t and the intention to watch a Chicago Bulls game
‣ Statista.com: Most famous social network sites worldwide April 2020
‣ Yoo, B., Donthu, N. and Lee, S. (2000). An Examination of Selected Marketing Mix
Elements and Brand Equity.
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Exercise
‣Choose an established brand with an online presence.
‣Analyse the 8 Ps of the chosen brand in detail. Make
assumptions where necessary.
‣Screenshot the pieces of contents you deem important
to explain for the 8 Ps. Document them in a slideshow
with respective explanations.
‣Upload the slideshow on Moodle by [time].
‣Be ready to present your ndings in class.
:

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