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EPGPM 2020
Marketing Management 1
Marketing: Price, Place and Promotion

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Agenda

• Price: The pricing decision

• Place: Channel design
• Place: Coverage
• Promotion

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PRICE: The pricing decision

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Cost vs Value based pricing

Market skimming strategy – progressively lower price segments catered to

Market penetration strategy – aggressively low pricing
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PLACE: Channel design

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PLACE: Coverage
• The Rs 28,000 cr. HUL is considering using its presence in
3.2 mn outlets across India to ensure consumers are
delivered products directly at their doorsteps
• Local kirana shop owners to play a key role. Besides its
own products, HUL may sell non-competing products

• Major Channel Alternatives:

• Intensive distribution: (e.g. Candy and toothpaste)
• Exclusive distribution: (e.g. Luxury automobiles; prestige
clothing)
• Selective distribution: (e.g. Television and home appliances)

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PROMOTION:
• Promotion refers to all the communicative activities
one uses to ensure that customers know about their
offerings, have a favorable impression of the co., and
actually make a transaction.
• Promotion-Mix activities include –
• Advertising
• Sales Promotion
• Personal Selling
• Public Relations
• Direct Marketing

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