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PAPER PRESENTATION VAN WATERSCHOOT, W., & VAN DEN BULTE, C. (1992). THE 4P CLASSIFICATION OF THE MARKETING MIX REVISITED.

THE JOURNAL OF MARKETING, 83-93.

Farrah Zeba DS-1 (Dr. Subhash Jha)

1st Yr. PhD in marketing

QUICK RECAP
PAPERS PRESENTED TILL NOW

1972: Further extending it to include the transactions between an organisation & all its publics Shelby D. Marketer is a head Chef who craftily mixes (“Mixer of ingredients”)twelve marketing mix elements by analysing the market forces for achieving the short and long term goals of the firm    Walter & Christophe. Improved classification matrix (negative definition of sales promotion. lack of mutual exclusiveness & collective exhaustiveness) . 1969: Extending the boundaries of marketing to non-profit organisations Kotler & Levy. Kotler. Hunt. 1992: Criticism of McCarthy’s 4P classification.1976: Debated on whether marketing is science or art & proposed that only positive dimensions of marketing can be called science Borden 1964: Marketing is still an art.

OBJECTIVE OF THIS PAPER .

Classical principles can be examined (logic & factual.4P Revisited-Walter van Waterschoot & Christophe Van den Bulte McCarthy’s 4Ps criticism • Negative definition of sales promotion • Lack of mutual exclusiveness & collective exhaustiveness Paul A.McCarthy’s 4P classification (pedagogical viewpoint) -. Samuelson -. Samuelson) Improved classification matrix of Marketing Mix Philip Kotler -. Paul A.Need for better conceptual distinctions (marketing decision variables) .

FLOW OF THE PAPER .

AN IMPROVED CLASSIFICATION OF THE MARKETING MIX Outline & commentOrigin & application of 4P classification Evaluate this taxonomy – on the basis of criteria (Hunt) Deductive process Identify observed flaws of the 4P typology Developed the building blocks & combine them into “New classification” .

1. ORIGIN & APPLICATION OF 4P (OUTLINE & COMMENT) .

1964– Adopted a checklist approach McCarthy. as a residual category . Place & Promotion (Advertising.Product. 1948 (“Mixer of ingredients”) Borden. personal selling. Price. 1960– 4P framework (“dominant design” or “received view”) – Simple & easy-to remember Widely accepted tool -. publicity & sales promotion.THE TRADITIONAL CLASSIFICATION OF 4P James Cullinton.

EVALUATE THIS TAXONOMY – ON THE BASIS OF CRITERIA PROPOSED BY HUNT 2a. Why taxonomy is important? 2b.2.e overlap) in 4Ps framework 2c. Classification issues cropping from incorrect taxonomy (i. Five Criteria of judging the taxonomy (Hunt) to overcome the flaws .

WHY TAXONOMY IS IMPORTANT? Naming Science: Taxonomy (Homo Sapiens)  Classification  Further Inquiry Pre-requisite of classification 1.2A. Categories should be mutually exclusive & collectively exhaustive . Bases of classification should be correct 2.

print advertisements on packaging)  The distribution channel has doubled up as the promotion area (In store promotions (posters.  Optimise these 3P and then decide the pricing strategy based on this. demos etc) have existed ever since businesses began)  The promotion medium has double up as the product (Magazines.html . http://tryingtoseetheobvious. TV channels presenting itself as both a product as well as a medium of promotion) Tripling . 4th P will always be outside the remaining 3 Ps but very much dependent on the others.  Finally.2B CLASSIFICATION ISSUES CROPPING FROM INCORRECT TAXONOMY (OVERLAP) IN 4PS FRAMEWORK  Doubling up – Nothing new about it  The product has been used to promote itself (offers.  By being a store. they are a most definitely a promotion medium. emails. online softwares (pdf converter).   WWW – Making complete overlap a reality  Is the web a distribution channel?? Makemytrip or irctc and have the ticket delivered to inbox/account  Is the web a promotion medium?? Ads on web portals. By presenting themselves for sale they further display product characteristics.in/2009/01/understanding-overlap-of-4ps. is the web a product?? Search engine.  And finally through in store promotions.blogspot. they are part of the distribution channel (place).Franchisees  They build a brand image for themselves and replicate their features just like products do.

shema does not specify the phenomena to be classified ----Different specification of the nature of marketing mix elements (Activities procedures. FIVE CRITERIA OF JUDGING THE TAXONOMY (HUNT) TO OVERCOME THE FLAWS Firstly.2C. schema does not specify the Properties or Characteristics on which classification is based ---. tools.Rationale for distinguishing for categories (4Ps) was never specified formally and precisely Contd… . or tools) Secondly. policies & processes) or Objects parameters.

2C. FIVE CRITERIA OF JUDGING THE TAXONOMY (HUNT) CONTD… Thirdly. schema does not have mutually exclusive categories (Overlap) Single Web portal Price Produ ct Promotion Virtual World Space Place Publicity Advertisin g Real World Space Personal Selling Contd… .

Schema does not have categories which are collectively exhaustive  Product + Price + Place + Advertising + Personal Selling + Publicity + Sales Promotion (Catch all residual category growing in importance) Lastly.2C FIVE CRITERIA OF JUDGING THE TAXONOMY (HUNT) CONTD… Fourthly. schema does not serve its adequate purpose  Practical application more than theoretical development .

4. IMPROVED CLASSIFICATION OF THE MARKETING MIX OVERCAME THE FLAWS OF THE TRADITIONAL 4PS FRAMEWORK .

& symbolisation (Communication Mix) TABLE 1. policies. 89 Sales Promotion: These specific tools can perform several functions simultaneously (Short term. refined 4Ps framework . Pg.Flaws of 4Ps Framework based on Hunt’s criteria  Improved Model . tools. 90 Useful for both (Except :Inferior mnemotechnic) – – Marketing Perspective – exchange paradigm. behaviour modification techniques (Consumer Behaviour) Managerial Perspective – proper definition of sales promotion. & processes ) or ObjectsParameters.Pg. situational & demand inducement tool Sales Promotion  Overlap overcame by matrix model  Sales promotion part of Promotion Mix & not Communication Mix TABLE 2. or instruments) Criteria-2 What is the base of classification? (Never mentioned explicitly) Criteria-3&4 Categories not mutually exclusive (Catch all sub-category-sales promotion) Criteria-5 More useful from managerial perspective than the theoretical perspective  •  •  • All demand-impinging instrument (Marketing Program – Target Customers) Exchange literature  General marketing objectives in managerial perspective  Marketing Function Four generic marketing functions: configuration (Product Mix). the functional school of thought. facilitation (Distribution Mix).What we are classifying? (Phenomena: ActivitiesProcedures.Deductive Approach • • • Criteria-1. valuation (Price Mix).

5 IMPROVED CLASSIFICATION OF THE MARKETING MIX (ONE-TO-ONE RELATIONSHIP – MUTUALLY EXCLUSIVE & COLLECTIVE EXHAUSTIVE .

Basic Mix (Product Features) (Price Points) (Distribution Network) (Communication vehicle) Supports Free Sample End of season sale Trade Promotions Temporary • Exhibitions (Mass Comm. Pg 90 Marketing Mix Product Mix Price Mix Distribution Mix .) • Demonstration (Personal Comm. Promotion Mix Product Distribution Price Promotion Mix Promotion Mix Promotion Mix Mass/Personal/Publicity Communication Promotion Mix . demand inducement tools which support the main marketing function i. basic mix Configuration Valuation Facilitation Symbolisation 1.e. situational. Communication (Mass/Personal/Publicity) Mix One-to-one relationship of marketing mix elements with main marketing functions Short term.) 2. Table 2.Improved Classification Matrix of Marketing Mix. • Publicity (Publicity Comm.

If you read nothing else on strategy. 3. E.) Contd… . 2.WAY FORWARD – MACRO ENVIRONMENT BORDEN (1953) & PORTER’S FIVE FORCE  Borden.Consumers’ Buying Behaviour. M..Competitors’ Position and Behaviour.The Trade’s Behaviour. Governmental Behaviour)  Porter’s Five Force (Porter. The five competitive forces that shape strategy. read these best-selling articles. (2008). 25. 4.1953 (Marketing Mix – 12 Elements & 4 Market forces (1.

WAY FORWARD – MACRO ENVIRONMENT CONTD… Emerging Opportunities  Hypercompetition    Constantinides. E. “…model’s internal orientation and the lack of personalisation” “Competition. at CITY College International Faculty of the University of Sheffield. A combination of SWOT and PESTEL analysis is reintroduced as a compass for adapting the marketing mix in rapidly changing environment . The case of Master of Science in Business Management and Technology. (2011) Critically evaluating the marketing mix of an academic programme. (2006). E. 407-438. 22(34). Journal of Marketing Management. The marketing mix revisited: towards the 21st century marketing. trends and macro environment are also elements reacquiring constant attention”  Ergen.

Thank You! .