Marketing mix online

Jagruc Mahant
#42614901717
BBA (GEN)
VI- C
Introduction

The marketing mix refers to usage of the four Ps of marketing which are
Product, Price, Place and Promotion. All the marketing strategies are developed
around the framework of fours Ps. With the advent and progress of service
industry elements like People, Process and Physical evidence were added to the
traditional marketing mix.
Product

In the marketing mix product refers to services, brand or merchandise features

around which strategy has to be developed. Any strategies around products are
primarily based on market research undertaken by organization to asses’
customer needs and requirements.

Online marketing strategy can segmented into two parts, decision around the
fundamental features meeting customer needs and additional features which
are benefits above the core benefit.
Product

For the fundamental features, the internet can be used to provide additional
information about the product to existing and new customer base, for example
online reviews, video, etc. Additional benefit could be providing a new business
proposition, for example e-book.

For extended benefits, for example, in the computer industry, organizations

provide instruction manual, base-warranty and technical assistant without any
ad
Product

Brand and product growth are almost comparable. So to develop successful

online branding, organization should look to provide the following:

Easy, safe and convenient purchase experience.

Online customer assistant.

Personalization

Online support groups for technical and other requirements.

Price

The internet can influence the price mix of marketing strategy through the
following:

Improved price transparency and impact on differential pricing.

Commoditization and price pressure.

Dynamic pricing and auction

Different pricing methodology

Price

The internet has improved price transparency; therefore, it is important for

organizations to understand the price elasticity of demand, before pricing
decision.

Also with online retail, overheads are coming down for organizations without
physical stores. This means online companies have an advantage over
conventional shops. Therefore, the price is always facing downward pressure
Place

Place in the marketing mix referrers to path through which products reach the
consumer. Organizations devise channels as to reach widest customer base at
minimized cost. The internet has changed place element in the marketing mix.
The point of purchase can be divided into seller controlled sites, third party
hosted seller oriented sites, third party hosted consumer-seller neutral sites,
purchaser controlled sites and purchase controlled sites.
Place

Organizations are also developing websites which cater to the specific

requirements of a country. These specific requirements can be around language,
product mix and cultural difference.

The distribution channels have also undergone changes because of the internet.
Organizations need to decide whether they will supply goods through
intermediaries, or directly deliver to the consumers. Organizations can also
adapt combination of intermediary and direct delivery.
Promotion

The promotion component of the marketing mix refers to the marketing

communication strategy used by the organization for product and company
advertisement.

The promotion element consists of advertisement, sales promotion, customer

contact, public relation and direct marketing.
Promotion

The promotion element mix is chosen by the communication strategy of the

organization. The internet serves as additional and new communication channel
through which it can connect to consumers regarding product features.

Organizations also need to decide at which stage of the purchase cycle, they
should use the internet. Also, companies should explore as to which promotion
component to use in the conjunction with the internet
People

The people component of the marketing mix refers to interaction between staff
members and consumer during pre-sale, sale and post sales activity. Some of
the options available for organizing with the advent of the internet are auto-email
response to queries, e-mail notification on purchase status, call back facility,
online chats, frequently asked questions section, site search section, online
purchase assistance, etc.
Process

The process component of the marketing mix refers to process adapted by the
company to co-ordinate all the marketing activities which are covered under
price, place, promotion and people.

The internet has provided a variety of options within the marketing mix to devise
current and long term internet marketing strategy.
Physical evidence

An element of the physical environment that a customer experiences during the

decision making and buying processes (Shopping bags, badges, lanyards,
reviews etc)

From TripAdvisor to TrustPilot, these review/comparison websites use the

physical evidence from public reviews to make products stand out from their
competitors.
Thank.