IMPORTANCE OF MARKETING MIX IN THE

DEVELOPMENT
OF MARKETING STRATEGY
 Learning Objective:
After reading this INFORMATION SHEET, YOU MUST be able to:

- Recognize the importance of marketing mix in the development of marketing strategy

- Describe the Marketing Mix (7Ps) in relation to the business opportunity

Marketing
Marketing is an approach of numerous processes included in
commuting the goods and services from the fabricator or
manufacturer to the immediate customer. It confides constructing
the concept of goods and services analyzing the related customer,
advertising it and distributing them to all channels of selling.
Why is it important?
Each aspect of business builds upon marketing. Marketing is a
significant role player in the performance of business. The
importance of marketing can be understood through the points
mentioned below:
Exchange and progression of goods - Marketing is highly beneficial
in deportation, transaction and progression of goods and services.
Products and services are contrived available to consumers by
numerous intermediaries like wholesalers and vendors. Marketing is
profitable to manufacturer and consumers both.
Rising the living standard- Through the availability of continuous supply of goods and
services to customers at a nominal price, marketing has a significant role in establishing living
standards of the society. Community consists of three genres of people that are wealthy,
middle and poor. All the things which are accounted by these three classes of society are
outfitted by marketing.
Increase in employment  - Marketing is a complicated practice involving numerous people
in under one segment. The chief marketing activities include buying, selling, transporting, storing etc.
Every function comprises of different activities which are performed by a large variety of individuals.
Hence it helps in raising the level of employment. According to the sources almost 40% of the whole
population is reliant on marketing directly or indirectly. The widened role of marketing has immensely
increased the employment level for people.
Support for Making Decisions - A businessman goes through several
complications during the process of creation and distribution of goods and
services. He/she requires the exact and relevant information and queries
related to their product and service. Marketing process ease this complexity of
businessmen by forming a direct link between manufacturer and consumer.
Opening of new ideas  - Marketing concept is deeply dynamic and progressive. It
has altered and modified several aspects for the better functioning of certain
activities. With the changes in taste and preferences of consumers marketing
accord understanding and apprehension accordingly.
Advancement of Economy  - Marketing is considered and characterized
as a wizard that sets the economy whirling. An organized marketing
structure helps the economy to rise and lessens the burden of weaker
economy.
 Marketing Mix 4 Ps
Product
product here exemplifies to the goods and services a business sells to its
potential customer. In order to peddle up the sale one must furnish the proper and
adequate information about their particular good and service to the targeted
customer. The product must be capable of resolving and fulfilling the requirements
of customer. Component of selling the good comprises figuring out the potential
buyers in the market.

 
Price - Setting the price of your product/service in YOUR
chosen market location for your specific customers.
Importance
- Pricing is one of the most important, if not the most important,
decisions in business.
- In the 4P’s, pricing is one of the factors that will help you make a
sale by convincing your customer to buy your product.
- However, sales are not enough. Your price should also give you
enough profit to make your business run and grow.
 Pricing by Comparison
- If you are selling the same quality and size of
product/service as your competitors, you can set your price
the same as or close to their price. This is pricing by
comparison, also called competitive pricing.
- Look at your competitors’ prices and see if you can make
your price the same or similar to them and still make a profit.
 Mark-Up Method
- Add up the costs of your product/service
- Add a “Mark up“ to the total cost of your product to get the
Selling Price
- Your price must still be competitive and not too far from the
prices of your competitors
- To compute your costs, you must be good in record-keeping.
Pricing Exercises
You own a book shop, with several competitors nearby. The shop has
an exclusive profile. The quality of products you sell is very good and
your prices are high. Some customers are looking for better quality
pens so you are going to start selling a brand of pen that is much
better than the pens your competitors sell. The competitors charge
PhP 30-PhP 35 for their pens. The cost of your pen is PhP 20. What
price would you choose for your high quality pens?
□ PhP 29.99 □ PhP 35.00 □ PhP 39.99
Place
 The way of distributing the product is considered as third ‘P’ of marketing
that is considered as — place. Analyzing the geographical areas where buyers
look for the product and service. It refers to the geographical location of the
availability of products.
 Promotion
The element ‘promotion’ in the marketing mix comprises the
advertising and events to support the certain service and
product. Various strategies are made to promote the product
in the market. In order to make the end users aware of the
product marketers initiate different promotional strategies to
uphold their goods and services.
Apart from these 4 Ps marketing has several other
elements which we can discuss in 7Ps of marketing
 7 Ps of marketing continuation of 4Ps
Packaging
Packaging means the way your product or service looks from the
outer part. One should remember that customer gets affected and
makes their views about the product by looking at the way of
packaging. If packaging forms fine impression on the customer it can
accelerate the sales without a doubt. The layout and designing of the
product from outside plays an important role in the sales.
Process/ Positioning 
The process is an integrated buying exposure. From the
prime segment of contact, generally the network or
website, to distribution of the good or service. Nonetheless,
the process doesn’t block there, because there’s the post
sales service, and creating decent relations with customers
even after the purchasing process.
 Physical Evidence/Product 
Physical Evidence also indicates about the experience of
ultimate customers. A customer does not hold the proper
knowledge and apprehension about the product when he or she
buys a product for the first time. One requires to provide the
consumers with physical evidence that can initiate the
confidence in them.