AgEntrep 313 – INTRO TO AGRICULTURAL COMMODITY

CHAPTER 04_MARKETING MIX (4P’s)

THE MARKETING
MIX: PRICE
PREPARED BY:
MR. ROSEWIN L. SEVANDAL
MR. JUN OLIVER L ABO-ABO
MS. LEONIE LOVE ABREGANA
Subject Instructor

UNIVERSITY OF SCIENCE AND TECHNOLOGY OF SOUTHERN PHILIPPINES - CLAVERIA

PRICE
 Is the value assigned to the utility one receives
from products or services.
 It is the amount of money that is given up to
acquire a given quantity of goods or services.
 Pricing is considered as the most important
function which lets the money flow back to the
business.
MECHANISM OF PRICE
DISCOVERY
 Individual negotiations
 Organized Markets
 Administered Prices
 Collective Bargaining
 Formula Pricing
 IMPORTANT CONSIDERATION
IN PRICING:
 Credit is the provision of resources by
one party to another party. It is any form
of deferred payment.

 Discounts and allowances are

reductions to a basic price of goods or
services.
PAYMENT METHODS:
 Exchanging is to change coin, money and
banknote in terms of price.

 Provisioning is to transfer money from one

account to another.
TYPES OF PRICE
FLUCTUATIONS
1. Seasonal Price Variations
2. Annual Price Fluctuations
3. Trends
4. Irregular or Random Movement in Prices
5. Cyclical Price Variations
 AgEntrep 313 – INTRO TO AGRICULTURAL COMMODITY
CHAPTER 04_MARKETING MIX (4P’s)

THE MARKETING
MIX: PLACE
PREPARED BY:
MR. ROSEWIN L. SEVANDAL
MR. JUN OLIVER L ABO-ABO
MS. LEONIE LOVE ABREGANA
Subject Instructor

UNIVERSITY OF SCIENCE AND TECHNOLOGY OF SOUTHERN PHILIPPINES - CLAVERIA

PLACE
 Means making the right products
available at the right place and at the
right time.

Distribution Channels
 Is a set of interdependent organizations
involved in the process of making a product
or service available for use or consumption .
MARKETING CHANNELS HAVE THE
FOLLOWING FUNCTION

 Transactional refers to the activities

consumed with changes in ownership..
 Logistical refers to the activities concerned
with physical supply of products.
 Facilitating refers to the activities that are
auxiliary to the above activities.
IMPORTANCE OF MIDDLEMEN IN
MARKETING CHAIN:

Intermediaries
 Aid in the creation of utilities.
 Have their own form of specialization.
 Reduces the amount of contracts.
 AgEntrep 313 – INTRO TO AGRICULTURAL COMMODITY
CHAPTER 04_MARKETING MIX (4P’s)

THE MARKETING
MIX: PROMOTION
PREPARED BY:
MR. ROSEWIN L. SEVANDAL
MR. JUN OLIVER L ABO-ABO
MS. LEONIE LOVE ABREGANA
Subject Instructor

UNIVERSITY OF SCIENCE AND TECHNOLOGY OF SOUTHERN PHILIPPINES - CLAVERIA

PROMOTION
 Is the personal and/or impersonal process of
assisting a perspective customer to buy a commodity
to favor upon an idea that has commercial
significance to the seller.

Importance of Promotion
1. It makes buyers aware of alternative
goods/services that exist.
2. It shortens the distance between market and
manufacturers by keeping buyers well informed.
3. It helps regulate the level and timing of demand.
PROMOTIONAL
METHODS
 Advertising
 Personal Selling
 Packaging
 Public Relations
 Sales Promotion
ADVERTISING
 Any form of non-personal presentation
and promotion of ideas, goods or services
in a medium paid by an identified sponsor.
TYPES OF ADVERTISEMENT
 Product Advertising – presents information and/or
persuasive appeal about products or services.
 Competitive Advertising – consists of brand
oriented messages designed to stimulate selective
demand.
 Comparative advertising – makes direct
comparison between the advertised brand and one or
more competing brands.
TYPES OF ADVERTISEMENT
 Institutional Advertising – seek to enhance the over-
all image and build goodwill for the information.
 Trade Advertising – consists of messages directed at
resellers that appear or sent through email.
 Cooperative advertising – occurs when the cost of
an advertising message are shared by more than one
party.
 Advertising Campaign – is an integrated campaign
effort for a product that extend overtime.
PERSONAL SELLING
 It is an oral presentation with one or more
prospective purchaser or buyer for purpose
of making sales.
PACKAGING
 It is viewed as simply an extension of the
physical product.
 It can be used to:
Enhanced shelf life
Symbolize brand
Modernize a brand
Remind consumer
PUBLIC RELATION
 It is a management function of an
organization designed to elicit from one or
more publics a general positive feeling
toward the organization and the product.
Publicity
 a non-personal stimulation of demand for a
product, service or idea by planting
commercially significant news about it in
medium that is NOT PAID for by the sponsor.
SALES
PROMOTION
 These are those marketing activities that stimulates
consumer purchasing and dealer effectiveness.

Some considerations on Promotions

1. Nature of market
2. Nature of product
3. Stage of product life cycle
4. Availability of funds
 TYPES OF SALES
PROMOTION
1. Consumer promotion (samples, coupons, raffles,
money-refund offers, discounts, rebates)

2. Trade promotion (cooperative advertising, dealer sales

contests)

3. Sales-force promotion
(contest, recognition, awards, bonuses, extra commission)
THE END
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