4 p's in marketing

Details description about 4 P'S in Markrting

1. SAM HIGGINBOTTOM UNIVERSITY OF AGRICULTURE
TECHNOLOGY AND SCIENCES

ASSIGNMENT ON: - 4p’S IN MARKETING


SUBMITTED BY: SUBMITTED TO:
ACHYUT ADHIKARI, (16BPH078) DR P S LAKHAWAT
RAVI RASTOGI (16BPH081) FACULTY OF PHARMACEUTICAL
SABEENA GIRI, (16BPH083) SCIENCES
7
TH
SEMESTER, B. PHARMACY

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We have tried our best for preparing this assignment.
However, it was almost impossible without kind support of
our teachers, classmate and seniors.
First of all, we’ are thankful to our subject teacher,
Dr. P S Lakhawat for giving us this opportunity to enhance
our knowledge and learn new things.
Similarly, we’d like to thank all our batchmates for
their continuous help and support to complete this
assignment.

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1. INTRODUCTION
2. HISTORY OF MARKETING
MIX
3. KEY FEATURES OF
MARKETING MIX
4. DEVELOPMENT OF
MARKETING MIX
5. THE FOUR P’S
I) PROMOTION
II) PRODUCT
III) PRICE
IV) PLACE
6. FACTORS DETERMINING
MARKETING MIX
7. IMPORTANCE OF
MARKETING MIX
8. DESIGNING OF
EFFECTIVE MARKETING
MIX
9. MARKETING MIX
EXAMPLES
10. KEY CHALLENGES IN
MARKETING MIX
11. CONCLUSION
12. REFERENCES

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RAVI RASTOGI (16BPH081)
RAVI RASTOGI (16BPH081)
RAVI RASTOGI (16BPH081)
RAVI RASTOGI (16BPH081)


RAVI RASTOGI (16BPH081)
ACHYUT ADHIKARI, (16BPH078)
SABEENA GIRI, (16BPH083)
SABEENA GIRI, (16BPH083)

ACHYUT ADHIKARI, (16BPH078)
ACHYUT ADHIKARI, (16BPH078)

ACHYUT ADHIKARI, (16BPH078)

ACHYUT ADHIKARI, (16BPH078)
ACHYUT ADHIKARI, (16BPH078)

ACHYUT ADHIKARI, (16BPH078)
CONTENTS
TOPIC PAGE NO AUTHOR

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RAVI RASTOGI (16BPH081)
MARKETING MIX (4Ps IN MARKETING)
INTRODUCTION
The term marketing is defined as putting right product with the right place, at right price and at right
time. Though may it sound easy, a lot of research and hard work is required to achieve the true meaning
of this definition. the other hand, marketing mix is broad term which refers to the marketing tool which
combines different components in order to strengthen product’s brand and helping in selling of products
and services. It is an important tool to acknowledge what product (goods or services) can offer and also
about planning for a successful product offering. 4ps of marketing is most executed through marketing
mix.

Source: - cleverism.com/understanding-marketing……… (Accessed on 15/08/2019)
HISTORY OF MARKETING MIX
Marketing mix was popularized the idea by “NEIL BORDEN” in 1950, and then the concept gained
popularity through an article named “The concept of marketing” which was published in 1964. Neil

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RAVI RASTOGI (16BPH081)
Borden articles include as product, planning, packaging, advertising, distribution, promotions, personal
selling, branding, display and many others. The Neil Borden define marketing as somebody who fuses
ingredients to make the right recipe for marketing a product.
Further E. Jerome McCarthy eventually sublimated the concept of 4Ps of marketing from the concept of
Neil Borden into four high level categories and highlighted by Product, Price, Promotion and Place.
These elements are basic components of marketing plan. These four categories which help in
developing, marketing strategies and tactics.
KEY FEATURES OF MARKETING MIX.
A. Interdependent variables
B. Help achieve Marketing Targets
C. Flexible concept
D. Constant Monitoring
E. Customer as a focal point
(A) Interdependent variables
Marketing mix made of four variables. These four types of variables are interdependent planned
to be conjunction with an another that to ensure action plan with these complimentary and
aligned.
(B) Help Achieve Marketing Targets
The use of these variables, in company may achieve marketing targets as for examples, company
profits, sales and customer satisfaction.
(C) Flexible Concept
Marketing mix is flexible concept which focus on one variable which may increase or decrease
marketing condition and consumer or customer requirements.
(D) Constant Monitoring
Company used to keep eye on changing trends and requirements as well in market to make sure
that the element in marketing mix stay updated.
(E) Role of Marketing Manager

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A intelligent, mature marketing manager needs to help in marketing. The main role of marketing
manager is responsible for desired results through the skill of these variables.
(F) Customer as a focal point
RAVI RASTOGI (16BPH081)
Features of product in marketing is the focal focus point to the customer. The value of product can be
determined customer perceptions to get satisfied and loyal customer.
DEVELOPING MARKETINNG MIX
Step 1: defining unique selling proposition
Step 2: Understanding the customer
Step 3: Understanding the competition
Step 4: Evaluating placement options
Step 5: Developing communication/ promotion strategy
Step 6: Cross-check of the marketing mix
ELEMENTS OF MARKETING MIX : The 4P'S
Marketing involves mainly four components referred to as "4P"s, which helps in the creation of
highest level of customer's satisfaction as well as in meeting the organizational aims
simultaneously. Hence, it is built keeping the need of customer in mind and it may vary from one
organization to other depending on the marketing objectives and available resources. These
components help in determining a clear as well as effective strategy to bring a product to market.
The detailed idea about the four components of marketing mix has been discussed below:
I) PROMOTION
It is the Part of marketing Mix; Promotion involves communicating in all activities with
costumer about product and its benefit features. When company start working on product and
price element then conservation with consumer about product will started. Which include
awareness by different medium which increase sales and brand loyalty.
Information which is provided to the costumer in this stage which helps in purchase decision regarding
product. There is substantial cost which was associated with promotional activity. Company have many
ends to reach through promotion to increase in sales acceptance of new product, brand positioning and
rebranding.
ROLE OF PROMOTION IN THE MARKETING MIX.
Promotion is the communication of marketing mix. Promotion can create conservation channel to

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targeted consumer base. Main aim of promotion to attract customer attention to give enough information
about product which make motivate them to purchase.
RAVI RASTOGI (16BPH081)
These activities will begin dynamic of the target and deciding modes of promotion which help to meet
targets. Promotion is decided information from other element of marketing mix incorporated to send
message corresponding to the actual product about benefits, and product features and user experience.
The available information is more benefit for those area which will get relevant to the target.

OBJECTIVES OF PROMOTIONAL ACTIVITIES.
Different company have different exceptions through promotional activity. Some objective promotion
for any organizations or any company may include:
A. Building awareness
B. Creating Interest
C. Providing Information
D. Stimulate demand
E. Rein force the brand
(A) Building Awareness
Brand and Product need may to create identity in the market. These applies for new company or
new product or a new brand. It may be needed for building or rebranding up falling product. The
main target of those promotional activity to help and inform customer about the product and
company.
(B) Creating Interest
If the customer has already aware with product or made aware whit some activity which become
necessary to move them along for actual purchasing. The main aim or target here to identify and
a need of that the product fulfil and make customer sure to recognizes this need as sometimes
that which is unfulfilled for them.
(C) Providing Information
Sometimes many companies have just need to necessary information about product with its
benefits and features or uses to the consumers or customers. This may be occurred in case of new
product or new brand is introduced in to the market.

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Unique features and benefits need to be explained. On having new features on product need to be
highlighted. In other some cases environmental impact and sometimes health scares also may be
played to give information to change in to business practices and with company policy also.
(D) Stimulate Demand RAVI RASTOGI (16BPH081)
Company may have to seek enhance sales through its promotion. If sales may have been lower
then aim may getting them back up to its target level by convening old and new customers to try
a product. Its main aim or target to increase sales at certain time. Free demonstrations and special
deals can be used to reach targets.
(E) Differentiate product
In market there are many competitors so, company should use promotional activity to
differentiate available in market which make stand from crowd. Company focus more on that
features or benefits which other company or another competitor may not offer.
(F) Reinforce the Brand
Basic aim of promotional activity has further strengthened the brand place in the market. In this
way first time purchases into permanent or life time purchaser. This also help to create advocates
to product with customer or purchaser.
MAJOR TARGETS OF PRO MOTIONAL ACTIVITY
Promotional activity may usually design specific target in audience mind. Activity can be created by
using message and information which they will have to response. The major portion of promotional
budget has aimed to specific target. However Important fringe groups may be there who have an
influence over target or stake in the product. Some groups having these fringes may include:
A. Actual Audience
B. Influencers
C. Members of Distribution channel
D. Other companies
(A) Actual Audience
These are current customers of the product or former customers and any new customers. These
activities are created specifically for people.
(B) Influencers
Company or people or organization which have their own sphere of influences over target up to

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its category. If seller have positive impact on people then they may use influence to encourage
sales. Some special interest group of influencers are media, trade associations and opinion
leaders.
(C) Members of distribution channel RAVI RASTOGI (16BPH081)
Product is provided or handled to the customer through different channel for category of targets.
Byer or retailer have chosen to display certain product having more in prominent position than
other products through which they get benefits.
(D) Other companies
By collaborating with other companies may open up opportunities on joint ventures.
PROMOTIONAL MIX
There may have tendency to narrow down the focus of promotional activities through advertising. There
are different number of ways the people with information about product. To increase the business their
must use of one- or two-sided means of communication to reach customers. The main aim of
promotional mix is to fulfil basic objectives. Make the customer aware about product and brand.
FIVE ELEMENTS OF PROMOTIONAL MIX

Source: -Marketing91.com/promotional-mix/ (Accessed on- 16/08/20190)
(1) ADVERTISING
This type of promotion is usually paid with little or personal message. Mostly television, radio,
and magazine are carrier out for these messages. Sometimes billboards, posters, web pages, and
direct mail also use for messaging. This method is used traditionally one-sided advertisement
through internet which may be allow for feedback or better review.
(2) PUBLIC RELATIONS

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Public response or publicity can increase to the product or brand with influential media outlets.
Which it may include newspaper, talk to people, new media and social network blocks. It may
allow influencers to test product to speak positively. Advertisement may be payable or
non-payable. RAVI RASTOGI (16BPH081)
(3) SELLING
Opposite one directional promotional method, through which direct selling company connects
representatives with customers. Interaction can be done with the help of phone or email or chat
or by personal. Personal contact aim is to create better relationship customer or consumer and
product or brand.

(4) DIRECT MARKETING
This channel aim for specific influential potential users through emails, text message, with letter,
and through telemarketing.
(5) SALES PROMOTIONS
These are short term strategic activity and its aim to encourage surge in sales. These could
have seasonal discount, special coupons, bye one gets one free etc.
IMPORTANT CONSIDERATION IN PROMOTIONAL ACTIVITIES
(1) stage in the product lifecycle
At beginning or starting of lifecycle, may be more aggressive and information advertising while
slowdown in promotion may be seen during later stages.
(2) Nature of product
A product is not new in uses or function, where there may be less need for information and focus
more on brand equity creation as well on emotional aspects on the product.
(3) Allocated and available budget
Certain total budget is a set for promotional activities which need to be designed and executed
within these constraints.
(4) Cultural sensitivity
If product lunch in new international market. It can become imperative to take local affiliations,
consideration and sensitivities. It may include both cultural and religious consideration.
(5) Target market composition

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People who make up target market need to be considered before committing to promotional mix.
An internet generation should use for instant gratification which may need to be provided more
focused and targeted messages. RAVI RASTOGI (16BPH081)
(6) Competitors actions
This method of competitor should to be taken in account as well. Where may not need to spend
money on a radical advertising method if consumer is using rudimentary method as example.

TYPES OF PROMOTIONAL STRATEGIES OR ACTIVITIES:
Many companies may use different strategies to promote products. Types are given below,


Source:
https:/types+of+promotional+strategies&rlz=1C1CHBF_enIN820IN820&source=lnms&tbm=isch&sa
=X&ved=0ahUKEwin-873yJHkAhULqY8KHZPfDcAQ_AUIEigC&biw=635&bih=594#imgrc=fjHtHzm
YhIYvMM (accessed on 17/08/2019)
PUSH STRATEGIES
As name indicates, the product is taken to the customer by the company. It is mostly used when product
is impulse purchase or company has established relationship with the customer base. Companies may
sell directly from showrooms or tradeshows etc. essentially there is less need to create an advertising
and more to product available at retailer outlets and showrooms.
PULL STRATEGIES
An attempt to pull customers towards brand or product through different mass to sales promotions and
personal reference which company attempt to create brand loyalty and attractiveness. Pull strategies
focus to attempt primarily long terms brand loyalty and high sales in short term. Different type of media

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is required to create sufficient interest to encourage customer out on their own product.
RAVI RASTOGI (16BPH081)
MANAGING PROMOTION THROUGH PRODUCT LIFE CYCLE
Different stages of product life cycle require different types of promotional activities and strategies
which will help prolong life of the product.
1. Introduction
2. Growth
3. Maturity
4. Decline
(1) INTRODUCTION
At this stage major promotional campaigns or activities will designed and executed. Then
promotional mix will be designed with full input from rest of marketing. Its main aim is to
provide detailed information about product with its feature and benefits. Special offers may also
use to pull customer or consumer in market and put strategies.
(2) GROWTH
When once product is established then there will be a shift in strategy from information to
become more emotional aspects. Its main aim to increase brand quality, brand awareness and
customer loyalty.
(3) MATURITY
Now days market has matured and there may be stiff competition and similar products available.
Promotional activities will turn more persuasive and may be an attempt to create product
differentiation by highlighting specific benefits with unique features.
(4) DECILINE
At this point promotional activities may wind down occasional reminder about product exist to
forestall the product eventual decline.

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Source: http://productlifecyclestages.com/wp-content/uploads/2011/08/product-life-cycle-stages-growth
(Accessed on 17/08/2019)
PROMOTIONAL MIX EXAMPLE RAVI RASTOGI (16BPH081)
PUBLIC RELATION AT SODKA
There is no short-term solution to change long held perceptions. If there is to be a long- term change in
perception, it needs to be achieved through sustained and consistent actions over a significant period of
time. PR activities are an example of such a solution where positive messages are sent through different
mediums to the public, eventually establishing a positive reputation over time.

THE IMAGE PROBLM
Skoda needed an image makeover in the UK where it was not taken seriously at all. In 1991, the brand
was purchased by Volkswagen. This enabled the company to redesign its manufacturing and bring
product quality and brand image at par with competitors in the UK and eventually the world.
Despite this shift, customer perception remained low, an unfortunate carry over from the past. Products
were now updated and the brand able to offer more to the consumer. The challenge now was to educate
the audience on these changes and bring about a change in perception.
THE CHALLANGE
The attempt at changing mindsets was divided into two challenges. The first to move negative
perceptions to neutral and the second to move neutral perceptions to positive. integrated press or public
relations plan were devised and rolled to address and challenge and communicate with changed
company and product to audience. The meetings and interviews with designers and engineers show,
sponsorships, displays at public area or public place and well-planned advertisement campaigns were

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part of this strategy. These efforts helped reduce the strong negative image and create the basis for
further shift towards a positive image.
In attempting to address the second challenge, the company needed to encourage consumers to think
about buying the product. This is not possible only through advertising for example, but needs a focus
on building up the brand and what it stands for. It was done emphasizing Skoda’s brand values with cars
that were practically and reliable and functional and robust. This was also reiterated through a focus on
quality and value for money for the customer among other things.
II) PRODUCT: DEFINITION AND CONCEPT OF PRODUCT ACHYUT ADHIKARI,
(16BPH078)
Product in general refers to the goods as well as services which are proposed by the organization
for sale (i.e. product = goods + services). In other words, a product can be anything which is
offered to the market, to get attention and to satisfy a desire (of costumer).
It can be tangible (as goods) or intangible (as service). A tangible product simply is any physical
object or measurable objects which may include gadgets, most of the goods, land, building,
vehicles etc. However, the intangible product are those that are typically nonphysical or observed
indirectly such as insurance, investment banking, company's brand, franchises, patents etc.
Intangible products basically are the services like postal, medical, insurance and banking which
provide desire or need and satisfaction.
A successful product has to fulfill a definite need in the market. It should be able in performing
its function as promised. Branding is other important feature of the product. To develop a
product to a brand helps in fostering customer's loyalty and also in recalling and differentiating
itself in the crowd of market.
CLASSIFICATION:
Product (goods) can be broadly classified into three types;
• Convenience goods,
• Shopping goods and
• Specialty goods
The goods which are available very easily and do not need much effort or time for consumers to
establish a decision to purchase are convenience goods. For example, basic requirement goods
fall under this. Similarly, those products which a consumer tend to spend a bit more time to
decide are called as shopping goods. These require time and effort for research before the
consumers can make a purchased decision. Furthermore, the specialty goods are the goods that
satisfy to the desires of a specific segment of the market.
UNDERSTANDING PROD UCT AND CREATE BENEFITS
As we all know the importance of product in the marketing mix, it is obvious to understand about
the target group, benefits of an offer, product positioning in market and it's USP. To understand

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ACHYUT ADHIKARI, (16BPH078)
product benefits Philip Kotler proposed a way in his work 'principles of marketing'. According to
this product can be looked upon at three levels as follows:
Core Benefits
It is the first level to be defined and which is to be explored. In other words, it is the principal or
key benefit which is offered by the product to its customers. Let's say, if consumer buys a
camera, they are able to take photos from it and capture those memories for a life time.
Actual Benefits
Now, there are some bonus benefits which are added on so as to distinguish the product in
market and highlight its USP. For example, the core benefits of all cameras will be the same but
there are some additional and unique features or strong branding varying from one product to
other.
Augmented Benefits
There needs to be certain evaluation about what further benefits can be provided to the customer
so as to guarantee the loyal purchasing customers. Again, as per the above example, it can be
extended warranties, after sales services, helplines or may be product support blogs.
Product decision
Thus, it is clear that product concept is very broad and includes not only natural products and
services. As product is the actual offering made by the company to its targeted customers,
product decision must include following things while formulating the marketing strategies:
What to offer
Brand name
Quality
Packaging
Functionality
Appearance
Accessories
Installation
After sale services and
Warranty

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ACHYUT ADHIKARI, (16BPH078)
With a good understanding of the basic product mix as well as benefits, any company can make
important product decision related to the quality, branding, featuring or design.
Design Decisions: These include the basic decisions to identify about how strong the expected
design will be in the entire product mix. Whether the design will be a supplement to the features
or the features will be designed around a unique design.
Quality Decisions: The quality should be maintained as per the needs. The price can elevate if
the product is of the superior quality.
Features Decisions: These includes decisions like what will be final features of the product being
launched? Will it be able to add to the actual benefits of our product? Also, the company can
charge some premium price if some of the customers want additional desirable benefits from the
features.
Branding Decisions: Finally, the branding decision is considered as the most important decision
as it is the key factor which turns our product into something great. A brand definitely has the
power to generate the instant selling as well as cement the confidence in the product's reliability
and quality.
PRODUCT LIFE CYCLE (PLC)
All products have certain life span which can be measured with the help of chronological history
of the sales from the product launch until its market withdrawal. The logical stages of the
lifecycle of any product is an important consideration for development of effective marketing
strategies. Any product goes through the following stages:
Introduction: It includes new ideas, slow growth period following product launch.
Growth: Market is encouraged, fast growth phase and also the rise of profit.
Maturity: Sales revenue growth declines as the product seeming to be everywhere or consumers
choose alternative products.
Decline: A downward sales (revenue and profits) as the product fails to fulfill the current need or
due to the availability of better options.

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source: https://marketing-insider.eu/characteristics-of-the-product-life-cycle-stages/ (Accessed on
14/08/2019, 12:00 p.m.)

ACHYUT ADHIKARI, (16BPH078)
DISTINGUISHING THE PRODUCT FROM COMPETITION
The key challenge for any product in the market is to stand out between the powerful competitor
brands. The market is occupied with a number of products under the same category fighting for
customer's attention. To get most of the market share and the interest as possible, our product
requires to find its distinguishing factor. The analysis method called as SWOT analysis is
performed for this matter.
The expanded form of SWOT is Strength, Weakness, Opportunities and Threat. Strength as well
as weakness come in form of features and benefits. Also, it can be based on price. Opportunities
means to the possibilities in terms of improving or upgrading the product or for increasing the
revenues. Moreover, threats include anything that could possibly hamper the way the product is
being received by the markets or generates revenues for the company.
The ultimate way to differentiate one product from the other is to look them from the view of the
costumers. It is necessary to know why customers prefer one brand over another and what
additional features they are hoping in the product as at the end it's the customer opinion that
decide the fate our product in the market.

PRODUCT DEVELOPMENT
Product development as its name suggest is a creation of entirely new or different product which
offers innovative as well as new advantage to the users. Likewise, it comprises of both

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modifications to previously existing product as well as the creation of a completely new product.
Thus, these variations or new introductions could target a newly defined consumer's need or an
ideal category in the market. With a traditional view, product development includes the steps
which are listed below:
• Generation of the ideas
• Screening of the ideas
• Developing and Testing of the ideas
• Analyzation of profitability potential
• Conduction of market or Beta Tests
• Finalizing technical aspects
• Finalizing of commercial aspects
• Conduction of post launch review
Generation of the ideas
During the first step, the product development team initially may take the concepts narrowed
down and will brainstorm the concept into some solid ideas for products. There are many ideas
from which very few are picked up. The idea can be obtained from the two sources namely
internal and external sources. Internal sources include the idea found internally by the Research
and development, from the employees. External sources include the sources like distributors,
suppliers and also the customers.
Screening of the ideas
At idea screening, the main work here is to remove the ideas that seems to make no business
sense as required. There will be off course a bunch of criteria to decide about evaluation of each
ideas. This is an important stage as the right idea is needs to go further to another stage and the
wrong or less suitable ideas should be left behind.
Concept developing and testing
The next step i.e. concept developing and testing is the step in which the legal procedures and
practical aspects of launching and developing of the new product is being studied. Here, it is very
suitable to investigate all patent as well as intellectual property issues to prevent some
infringement issues on coming days.
Analysis of profitability potential & beta testing
After this, now it's time to conduct a business evaluation or analysis for assessment of product
profitability potential. After business analysis is completed, it is time for the beta and market
testing. At this stage, the time has come to manufacture an actual prototype. Hence, the product
and the packaging must be now tested in genuine to life usage conditions. This may be done via
interviews, focus groups or introducing at tradeshows.
Technical Aspects

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ACHYUT ADHIKARI, (16BPH078)
After this, we move to technical implementation. In this stage, the technical teams will be there
to finalize the quality management system. These team will also look after the planning
engineering operations, resource needs and also create the department schedules.
Commercial aspects and launch
Finally, there is a product launch step at which the product is fully ready to be launched. The
required advertisement and the market communications strategies are started at the rapid rate and
simultaneously the distribution channel is also loaded up so as to ensure the consistent
availability of the product. The launched product must be monitored for the feedback given by
the customers after its use. To turn the undecided and confused consumers to the actual buyers of
your product, the marketing communications as well as the brand presence should be very
strong, relevant and also it should be updated.
Post launch review
After the launch of the product, its impact on the market is evaluated via internal and external
analysis. Firstly, the product may have been introduced at introductory price to gain some place
in the market but after that it is the time to decide the actual price or the pricing strategy. This
depend on the costumer response, the rival's response and obviously the product cost. Thus, it is
to be remembered that some of the above-mentioned steps may be repeated while others may be
eliminated together. To participate in the market in very quick time, some of companies could
run several steps at a time.
Problems in Product development
The step wise process for the development of the product may not be a suitable option for
entrepreneurs who possess limited resources. They may need to go with a comprehensive
planning of product phase where they are able to understand the market potential of their idea
before committing to the development. These plans include market analysis, price strategy, costs,
logistics etc. If these analysis shows some optimisms, then it can help for a strong development
plan. If that is not the case, then the product idea may go back for the reevaluation process.

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ACHYUT ADHIKARI, (16BPH078)

Source: https://marketing-insider.eu/new-product-development-process/ (Accessed on 25/08/2019, 7:45
p.m.)



PRODUCT IN REFERENCE TO PHARMACEUTICAL INDUSTRY
Organization of Pharmaceutical Producer of India also known as OPPI which was established
way back in 1965 A.D., is the organization of pharmaceutical manufactures consisting of the
companies with the international collaboration as well as large companies of India.
Pharmaceutical product refers to all of the pharmaceutical or the biological products (whether it's
branded or not and irrespective of their patent status) that are intended to use in the treatment,

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ACHYUT ADHIKARI, (16BPH078)
diagnosis or disease prevention in humans, or may be for affecting of the organ or any of the
function of human body.
CHARACTERISTICS OF SUCCESSFUL PRODUCTS:
It is very important that the product which has been introduced to the market should be
successful. There are certain criteria to determine whether a product is successful or not. For a
product to be tagged as a successful, it needs to achieve the criteria listed down below:
➢ It should satisfy the identified costumer requirements or wants
➢ It should be of the genuine quality to allow the higher price
➢ It should be of low cost in production and delivering to the consumers in market to ensure
better profit margins.
➢ It should be attractive in appearance as well as durable to match the price and the brand's
image
➢ It should be able to induce the new requirements or unidentified desires.
IMPORTANCE OF PRODUCT IN MARKETING MIX
Product undoubtedly is the brain of the marketing mix. That means all the marketing activities
get started along with the product. It is the precursor or the first step of it. There will be left
nothing to price, place or promote if there is no product. Thus, it is clear that product is the most
important P among the 4Ps. The choice of the product will create the pathway for developing
other three Ps i.e. Price, Promotion and Place. That’s why it necessary to research thoroughly on
some of the key aspects while choosing your product.
EXAMPLE OF PRODU CT: PFIZER
Pfizer undoubtedly is among the biggest pharmaceutical companies in this world. It
manufactures, research, markets, and develops different kind of healthcare goods for the
betterment of the society. There are different division divided for the smooth running of the
work. Product line of the Pfizer includes medicines for the medical subjects and includes
cardiology, immunology, diabetes, oncology, neurology and oncology. It also includes the
vaccines. The main products of this companies are listed as follows:
Lyrica: for pain of neurons
Zyvox: an antibiotic for treatments of bacterial infections
Zoloft: Antidepressant
Atrovastatin: for hypercholesterolemia
Flagyl: is a Nitro-imidazole antibiotic
Selzentry: inhibitor of HIV entry to body
Advil: fever and pain

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Chapstick: lip balm
Centrum: multivitamin: ACHYUT ADHIKARI, (16BPH078)
Robitussin: colds and coughs
Example 2: Starbucks as a strong product over the years
Starbucks has been successful to create an extremely strong brand over the years. A constant
focusing on brand development, marketing and the product has enabled this company to become
the largest coffee shop chain in the world. The company takes consumer's feedback on a serious
note and makes it a point to meet and exceed consumer's demand in keeping with the core brand
values.
There is also a policy to provide a coffee free of cost if customer is not satisfied with what has
been served to them. This clearly indicates their strong focus on the customer. The company has
refined their business model to keep a focus on the product and also ensuring that the customer is
always able to get the best possible product. Thus, this focus on core product and the needs of the
customer has enabled this great brand to stay far ahead in its field and has created the benchmark
for competitors.
MAJOR QUESTIONS IN DEVELOPING A SUCCESSFUL PRODUCT
In order to develop any product which meets the criteria as specified above, a product
development team can ask the following listed question during the designing and development
process:
• What customer really want from product?
• What features needed to be added to meet the needs in market?
• Where the product is going to be used?
• What will be the branding strategy?
• How the product be consumed?
• What will the name of product?
• How to communicate with the audience?
• What will be the price and promotion strategies?
• The answers of theses question will help any organization in evaluating their product plan
and do some revision in the part where they are shaking.

III. PRICE SABEENA GIRI, (16BPH083)
Price is the amount fixed for the products or services rendered. Price can be given different
names like, fees, rent etc. It is different from cost of company. price is one of the most significant
components of advertising blend. It is the principle wellspring of pay which remunerate every

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one of the expenses of creation, conveyance, advancement and so forth. Pricing is the
fundamental advance which choose the benefit or misfortune to the firm. For this better pricing is
SABEENA GIRI, (16BPH083)
important. Higher pricing can back out the customers though profit percent seems higher, while
lower pricing costs firm a lot to generate profit. Thus, pricing can be taken as an important P of
marketing mix. It directly affects the marketing. Price is what changes people’s interest towards
service or products provided. Price should be matching with product provided, value of products
and its importance. Price can be kept higher if the value of service or product provided is higher
in customers eye, however price should be underrated if the value of products or services
rendered is low in customers eye. Pricing totally depends on necessity of products or services, its
value, and costs of production, distribution and promotion.

PRODUCT
PRICE


PRICING AND FACTORS AFFECTING PRICING
Pricing as expressed can be characterized as the incentive as far as cash in return of items or
administrations gave. It can likewise be Said as worth paid in kind of the considerable number of
advantages got. pricing is the systematic process of fixing the price of products or services. It
should be done carefully as it is an important process. Many things should be taken in account to
fix the price of products. Pricing is the main as it directly affects the sales and profit to be
generated by company. Proper pricing can only create balance and flourish the marketing, while
improper pricing can bring lots of negative impact on sales and turnover of company, ultimately.
From this it is clear that many factors affect the pricing. some of the factors that affects the
pricing are as given:
Cost

SELLER

BUYER

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Demand SABEENA GIRI, (16BPH083)
Competition
Marketing objectives
Government regulation
Image of the firm
Product life cycle
Promotional activity
Factors affecting pricing are explained below;
COST
As we probably are aware, there is a great deal of costs during generation of items and during the
time spent disseminating it to clients. The price should be so fixed that it should cover all the
values invested and generate profit. The values invested during other process of marketing mix
increases the standard of products which help in setting the price. The values so invested in the
process is called cost. Cost is an important element to set the price of products. Cost can be either
fixed or variables.
Fixed COST
VARIABLE COST
SEMI-VARIABLE COST
FIXED COST
Fixed cost are those expenses which occurs either way during production or in absence of
production. It is not optional but occurs compulsorily. Fixed cost so helps to set price. The
example of fixed cost is minimum bill of electricity to be paid.
VARIABLE COST
Variable expense is the costs that isn't fixed and can change based on creation movement. It is
discretionary and can change now and again. Variable cost increments with increment underway

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and diminishes with decline underway. For instance, the cost of crude material which shifts
based on items.
SEMI-VARIABLE COST SABEENA GIRI, (16BPH083)
Semi variable cost is quite similar to variable cost. The only difference is it is not exactly
proportional to the quantity of products produced. It may depend on the ratio of sale and profit
percent generated. For example; the salary of staffs which is on the basis of ratio of sale. Along
these lines, based on cost included the cost of item is fixed. It involves all the cost involved for
production, distribution, marketing, advertisement and so on. Cost only sets the minimum mark
of price while the upper limit is set by other factors.
DEMAND
Demand is another main factor that affects the pricing. Demand helps to set the price to its upper
limit. The higher demand of price helps in setting higher range of price while lower demand
compels the entity to set the price to lower limit. Demand is true factor that determines the
popularity of product. On the off chance that the interest of item is high clients will in general
purchase the item regardless of whether its cost is set higher than its actual worth. While if the
demand of product is less than, sometime entity is forced to set the price below the value, so as
to increase the sale rate. Thus, demand is important factor that determines the profit of entity.
Demand must be considered when setting the price above the lower limit.
COMPETITION
Competition arises when two or more entities are producing the same product. It is the crucial
factor that determines the price of the product. rivalry and cost are contrarily relative to another
which means bring down the challenge higher than cost can be set while higher the challenge
bring down the cost ought to be set. In case of monopoly in the market one can set the price to
highest limit as no other entity can supply the same product.
MARKETING OBJECTIVES
Marketing objectives play a important role in fixing of price. Objectives can be like earning more
profit, greater sales or having more share. The main motto of company determines the range of

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SABEENA GIRI, (16BPH083)
price. For example, if the company wants more sale then the price must be maintained less
however for more profit the price must be kept more.
GOVERNMENT REGULATION
Government regulation is the thigs to be considered during the process of fixing the price.
Sometime government set certain range of price for the products and company must set their
price considering the government regulations. Fundamental items act is under which government
sets the cost.
IMAGE OF THE FIRM
Picture of the firm likewise help decide the cost of the item. Some of the branded products like
Nike, Adidas have relatively higher price as for their goodwill. Thus, image of the firm also
helps determine the price.
PRODUCT LIFECYCLE
Product lifecycle also affects the pricing. Product lifecycle simply means the time duration of
product. If the production is at initial phase the price is usually kept low to catch interest of the
customers and with the increase in time duration the price is raised up.
PROMOTIONAL ACTIVITIES
Cost involved during promotional activities also affects the price. The investment for
promotional activities is recovered from price. So greater the cost incurred in promotional
activities greater is the cost.
STRATEGY OF PRICING
So as to accomplish the objective of the firm, organizations have their own technique for pricing.
Different methodologies are trailed by the firm. a portion of the techniques are as given beneath;
1. Cost-Plus Pricing
2. Steady Cost Pricing
3. Closeout Pricing
4. Value Skimming

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5. Misfortune Leader Pricing SABEENA GIRI, (16BPH083)
6. Ruthless Pricing
7. Cutoff estimating
8. Mental and odd evaluating
9. Notoriety Pricing
10. Request Oriented Pricing
11. Conveyed Pricing
12. Limited time Pricing
13. Patterned Pricing
1. COST PLUS PRICING
Cost plus pricing is the system in which total cost determines the price. Under this system, the
brisk material cost, direct work cost, and overhead costs for a thing are joined and added to a
markup rate (to make a total compensation) so as to incite the cost of the thing.
2. STEADY COST PRICING
It is the technique for estimating an item dependent on steady cost. In this sort of estimating, the
selling cost of an item is dictated by the variable expense, and not as per the general expense of
making the item. Gradual expense is the expense of making extra units of a similar item from a
similar arrangement (for example machines and land and so on) for example the fixed cost stays
same, and the selling cost of the item hence produced depends for the most part on the variable
expense. For instance, an organization that has been making parcels of bread with 8 breads for
every bundle dispatches another item that is a 15-bread bundle. In this way, the fixed cost like
the lease of the land, the underlying expense of setting up the apparatus and cost that was
brought about in R&D of the bread stay same. The variable cost changes. This incorporates the
expense of the additional volume of fixings, greater bundles, additional oil/power used to run the
hardware.
3. CLOSEOUT PRICING
The vender enables the purchasers to seek the item by requesting that they quote the most
elevated value they might want to pay for it. The person who demonstrates the ability to pay the
most noteworthy cost gets the opportunity to purchase the item.

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4. VALUE SKIMMING SABEENA GIRI, (16BPH083)
Value skimming is an evaluating system wherein an organization sets a moderately high starting
cost for an item or administration from the outset, at that point brings down the cost after some
time. There are two explanations for doing as such:
a. As the item is commonly a grown-up toy item, the rich are happy to pay a more expensive rate
for the most recent item when it is first propelled.
b. A more expensive rate enables the organization to recoup the substantial costs it has made on
innovative work. The run of the mill normal for value skimming is that the dealer step by step
lessens the cost.
a. Since the most well off and urgent have just purchased the item and now the organization
needs to focus on the second layer of clients.
b. Pulled in by the super-ordinary benefits, continuously the challenge is made. To remain in the
challenge, a slight decrease in cost is must.
5. Misfortune Leader Pricing
Misfortune pioneer estimating is a forceful valuing technique in which a store offers chosen
merchandise beneath expense so as to draw in clients who will, as indicated by the misfortune
chief way of thinking, compensate for the misfortunes on featured items with extra buys of
productive merchandise. Misfortune pioneer estimating is, fundamentally, an offer to bait client
traffic away from the organizations of retail contenders. Retail locations utilizing this valuing
technique realize that they won't make a benefit on those products that are reserved as misfortune
pioneers. Be that as it may, such organizations reason that the utilization of such evaluating
components can once in a while draw in huge quantities of shoppers who might some way or
another make their buys somewhere else.
6. Ruthless Pricing

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SABEENA GIRI, (16BPH083)
The organization purposely sets an amazingly low cost of its item (once in a while underneath
the AC) with a goal to drive contenders out of the market or make obstructions to passage for
potential new contenders. The predator would like to produce incomes and benefits later on that
will more than counterbalance the misfortunes it acquired during the ruthless estimating period.
The predator experiences momentary torment for long haul gain. Along these lines, for the
predator to succeed, it must have adequate quality (monetary stores or different wellsprings of
counterbalancing income) to bear the underlying lean time frame.
MISFORTUNE LEADER V/S PREDATORY
In Loss Leader estimating methodology, different items are relied upon to produce benefits to
repay the misfortune simultaneously. In Predatory Pricing, a similar item is required to gain
benefits to repay the misfortune in future, when the restraining infrastructure is set up.
7. CUTOFF ESTIMATING
A Cutoff estimating (or utmost valuing) is a cost, or estimating system where items are sold by a
provider at a value low enough to make it unfruitful for different players to enter the market. It is
utilized by monopolists to demoralize passage into a market. As it confines the quantity of
organizations in the market, it is known as farthest point valuing. In contrast to the past two
strategies, cost is low however does-not really results into a misfortune.
8. MENTAL AND ODD PRICING
Mental estimating is a valuing technique dependent on the hypothesis that specific costs have a
mental effect. Retail costs are frequently communicated as "odd costs": somewhat less than a
round number, for example Rs.99 There's proof that customers will in general see "odd costs" as
being fundamentally lower than they really are.
9. NOTORIETY PRICING
The act of estimating products at an abnormal state so as to give the presence of value is known
as eminence estimating. It's an estimating technique where costs are set higher than ordinary
since lower costs will sting as opposed to making a difference deals, for example, for top of the
line aromas, adornments, garments, vehicles, and so forth. This is likewise called picture valuing.

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SABEENA GIRI, (16BPH083)
There are sure items where the discernment is that higher the value better is the nature of the
item and consequently, higher the distinction related with being the proprietor of that item. If
there should be an occurrence of these items, lower value prompts lower deals. More expensive
rate fills in as the inspiration to the clients to purchase that item. Selling at a high cost makes an
emanation of prevalent quality and societal position.
10. REQUEST ORIENTED PRICING
Request Oriented Pricing, as the name recommends, utilizes the client request to set up the cost
in the market. The maker initially decides the client's ability to pay for any great or
administration and after that chooses the cost. A high cost is charged when the interest is high
and a low cost is charged when the interest is low. If there should be an occurrence of
administration, high cost is kept up during the pinnacle hours and the other way around. A
portion of the divisions rehearsing request situated estimating are eateries, films, aircrafts and so
on.
11 CONVEYED PRICING
A cost for which a vender consents to convey product to a buyer at an assigned spot and which
for the most part incorporates the legal transportation charges really caused in conveyance. It's a
cost for an item that incorporates the expense of shipping the item from the maker to the client.
The clients frequently want to purchase the item from such organizations because of the
motivating force of free-home conveyance.
12. LIMITED TIME PRICING
At the point when the costs are marked down by a rate sum for a constrained term, it is known
as limited time valuing. This expands the interest at the item from cost touchy purchasers.
13. PATTERNED PRICING
The value which relies upon the phase of business cycle is known as recurrent estimating. During
the recessionary period of the business cycle, earnings of the purchasers are declining thus the

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interest is probably going to be less. Merchant charges low cost right now. During the blast time
frame, earnings of the purchasers are expanding thus the interest is probably going to be high.
Merchant charges high cost as of now.
V. FOCAL POINTS AND DISADVANTAGES OF VARIOUS PRICING STRATEGIES
1. COST PLUS PRICING: SABEENA GIRI, (16BPH083)
Focal points of Cost-Plus Pricing: It is anything but difficult to decide the value utilizing this
strategy. Besides, it gives guaranteed benefits to the organization. Further, it's anything but
difficult to legitimize the value climb when required. Drawbacks of Cost-Plus Pricing: The
expense in addition to valuing disregards rivalry (Demand). It's conceivable that the contenders
might charge higher or lower cost. Another detriment is that the agreement cost overwhelms.
From the point of view of any administration element that contracts a provider under an expense
in addition to evaluating plan, the provider has no impetus to reduce its consumptions - despite
what might be expected, he will probably incorporate the same number of expenses as
conceivable in the agreement so it tends to be repaid.
2. STEADY COST PRICING:
Focal points of steady cost Pricing: The greatest favorable position of the sale evaluating is that
the dealer verifies the best cost for his item. Besides, just the genuinely intrigued clients will
enter the market. At long last, the purchasers carry out the responsibility of value assurance for
the merchant. Detriments of Auction Pricing Selling at sale can deflect a few purchasers in view
of the aggressive idea of the offering procedure – not everybody appreciates that situation.
3. VALUE SKIMMING:
Points of interest of Price Skimming: Price skimming helps the organization in recuperating the
examination and advancement costs which are related with the improvement of new item. Also,
if the organization provides food to buyers who are quality cognizant instead of cost cognizant
than this kind of system can work in an incredible path for the organization. Detriments of Price
Skimming: This system can reverse discharge if there are close contenders and they additionally
present same items at lower cost than buyers will imagine that organization consistently sells the
items at more expensive rates which will bring about shoppers surrendering different results of

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the organization moreover. Furthermore, cost skimming isn't feasible alternative when there are
severe legitimate and government guidelines with respect to customer rights. Thirdly, on the off
chance that the organization has history of value skimming, at that point customers will never
purchase an item when it is recently propelled, they would prefer to hold up couple of months
and purchase the item at lower cost. At times, it's unrealistic to get the economies of huge scale
creation because of constrained beginning interest.
4. MISFORTUNE PIONEER PRICING: SABEENA GIRI, (16BPH083)
Points of interest of Loss-Leader Pricing: When done accurately, misfortune pioneers get new
clients as well as likewise bring back previous clients. These carrots are regularly difficult to
oppose, notwithstanding for individuals who have sworn brand dedication to another store.
Hindrances of Loss Leader Pricing: There's a major drawback to misfortune pioneers, and it's
everything because of absence of readiness. Initial, one needs to guarantee that there is sufficient
of the item in stock to keep individuals cheerful. At the point when KFC ran a coupon
advancement and came up short on chicken there were individuals prepared to begin riots. Also,
the far-reaching system of arrangement trackers that have showed up by means of the web means
individuals are focusing on misfortune pioneers with no goal of purchasing whatever else in the
store. Organizations may find that their misfortune chiefs don't prompt huge deals because of this
system, and they have essentially quite recently given away their item for nothing.
5. RUTHLESS PRICING:
Favorable circumstances of Predatory Pricing: The low cost may truly help in disposing of the
challenge and picking up imposing business model. Also, the misfortune because of low costs
can be remunerated later by charging more expensive rates once the imposing business model is
cultivated. Drawbacks of Predatory Pricing: This value arrangement is illicit in many nations as
it is viewed as anticompetitive. Besides, little firms cannot embrace this technique as they won't
almost certainly retain the misfortunes till all the contenders leave the market.
6. CUTOFF PRICING:
Focal points of Limiting Price: The best favorable position of cutoff evaluating technique is that
it helps in confining the rivalry and look after restraining infrastructure. Burdens of Limiting

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Price: Limit valuing will result into lower benefits and again the little organizations can't receive
this technique.


7. MENTAL PRICING: SABEENA GIRI, (16BPH083)
Points of interest of Psychological (Odd) Pricing: It makes the item look shabbier than what it
really is. It keeps the item in lower value groups. Moreover, the clients don't get an opportunity
to deal Inconveniences of Psychological Pricing: The item is seen as a common item accordingly
valuing isn't related with great items. Further, there will be troubles for the clerk in tallying the
money. It doesn't work if there should arise an occurrence of balanced customers.
8. NOTORIETY PRICING:
Focal points of Prestige Pricing: The distinction valuing makes higher brand picture for the item
and results in to higher deals. Disservice of Prestige Pricing: The exceptional cost ought to be
sponsored by very great item. Furthermore, the organizations need to spend a great deal of cash
on making a brand picture.
9. REQUEST ORIENTED PRICING:
Favorable circumstances of Demand Oriented Pricing: This evaluating procedure permits higher
benefits during pinnacle seasons when request is high. Detriments of Demand Oriented Pricing:
It might result into misfortune during times of less request as it doesn't consider the expense of
generation. Also, the shoppers may convey a negative picture of the organization for taking
burden of the circumstance.
10. CONVEYED PRICING:
Points of interest of Delivered Pricing: The organization isn't required to manage the
transportation cost. The organization can legitimize a more expensive rate by advising the clients
that the real cost was less. Weaknesses of Delivered Pricing: Customers may discover the
organization's item costly contrasted with the different organizations.
11. LIMITED TIME PRICING

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Focal points of Promotional Pricing: Promotional estimating may give transient lift to deals and
may urge more individuals to keep purchasing a while later also. Furthermore, it's a decent
method to auction undesirable or out dated stock. Detriments of Promotional Pricing: As the cost
is low, it will result into lower costs. In addition, if your advancements happen in an anticipated
example, potential clients may hang tight for a deal instead of purchase the item or on the other
hand administration at the maximum at this point.
12. PATTERNED PRICING: SABEENA GIRI, (16BPH083)
Points of interest of Patterned Pricing: Under Patterned evaluating, there is interest for the item
notwithstanding during recessionary stage. Further, the organization can underwrite the blast by
expanding its cost. Weaknesses of Patterned Pricing: The necessities and propensity shaping
merchandise can be sold at a high cost even during subsidence because of their low value
versatility. Charging low cost for such basics during downturn is uncalled for. Correspondingly,
the low-quality items won't bring a high cost notwithstanding during the blast.
IV) PLACE
" Place" alludes to the dispersion channels used to get the product to the clients. What the
product is, will incredibly impact how it is dispersed. In the event that, for instance, you claim a
little retail location or offer a support of your neighborhood network, at that point you are toward
the part of the arrangement chain, thus you will supply legitimately to the client. Organizations
that make or collect a product will have two alternatives: selling straightforwardly to purchasers
or offering to a merchant. While contrasting with other marketing mix like product, cost and
promotion, the position of place is distinctive on the grounds that nonattendance of its,
generation can't be started. For model, product offers wanted highlights, number of units and
product offerings. Cost is ready to create income in marketing mix; promotion is a led to convey
target fragment through different limited time methods. Be that as it may, all these promoting
exercises happen at certain place or channel.
Place isn't just about physical development of products from producers to clients. Yet
additionally about the straightforward entry to products, the manner in which they are shown,
and the earth wherein they are presented. The advertiser may receive various channels of
mediators to arrive at the end client. The decision of dispersion channel is influenced by a few

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SABEENA GIRI, (16BPH083)
elements. The channel of dissemination means the go-betweens engaged with the procedure
whereby a product goes from the producer to customers. It is significant for the producers to
include middlemen so as to arrive at customers. Right off the bat, brokers diminish the issues of
the two producers and shoppers. Besides, they help in dispersing the products over a huge
zone.Middlemen likewise supply valuable market data to the producer for improving the product.
Association of middlemen adds to the conven­ience of customers since they can lay numerous
things from a solitary store. A few people accept that by including more brokers during the time
spent dispersion, the last cost of an products is considerably raised which is eventually paid by
the purchaser. In this manner, the quantity of mediators included ought to be restricted, if at all
vital, and there can be different degrees of channels. It is for producers to choose which level
would suit the clearance of their product.
DIRECT AND INDIRECT MARKETING CHANNELS :
The appropriation channel begins from the producer and finishes with the buyer. Each layer of
middle­man that plays out some work in carrying the product closer to the last layer is a channel
level.
CHANNEL 0 is known as a direct promoting channel. It has no delegate level. Producers sell
products legitimately to buyers. It is called direct promoting. The rest of the channels are
'backhanded promoting channels'.



CHANNEL 1 incorporates one middle person which is commonly a retailer. Retailers purchase
products legitimately from the producer and sell these to customers. By and large, electronic
products, for example, TVs and PCs are sold through this channel level.


BUYER


MANUFACTURER
MANUFACTURER RETAILER
BUYER

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SABEENA GIRI, (16BPH083)
CHANNEL 2 contains two go-between levels—a distributer and a retailer. A distributer
commonly purchases and stores huge amounts of a few producers' merchandise and after that
breaks into the mass deliver­ies to supply retailers with littler amounts. For little retailers with
constrained request amounts, the utilization of wholesalers bodes well. This game plan will in
general work best where the retail channel is divided—not overwhelmed by few enormous,
incredible retailers who have a motivation to remove the distributer. A genuine case of this divert
game plan in the UK is the dissemination of medications. This channel is regularly utilized by
little producers of sustenance things and different products.



CHANNEL 3 contains three brokers levels. Agents more often than not separate wholesalers
and retailers. They purchase from wholesalers and offer to little retailers who are commonly not
served by wholesalers. There can be much more levels in the dispersion channel, however from
producers' perspective, the more noteworthy number of levels implies less control and more
noteworthy intricacy of channels.




DECISION OF CHANNEL OF DISTRIBUTION:
Following components oversee the decision with respect to channel of distribution:
1. NATURE OF PRODUCT:

MANUFACTURER

WHOLESALER

RETAILER


BUYER

MANUFACTURER

AGENTS WHOLESALER

RETAILER

BUYER

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SABEENA GIRI, (16BPH083)
For transitory products, a shorter channel is liked, while for strong merchandise, channel 3 is
progressively well known. On the off chance that merchandise are specially made, direct selling
might be influenced. For specialized and exorbitant products, producers by and large go for
direct selling through operators uncommonly enlisted for this reason.
2. NATURE OF MARKET:
In the event that the market is concentrated and not dissipated, producers may go for direct
selling, however for the dispersed market, middlemen are included. In the event that there are
more purchasers, there might be a need to incorporate more middlemen. For customer product
showcase, retailers are fundamental, however in the event of mechanical products, a shorter
channel is liked; along these lines, agents might be dispensed with.
3. MIDDLEMEN:
Middlemen who can give wanted marketing administrations are given inclination. The
accessibility of agents additionally influences channel choice. The middlemen must be agreeable
and fair. The channel which produces biggest deals volume at the lower unit cost will be given
need.
4. SIZE AND ARRANGEMENT OF THE ORGANIZATION:
There are numerous components identified with the organization which impact channel choice.
A major measured organization with a more extensive product offering can stand to have shorter
chan­nels. New organizations intensely depend on middlemen. An organization with adequate
budgetary assets can spend vigorously on commercial and its own outlets. Henceforth,
requirement for agents is diminished. Organizations wanting effective authority over channel
individuals will consistently incline toward shorter channels.
5. ADVERTISING CONDITION:
During retreat or sadness, shorter channels are favored in light of being less expensive. In the
midst of success, a wide decision is accessible. Innovative developments additionally have an
effect; for instance, circulation of transient products to removed places has turned out to be

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SABEENA GIRI, (16BPH083)
conceivable because of cold storerooms in warehousing and shipping. Such offices have
extended the job of middlemen.
6. CONTENDERS:
Channels of circulation utilized by contenders likewise impact this choice. A few associations
may get a kick out of the chance to pursue indistinguishable chains from utilized by contenders.
Then again, a few associations may keep away from channels officially standard. They may have
their own choices. In this manner, in the wake of imagining the effect of these components, an
organization embraces the best channel from among the accessible options.
MANAGING CHANNEL INTERMEDIARIES
Channel delegates assume a significant job in advancing the product in the market. There are a
few different ways to deal with the channel of delegates:
1.INSPIRATION: To oversee channel delegates, the advertiser must persuade sellers to stock
and advance products in the market. Vendors might be roused by offering seller motivating
forces, appealing exchange edges and making powerful correspondence about the alterations
made in the product or costs.
2. EXECUTION EXAMINATION : To guarantee an expansion in deals income and to create
more business incomes, the advertiser should direct execution examination which would give an
input to the firm about the quality and shortcomings of sellers.
3. PREPARING AND IMPROVEMENT OF VENDORS:
The advertiser may give different preparing and develop­ment projects to upgrade the selling
expertise and specialized learning, and to create inspirational disposition to push the products to
shoppers.
4. SETTLING CHANNEL DEBATES:

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To adequately deal with the mediators, the supervisor is respon­sible to unravel the contentions
with the vendors. These questions might be in the territories of supply of prod­ucts, motivating
forces, exchange edges, appropriation, etc.
5. SUPPLY THE BOARD: SABEENA GIRI, (16BPH083)
A significant region of seller executives is the supply side. The supervisor must supply the stocks
requested by the seller in the nick of time. The director should likewise give strategic help, for
example, distribution of merchandise and suitable pressing with the goal that the products don't
get harmed in travel.
DIRECT SALES
As a producer, you should choose if providing direct is suitable for your product, regardless of
whether it be deals through retail, door to-entryway, mail request, internet business, on location,
or some other strategy. A bit of leeway of direct deals would be the get in touch with you gain by
gathering client’s eye to eye. With this get in touch with you can without much of a stretch
recognize market changes that happen and adjust to them. You likewise have full oversight over
your product extend, how it is sold, and at what cost. Direct deals might be a decent place to
begin when the supply of your product is constrained or regular. For instance, direct deals for
some, home-delivered products can happen through homebased deals, markets, and stands. Be
that as it may, direct deals necessitate that you have a compelling retail interface with your
clients, which might be face to face or electronic. In the event that creating and keeping up this
retail interface isn't important to you or you are bad at it, you ought to think about selling through
a middle person.
RESELLER SALE (SALES THROUGH AN INTERMEDIARY)
Rather than selling straightforwardly to the customer, you may choose to sell through a middle
person, for example, a distributer or retailer who will exchange your product. Doing this may
furnish you with a more extensive distribution than selling direct while diminishing the weight of
dealing with your very own distribution framework. Moreover, you may likewise lessen the extra
room essential for stock. One of the most significant explanations behind selling through a
middle person is access to clients. In numerous circumstances, wholesalers and retailers have
client associations that would not be conceivable to get without anyone else. Nonetheless, in

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offering to a reseller you may lose contact with your end shopper. At times, you may likewise
lose a few of your organization character. For instance, your merchant may demand that your
product be sold under the reseller's image name. One factor that may impact whether you can
discover a go-between to deal with your product is creation stream. Wholesalers need a
SABEENA GIRI, (16BPH083)
consistent all year supply of product to disseminate. On the off chance that you can convey a
consistent all year supply that is of reliable quality, at that point selling through a middle person
might be a decent technique for you.
MARKET COVERAGE
Regardless of whether you sell your product direct or through a reseller, you should choose what
your inclusion will be in appropriating your product.
INTENSIVE DISTRIBUTION
It is far reaching arrangement in a numerous place as would be prudent, regularly at low costs.
Huge organizations frequently showcase on an across the nation level with this technique.
Comfort products—ones that shoppers purchase consistently what's more, invest little energy
looking for, such as biting gum—do better with escalated (far reaching) dissemination.
SELECTIVE DISTRIBUTION
It limits dissemination to a couple organizations. Frequently, upscale products are sold through
retailers that solitary sell top notch products. With this alternative, it might be simpler to build up
associations with clients. Products that individuals search for, sell better with selective
distribution.
EXCLUSIVE DISTRIBUTION
It confines distribution to a solitary reseller. You may turn into the sole provider to a reseller
who, in turn, may sell just your product. You might probably advance your product as renowned
with this strategy, however you may forfeit deals volume. Claim to fame products tend to
perform better with exclusive distribution.
EXAMPLE:

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MODEL – DIRECT SELLING AT DELL COMPUTERS SABEENA GIRI, (16BPH083)
Dell Computers was established by a school rookie Michael Dell. By 1985, the organization had
built up its system of offering specially made PCs. Accordingly, deals went from 6 million
dollars in 1984 to 70 million out of 1985. In an additional 5 years the business hopped for 500
million dollars and before the part of the arrangement had crossed 25 billion dollars.
A predominant store network and innovative assembling had a significant task to carry out in this
wonderful achievement. Another significant contributing element was the interesting distributing
procedure utilized by the organization. Recognizing and profiting by a developing business
sector pattern, Dell removed the mediator or retailers from their distribution channel. This was
done in the wake of contemplating and dissecting the PC worth chain. Dell turned into a solid
direct dealer, by utilizing mail-request frameworks before the spread of the web. After the web
turned out to be more standard, an online deals stage was set up. Right off the bat in the web
time, Dell started giving request status reports and specialized help to their clients on the web.
Online deals arrived at 4 million dollars every day in 1997. While contenders sold pre-designed
and gathered PCs in retail locations, Dell offered something new and alluring to the clients by
giving the choice to pick attractive highlights and that too at a limited cost. This was conceivable
on the grounds that Dell did not need to hold up under the expenses of the agent. Another
valuable part of this model was the data accessible with respect to clients and their needs and
prerequisites. This helped the organization foresee market patterns and section its market. This
division helped item advancement endeavors and a comprehension of what makes an incentive
for each portion.
Through cautious examination of the objective market, an investigation of accessible channel
alternatives and viable utilization of a clever thought, Dell PCs figured out how to arrive at early
accomplishment in its industry.
FACTORS DETERMINING MARKETING MIX : ACHYUT ADHIKARI, (16BPH078)
The company which is intending to find the right pitch for their product require to consider a
number of factors before setting out. The determining factors are as follows:
1. Internal factors
2. External factors
Internal Factors

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It includes the factors that lie within the organization or which is related with the inner
atmosphere of the firm. The internal factors are listed below:
Nature of the product ACHYUT ADHIKARI, (16BPH078)

• Stages of product in its overall life cycle
• Availability of the funds
• Objectives of the company
External Factors
These are the factors which are concerned with the factors outside of the organization. These
include the aspects which are mentioned below:
• Control of the government
• Buying behavior of the customers
• Channel's efficiency
• Degree of the competition
IMPORTANCE OF THE MARKETING MIX
The 4Ps of the marketing mix definitely has a huge role for the enhancement of the success of
the product. The importance or the benefits of the marketing mix are as follows:
• Creating synergy
• Brand loyalty and value
• Serving as a link between customer and the organization
• Enabling proper integration
• Guiding decisions
• Higher sales volume
DESIGNING OF EFFECTIVE MARKETING MIX:
The marketing mix strategy is the most important thing in the field of marketing. The right
blending of the 4P along with the proper understanding of market as well as customer is
necessary. Thus, for the effective marketing mix following conditions should be satisfied:
• The product should match the unique positioning
• It should match with the profile of the target customer
• Surveying the resources available on company
• Ensuring the harmony of elements and their coordination
• Preparation of good competitive strategy to overcome the rivals
• Merging of the overall organizational goal along with marketing mix goals.

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MARKETING MIX EXAMPLE: MCDONALD ACHYUT ADHIKARI, (16BPH078)

The marketing mix of McDonald involves various approaches that meets the business concerns
in the market of fast food all around the world. McDonald's has a product composed of mainly
the food and beverages. The following are the products that are offered to the customers:
➢ Hamburger, sandwiches,
➢ Snacks and salads,
➢ Chicken and fish,
➢ Beverages, desserts and shakes etc.
The product obviously is the most determining factor of its brand as well as corporate image.
The company was firstly known for burgers however the business expanded very quickly and a
number of products were introduced. The variations provided in the product lines and fulfilling
the marketing demand with current plans and decisions has been the key reason of their huge
success in market.
The location or place where the customers can excess the product is equally important. The main
places where the company provides the products are as follows:
➢ Restaurants,
➢ Mobile apps,
➢ Post mates’ websites and apps,
➢ Kiosks etc.
Restaurants are the chief place for distribution and where the company generates most of its sales
revenue. Nowadays, mobile apps are also playing vital role as this is the generation of
technology. Through app customers are able to access from their home or offices which makes
the bonding between customer and company even stronger.
The promotion involves the tactics to communicate with the customer and to attract them
towards the product with the purpose of buying it. As other big companies, McDonald's also uses
some promotional strategies to expand its business. The tactics used are listed below:
• Advertisement
• Public relation
• Sales promotion
• Direct marketing
Advertisement is the most significant strategy. The company uses TV, radio, online as well as
print media for advertising their product. Sales promotion offers discounts to attract customers.

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Public relation activities include of the work like supporting certain communities, environmental
programs that help to make their brand as well as goodwill strong.

ACHYUT ADHIKARI, (16BPH078)
Pricing specifies the price points or the range for the company's food products. The goal here is
to use this strategy to maximize profit margins and increase sales volume. The major strategies
include the followings:
• Bundle Price Strategy
• Psychological Price strategy
The first include the offer meals and other products that are discounted when taken in bundle or
combination but are charged high when taken each individually. This make customer to buy the
bundle product. Furthermore, in the psychological pricing strategy company is using the price
that appear significantly more affordable such as INR 499 only instead of 500. Here, in this case
it’s the matter of the perception and many customer falls under this game plan.

KEY CHALLENGES IN MARKETING MIX
Though it may seem easy, there are many challenges in applying the marketing mix and reach
the goal. Some of the major challenges that we might face in marketing mix are as follows:
• Rapidly changing of the customer's need and expectation
In today's world the needs and desires or the expectation of customer is changing constantly. It
has been a headache not only for a small company but also for the big players on the market. The
consumers want more and more and to fulfill it updating should be carried time and again.
• Increasing domestic as well as competition
The world is being narrowed but the competition is growing wider. It has been global rather than
just being a domestic competition. Thus, it has been a great challenge to deal with.
• Challenge of selecting among too many options
The marketers are facing too many options i.e. many communication tools, product or service
options, many potential customers' targets. Now, it’s a very tough task to choose the perfect one
from the ocean of options.
• Rapid technological changes
The rapid change in technology is a blessing but at the same time can be curse to the marketers
as they also have to change simultaneously with the technology and also adapt with that so as to
be with customer in the market.

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• Challenge of generating right and unique ideas


ACHYUT ADHIKARI, (16BPH078)
It is similar to selection of the options. During the product development process, the rightest idea
should be generated or selected. The more focus should be given to the unique one. As we all
know the unique one stands even in the crowd.
CONCLUSION
Hence, the 4Ps of our marketing mix i.e. place, promotion, place and price should work hand by
hand. The decision made on one element may influence the choices available on the others. The
selection of an effective mix for the market may take time and more effort, but on the long run
these will pay off as you satisfy the customer and build a profitable business. The worksheets
which follow helps you in constructing marketing plans.
Once there is a good marketing mix meaning right product at right place, offered at right price
and is being promoted in the right way there is a chance to be on the top of the market and if
there is any change the adaptation according to the market flow is necessary so as to continue
your success. Marketing is of course a part of the venture that has no end.

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REFERENCE
• https://www.cleverism.com/understanding-marketing-mix-concept-4ps/ (Accessed on
17/08/2019)
• https://www.cleverism.com/promotion-four-ps-marketing-mix/ (Accessed on 22/08/2019)
• http://granthaalayah.com/Articles/Vol4Iss6/04_IJRG16_C06_07.pdf (Accessed on 16/08/2019)
• https://www.learnmarketing.net/Price.htm(Accessed on 17/08/2019)
• https://marketingmix.co.uk/place/(Accessed on 17/08/2019)
• https://www.tutor2u.net/business/reference/place-distribution-introduction(Accessed on 18/08/2019)
• http://www.yourarticlelibrary.com/marketing/marketing-mix/place-mix-useful-notes-on-place-mix/3231
0(Accessed on 17/08/2019)
• http://download.nos.org/srsec319new/319EL20.pdf(Accessed on 17/08/2019)
• http://granthaalayah.com/Articles/Vol4Iss6/04_IJRG16_C06_07.pdf(Accessed on 15/08/2019)
• https://shodhganga.inflibnet.ac.in/bitstream/10603/170413/11/11_chapter_4.pdf(Accessed on
17/08/2019)
• https://www.extension.purdue.edu/extmedia/ec/ec-730.pdf(Accessed on 16/08/2019)
• https://www.cleverism.com/product-four-ps-marketing-mix/(Accessed on 19/08/2019)
• https://www.smartinsights.com/digital-marketing-strategy/online-marketing-mix/creating-best-marketi
ng-mix-product-launch/(Accessed on 18/08/2019)