Marketing EssentialsThe seven Ps
28th April, 2018
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Table of Contents
The Marketing Mix is the attribute that contributes to the function and success of any company. A company cannot run without the profit which may only be earned through the most appropriate and eligible marketing strategic plan of action, that is intended for desired results. One specific method within the marketing mix is the theory in which the relevant product is promoted at the right time, this ensures that it can be conveniently accessible to the market. This may cause and increase in sales and profit of any given company.
PRODUCTS – Goals that are manufactured are called a product, these are what targets the suitable market. These products can be two types, tangible and intangible. The target market can be of any age or group of people that are in a geographical are. Products forms the primary aspects of any marketing success, there is a difference between product and services. Products are the items that can be purchased and services are what becomes available over a period of time. These two companies sell both their products, which are Cement and Mobile phones to their customers, also providing ample necessary support services.
Tsttmobile is one of the main telecom providers in Trinidad and Tobago, they provide mobile phones and other wireless services for their smart phones and Tablets. They are a prominent brand driver, owning a majority of subscribers therefore, making their brand equity very high. Some of their services would include, Virtual services, internet shopping facilities with the RepublicTSTT prepaid visa card, 4 G LTE data, unlimited prepaid and postpaid plans, pay station services, E-service billing online, repair services and TSTT telegraph/radio services which allows customers at sea to send messages and calls.
Trinidad Cement Limited (TCL) is the largest cement distributor in the market , not just locally but regionally as well. TCl, not only do they provide cement they also offer a range of services to their customers. Among these are their lab services, which was deemed accredited in 2011. Some of the testing that are conducted at the lab would be, compression strength testing of concrete cylinders, cubes and grouts. The cemented products available would be;
Premium Plus Cement (Type LP) – it is commonly used for general construction especially when making precast and precast-pre stressed concrete.
Type ll Portland Cement – a type ll cement that meet the requirements for type l, but is preferred when a moderate sulphate resistance is required.
Oilwell Cement: API Class G Cement – oil-well cements are used for drilling of oil wells where they are subject to high temperatures and pressures.
Sulphate Resistant Cement (SR/Type V) – It is more resistant than ordinary Portland cement to the action of mineralized water containing sulphates, it is used for concrete slabs on the ground, pipe and concrete post.
Trinidad Cement Limited has also been an advocator of green and sustainable engineering in the campaign of reducing its carbon footprint. Therefore, significant research and development into greener cements and alternatives uses of cement are ongoing for continuous improvement in the manufacturing.
Trinidad cement limited produces products that are tangible, whilst bmobie stt provides intangible services. Both companies must take into account the specified product or services that are designed to satisfy the needs and wants of the customer. Basically marketing a service is main concern is the development of customer relationship.
The difference between products and services
People require different products and services to meet there varied needs and wants. With that being said, it can be noticed that marketers play a key part in marketing different products and services to their targeted customers. The main concept is that cement is tangible while bmobile services are intangible.
Unlike Trinidad Cement Limited, Bmobile cannot store their services to be used at a later date, they cannot have a sale of services and it can only be used when offered. TCL on the other hand produces cements that are perishable, they can become hard over a period of time, TCL can choose to store and sell their cements at a later date, cement can be numerically measured and they come in different brands and sizes. Whilst Bmobile services only runs for a certain period of time and their customers can choose to have different service provider at anygiven time.
Bmobile cannot separate their customers from their services since it is offered with the purchase of a mobile phone. A TCL customer however can choose to separate with the retailer even after a bag of cement is purchased have been completed. It is easier to return a bag of cement if the customer is not satisfied with the quality, and that customer will be able to get an exchange or refund. The value of service offered with Bmobile is through their staff customer service care, while the value of TCL is derived from having the customer use the product.
Branding, when companies think branding, they think logos, websites, including social websites. Our social media experiences, to phone etiquette and the customer encounter with staff. Branding gives TCL and BMOBILE customers the awareness of good branding and they have managed over the years to have executed a well thought out plan. Through branding they were able to be promoted, gaining recognition as the public tend to lean towards familiarity. Their brand always remain consistent and recognizable, which helped the public to feel more at ease when purchasing their products and services. This have set them apart from their competitors as TCL no longer competes on the local market and BMOBILE have a strong competitor on their heels.
Having a distinct provides motivation and direction for their employees, as it offers clarity, clarity which produces referrals, for people love to tell others of their preferences as it relates to brand. A good brand helps the public in knowing what to expect as it represents the company, their employees and the product and services that are being marketed. This allows the companies to stay focused on their vision and mission as it provides value beyond their physical assets.
New product development and lifestyle – developing a new product involves a number of stages, which typically centers around the following key areas. Research, development, testing and introduction. Every new product starts with an idea some of these ideas may come externally, through customers, distributors, competitors and suppliers. Whether it is the modification of old products and services or creating new ones. It may be internally through staff, majority of companies may have a team focusing on the creation of the new best thing
Research – TCL and BMOBILE may have plenty of new ideas for a new product or type of service, but only the best ideas are selected and the research begins. Researching the market enables both companies to see if there is likely to be a demand for this type of product or service and what are the specific features that needs to be developed in order to meet the best needs of that potential market.
Development of the prototypes may be modified through various designing and manufacturing stages so as to come up with a finished product that customers will want to purchase.
Testing – before TCL or BMOBILE products are launched and manufactured, budget on production and promotion are kept to a minimal amount. This ensures that they have a strong product and service that will be profitable, there are no changes to be made before launching.
Analysis – feedback from public testing, allows necessary changes to be made and the decision as to when it will be launched into the market, numerous decisions pertains to the product and service success.
Introduction – lastly when a product has made it all the way through the new product development stage, it will be introduced into the market. Once this is completed, a good product life cycle management will ensure that TCL and BMOBILE makes the most of all their efforts and investment.
PRICING – is the element that influences the option of the majority of customer payment ability, to purchase a product that is important. Price is essential in the fitting of a customer needs and the increasing of sales. Due to the increase in competitions, companies will now have to determine their pricing strategy such as, lower margins on their profits to boost their sales. Bmobile limited is one of the larger mobile providers compared to their competition, as their data plans, internet access and minutes are sold with an effective price that is affordable to their customer needs. Whereas TCL provides a bigger range of products within a different price range to fit their customers need.
Context Marketing – when having context relationships with a customer, both companies are able to offer a bit more personalized and applicable marketing environment, one that aims at the customer needs. Both companies have created a marketing plan that targets a public point of need as it helps the marketing department to perform at its best. Hence they are not delivering a content that is askew with their interests.
The pricing strategy will generally depend on the companies objectives. The types of pricing strategies that both companies have engage in would be as follows;
Penetration pricing; this is when the companies have set a lower price to increase sales and the market share. Once these market share has been acquired they both may then increase their prices.
Price skimming; both have set and opening high price and then lowers the price to make the product and services available. The objective is to skim the profits of the market at different intervals.
Competition pricing, they have both set a price in comparison with their competitors, when clearly they both had three options. These options were to lower price, price the same or price higher that their competitors.
Bundle pricing; they have both bundled a group of products and services at a reduced price, a common method for TCL was buy one get one free, whereas BMOBILE would ask that when you purchased a plan customers can get additional minutes or data free.
Supply chain management and logistics