Evelina Nordin, 3214623. Tutorial wed 12pm-1pm, task No.

The marketing mix (7 P´s)

Describe and define the role and importance of the marketing mix
The marketing mix is the most essential concept of marketing which is a set of tactical
marketing tools that a firm uses to create a desired response in the targeted market (Khan,
2014) The marketing mix consists what the firm can do to influense the demand for its
products and services (Armstrong et. al, 2012).

The marketing mix is also known as the four P's ie. product, price, place and promotion
suggested by Jerome McCarthy. This four P´s where later on extended by adding three more
elements wich are people, process and physical evidence. This 7Ps are all together the
elements of marketing mix. These are the primary ingredients of a marketing strategy, and as
a means of translating marketing planning into practice (Khan, 2014).

Product: Describe the company’s product offering including features, quality,

packaging etc. Explain the underlying market need or want the product fulfills. Is
the offering a good, service, experience, idea or combination and what impact
does this have?
A product is defined as: "something or anything that can be offered to the customers for
attention, acquisition, or consumption and satisfies some want or need ” (Khan, 2014). The
product is the core of the marketing mix strategy where the operators on the market could
offer unique factors of their product thats different from their competitors. Quality, design,
features and brand name characterize the product (Khan, 2014).

Cadbury is best known for its confectionery products as the Dairy Milk chocolate, the Roses
selection box and the Creme Egg. Cadbury wants to offer products that makes everyone
happy (https://www.cadbury.com.au). Cadbury has extended the company several times.
They merged with Schweppes Australia, Red tulip and Kraft foods for example. They
have also added a range of brands including Freddo Frog and Cherry ripe (Cadbury
information sheet 18/08/14).

Price: Outline the price a customer pays for the product. Identify and justify which
pricing strategy the company uses. What internal or external considerations
impact price?

Virvilaite et al. (2009) expresed that the price of a product or service is the most important
factor, determining customers' satisfaction. The firm should choose a type of price strategy
according to Riaz and Tanveer (2011). This can be: Cost-based pricing, break-even pricing,
competition-based pricing and customer-value based pricing.

Cadbury is the mainley confectionery manufacturer in Australia and one of the largest in the
world (https://www.cadbury.com.au)
 Their products are offered to a fair price regarding to the quality of the products. I would say
their price strategy would suit the customer-value based pricing, because the products are
priced on the basis of perceived value of the product. According to Muala and Qurneh (2012)
and Chung and Shin (2008) the costumers recognition of the products is a very important
factor in ralation to a higher price. Where other information is lacking or absent customers
usually select products or brands with an attractive price.

Place: List the physical places and store locations where the product can be
bought. Describe the channel of distribution used by the company. Highlight any
logistics management that is of importance.

Today you can find Cadburys producs in the UK, Australia, N-Z, North America and
China. (Cadbury information sheet, 18/08/14). The products can be bought instantly in
grocery stores.

Promotion: Identify the types of promotion employed by the company to reach its
target audience. Explain the message (value and benefits) the company is trying to
communicate to the target market.

Cadbury seems to be well established in the social medias. They have separate Facebook
pages for each of their most popular products. All the pages are updated on a daily basis with
straightforward product promotions and recipe ideas (Cadbury information sheet, 18/08/14).
When I checked out their webpage I noticed they have this contests where you can win the
chance to taste new products. This is a well thought out marketing technique where they make
costumers learn about their brand and products.

We all know how important it is to be updated as all this new technology overwhelms us.
“There is one thing stronger than all the armies in the world, and that is an idea whose time
has come” (Brombert, 1984). That’s a quotation by Victor Hugo to explain the importans to
follow the envolvement in the world. Cadbury clearly sees value in maintaining active on
social medias to presence and interacting with customers.

People: Identify the type of interactions and level of engagement between staff
and customers. Describe how the service characteristics of intangibility,
inseparability, perishability and variability impact the company and customers?

This factor in the marketing mix refers to the service of the employees who deliver the
service. Its a fact that many services involve personal interactions between customers and the
site's employees, and they strongly influence the customer's impression of service quality
according to Muala and Qurneh (2012). Once again the fact that Cadbury has such good
precens at the social medias sholud make a good impact on the customers. The cadbury
information sheet tells us that in general each post on facebook attracts thousands of likes and
tens of comments, which the social team does a good job of responding to.
Process: List the main points in the process of creating, delivering and
consumption that serve as ‘moments of truth’ for customers to determine their
satisfaction level.
Process is often defined as the implementation of action that increases value for products with
low cost and high advantage to customers (Muala & Qurneh, 2012). The pace of the process
as well as the skill of the service providers are clearly revealed to the customer and it forms
the basis of satisfaction with the purchase (Khan, 2014). A low price and a wide range of
products is also a main point that lead to satisfaction for the costumer (Armstrong et. al,
2012).

Physical Evidence: Identify the tangible reference points that assist customers to
determine the level of quality service and value they are receiving.
Muala & Qurneh (2012) revealed that the factor physical evidence refers to the environment
in which the service is delivered and any tangible goods that facilitate the performance and
communication of the service. I guess the tangible reference point are the exhibited products
of Cadbury that you can fint the grocery stores. It is hard to affect the service experience of
this kind of products because the costumers buy them in grocery stores. But the Cadbury
company can try to influence the physical evidences and surroundings by for example
developing a good looking website and present packaging of their products that make a good
impression on the costumers, wich I think they have.
References

Armstrong, G., Kotler, P., Adam, S., Denize, S. (2012) Principles of marketing. 7th edition,
Pearson education Australia: French Forest, NSW.

Brombert, V. (1984) Hugo and the Visionary Novel. Cambridge: Harvard University Press.

Cadbury information sheet (18/08/14).

Chung, K-H. & Shin, J-I. (2008) The Relationship among e-Retailing Attributes, e-
Satisfaction and e-Loyalty, Management Review: An International Journal .3, 1.

Khan, M. T. (2014) The Concept of 'Marketing Mix' and its Elements (A Conceptual Review
Paper) International Journal of Information, Business and Management. 6, 95-107.

Muala, A. & Qurneh, M. A. (2012) A sesing the Relationship Between Marketing Mix and
Loyalty Through Tourists Satisfaction in Jordan Curative Tourism, American Academic &
Scholarly Research Journal. 4, 2.

Riaz, W. & Tanveer, A. (2011) Marketing Mix, Not Branding. Asian Journal of Business and
Management Sciences. 1, 43-52.

Virvilaite, R., Violeta, S., Dalius, S. (2009) The Relationship Between Price and Loyalty in
Services Industry, Commerce of Engineering Decisions, Inzinerine Ekonomika-Engineering
Economics. 3.

https://www.cadbury.com.au