1

4Ps
Product &
Price
 2

Planning Planning
Implementing
& Evaluating
MKT Strategy
Implementing

Evaluating
 3

MARKETING IMPLEMENTATION
The process that turns marketing plans into
marketing actions to accomplish marketing
objectives
While marketing planning addresses the WHAT and WHY of
marketing activities, implementation addresses WHO, WHERE,
WHEN and HOW
 EVALUATING MARKETING
STRATEGIES

▪ To achieve marketing objectives, marketing managers

must evaluate marketing strategies effectively

Marketing performance evaluation consists of:

- Establishing performance standards
- Analyzing actual performance of the marketing
strategy including sales analysis and marketing
cost analysis
- Comparing Actual Performance with Performance
Standards and Making Changes, If Needed

4
 “
MARKETING IMPLEMENTATION
The effective implementation of any and all marketing activities
depends on

• A well-organized marketing department

• Motivating marketing personnel,
• Communicating within the marketing unit
• Coordinating marketing activities with other departments
such as production, finance, HR and accounting
• Setting reasonable and attainable timetables for activity
completion
5
 https://www.youtube.com/watch?v=VblAJYA-ako&t=1s

YOU ARE ALL HERE, TO TAKE YOUR OWN DECISION………..

I WISH ALL OF YOU WILL BECOME UNIQUE AS THE COFFEE BEAN
 7

4Ps
Product &
Price
DEVELOPING AN INTERGRATED MARKETING MIX

MARKETING MIX

The set of tactical marketing tools including products, price, place and
promotion that the firm blends to produce the response it wants in the target
market

Marketing strategy  Details of Marketing Mix to achieve MKT objectives

The 4Cs
In this age of customer value & relationship, from the buyer’s viewpoint, the
four Ps might be better described as the four Cs
4Ps
to
7Ps
 LEARNING GOALS

01.Product & Service

• Products & Services Definition
• Different types of Product
• Branding & Packaging
02. Price
• Pricing strategies
• Factors affect Price decision
• Ryanair – Case study
.
 DEFINITION
Product

A product is defined as anything that is offered to a market for attention,

acquisition, use or consumption that might satisfy a want or need
 Different types of Product 15

Service
Tangible product
 DEFINITION
Service
Services consist of activities, benefits or satisfactions that are offered
for sale that are essentially intangible and do not result in ownership
of anything
 Different types of Product 17

Service
Tangible product Organizations, Persons
Places and Ideas
Organizations, Persons 18

Places and Ideas

• Organisations often carry out activities to market the
organisation itself.
Ex: Businesses invest in PR to maintain their image with the
public
• People are marketed as a product to create, maintain or
change attitudes or behaviour toward particular people.
Ex: Celebrities or Professionals such as doctors,
lawyers… etc.
• Places can be marketed.
Ex: “I love Da Nang”
• Ideas are now becoming valuable “assets” for all business.
Ex: Selling Marketing ideas
 19

Levels of Product

Three Levels of Product

• Core product: Consists of the core problem-solving
benefits that consumers seek

• Actual product: Quality features, Service features,

Branding, Styling, Packaging

• Augmented product: Installation, Delivery and credit,

Post sale services, Warranty
 IPHONE – What is Customer buying?

Augmented Product
Customer further buy:
• Worldwide warranty
Core benefit • After-sale Service
A Phone for calling, sending message,
taking picture, selfie, surfing the
Internet… etc.. Actual product
Customer also buy:
• Brand name
• Quality
• Design
• Style
• Unique software
Products and Service classifications 21

Consumer Product
A product bought by final
consumers for personal
consumption
 Four types of Consumer Product
Type of
Category Purchase Price Promotion Distribution Example
Decision
Purchased Toothpaste,
Convenience frequently, minimal Relatively Widely magazines,
comparison and low Mass media available laundry
effort detergent

Less frequently Advertising and Major

personal selling Selectively
purchased carefully available in appliances,
Shopping comparison on Moderate by both producer televisions,
and resellers Fewer outlet
price, style, quality furniture,
clothing
Strong brand More carefully Exclusively
preference and targeted available in Luxury goods,
loyalty, special Relatively promotion only such
Specialty purchase effort, as Rolex
expensive by both producer one or a few watches
little comparison and resellers outlets
of brands or fine crystal
Aggressive
Little product advertising and Selected Life insurance,
Unsought awareness or It might be low personal selling blood donation
knowledge or high by producer and
resellers
Products and Service classifications 23

Industrial Product
A product bought by individuals
and organizations for further
processing or for use in conducting
a business.

Consumer Product
A product bought by final
consumers for personal
consumption
Three types
Of Industrial Product
• Materials and parts are industrial goods that
become part of the end product
Ex: fish for Bird’s Eye fish fingers or component
parts for BMW cars
• Capital items are industrial products that help in
production or operations
Ex: factory equipment
• Supplies and services do not enter the finished
product but they are used in the business
Ex: stationery or computer repairs
 Individual Product and Service Decision

Product
Product
Branding Packaging Labeling Support
Attributes
Service

Developing a A name, term, The activities Label identifies Service

product
 or service
Product sign, symbol or of designing the product or regarding
Attributes
involves defining design, or a and producing brand. product after
the benefits that combination of the container Who made it, it got sold
it will offer. This these intended or wrapper for Where it was
benefits are to identify the a product. made, when it
Quality, Features, goods and was made
Style and design… services Silent salesman
 Packaging – Silent salesman

• 08th Jan 2009, Tropicana launched the new packaging

• Sales dropped by 20%, represented a lost of 30 million dollars.
• 23 Feb 2009, Tropicana announced that it would return to its original
rd

packaging design
 What is price?

•The amount of money charged for a

product or service
•The sum of all the values that consumers
exchange for the benefits of having or
using a product or service
•Major factor affecting consumer choice
Quiz
1. Fashion Industry:
Sale Season  Do they lose profits?
Or earn more profits?
Answers:
• Of course, they earn more
 Increase demand
 Build customer’s loyalty
 Get new customer
 More customers, lower profit/each
product, BUT higher profit in total
 31

Pricing strategies

• Cost-based pricing
• Customer value-based pricing
• Competitor-based pricing
 Cost-based Pricing
Setting price based on the cost of producing, distributing and selling
plus a fair rate of return for its effort and risk.

Design a good Determine Set price based Convince buyers of

product product costs on cost product’s value
 Customer Value-based pricing
Setting price based on buyers’ perceptions of value rather than on the seller’s cost
2 Types:
• Good value pricing: Offering the right combination of quality and good service at a
fair price
• Value-added pricing: Attaching value-added features and services to differentiate a
company’s offers while charging higher prices

Assess customer Set target price to Determine costs Design product to

needs & value match customer that can be deliver desired
perceptions perceived value incurred value at target price
 34

Competitor-based pricing
Setting price based on competitor’s strategies, Costs,
Prices and market offerings

Competitor’s
Costs Prices Market offerings
strategies
 Pricing strategies
Cost-based pricing
Design a good Determine Set price based Convince buyers of
product product costs on cost product’s value

Customer Value-based pricing

Good
pricing starts Assess customer Set target price to Determine costs Design product to
with needs & value match customer that can be deliver desired
customer perceptions perceived value incurred value at target price

Competition-based pricing
Competitor’s
Costs Prices Market offerings
strategies
 36

Other Considerations in setting Price

Resellers
Government
Social concerns