The Marketing Mix

The marketing mix is the balance of marketing techniques required for selling the product. It's components are often known as the four Ps:

• Price - the price of the product - particularly the price compared to your competitors - is a vital part of marketing. There are two possible pricing techniques:
  1. Market skimming - pricing high but selling fewer
  2. Market penetration - pricing lower to secure a higher volume of sales
• Product - targeting the market and making the product appropriate to the market segment you are trying to sell into
• Promotion - this may take the form of point of sale promotion, advertising, sponsorship or other promotions.
• Place - this part of the marketing mix is all about how the product is distributed. Current trends are towards shortening the chain of distribution.

In the past many firms have been what could have been described as product-oriented. They produced a product and spent their energies marketing this product. There was little flexibility for individual customers or segments of the market. Firms now tend to be market-oriented. This means that they are flexible and adaptable to the demands of the market. They aim to change the product as necessary to satisfy their customers.