Marketing Thinking Challenge
Before beginning, visualize raking a pattern in the sand.
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M. E. Hill, Chapter 6
Thinking Through the Marketing Mix
The Marketing Mix Concept
Issues with the Marketing Mix/Offering Concept(s)
The Mixes
MT in Practice – Collaborative Marketing
The Marketing Offering Concept & a Possible Alternative
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M. E. Hill, Chapter 6
Okay. I’m ready to get things going. What’s the main question?
Alright. But, we’ll need to look behind the marketing concept and the emerging ones to understand their directional influence on strategy. Keep in mind, that a concept is a form of differentiation (a perspective) and as such, influences how you see and understand things. The role of a concept with thinking is to guide the thinking within the parameters of the concept (a conceptual box). While it may seem counter intuitive, in essence, the utility of concepts is to lessen the need for thinking – i.e., the need to think about fewer ideas, not more. From our thinking perspective, it’s important to recognize this about all concepts and to be prepared to challenge their applicability and limitations.
I guess I never of thought of concepts in that way.
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How does the concept of a Marketing Mix (e.g., the 4Ps) affect marketing thinking and strategy?
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What could be some of the problems you can think of that might be associated with the 4 Ps?
Problems with the 4 Ps
An internal perspective,
Assumes a passive view of consumers,
Doesn’t take into account consumer interaction,
Doesn’t consider relationships,
Doesn’t consider market opportunities and threats, and
Is viewed as an overly simplistic conceptual tool, narrowly restricting the marketer’s thinking in strategy development.
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How many marketing mixes are there?
And, why do we have more than one marketing mix?
The Six Main Marketing Mix Areas
Consumers Marketing Mixes
Relationship Marketing Mixes
Services Marketing Mixes
Retailing Marketing Mixes
Industrial (B2B) Marketing Mixes
E-Commerce Marketing Mixes
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Figure : What is the marketer offering today?
Consumer Marketing Mixes
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(1) Product
Price
Promotion
(4) Performance
Penalty
Perception
Process
Place
(5) Value
Viability
Virtue
Variety
Volume
Capabilities
Customers
Competitors
Customer
(2) Product
Price
Promotion
Place
Political Power
Public Opinion
(3) Product
Price
Promotion
Place
Services
Staff
(6) Company
(7) Marketer
Employee
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Figure: Creating a Relationship
Relationship Marketing Mixes
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(1) Customer Needs
Costs
Communication
(4) Product
Price
Promotion
Place
Convenience
Physical Assets
Procedures
(5) Customization
(2) Product Extras
Reinforcing Promotions
Sales Force Connections
Specialized Distribution
Post-Purchase Communication
(3) Relationships
Interaction
Networks
Personalization
Personnel
Clairvoyance
Communication
Collaboration
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Figure: In the Restaurant
Services Marketing Mixes
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(1) Product
Price
(4) Differentiation via SPOT
Customer Contact
Unique Vision on Quality
Place
(5) Relevance
(6) Participants
Physical Evidence
Personnel
(2) Concept Mix
Cost Mix
Communication Mix
Channel Mix
(3) Participants
Physical Evidence
Process
Results
Relationships
Response
Promotion
Process
Actors
Audience
Setting
Performance
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Figure: In the Store
Retailing Marketing Mixes
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(1) Product Mix
Price Mix
(4) Store Location
Store Positioning
Store Image
Physical Environment
Place Mix
Retail Service
(5) Product Assortment
Target Market
Physical Distribution Mix
Presentation Mix
(2) Assortment
Price Policy
Promotion
Place
Shop Presentation
Personnel
Customer Costs
Communication
Convenience
Personnel Mix
Place Decision
Services & Store Atmospherics
Promotion Decision
Price Decision
Promotion Mix
(3) Customer Needs
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Figure: Manufacturing Process
B2B Marketing Mixes
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(1) Interaction w/customers
Interaction Strategies
Improvements in Customer Portfolios
Inter-Organizational - Personal Contacts
Network Mobilization
(2) Customer Service
Teamwork
Service Qualtiy
Excellence
Price: More Transparency
Promotion: More Control of the Customer Interaction
Place: Direct Contacts w/Customers
Organization Evolution
(3) Product : Co-Design & Production
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Figure: E-Commerce
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E-Commerce Marketing Mixes
(3) Potential Audience
Integration
Brand Migration
(6) Product: Inofrmation & innovation
Strategic Partnerships
Organization Structure
(4) Community Building
Original Event Programming
Convenience
Connectivity
Price: Discrimination, Cusomization & Transparency
Promotion: Action-Oriented, activities, & flexibility
Place: No Time & Location Restrictions & Direct Delivery
Place: Reach
Promotion: More Information & Direct Links
Price: Increased Competition
Market Support
(5) Product: New Options for Customized Information
(2) Web Planning: Mission & Goals
Access: Web Entry & Site Design
Implementation: Content & Site Promotion
Mgt. & Evaluation: Commercial & Mgt. Aspects
(1) Target Audience
Content
Timing & Updating
Findability
Unique Selling Propoosition
(7) Scope: Strategic Issues
Site: Operational Issues
Synergy: Organizational Issues
System: Technological Issues
(8) Product
Price
Promotion
Place
2Ps: Personalization & Privacy
2Cs: Customer Service & Community
3Ss: Site, Security & Sales Promotion
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What are the issues with the marketing mix concept?
And, how can we deal with the concept obstacle?
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In thinking about the issues with the mix concept, I found these keys which I think will unlock the original question.
It seems that the offering concept operationalized through a mix understanding has at least two difficulties for marketing thinking and strategy.
One is with the perspective originating from the marketers vantage point.
The second is also a perspective issue in that a mix understanding is really grounded in a thing like view of what is being offered (e.g., a mix). What do you think?
That’s very good. But, we’ll need to look at it in a bit more detail.
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What might the alternative view look like? Any ideas?
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I think if we look closer at the Collaborative Marketing idea we might be able to see what is emerging as the new, alternative view for marketing. What do you think?
You are getting much better at this. I agree.
Thinking Strategies to Maneuver Around the Concept Obstacle
The concept obstacle is a difficult one to completely avoid in that we tend to think conceptually. The following are some suggestions that might lessen its negative impact on your thinking:
Recognize that you are thinking conceptually and identify which concepts you are frequently utilizing.
Consider the limitations of the concepts you are using - think about their domains, scopes, directionalities, and the types of strategies that follow.
Look for other options, alternatives, or concepts. What do they suggest you consider?
Be creative with concepts, intermixing the best or most appropriate ideas adapting them to your situation as needed.
Be reflective with what worked and what didn’t. Sometimes what doesn’t work is more informative then what does. Similarly, problems are really opportunities to learn, to think more about situations and as such, are a resource for future strategies.
And, finally, be adaptable and flexible conceptually as things change in time.
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