Introduction Marketing Mix is the set of marketing Tool the Firm uses to pursue its Marketing Objectives in the target Market.

7 Cs (buyers view point) 1. Product2. Price3.Place 4.Promotion5. People6.PhysicalEvidence7. Process 1. Customer Solution2. Customer Cost3. Convenience4.Communication 5. Customer Care6. Customer Attractions7.CustomerConfidence

Winning Companies will be those that can meet Customer Needs most Conveniently with Effective Communication.

PRODUCTI. SERVICE ATTRIBUTESA. Characteristic of Services : Intangibility Inseparability Perishability Variability

B. Classification of Services :1. Pure Tangible Goods2. Tangible Goods with accompanying services3. Hybrid4. Major Services with accompanying minor goods and service5. Pure Service

The Service ConceptCore benefit/ ServiceGeneric ServiceExpected ServiceAugmented ServicePotential Service

II. THE LIFE CYCLE CONCEPTStages :

1. Introduction2. Growth3. Maturity4. Decline

III. NEW SERVICE DEVELOPMENTNew Service Development Process :1. Generation of Ideas2. Screening3. Testing the Concepts4. Business Analysis / Evaluation5. Practical Development6. Market Testing7. Launch

IV. POSITIONING THE SERVICE What attributes of the service do our consumers rate most highly ? How do they rank our competitors performance against ours with regard to these attributes? Who makes the decision, and how do they establish criteria for such a decision?

PRICE I. KEY PRICING CONCEPTS Price Skimming Penetration PricingMixed PricingCost-plus PricingVariable PricingMarginal PricingPromotional PricingDifferential Pricing

II. PRICING ISSUES FOR SERVICESCosts of producing the service and breakeven analysisCompetitor PricingDemand Levels and ElasticityRegulatory factorsMarketing MixPositioning

III. ORAGNISATIONAL OBJECTIVES & PRICING POLICYMaximize Current ProfitMaximize Current RevenueMaximize Price LeadershipSurvivalMaximize Growth

IV. A FRAMEWORK FOR PRICING DECISIONSAnalyse organisational objectives in terms of pricing.Determine demand levels and customer characteristics.Examine competitors pricing and positioning.Set prices utilising pricing concepts, e.g. cost-plusMonitor market response to prices set and identify problems.

ExternallyTo inform the target marketTo educate customersTo persuade To remindTo publicize policy decisions To make public announcementsI. INTERNAL / EXTERNAL COMMUNICATIONS

II The communication processThe Source: encodingThe messageThe media selected to transmit the messageThe recipient: decoding

The Promotional MessageTo informTo entertainTo educateTo persuadeTo remind

AppealsRational appealsEmotional appealsFear appealsHumour appeals

IV. The Promotional MixAdvertisingPersonal sellingPublicitySales promotion

AdvertisingControlMass communicationCost-effectiveSupport other element of the marketing mixCreates strong brand image and appealAdvantages of Advertising

PublicityPublicity through the mediaInvolvement in social and community initiativesSponsorship of eventsPublic announcements and special publicationsCorporate brochures and other publicity material

Sales promotion Free samplesMoney-off coupons and special offersCompetitorsPoint-of-sale displaysFree gifts and other incentivesSales promotion tools

V. Media Choice and SelectionThe available budgetTarget audience factorsLevel of coverage required Exposure and frequencyCost effectivenessDesired impactDetermining Factors:

MediaTelevisionNewspapersMagazinesCinemaRadioOutdoor

VI. Managing The Promotional EffortDeveloping the promotional mixAssigning the promotional budgetMonitoring and evaluationStages in promotional management

Factors influencing the promotional mixThe nature of the organizationThe service offeringService life cycle stageType of markets the organization is operating inCustomer characteristicsBuyer behavior and decision processesChannels of distribution

VII. Monitoring And EvaluationAre communications objectives being met?Has the target audience received the message?Have they received the right message?Are budget being adhered to?Evaluation methods 1) Marketing research 2) Direct response 3) Point-of-sale monitoring

Place:Accessibility: it refers to the ease and convenience with which a service can be purchased, used or received.Availability: It refers to the extent to which a service is obtainable or capable of being purchased, used or received. I. Accessibility and Availability

II. LocationService inseparabilityPerishabilityThe role of customer as co-producer of the serviceCustomer needs and wantsImportance of geographical location as part of the serviceTarget market

III. Direct DistributionCompany resources / company objectivesType of serviceGeographical spread of the marketLegal and political restrictions on foreign operationsLevels of technical expertise or skill required to deliver the service satisfactorilyCustomer preferencesFactors influencing to direct distribution

PeopleHigh contactLow contactProfessionalNon-professional

I. The Role of the Employee in Services Marketing

II. Staff Selection and Recruitment

1. Preliminary stage

2. Selection stage

3. Follow-up stage

III. Training and DevelopmentIdentification of training needsImplementation of training programmesEvaluation of training effectivenessFunctional Training Personal developmentOrganizational developmentAppraisal system

IV. Human Resources Management IssuesOrganizational objectiveRecruitmentInductionAppraisal and reviewTraining and developmentPay structure and benefitsCommunication Quality

Physical EvidencePeripheral evidenceEssential evidence

ProcessCustomer participate in the processLocation of service deliveryThe service itselfHigh-contact or low-contact serviceDegree of standardizationComplexity of the service