Marketing Mix Companies Intending to Market Their

Marketing Mix

Companies intending to market their products have to make sure that the product they intend to sell is the right one for their market niche. The product has to be sold at the price which can make them penetrate the market and in the right place. Finally, to guarantee brand visibility, they have to use the most suitable promotional gimmick (Kerin & Rudelius, 2001). All these constitute what we call the marketing mix. Certain critical conditions have to be met for a businesses entity to create the right marketing mix. One, the product being sold has to look good and work well. Secondly, it has to set the right price so that the consumers of this product buy larger quantities that can enable them accrue profits (Kerin & Rudelius, 2001). The product has to be within the reach of the intended buyers. Finally, those intended to use this product have to be made aware of the presence of the product in the market through promotion. Engaging in promotion eventually helps businesses spread costs over a larger output (Kerin & Rudelius, 2001).

A company like Samsung that deals in electronic products like the home fridges, mobile phones, television sets- the product element may be lets say the Samsung S4. For them to get the right price for this gadget they have to examine customer perception and the rival products for example the products manufactured by the Apple Inc. Cost of manufacture must also be factored in. Promotion of Samsung S4 will involve a range of promotional activities like the product unveiling in front of international media. The place element involves using the best channels of distribution like leading supermarket chains across the world. The product is the major focus of the marketing energy. Some other aspects like finding out how to make a product, setting up production line, and providing finance and manufacturing fall outside the borders of the marketing mix (Kerin & Rudelius, 2001). Marketing is integral in determining the appearance of a product and the function of a product. Product range and its use is a function of the marketing mix.

Price is the element of the marketing mix that creates sales revenue. The other elements are all costs. The price of a product determines the volume and value of sales of that particular good. Theoretically, price is determined by what customer's perception of the value of the product (Kerin & Rudelius, 2001). It is imperative that the consumer's opinion is researched before the price of a product is determined. One will get to know what the consumers value and what they look for in a product. Businesses pricing policies should vary according to time and circumstances (Kerin & Rudelius, 2001).

Significant amount of resources are spent by businesses in taking products to the customers. Place element has much to do with methods of transporting and storing goods and making them available to the customers (Kotler & Keller, 2006). To make sure that the right product is at the right place at the right time there has to be a working distribution system. Myriad circumstances determine the choice of the distribution system. Some manufacturers find it more convenient to sell to wholesalers who subsequently sell to retailers while others prefer selling directly to retailers or customers (Kotler & Keller, 2006).

Promotion basically involves communicating with customers. In the process of communicating, customers are assisted in making decisions regarding purchase of a product or a service. Creativity that is in a promotional activity hastens the process of making decision by the customers (Kotler & Keller, 2006). However, this element of creativity is not always there. A greater proportion of the overall cost of production of a product comprises the cost of promotion and advertising of goods and services. Successful promotion increases sales volume so that advertising costs are spread over a larger output (Kotler & Keller, 2006). Increased promotional activity is often seen as a sign of response to a problem like competitive activity. However, it enables businesses to develop and build up a succession of messages.

Samsung is an electronic device manufacturer that has witnessed steady growth in the past one decade. To maintain this growth especially in its consumer durables and the mobile divisions, it has engaged in analyzing customers and what they want. It has also devised strategies to increase its market share in a market where there is a lot of competition (Chauhan, 2013). Samsung ha put in place marketing strategies and defined the target market it intends to penetrate. Some of the Samsung's major competitors in the electronic consumer goods market are LG, Sony, and Panasonic. Its competitors in the Smartphone market include Apple, LG, Nokia, Blackberry, and HTC (Chauhan, 2013). Samsung's product portfolio includes Mobile phone, Tablet, TV/Audio/Video, Camera, camcorder, Home Appliance, PCs, and printers among other products. Samsung's mobile brands are best in design and features. This has given it an edge over Nokia and Chinese products. Samsung has segmented its products into five categories namely: mobile phones, TV/audio/video/camrecorder, home appliances, pc/peripherals/printers (Chauhan, 2013). It has the most diverse product mix in the 3D market where it offers LED, LCD, and Plasma 3D TVs. Samsung has since realized that pricing charging low prices gives it competitive advantage in the low income market segment where as market technology and brand are the necessary ingredients for penetrating upscale market segments. It has since given up on the lower market segment and focused its attention in the upscale market where it has exalted its brand image. Its mobile phones, consumer electronics, and memory flash are all repositioned for upscale market (Chauhan, 2013). It has relatively high price in its category that is perceived to bring more profit that resonates with high quality. The repositioning strategy has helped Samsung to build its noblest image. It realized that digital is the future developing aspect of consumer electronics. It provides consumers with innovative and cutting edge products. It also engages in cost cutting measures to keep its prices low (Chauhan, 2013). This cushions it against discount schemes that its competitors might engage in. its new product lines have greatly helped in combating price erosion.