The term “marketing mix” is a basic model for many businesses, historically focused on price, product, location, and promotions. The marketing mix is now widely accepted by industry professionals and decision-makers as a framework for marketing activities. The marketing mix is more than a framework – it is an integral part of many marketing strategies. Although nowadays marketing efforts can be as simple as creating live streams on YouTube and using StreamOZ to reach a wider audience with said live streams; even these tactics require the marketing mix.
The marketing mix consists of the following key elements: demographics, behavior, presence, and opportunity. A firm’s marketing mix provides the opportunity to reach the right people at the right time with the right message. A solid marketing mix provides a firm with the opportunity to expand into new markets or to enhance the current market position. When a firm implements the appropriate marketing mix, it takes the guesswork out of its campaign.
The marketing mix provides the opportunity to reach the right people at the right time with the right message. Demographics are essential for any marketing strategy. The Boston Consulting Group matrix suggests five key demographics for use in a marketing strategy: Baby Boomers, Generation X, Generation Y, Net Workers, and Current Market. The next section of the matrix provides the information necessary to understand which of these target demographics will provide the most support for a given marketing strategy. The next section provides information on the types of companies that would be most appropriate for each one of the seven pared-down demographics.
Market Research – Conducting market research is an essential component to developing a solid marketing mix strategy. Without a solid marketing mix strategy, a company is not effectively communicating to its target market. A company that determines its marketing mix prior to conducting market research will have greater success because it will more effectively reach its target audience. Most marketing research is conducted through surveys that are distributed to a wide variety of targeted groups. Through this information, a company can determine what types of products and services will be most appealing to a given target audience.
Market Research Results – The results of the market research will tell a company a lot about its own product or service. The Boston Consulting Group has four key performance indicators to use in determining how successful a marketing mix strategy is. These are Brand Equity, Customer Returns, Customer Sentiment, and Market Share. The fourth P indicator is determined by looking at the results of other marketing campaigns and analyzing the results to determine if they were successful.
Brand Equity – Establishing positive brand equity takes time, which is why many marketing managers prefer to conduct market research during the initial development stages. Brand equity is the deep perception a consumer has of a particular company and the products and services they offer. Using the Brand Equity analysis provided by the Boston Consulting Group, marketing managers can establish which products and services will be most appealing to a given target audience.
Customer Returns – This is an often-overlooked element when it comes to marketing mix strategies. This is the overall success rate of the marketing mix that a company is using in order to reach out to and attract customers. Marketing managers should measure the response rate on a regular basis and keep the numbers updated. For example, a marketing mix strategy that has a high return on investment may not be as effective if it doesn’t have a high return on investment. Also, marketing managers should focus on reaching out to their target audience on social media networks instead of television or radio advertisements. Merely reaching out to the target audience will not guarantee success; however, doing so will create a strong customer base that will be more receptive to marketing messages and ultimately result in more profit for the company.
Customer Sentiment – This is an important element of a marketing mix because it allows marketing managers to understand the sentiments of their target audience. This helps determine if the marketing mix is appealing to the target audience and is likely to create the sales that are necessary for the company to grow. For example, if a product’s packaging has bad print and a bad taste, then the product is likely to fail to meet its intended purpose. However, if the marketing mix packages the product with great taste and a lot of helpful information, the product is more likely to be successful.