The term marketing mix is attributed to neil bordon. What is product mix width product mix refers to the full range of products a company makes. Miracle there is real need for increasingly rigorous generalizations and analytical nnodels of the behavior of the elements in any given marketing system. Product mix decisions width, length, depth and consistency. A product line is a group of products that are closely related manufactured by a single company. Product mix or product assortment is a set of total number of products lines that. They may be similar in technology, customers needs, channel used, market served or in some other respect. The 5 ps of marketing, also known as the marketing mix, are variables that managers and owners control to satisfy customers in their target market, add value to their business. That is, the profit margin for a company like walmart may not be high, but so long as most of its products have strong sales, it is in no danger of bankruptcy. A product mix is a group of everything a company sells.
Any activity or benefit that one party can offer to another that is essentially intangible and does not. A product line often evolves, as manufacturers want to take advantage. Product mix, also known as product assortment, refers to the total number of product lines a company offers to its customers. The product lines may range from one to many and the company may have many products under the same product line as well.
Product characteristics and marketing strategy gordon e. Marketing mix is a general phrase used to describe the different kinds of choices organizations have to make in the whole process of bringing a product or service to market. How to determine an optimal product mix your business. The planning process includes market research, product adaptation. The same committee has defined productline as a group. The product mix of a company is generally defined as the complete set of all products a business offers to a market. Companies have to come up with strategies to sell their products, and coming up with a marketing mix is one of them. It shows the degree of diversification of a firms activities. Width of the product mix is measured by the number and variety of product lines offered by a firm. Each of these product lines, in turn, consists of several sublines. A product mix is an important consideration for any firm.
A retail marketing mix addresses product, price, place and promotion, in order to keep your small business growing and thriving. Thus, taking the above example, if there are 4 product lines within the company, and 10 products within each product line, than the product line width is 4 only. The example of nike product line includes, footwear, apparel and sports equipment and every product line have similar products what is product mix. Combination of all the product lines constitute the product mix.
Such products function in similar manner, sold to the same customer group, sold through the same type of outlets, and fall within a same price range. Generally the product marketing mix consists of product, price, place and promotion and it is generally used for marketing mix of tangible goods. It is this need of a specific market that the company should provide the solution to. Definition of marketing mix marketing mix definition. An optimal mix maximizes the potential unit sales while maintaining or ideally improving.
The product mix is the variety of products a company produces or sells to the marketplace. The factors controlled by a company that can influence consumers buying of its products. The major alternative product mix strategies given by william stanton and others have been discussed briefly as under. It is a marketing tool that combines a number of components in order to strengthen and solidify a products brand and to help sell the product or service. Marketing mix has been defined as a set of marketing tools that the firm uses to pursue its marketing objectives in the target market, as per wikipedia. The product policy and strategy is the cornerstone of a marketing mix. Thus, product line width is a depiction of the number of product lines which a company has. Product mix, also known as product assortment, refers to the total number of product lines a company offers. The product is the most tangible and important single component of the marketing programme. Product mix refers to the variety of products a business offers its customers.
For example, apple offers computers, smart phones, tablets, mp3 players, smart watches, and online services. Product mix is an important consideration for businesses that have large product or. In this article about marketing mix 7ps example im going to cover the following. This dimension of the product mix represents the extent to which the activities of the firm are diversified. However, nowadays, the marketing mix increasingly includes several other ps like packaging, positioning, people and even politics as vital mix elements. Product mix, also known as product assortment, is the total number of product lines that a company offers to its customers. Although product mix problems are seldom encountered in their simple textbook form in practice, they very frequently constitute important.
Some companies have thousands of different products in their mix. Product line refers to an assortment or class of similar or related products and services. Often the three additional ps process, people, physical evidence is also added and called 7 ps of marketing. Anything that can be offered to a market for attention, acquisition, use, or consumption that might satisfy a want or need 2. Marketing mix meaning and its elements neil borden in the year 1953 introduced the term marketing mix, an extension of the work done by one of his associates james culliton in 1948. Product mix or product assortment is a set of the total number of products. This article is about marketing mix 7ps example and has been written by russell bowyer. The product mix, also called product portfolio, is the set of all product lines and items that a company offers for sale. Companies sell multiple product lines under their various brands. Product mix constitute width, length, depth and consistency. This solution is a product or a service that the company has the resources to provide. Product mix, also known as product assortment or product portfolio, refers to the complete set of products andor services offered by a firm. Thus, product mix means total number of products items offered by the company.
Riaz 2011 marketing mix is defined as set of controllable marketing tools that a. The four components of a marketing mix often called the four ps are. Public relations includes building good relations with the public by obtaining good publicity, building up positive corporate image. Stretching the product line the marketing study guide.
It helps it stand out from the clutter of products and names. Pdf direct and indirect effects of product mix characteristics on. Expansion of product mix implies increasing the number of product lines. A product mix consists of product lines, which are associated items that consumers. However service marketing mix is related to three different variables for example people, process and physical evidence. Product mix the set of goods and services a company provides. For example, patanjali deals in different categories of products which include shampoo, flour, toothpaste, etc. However, the product line is a subset of the product mix. Marketing mix a mixture of several ideas and plans followed by a marketing representative to promote a particular product or brand is called marketing mix.
Marketing mix 4ps marketing mix is a strategy which a company uses to formulate a productservice offering for its customers. But theoretically, the marketing mix is a much broader term. Generally speaking, a company offering a wider product mix carries less risk but also usually has a lower profit margin. A product line is a group of related products under a single brand sold by the same company. Often the product may be improved, altered or changed, or new marketing activities are developed. Advertising messages paid for by a sponsor, delivered through media. Before proceeding towards the main topic product mix pricing strategies in marketing first you should be aware of this common marketing terms product mix or product portfolio. The astrocosmo problem considered earlier is an example. A product mix is the set of all product lines and items that a particular seller offers for the sale to buyers. Product mix overview, dimensions and practical example.
All of these product lines when grouped together form the product mix of the company. Pdf on sep 11, 2018, ferenc darabos and others published tasks of the. Product line decisions building a strong product line. Here i am mentioning three most common definitions of product mix. Each of these would be considered a separate product line and under each product line they could offer a broad range of different products designed for different needs.
A product line is a group of closely related products with similar functions, customer groups, outlets and same price ranges. Product line is a group of related products manufactured or marketed by a single company. The marketing mix and the 4 ps of marketing are often used as synonyms for each other. A product line is a related set of products offered by a firm. Simply, it shows the number of items in the product line. Marketing mix means the product, distribution, promotion and pricing. Both manufacturers and retailers must determine the optimal product mix for their particular business. The 4ps make up a typical marketing mix price, product, promotion and place. Product mix and product line understanding product.
If the product fails to satisfy consumer demand, no additional cost on any of the other ingredients of the marketing mix will improve the product performance in the market place. The role of the marketing mix is to synthesize the visible and invisible qualities of a. Merchandise mix definition in the cambridge english. Marketing mix strategy is created using the 4ps of marketing product, place, price, promotion and 7ps in case of service physical evidence, people, process. Understanding the basics of a product mix will help you understand why it is so important to your organization. An individual product in a line is known as a product item. New lines may be related or unrelated to the present products. For example, hmt company produces watches, machines. In other words, the number of product lines that a company has for its customers is called as product mix. Product definition is the number or expression resulting from the multiplication together of two or more numbers or expressions. Marketing mix 7ps example marketing mix 7ps example. Product mix width, length, depth, consistency with examples. The breadth of a product mix shows the different kinds of product lines that firm carries. Adjustments in the price, place and promotion must be made as the product ages and the market landscape evolves, so the marketing mix is a fluid dynamic that necessitates constant refinement.
It offers the ability to expand your customer base by offering more products in more niches. The width of the product mix is equal to the number of product lines within a company. The components of the marketing mix are not independent phases. A range of associated products that yields larger sales revenue when marketed together than if they were marketed individually or in isolation from others. This close relationship comes from several product attributes. The product mix also called as product assortment, refers to the complete range of products that is offered for sale by the company. For instance, the product mix of colgate consists of three product lines. Marketing mix comprises of product marketing mix and service marketing mix. Marketing strategy is the comprehensive plan formulated particularly for achieving the marketing objectives of the organization. Number of different product lines carries by the company.
Product mix has three important aspectswidth, depth and consistency. These policies are generally decided by the top management of a company i. Marketing mix usually refers to the set of 4ps viz. Pdf studies of the performance effects of product mix complexity typically treat. Total number of items in the product mix of the company.
The model presented here provides a means of predicting, or justifying, a marketing mix for a product with given characteristics. Finding the right marketing mix is integral to the success of any small business because customers enjoy shopping in stores that successfully meet their needs. Market planningmarket planningmarket planning is the process of organizing and defining the marketing aim of a company and gathering strategies and tactics to. What is marketing mix 4 ps of marketing definition of. Buyer types buyer types is a set of categories that describe the spending habits of consumers. Product is one of the ps referred to in the marketing mix enumerated in basic marketing theories. It is like a long term planning with respect to the productmix of the company in order to deliver maximum customer satisfaction. Product policy is defined as the broad guidelines related to the production and development of a product. This includes the quality how good it is, branding see units 1618, and reputation the. Another thing i want to discuss is average depth of product line. The marketing mix refers to the set of actions, or tactics, that a company uses to promote its brand or product in the market.
Product mix or product assortment refers to the number of product lines that an organisation offers to its customers. It provides a blueprint for attaining these marketing objectives. The process of expanding business opportunities through additional market potential of an existing product. Diversification may be achieved by entering into additional markets andor pricing strategies. A product line refers to a unique product category or product brand a company offers. The 5 ps of marketing product, price, promotion, place, and people are key marketing elements used to position a business strategically.