ket share.

Skimming pricing: The organization sets an initial high price and then slowly lowers the price to make the product available to a wider market. The objective is to skim profits of the market layer by layer.

Competition pricing: Setting a price in comparison with competitors.

Product Line Pricing: Pricing different products within the same product range at different price points. An example would be a video manufacturer offering different video recorders with different features at different prices. The greater the features and the benefit obtained the greater the consumer will pay. This form of price discrimination assists the company in maximizing turnover and profits.

Bundle Pricing: The organization bundles a group of products at a reduced price.

Psychological pricing: The seller here

Most people define marketing as promotion that takes form of advertising on TV, radio, etc. In reality the concept of marketing consists of a lot more functions. The purpose of marketing is to define consumer’s needs and wants, and to combine different strategies in the most efficient way. Marketing is a consumer oriented concept. In this article I will discuss the different marketing functions and their implementation in the business world.

Marketing is an activity to enhance the flow of goods, services and ideas from producers to consumer needs and wants. Marketing strategies are using advertisements in order to satisfy customers, promote and sell the products, services or ideas in an effective ways. Everyone have their own needs, wants and demands, and in order to satisfy these unlimited desires, we would need goods and services provided to us. These needs are generally characterized into three types, and they are physical needs, such as food, warmth clothes and safety. Social needs for belonging and affection. Individual needs mainly for knowledge and self-expression. Knowing the basic needs of human, marketing concept can then be applied. Marketing objectives, goals and targets have to be monitored and met, competitor's strategies be analyzed, anticipated and exceeded. Through effective use of market and marketing research, organization should be able to identify the needs and wants of the customer and try to delivers benefits that will enhance or add to the customers lifestyle, while at the same time ensuring that the satisfaction of these needs results in a healthy turnover for the organization.

In order to be successful in marketing, the marketing mix principles (also known as the 4 p's) must be applied. They are used by business as tools to assist them in pursuing their objectives. The 4p's are as follows: Product When an organization introduces a product into a market, they must understand the purpose of the product and who its targeting to.

Level 1: Core Product: This is the most basic level which addresses the question 'what the customer is really buying?' For example, when a customers purchase a camera, they are buying more then just a camera but also purchasing their memories.

Level 2 Actual Product: All cameras capture memories. The aim is to ensure that your potential customers purchases yours. The strategy at this level involves organizations branding, adding features and benefits to ensure that their product offers a differential advantage from their competitors.

Level 3: Augmented product: This is the section where additional non-tangible benefits should be included. Competition at this level is based around after sales service, warranties, delivery and so on.

Besides understanding the three levels of products, many other factors and decisions have to be taken into consideration. These include:

Product design Product quality Product features Branding Pricing

Fixed and variable costs; Competition; Company objectives; Proposed positioning strategies; Target group and willingness to pay. An organization can adopt a number of pricing strategies. The pricing strategies are based much on what objectives the company has set itself to achieve.

Penetration pricing: Where the organization sets a low price to increase sales and market share.

Skimming pricing: The organization sets an initial high price and then slowly lowers the price to make the product available to a wider market. The objective is to skim profits of the market layer by layer.

Competition pricing: Setting a price in comparison with competitors.

Product Line Pricing: Pricing different products within the same product range at different price points. An example would be a video manufacturer offering different video recorders with different features at different prices. The greater the features and the benefit obtained the greater the consumer will pay. This form of price discrimination assists the company in maximizing turnover and profits.

Bundle Pricing: The organization bundles a group of products at a reduced price.

Psychological pricing: The seller here w

ervices provided to us. These needs are generally characterized into three types, and they are physical needs, such as food, warmth clothes and safety. Social needs for belonging and affection. Individual needs mainly for knowledge and self-expression. Knowing the basic needs of human, marketing concept can then be applied. Marketing objectives, goals and targets have to be monitored and met, competitor's strategies be analyzed, anticipated and exceeded. Through effective use of market and marketing research, organization should be able to identify the needs and wants of the customer and try to delivers benefits that will enhance or add to the customers lifestyle, while at the same time ensuring that the satisfaction of these needs results in a healthy turnover for the organization.

In order to be successful in marketing, the marketing mix principles (also known as the 4 p's) must be applied. They are used by business as tools to assist them in pursuing their objectives. The 4p's are as follows: Product When an organization introduces a product into a market, they must understand the purpose of the product and who its targeting to.

Level 1: Core Product: This is the most basic level which addresses the question 'what the customer is really buying?' For example, when a customers purchase a camera, they are buying more then just a camera but also purchasing their memories.

Level 2 Actual Product: All cameras capture memories. The aim is to ensure that your potential customers purchases yours. The strategy at this level involves organizations branding, adding features and benefits to ensure that their product offers a differential advantage from their competitors.

Level 3: Augmented product: This is the section where additional non-tangible benefits should be included. Competition at this level is based around after sales service, warranties, delivery and so on.

Besides understanding the three levels of products, many other factors and decisions have to be taken into consideration. These include:

Product design Product quality Product features Branding Pricing

Fixed and variable costs; Competition; Company objectives; Proposed positioning strategies; Target group and willingness to pay. An organization can adopt a number of pricing strategies. The pricing strategies are based much on what objectives the company has set itself to achieve.

Penetration pricing: Where the organization sets a low price to increase sales and market share.

Skimming pricing: The organization sets an initial high price and then slowly lowers the price to make the product available to a wider market. The objective is to skim profits of the market layer by layer.

Competition pricing: Setting a price in comparison with competitors.

Product Line Pricing: Pricing different products within the same product range at different price points. An example would be a video manufacturer offering different video recorders with different features at different prices. The greater the features and the benefit obtained the greater the consumer will pay. This form of price discrimination assists the company in maximizing turnover and profits.

Bundle Pricing: The organization bundles a group of products at a reduced price.

Psychological pricing: The seller here

ng, the marketing mix principles (also known as the 4 p's) must be applied. They are used by business as tools to assist them in pursuing their objectives. The 4p's are as follows: Product When an organization introduces a product into a market, they must understand the purpose of the product and who its targeting to.

Level 1: Core Product: This is the most basic level which addresses the question 'what the customer is really buying?' For example, when a customers purchase a camera, they are buying more then just a camera but also purchasing their memories.

Level 2 Actual Product: All cameras capture memories. The aim is to ensure that your potential customers purchases yours. The strategy at this level involves organizations branding, adding features and benefits to ensure that their product offers a differential advantage from their competitors.

Level 3: Augmented product: This is the section where additional non-tangible benefits should be included. Competition at this level is based around after sales service, warranties, delivery and so on.

Besides understanding the three levels of products, many other factors and decisions have to be taken into consideration. These include:

Product design Product quality Product features Branding Pricing

Fixed and variable costs; Competition; Company objectives; Proposed positioning strategies; Target group and willingness to pay. An organization can adopt a number of pricing strategies. The pricing strategies are based much on what objectives the company has set itself to achieve.

Penetration pricing: Where the organization sets a low price to increase sales and market share.

Skimming pricing: The organization sets an initial high price and then slowly lowers the price to make the product available to a wider market. The objective is to skim profits of the market layer by layer.

Competition pricing: Setting a price in comparison with competitors.

Product Line Pricing: Pricing different products within the same product range at different price points. An example would be a video manufacturer offering different video recorders with different features at different prices. The greater the features and the benefit obtained the greater the consumer will pay. This form of price discrimination assists the company in maximizing turnover and profits.

Bundle Pricing: The organization bundles a group of products at a reduced price.

Psychological pricing: The seller here

l advantage from their competitors.

Level 3: Augmented product: This is the section where additional non-tangible benefits should be included. Competition at this level is based around after sales service, warranties, delivery and so on.

Besides understanding the three levels of products, many other factors and decisions have to be taken into consideration. These include:

Product design Product quality Product features Branding Pricing

Fixed and variable costs; Competition; Company objectives; Proposed positioning strategies; Target group and willingness to pay. An organization can adopt a number of pricing strategies. The pricing strategies are based much on what objectives the company has set itself to achieve.

Penetration pricing: Where the organization sets a low price to increase sales and market share.

Skimming pricing: The organization sets an initial high price and then slowly lowers the price to make the product available to a wider market. The objective is to skim profits of the market layer by layer.

Competition pricing: Setting a price in comparison with competitors.

Product Line Pricing: Pricing different products within the same product range at different price points. An example would be a video manufacturer offering different video recorders with different features at different prices. The greater the features and the benefit obtained the greater the consumer will pay. This form of price discrimination assists the company in maximizing turnover and profits.

Bundle Pricing: The organization bundles a group of products at a reduced price.

Psychological pricing: The seller here

ket share.

Skimming pricing: The organization sets an initial high price and then slowly lowers the price to make the product available to a wider market. The objective is to skim profits of the market layer by layer.

Competition pricing: Setting a price in comparison with competitors.

Product Line Pricing: Pricing different products within the same product range at different price points. An example would be a video manufacturer offering different video recorders with different features at different prices. The greater the features and the benefit obtained the greater the consumer will pay. This form of price discrimination assists the company in maximizing turnover and profits.

Bundle Pricing: The organization bundles a group of products at a reduced price.

Psychological pricing: The seller here will consider the psychology of price and the positioning of price within the market place. The seller will therefore charge 99c instead $1 or $199 instead of $200

Premium pricing: The price set is high to reflect the exclusiveness of the product. An example of products using this strategy would be Harrods, first class airline services, Porsche etc.

Optional pricing: The organization sells optional extras along with the product to maximize its turnover. This strategy is used commonly within the car industry.

Place

Place strategies Refers to how an organization will distribute the product or service they are offering to the end user. The organization must distribute the product to the user at the right place at the right time. Efficient and effective distribution is important if the organization is to meet its overall marketing objectives. If organization underestimate demand and customers cannot purchase products because of it profitability will be affected. Two types of channel of distribution methods are available. Indirect distribution involves distributing your product by the use of an intermediary. Direct distribution involves distributing direct from a manufacturer to the consumer.

Depending on the type of product being distributed there are three common distribution strategies available:

1. Intensive distribution: Used commonly to distribute low priced or impulse purchase products e.g. chocolates, soft drinks.

2. Exclusive distribution: Involves limiting distribution to a single outlet. The product is usually highly priced, and requires the intermediary to place much detail in its sell. An example of would be the sale of vehicles through exclusive dealers.

3. Selective Distribution: A small number of retail outlets are chosen to distribute the product. Selective distribution is common with products such as computers, televisions household appliances, where consumers are willing to shop around and where manufacturers want a large geographical spread.

Promotion

A successful product or service means nothing unless the benefit of such a service can be communicated clearly to the target market. An organizations promotional strategy are usually done through advertising, public relations, sales promotion, personal selling and direct mails. An effective communication campaign should comprise of a well thought out message strategy. What message are you trying to put across to your target audience and how you deliver that message is very important. The message should reinforce the benefit of the product and should also help the company in developing the positioning strategy of the product. Companies with effective message strategies include:

Nike: Just do it.

Toyota: The car in front is a Toyota.