Using Marketing Mix To Create A New Product Marketing Essay

The marketing mix is probably the most famous marketing term. It is a set of marketing tools that a company uses to direct its marketing objectives in the target market. Its elements are the basic, tactical components of a marketing plan. To set up a right marketing mix we must choose the correct process. We must choose the right product; sell at the price, market in the correct place and using the most suitable promotion. Also known as the Four P’s, the marketing mix elements are price, place, product, and promotion.

Price is the amount a customer pays for the product. It is determined by a number of factors including market share, list price in the market, competition, discount, payment period, material costs, product identity and the customer’s perceived value of the product. The business may increase or decrease the price of product if other stores have the same product. The price may be including pricing strategic, suggest retail price, volume discount and wholesales pricing, seasonal pricing, bundling and price flexibility. The price of an item is clearly an important determinant of the value of sales made. In theory, price is really determined by the discovery of what customers perceive is the value of the item on sale. Researching consumers’ opinions about pricing is important as it indicates how they value what they are looking for as well as what they want to pay.

Place represents the location where a product can be purchased. It has been exporting to USA, China, Japan, Malaysia, and Indonesia as well Mauritius. It is often referred to as the distribution channel. It can include any physical store as well as virtual stores on the Internet. Place include distribution channels, market coverage, specific channel members, warehouse, distribution centers, order processing, reverse logistics and transportation. Another name for “place” is distribution, inside distribution there is Intensive distribution it is commonly to distribute low priced or impulse purchase products e.g. chocolates, soft drinks. 

Product is a tangible object or an intangible service that is mass produced or manufactured on a large scale with a specific volume of units. Intangible products are service based like the tourism industry & the hotel industry or codes-based products like hand phone load and credits. Typical examples of a mass produced tangible object are the canard the disposable shaver. A less obvious but ubiquitous mass produced service is a computer operating system. Packaging also needs to be taken into consideration. Besides that, the factor of the “product” is brand name, functionality, styling, quality, packaging, features, repairs and support, accessories and service.

Promotion represents all of the communications that a marketer may use in the market place. Promotion has four distinct elements: advertising, public relations, personal selling and sales promotion. A certain amount of crossover occurs when promotion uses the four principal elements together, which is common in film promotion. Advertising covers any communication that is paid for, from cinema commercials, radio and Internet adverts through print media and billboards. Public relations are where the communication is not directly paid for and includes press releases, sponsorship deals, exhibitions, conferences, seminars or trade fairs and events. Word of mouth is any apparently informal communication about the product by ordinary individuals, satisfied customers or people specifically engaged to create word of mouth momentum. Sales staff often plays an important role in word of mouth and Public Relations. The promotion include advertising, personal selling, sales promotion & publicity.

People are the most important element of any service or experience. Services tend to be produced and consumed at the same moment, and aspects of the customer experience are altered to meet the ‘individual needs’ of the person consuming it. Most of us can think of a situation where the personal service offered by individuals has made or tainted a tour, vacation or restaurant meal. Remember, people buy from people that they like, so the attitude, skills and appearance of all staff need to be first class. Here are some ways in which people add value to an experience, as part of the marketing mix – training, personal selling and customer service.

The Product

Wonbi-D

What is it and what does it do? Wonbi-D is a product that is import from Korea. Wonbi-D is carefully formulated with Korean ginseng drink, is the best seller ginseng drink in the world. It is an herb healthcare drinks, is different which is selling in Malaysia, the point that we are selling this product looks different to other brand, but we can tell you that our product is 100% pure A graded ginseng. This Wonbi-D white ginseng drink this is to make sure that our customer can have a real effective after taking our product. Other than that, we would like to make our customer have confident toward our product and to themselves after consuming our product. The specifications for the Wonbi-D Korean White Ginseng drink, it supplement and improvement of hepatic function, tonic, recovery of fatigue, weak constitution. Inside the Wonbi-D it has Vitamin C, Collagen Peptide, and Lemon extract. It can help to Anti-cancer, Anti-inflammatory effect, Antiviral activities, Anti-aging, promotion Stamina.

Price

How much does Wonbi-D cost it and how much profit is there for us? The price of Wonbi-D is at RM 3.50 per can; the profit earn from this product is about RM 1.50, this is a fair price at the market in Malaysia, at Malaysia there are too many competitors that sell ginseng drinks, but our company He@lthc@re will make sure that this price that given in the market is worth it for the effective after consuming our product because the ginseng drink is import from Korea.

Place

How do you get it to the customers? Wonbi-D will be selling thru whole Malaysia and other Asia country. The customer will get at Malaysia, our product will sell at every single shopping mall, hyper market, super market (Jusco, Giant, Tesco), mini market, 24 hour stores, restaurant, café’s, and pharmacy. At other Asia country out product will be current selling in shopping mall, hyper market, super market, mini market and 24 hour stores. This is to see that weather our product is good selling at foreign markets. If the feedback of the consumer is high then we will launch a promotion at the country and make it selling to restaurant and local café’s.

Promotion

How do you tell potential customers that the product is available? He@lthc@re is a new company at the market, a lot of people does not know about us, so our marketing manager had plan to make several promotion to promote the Wonbi-D healthcare drink with ginseng. Our product Wonbi-D will be launch at 15 August 2010. He@lthc@re Marketing will do a event on Sunday in every state city starting of 1st Sept 2010, this event is to promote He@lthc@re company, there will be free drink’s of our product in the event. Game’s to won cash voucher between RM 1000 to RM 50 for purchasing our product. He@lthc@re with Wonbi-D and Ginseng canned drinks in a dozen, special free gift from our company with every purchase above 12 cans of any two of our products. Mascot of our company will be there to support the environment that day, we will also invite local singer to perform for us as a promotion too. Free gift of purchase is such as umbrella, pen, t-shirt, key chain, cap, memo pad and etc.

Firstly, we invite the Malaysia celebrity to launch be our product Wonbi-D, such as Zchen, and Nicolas Teo. Then we will invite Television game’s such as millionaire game that organize by our company. We also will make promotion in the TV Commercial, Web site, Radio Advertisement, Poster, Flyer, Banner, Booklet, Streamer, Signboard, and E-mail. Other than that, He@lthc@re will make a He@lthc@re Club to give our consumer have a little sport, small events, gathering and business discussion among the HC members. He@lthc@re also will make events such as the Nicolas Teo will create a new song and to promote our product that can help people to listen his new song. There will be winner at the participants in this event; winner will get 1 year free membership at the club and free Wonbi-D ginseng drink at the club centre for the whole year.

Conclusion

In conclusion, we learnt that marketing is something that having evolved from street callers to signs. Marketing mix is a fundamental step towards effective strategy. The other analysis are more related to environment and possibility analysis, the 4 Ps of marketing including the product itself, price, place and promotion are the four wheels of the vehicle on which the path of an organisation’s marketing success is actually dependent. However, the definition of the elements of the marketing mix is largely intuitive and semantic. The list of mix elements has a lot of everyday practice value because it provides headings around which management thoughts and actions can be focused. Lastly, when we start to doing our assignment, we also need to use marketing mix to answer our assignment. In practice, we bought two bottles of drink; try to let people to try our product. We also are using theory at the same time. In the end, please try our new production from our company He@lthc@re, our product name is Wonbi-D.

Marketing Plan

Introduction

Success of a company mainly depends upon its marketing activities and the effectiveness of these activities. In order to know if you’re marketing is effective all aspects of your marketing function need to be analyzed. With this information a strategic marketing planning can be created and applied in the years to come.

By analyzing the current marketing data flaws in the planning and weaknesses in your company’s or your competitor’s products or strategies can be discovered. Proper action can then be taken to ensure a better functioning of the weak parts of your marketing engine or to make better use of the competition’s weaknesses and flaws.

Your marketing plan should start with an executive summary, which gives a quick overview of the main points of the plan.

A marketing plan sets out clear objectives and lists the actions you will take to achieve them. Perhaps most importantly, it looks at how you can ensure that your plan becomes reality.

A marketing plan includes factors such as deciding which customers to target and how to reach them, how to win their business and keep them happy afterwards, as well as continually reviewing and improving everything you do to stay ahead of the competition.

Remember that marketing in itself will not guarantee sales, but a well-researched and coherent marketing plan will give you a much better chance of building long-term, profitable relationships.

However, although the executive summary appears at the beginning of the plan, you should write it last. Writing the summary is a good opportunity to check that your plan makes sense and that you haven’t missed any important points.

Having an in-depth insight of the structural factors which influence your company you cannot only respond to changes, but more importantly anticipate to changes in the surroundings that affect your company’s success. Alas, most of the small companies do not use this important tool to plan better. Large companies don’t work without it.

Marketing Plan

Executive summary

We hope to bring the health to everybody it is because nowadays everybody is busy for working and they do not have the time to make something restore our energy. Therefore we are here to provide a convenience way to everybody. So that now they can enjoy the energy drink anytime, anywhere. Besides that, they will have more energy and stamina during working hours, and they have no need to spend time for cooking hours in any healthy food or energy restore herbal or drink.

Target market

Demography segment – we were targeting the age within 13 – 60. No matter it is a professional or non- professional also affordable to spend money to buy our product because our product is selling at a low price. So people who have low income will be able to enjoy drinking our healthy drink.

Psychographic segment – comes with healthy family. Affect by surrounding area or people such as friends, colleagues, sport man and many more. Advertisement is also a very strong effect because those people willing to try the product after watch advertisement.

Goal

We had set the selling target for the product; of course we will achieve the target that we set. Although that is full of challenges but it will still achieve the target as we set if we follow the plan that we had planned. Besides that we also need to increase the number of departments to help to increase the sales. Such as –

Human resource department – help to devise or charts out the macro human resources management strategy and recruitment policies of an organization. They also draws up compensation packages, benefits programs, incentives policies, health care insurance, and all employee-related rewards and emolument packages. Human resource is also arranging for business practices, training and development initiatives to become a key component. Large businesses often outsource work-force requirements and recruitment programs to staffing firms, HR contractors and online jobs portals. The corporate HR department has to often liaise with these outside agencies to ensure that they meet organizational objectives and conform to requisite standards of employee recruitment. The top-tier HR team or HR departmental heads address grievances and other issues of employees. They play mentor to new and talented employees and conduct periodic performance appraisals of long-term and high-performance employees.

Marketing department – Marketers should spend time listening to their customers and prospective customers in order to understand their needs and wants regarding a particular product or service. Marketing Department learning the understanding of competitive landscape is also an important function. They should always make the question for themselves which is “who is the competition? What do they communicate? Which customers do they serve? Why do customers choose the competitor versus you?” The perceptions and feelings formed about an organization, its products and services, and its performance is what is known as its “brand.” Customer acquisition campaigns, keep-in-touch programs, new product promotions, retention efforts, or something in between, the Marketing Department should ultimately be responsible for developing new ideas that generate revenue for the company. This department also communicates with all departments inside an organization. Since any employee regardless of position can support or damage a brand, value proposition or even specific program initiatives, they needs to take responsibility for disseminating information throughout the organization. Establishing and communicating messages to the marketplace costs money. Therefore, Marketing Departments should be responsible for estimating the anticipated expenditures associated with marketing activities.

Financial department – is typically provided with an access to department budgets, expenses approvals and project budgets. Financial department also responsible for budgetary authorization, controls revenue and is charged with controlling the financial activities of the department that’s why they need to do preparation of budget, appropriation of accounts, re-appropriations, surrender and savings. There are control of expenditure and ways & means of position. There are also Sales Tax, Entertainment Tax, Luxury Tax and Entry Tax is controlled by the Administration of Taxes and the Service Conditions is including by Freedom Fighters Pensions. A loan, Institutional Finance, Small Savings, Credit and Investment and public debt is done through Resource mobilizations. We also need a financial concurrence and advice. There are people that will control the Compilation of Codes, Rules and procedures concerning financial transactions and having bearing on State finance and their implementation. We also have Safety and investment of funds from consolidated funds, contingency fund and public account, contract, recovery and refund of revenue etc.

Logistic department – is to ensuring all the requirements of the customers are met on time in an efficient and safe manner. They will coordinate with third party logistics (3PLs) to ensure that there is a safe and timely dispatch of goods. They will do to draft plans, policies and procedures for successful implementation of logistics system. Logistic department ensure that the business goals of the organization are in synchronization with logistics system, no fraud is committed, timely supply and payment of goods and reduce inventories and maintain coordination with vendors, service providers and transport carriers.

Customer service department – is troubleshoot the issues, problems, and requests that may come up with those product or services. They will receive training to prepare you for the possibly questions and scenarios which may arise. As the name implies, they will be dealing with customers on a regular basis. No two customers are exactly the same in what they want or expect but no matter what, customers will want them to care about their issue, be motivated to assist them, and happy to help in any way you can.

Budget

We had made the budget for this product which is RM 300,000. The expenses at below:

Conclusion

The marketing plan that we have set is to achieve the target goal that we have stated and to prevent our product will be stop selling in the market. We have also planned to achieve the NO .1 BRAND in the market so that when the people who want to buy or enjoy this health care product, they will firstly think about our health care drink.

Our philosophy is “Bringing healthy lifestyle to the Global” so that people can keep on growing healthy lifestyle by the easy and convenience ways. We hope that our plan can expand our business through around the world so that our company can achieve to make this product to sell oversea as an exporting product. If there is a chance that we can have a factory to produce our product at Malaysia and that will be more easy way to make export for this product. Not only that, we can also set out our budget in making 1 bottle of this drink lower than before, So that we will have more company profit and can be success in making more of other health drinks product in a variety of flavor and variety of types in health benefits drink such as Ganoderma lucidum or Reishi mushroom in the drinks.