DELHI PUBLIC SCHOOL- BOPAL, AHMEDABAD

NOTES ON UNIT-1 (2024- 25)

TERM-1 CYCLE-1

CHAPTER:
CLASS: X SUBJECT: MARKETING & SALES
Q1.What is Marketing Mix?
Marketing mix represents a combination of the marketing methods, devices and tools – product, price,
promotion and place. These elements are inter-related because decision in one will usually affect actions
in the others.
Q2.Define Marketing Mix.
Marketing mix is the term used to describe the combination of the four inputs which constitute the core of
a company’s marketing system, the product, the price structure, the promotional activities and the
distribution system.”
Q3. Name the two broad categories of Marketing Mix.
Marketing mix is mainly of two types.
1). Product marketing mix – Comprised of Product, Price, Place and Promotions. This marketing mix is
mainly used in case of Tangible goods.
2). Service marketing mix – The service marketing mix comprises of Product, Price, Place and
Promotions and has three further variables included which are People, Physical evidence and Process.
Q4. What is the importance/ significance of marketing mix?
Determination of an effective marketing mix is an important decision for any manager of an
organization. The following benefits will accrue to the organization.
 Marketing mix helps in pursuing consumer-oriented marketing as it serves as a direct link between the
organization and its customers thus focusing on the satisfaction of the customers.
 It helps in increasing the sales and earning higher profits.
 Marketing mix gives consideration to the various elements of marketing system. There is a balanced relation
between these elements. For instance, the price of a product depends upon is
features and branding, packaging etc. The different media required in promoting the product will depend upon
the product and its features. The channels of distribution will also depend upon the nature, utility etc of the
product.
 Marketing mix facilitates meeting the requirement of different types of customers. Product design, pricing,
promotion and distribution will depend upon the needs and purchasing power of the customers.
 Marketing mix signifies that its four elements are closely inter-related. Decisions or changes in one element
usually affect decisions or changes in the other.

Q5. Explain all the 4P’s and 3P’s(of Service Marketing Mix).

1.Product in Marketing Mix:

A product is a commodity, produced or built to satisfy the need of an individual or a group.
The product can be intangible or tangible as it can be in the form of services or goods.
It is important to do extensive research before developing a product as it has a fluctuating life cycle, from
the growth phase to the maturity phase to the sales decline phase.
A product has a certain life cycle that includes the growth phase, the maturity phase, and the sales decline
phase.
It is important for marketers to reinvent their products to stimulate more demand once it reaches the sales
decline phase.
It should create an impact in the mind of the customers, which is exclusive and different from the
competitor’s product.
There is an old saying stating for marketers, “what can I do to offer a better product to this group of people
than my competitors”.
This strategy also helps the company to build brand value.
2.Price in Marketing Mix:
Price is a very important component of the marketing mix definition.
The price of the product is basically the amount that a customer pays for to enjoy it.
Price is the most critical element of a marketing plan because it dictates a company’s survival and profit.
Adjusting the price of the product, even a little bit has a big impact on the entire marketing strategy as well
as greatly affecting the sales and demand of the product in the market.
This is linked to what the perceived value of the product is to the customer rather than an objective costing of the
product on offer.
If a product is priced higher or lower than its perceived value, then it will not sell.
This is why it is imperative to understand how a customer sees what you are selling.
If there is a positive customer value, than a product may be successfully priced higher than its objective
monetary value.
Conversely, if a product has little value in the eyes of the consumer, then it may need to be underpriced to
sell. Price may also be affected by distribution plans, value chain costs and markups and how competitors
price a rival product, , list price, customer location, discount, terms of sale, etc.

3.Place in Marketing Mix:

Placement or distribution is a very important part of the marketing mix strategy.
We should position and distribute our product in a place that is easily accessible to potential
buyers/customers.
Distribution is of two types:
i.Direct distribution
Your business sells its products directly to customers through channels such as retail stores, markets, the
internet, direct mail orders, door to door sales and catalogues.
ii.Indirect distribution
Your business sells its product through some form of middleman who sells the product on behalf of the
business. This may be through retailers (such as department stores), wholesalers, agents (such as a real-estate
agent) or a distributor.
4.Promotion in Marketing Mix:
It is a marketing communication process that helps the company to publicize the product and its features to
the public.
It is the most expensive and essential components of the marketing mix, that helps to grab the attention of
the customers and influence them to buy the product.
Most of the marketers use promotion tactics to promote their product and reach out to the public or the
target audience.
The promotion might include direct marketing, advertising, personal branding, sales promotion, etc.

What is 7 P of Marketing:
The 7Ps model is a marketing model that modifies the 4Ps model. As Marketing mix 4P is becoming an old
trend, and nowadays, marketing business needs deep understanding of the rise in new technology and
concept. So, 3 more new P’s were added in the old 4Ps model to give a deep understanding of the concept of
the marketing mix.
5.People in Marketing Mix:
The company’s employees are important in marketing because they are the ones who deliver the service to
clients.
It is important to hire and train the right people to deliver superior service to the clients, whether they run a
support desk, customer service, copywriters, programmers…etc.
It is very important to find people who genuinely believe in the products or services that the particular
business creates, as there is a huge chance of giving their best performance.
Adding to it, the organisation should accept the honest feedback from the employees about the business and
should input their own thoughts and passions which can scale and grow the business.
6.Process in Marketing Mix:
We should always make sure that the business process is well structured and verified regularly to avoid
mistakes and minimize costs.
To maximise the profit, Its important to tighten up the enhancement process.
7. Physical Evidence in Marketing Mix:
In the service industries, there should be physical evidence that the service was delivered.
A concept of this is branding. For example, when you think of “fast food”, you think of KFC.
When you think of sports, the names Nike and Adidas come to mind.

6.Name the various classification of Marketing Mix Product:

All products can be broadly classified into 3 main categories. These are :

1. Tangible products:
These are items with an actual physical presence such as a car, an electronic device,
and an item of clothing or a consumer good.
2. Intangible products: These are items that have no physical presence but can be felt indirectly. In
insurance policy is an example of this. Online items such as software, applications or even music and
video files are also intangible products.
3. Services: Services are also intangible products but they are the result of an economic activity that does not
result in ownership. It is a process that creates benefits for customers. Services depend highly on who is
performing them and remain difficult to reproduce exactly.

7. Pricing strategy is an important part of the marketing mix. There are a number of popular pricing
techniques to choose from:
1. Cost-plus pricing. A common way to make pricing decisions is to calculate how much it costs to do a particular job
or activity, and then add on a given percentage as a return for the job or activity. This is sometimes known as mark-up.
For example, a business may decide that to do a small repair job on a car, including use of premises ,infrastructure,
labor but excluding parts, etc, it will charge Rs 100. The business works on the basis of making a return of 25% on all
the work that it does. It therefore charges the customer Rs 125.
2. Hour-based pricing. Many small businesses are able to work out what their costs are on the basis of every hour of
work they do, e.g. for gardening, sign writing, photography, etc. The business owner is then able to charge a standard
rate per hour.
3. Penetration pricing. When a firm brings out a new product into a new or existing market, it may feel that it needs
to make quick sales in order to establish itself and to make it possible to produce larger quantities. It may therefore
start off by offering the product at a low price. When it sees that product has penetrated well in the market and market
penetration has been achieved, then he goes for price rise.
4. Skimming. When you bring out a new product, you may be able to start off by charging quite a high price. Some
customers may want to be the first to buy your product because of the prestige of being seen with it, or because they
want to be associated with your product before anyone else. Example mobile phones. Another example would be an
exclusive and unique dress could be sold initially at a particilar price to wealthier customers. The next season, the
price could be lowered making it accessible to a less wealthy group of customers. Later on, the dress could be mass
produced and made available at low prices to the mass market.
5. A premium price is an exclusive price charged for up market products.

8. Promotion is just the communication aspect of the entire marketing function.

1. Advertising:Is any non personal paid form of communication using any form of mass media. For
example on TV, Radio, Billboard, Newspaper
2. Sales Promotion:Commonly used to obtain an increase in short term sales. Could involve money off
coupons or special offers, loyalty cards, coupons, price promotions e.g. point of sales, packaging promotions
or web coupons.
3. Public Relations:This involves developing positive relationships with the organization media public. The
art of good public relations is not only to obtain favorable publicity within the media, but also involves being
able to handle successfully negative attention.
4. Direct Mail:Is the sending of publicity material to a named person from an organization. The aim of
direct marketing is to create one to one relationships with the organizations target market. Direct marketing
can come in the form of post, e-mail, telephone calls and mail order. The company usually contacts a named
person at the address.
5. Personal Selling:Selling a product service one to one. This can either be done face- to- face (door to
door) or over the phone.
6. Internet Marketing:The use of the web for the promotion of products or services. This could be the firm
advertising via the use of banner ads, flash videos, or Google keywords. It is becoming very popular among
firms as a tool for promotion.