The Marketing mix strategies

Running head: Marketing Strategy and Marketing Mix
Marketing Strategy and Marketing Mix
Name of the student
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1Marketing Strategy and Marketing Mix
Table of Contents
1. Marketing Strategy and Marketing Mix..................................................................................3
a) Introduction...........................................................................................................................3
b) Market segmentation.........................................................................................................3
i. Demographic segmentation...............................................................................................3
ii. Psychographic segmentation.........................................................................................3
iii. Geographic segmentation..............................................................................................4
iv. Behavioral segmentation...............................................................................................4
c) Positioning strategy of Qantas..............................................................................................4
d) Value proposition of Qantas.............................................................................................5
e) Branding strategies of Qantas...............................................................................................5
i. Brand personality..............................................................................................................5
ii. Brand equity..................................................................................................................5
iii. Relationship marketing strategies.................................................................................5
f) Pricing strategy.....................................................................................................................6
i. Product mix pricing strategy.............................................................................................6
ii. Price adjustment strategy...............................................................................................6
g) Placement..........................................................................................................................7
i. Objectives and the choice of value delivery network.......................................................7

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iii. Role of key members in value chain.............................................................................8
h) Promotion..........................................................................................................................8
i. Advertising........................................................................................................................8
ii. Sales promotion.............................................................................................................8
iii. Personal selling..............................................................................................................9
iv. Public relations..............................................................................................................9
v. Digital and direct marketing..........................................................................................9
i) People...................................................................................................................................9
j) Physical evidence..................................................................................................................9
k) Process............................................................................................................................10
l) Company Social Responsibility..........................................................................................10
2. Recommendation...................................................................................................................10
References......................................................................................................................................12

3Marketing Strategy and Marketing Mix
1. Marketing Strategy and Marketing Mix
a) Introduction
The purpose of the report is to give a clear understanding of the concept of market strategy in
business (Armstrong et al., 2014). Additionally the study also highlights the importance and use
of marketing mix in the business sphere. The whole course of the discussion sheds light on the
practical application of the two concepts by an organization.
b) Market segmentation
Market segmentation is closely related to the market mix hence it will be right to assert that
the market segmentation determines the components of marketing mix is designed in accordance
with the customer specification (Armstrong et a., 2015).
i. Demographic segmentation
The most of the customer of the Qantas airways belongs to the age of between 25-45. It
clearly shows that the customers are mostly service holders. Despite of the fact that Qantas offer
different range of products in terms of price range to its customers, the customers who avail the
flight services of Qantas are seen to be belonged from the upper middle class strata (Babin &
Zikmund, 2015). Another variable has also been seen that the education background of
customers is quite higher. As the airline company is Australia based, it has been seen that mostly
the customers are from Christian background in terms of religion.
ii. Psychographic segmentation
The customer of Qantas airways are from different nature as well as from different
mindset. In accordance with that, their lifestyles also differ (Baker, 2014). Customers belong

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from different class of society which also has an impact on them. Thus examples can be drawn
that the customers from middle class travel economic class while the customers from affluent
uses business class.
iii. Geographic segmentation
Qantas offer its service across Australia and the neighborhood countries like New
Zealand and others. The geographic segmentation shows that most of the customers of the
company are from European countries rather than Asian countries. Therefore, the company
densest its products keeping the European market in mind (Armstrong et al., 2014).
iv. Behavioral segmentation
The customers of the Qantas airways can be divided into two sections in terms of behavioral
segmentation. They are divided according to the response to the service offered by the airlines.
Thus it can be said that the behaviors of the customers heavily impact on segmenting the
customer base (Babin & Zikmund, 2015). For instance, some customers want more facilities,
while others focus only on the quality service. Thus, behavioral segmentation plays a crucial
role in product designing.
c) Positioning strategy of Qantas
Positioning is crucial for every company in order to position in the concerned industry. In
case Qantas, it is mandatory to understand the business strategy of other brands in the same
sphere (Weinstein, 2013). In order to secure its position in the market, Qantas must satisfy the
customer needs with a view that customers avail the business service than the other brands. The
marketing strategy also needs to be effective in order to reach out to maximum customer base. In

5Marketing Strategy and Marketing Mix
accordance with the present market scenario, Qantas has been successfully positioned itself in
the aviation industry.
d) Value proposition of Qantas
The value proposition of Qantas Airways adheres to the value of money. Over the years,
Qantas has been marked itself as the largest airline in Australian aviation industry due to having
the largest network across the country as well as across the neighboring countries (Osterwalder et
al., 2014). It exclusively focuses on customer satisfaction by providing quality service.
e) Branding strategies of Qantas
i. Brand personality
Over the long year of its service in the industry, Qantas have been working on how to make
its brand more recognized in the market. It has been continuously modifying the product range
and service area in order to make its branding stronger than others. Beside of modifying the
product range to improve the branding, Qantas has been continuously putting effort to improve
its customer satisfaction by providing quality service (Slack, 2015).
ii. Brand equity
Qantas airways have been positioned itself as the largest airline company in the entire
Australia. As compared to other airlines companies, Qantas airways have been holding a huge
customer base by providing best service to the customers. It has been taking different measures
in order to maintain the brand vitality (Huang & Sarigöllü, 2014). The growing brand strength
index of Qantas revealed that the company is financially sustainable which indicates strong
brand value of the airlines company.

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iii. Relationship marketing strategies
In order to stimulate the customer loyalty, interaction with the customer and long-term
customer engagement, relationship marketing strategy is designed. Qantas uses strong
communication strategy by which the customer service department of the company interacts with
the customers as well as assists them in resolving their queries. It also provides information
regarding ticket booking, fight status and other aspects (Baker, 2014). By adopting relationship
marketing strategy, the Qantas airways promote open as well as direct communication with the
customers towards the further improvement of their service.
f) Pricing strategy
i. Product mix pricing strategy
In order to attract more customers towards its business pricing strategy plays an important
role. Qantas airways also uses specially designed pricing strategy towards the greater hold of
customer holding (Baker, 2014). Therefore, Qantas airways have adopted low pricing strategy
and high pricing strategy. Keeping the customer of lower income strata, Qantas offer lower to
medium price range of air tickets, while for the affluent class, it offers high price range with
multiple facilities. It also offers in flight catering service in order to provide more facilities to the
customers (Huang & Sarigöllü, 2014). Qantas adhere to the policy that effective pricing strategy
can reach out to more customers. In addition to that, Qantas provides different offers and
discounts throughout the year, for example during seasonal festivals, it reduces its flight fare.
Mostly, it offers discounts and special offers to customers for attracting them.

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ii. Price adjustment strategy
Pricing strategy plays a crucial role in business strategy thus a company needs to design the
pricing strategy very effectively (Baker, 2014). Qantas airways use its pricing strategy for
holding a greater customer base as well as for generating more revenue from the market. Price
adjustment strategy is the one of the main part of pricing strategy thus it includes seven strategies
of price adjustment such as geographical pricing, discount strategy, dynamic strategy, segmented
strategy, promotional strategy, international strategy and psychological strategy. Qantas specially
designed pricing strategy based on the seven aspects while keeping the customer need in mind.
g) Placement
i. Objectives and the choice of value delivery network
Through value delivery network, all the direct participants of a company get involved in the
business operations of the company such as production, customer service, distribution and the
marketing (Babin & Zikmund, 2015). Through the value delivery network, Qantas airways adds
more value to its services and products which in turn adds as well as increase the value for its
customers. In this regard, it must be mentioned that the every components of Qantas’s value
delivery network are interrelated with each other. For example, the overall sales of its products
determine the customer satisfaction whereas its effective customer service influences its product
sales.
ii. Channel behavior and organization of value chain network
Qantas airways is partnered with different other independent organizations by using which
customers can use the service and product of the airlines company. In other words, these
organizations work as channels which provide easy access of the service and products to the

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customers (Hartley & Claycomb, 2013). The primary aim of using the external organizations as
partners is to reach out to more customers. For example, ticket booking sites like sky scanner and
cheap flights are partnered with Qantas Airways by offering the products of Qantas over their
websites so that customers get an easy access to the services provided by Qantas.
iii. Role of key members in value chain
The members of in the value chain play a key role for the business process of Qantas
airways. Being the largest airlines company in the country, its members of the value chain
includes digital intermediateries for the purpose of online transaction (Babin & Zikmund, 2015).
The airlines company owns its own websites, where it features its products so that customers can
book tickets using the online service of the company.
h) Promotion
Qantas airways use integrated marketing communication in order to promote its products.
Therefore the promotional mix of the company can be divided into five sections:
i. Advertising
In order to advertise its products as well as brand Qantas uses both the traditional way and
internet based ways (Armstrong et al., 2015). In traditional ways, the advertisements featuring
the products of the company are aired over the televisions, newspapers, magazines, billboards,
posters and handouts, while in the internet based way, using the modern technology,
advertisements are featured over social midis sites and as pop-ups over different websites.
ii. Sales promotion
By using the sales promotion method of marketing strategy, the airlines company adds value
to the image of the brand. To be very specific, in sales promotion, Qantas offers a trail of its

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products whenever a new product or service is launched (Baker, 2014). For the purpose of
trialing its product, it reduces the prize. In ties regard, it must be noted that the sales promotion
exclusively customer oriented.
iii. Personal selling
The concept of personal selling refers to the direct promotion of the products by the
company. Apart from the partnering organizations, the company promotes its services directly
through personal selling (Hartley & Claycomb, 2013).
iv. Public relations
Qantas’s main purpose of using of the public relation strategy is to uplift its sales margin.
Through public relation, Qantas airways remain attentive to its every customer and value them.
Qantas keep continuous contact with the customers in order to promote the products of it
(Armstrong et al., 2015).
v. Digital and direct marketing
The digital marketing strategy of the company includes prompting its brand, services and
products over tee social media platforms (Chaffey & Ellis-Chadwick, 2016). Facebook, twitter,
Instagram and many other social media platforms are used by the company for the purpose.
i) People
People in terms of employees have immense importance in the business process of the
company. It has been observed that Qantas has been recruiting effective workforce for its
business process (Jain, 2013). Additionally, it gives adequate training to make the workforce
effective.

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j) Physical evidence
The term refers to the service by which the airlines company allows its customers to give
feedback regarding the service, product specification and other aspects (Jain, 2013). As most of
the customers prefer clean atmosphere, Qantas heavily focus on the matter of cleanliness so that
customers can remain satisfied.
k) Process
Qantas made the process of delivering its service very systematically so that the customers
can receive the best service from the company. It improves itself based on the feedback of the
customers (Jain, 2013). Another noteworthy point is that the company made an ease for veiling
its service.
l) Company Social Responsibility
As the issue of population is emerging, Qantas has been putting continuous effort in the area
of sustainability. It undertakes many charitable activities towards the betterment of the society
(Ottman, 2017).
2. Recommendation
To end up the discussion, it can be very right to state that Qantas has been secured its place in
the aviation industry. It has been continuously improving its business operation in order to
overcome every little challenge that it faces. However, still there are some e issues which need to
be highlighted. One such challenge is inefficiency of the employees. Since the entire business
process of the company is exclusively depended on the effective workforce, it must recruit the
best talents from leading institutes. Another major area is the customer service. Most of the

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customers come with the complain regarding the customer service department of the company.
Thus special training program must be initiated so that customer service personnel act towards
the satisfying the customers by resolving their queries and providing them assistance. In the
concluding line, it can be said that despite of the challenges, the company has been holding
leading position in the market.

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References
Armstrong, Adam, Denize and Kotler and also Marketing: A Snapshot by Valenzuela-Abaca
Armstrong, G., Adam, S., Denize, S., & Kotler, P. (2014). Principles of marketing. Pearson
Australia.
Armstrong, G., Kotler, P., Harker, M., & Brennan, R. (2015). Marketing: an introduction.
Pearson Education.
Babin, B. J., & Zikmund, W. G. (2015). Exploring marketing research. Cengage Learning.
Baker, M. J. (2014). Marketing strategy and management. Palgrave Macmillan.
Chaffey, D., & Ellis-Chadwick, F. (2016). Digital marketing. Prentice Hall.
Hartley, R. F., & Claycomb, C. (2013). Marketing mistakes and successes. Wiley.
Huang, R., & Sarigöllü, E. (2014). How brand awareness relates to market outcome, brand
equity, and the marketing mix. In Fashion Branding and Consumer Behaviors (pp. 113-
132). Springer, New York, NY.
Jain, M. K. (2013). An analysis of marketing mix: 7Ps or more. Asian Journal of
Multidisciplinary Studies, 1(4).
Osterwalder, A., Pigneur, Y., Bernarda, G., & Smith, A. (2014). Value proposition design: How
to create products and services customers want. John Wiley & Sons.
Ottman, J. (2017). The new rules of green marketing: Strategies, tools, and inspiration for
sustainable branding. Routledge.

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Slack, N. (2015). Operations strategy. John Wiley & Sons, Ltd.
Weinstein, A. (2013). Handbook of market segmentation: Strategic targeting for business and
technology firms. Routledge.