Canterbury Business College Marketing Mix Assignment

This assignment solution addresses key concepts in marketing, including the marketing mix, consumer behavior, and market segmentation. The answers cover market characteristics, pricing considerations (including competitor analysis, production costs, and demand), and the application of Maslow's hierarchy of needs to consumer motivation. It further explores service quality and its impact on customer experience, the components of the marketing mix (product, price, place, promotion), and market segmentation strategies (demographic, behavioral, psychographic, and geographic). The document outlines customer service policies and procedures, emphasizing staff training, customer interaction, and complaint resolution. Finally, it discusses methods for measuring marketing performance, such as brand awareness, lead generation, revenue generation, and customer loyalty, along with the environmental factors that influence pricing decisions.

Running Head: Marketing Mix
Marketing Mix
Ques-Ans
System04104
5/21/2019

Marketing Mix
1
Answer-1
Market can be defined as a place where a commodity or product has large number of
buyers who are ready to buy the products from different prices from different sellers. There
are large number of competitors can exist in a product or service market who can charge
different prices for the same product based on their service or quality of products. From the
above lines, it can be said market has many characteristics like one area, one product, or
service, a large number of buyers and sellers, free competition, may be one price or multiple
price of same product based on quality and services integrate with it. These characteristics of
market provide large numbers of benefits to both buyers and sellers. For example, sellers can
find large number of customers at one place, buyer can have multiple of choice for a single
products and they have choice to select the best quality products on low prices, a heavy
competition in terms of product pricing and market share etc. The one of the best advantages
of market is that it automatically responds and adjusts the demand and price of product in the
market. Other great benefit for buyer is that they can have number of choices and alternatives
available in a single product market based on price and quality.
Answer-2
Pricing is the key factor in competing with other competitors in the market. The key
considerations during reviewing pricing of the products are related to competitors pricing,
costs of production, state of the economy, demand of the products in the market and
bargaining power of customers. These all are important factors while reviewing pricing of
products, but competitor’s price, production or buying cost, and demand of the products are
some of the crucial thing in the reviewing pricing (Bolotaeva & Cata, 2010). Sellers cannot
charge more than its competitors price otherwise customer will skip to other alternatives in
the market, while high demand of products may cause a high level of pricing and vice-versa.
Apart from this, if product will be purchases on high prices, then it cannot be sold on low
prices because it incurred losses for the business. However, the bargaining power of
customers also does matter because a business organisation is to identify who are the buyers
and whether they influence the set pricing of the product (Cruz, Wright, & Crawford, 2010).
For example, a large buyer or industrial buyer can easily influence the pricing of products and
demand for special or low prices because of high purchasing and negotiation power.

Marketing Mix
2
Answer-3
Maslow Hierarchy theory was given by Abraham Maslow in 1954. The Maslow need
of hierarchy theory helps to understand the basis of consumer motivation. According to this
theory, need of consumers has been divided in five basic needs which shows that how a
person can be satisfies or what are their needs (Brei, d'Avila, Camargo, & Engels, 2011).
(Source: Gordon, 2012)
1. Physiological needs: These are the basic needs of people of consumer such as water,
shelter, clothes, food, sex, etc.
2. Safety needs: These needs show that every human wants protection, safety, and a
house to for protection.
3. Belongingness Needs: In this type of need, people can be motivated by love,
affection, relationships, and other factors such as acceptance etc.
4. Ego Needs: After fulfilling all the above three needs people are looking for ego
needs. For example, people want to place himself in the society as a popular person,
people needs self-esteem at this level, uniqueness, and freedom etc.

Marketing Mix
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5. Self-Actualisation needs: People are looking for self-actualisation for their personal
satisfaction and self-satisfaction. For example, these type of people love to travel,
have many hobbies, or they involve themselves with environment (Menegaki, 2012).
In order to achieve the higher level needs, the lower level needs must be satisfied of
people.
Answer-4
The service level determined the quality of business operation and it also helps to
enhance the customer experience. For example, a LED Television seller provides on the
home repair and maintenance service at after selling the product, it will attract the people
towards the business (Brooks & Simkin, 2012). An another example, if a retail organisation
provides all the facilities to its customer such as better option to select products, easy or
online payment system, and easy refund policy, it will help to provide better customer
experience and also helpful in retaining customers for long time. Good services of the sellers
attracts the customers and make them loyal customers that determine the long term success
and maximum profitability of the organisation. However, it also helps in brand positioning
and image building of the business because people will advertise their great experience
through word of mouth with other potential customers (Mintz & Currim, 2013).
Answer-5
The more marketing mix components are product, price, place, and promotion. To test
and analyse the significance of these component helps a business organisation to launch the
right product to right customers. The business organisation first analyse which products can
successfully fulfil the demand of customers. The pricing analysis and testing helps to
understand whether the price of product is affordable for customers (Chattopadhyay, Shivani,
& Krishnan, 2010). However, considering the pricing strategy of competitors should also be
considerable whether to implement penetration pricing, low pricing, skimming pricing
strategy etc. However, analysis of place helps to understand that at which place product will
be demanded more. For example, one cannot sell Air Conditions in Cool areas or one cannot
sell woollen clothes in high temperature area or in dessert area. While testing or analysis
promotion helps to advertise the products in those area where demand of the products are
possible but people do not aware about the brand or stores available to them.

Marketing Mix
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Answer-6
Segmentation is the process of dividing the market in homogenous customers such as on
the basis age, population, psychology, region, etc. Segmentation helps to identify the
potential customers that further helps in formulating product, marketing, sales strategies for
the customers. There are four ways of segmenting the market as a target market.
1. Demographic segmentation: In such segmentation type, customer has been divided
on personal attributes such as age, gender, religion, occupation, family size, income,
race, nationality etc.
2. Behavioural Segmentation: In this type of segmentation, customers are divided on
the basis of their behaviour. For example, people who are involved in business or
professionals choose Apple I-phones or laptops while the other people who are low in
budget and do not want to expand more loves android phones (Gordon, 2012).
3. Psychographic Segmentation: This segmentation is done on the basis of customer’s
psychology. It is just like the behaviour segmentation but it also considers the
consumer buying behaviour or psychological factors in account. For example, people
who want latest and fashionable products can visit the Zara products while people
who do have psychology of brands can buy their products from anywhere.
4. Geographic Segmentation: Geographic segmentation is based on the region, area, or
locality. For example, people who live in rural areas like Indigenous people in
Australia are not habituate to drink RO water, while people in urban areas always
prefer to drink RO water. It means, a RO purifier cannot sale the water purifier in
indigenous area while it can be easily sold in urban areas.

Marketing Mix
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(Source: Brooks & Simkin, 2012)
Answer-7
In my organisation, the customer service policy and procedures include following key
points in documented for that guides the employees and helps the customers.
1. Staff member of the organisation will be responsible for provide best customer
services and will ensure that they will deliver best service quality to customers that
enhance their customer experience in the organisations.
2. All staff and member of the organisation must have proper knowledge and ideas of
products and its specifications.
3. All the employees and people at the store will wear proper dress code with their
nametags, thus customer will easily identify them next time.
4. Customer will be served on first come first served basis.
5. The organisational member wills immediately response to every customer on phone
calls and face-to-face conversation (David & Martina, 2011).
6. Customer can paid the bill via, debit card or credit cards or by other online payment
methods.

Marketing Mix
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7. The organisation will provide easy refund and on the home maintenance and service
to customers.
8. If customers will complaint about any service factor or product quality, his/her
grievances must be resolved within 24-48 hours or as quick as possible.
Answer-8
Measuring the marketing performance is essential for the organisation to know the impact
of various marketing strategies and plan. There are many techniques to assess or analyse the
marketing performance. Some of them are as follow:
1. Brand awareness: Brand awareness matrix helps to understand about the reach of the
product or services. It helps to expanding the reach in the market. To calculate the
brand awareness and marketing performance the organisation can perform many
activities such as conducting surveys, social media follower counts, or number of
inbound links and popularity among people etc. (Huang & Sarigöllü, 2014).
2. Lead Generation: Lead generation matrix helps to understand how many people are
converted in the brand loyal customers of buy the products of organisation after the
marketing campaigns.
3. Revenue generation: The other technique that helps to measure the marketing
performance is revenue generation in the organisation. If the revenue is increasing
after the marketing campaign and strategy, then it can be said that it was effective.
4. Customer Loyalty: If the numbers of loyal customers are increasing and amount of
repeat business marketing generates every year, it means it is more effective. This can
be easily identified by the Net promoter Score tools to measure loyalty by tacking
repurchase ratios (Stead & Hastings, 2018).
Answer-9
Price is one of the most sensitive components in marketing mix. There are many
environmental factors that affect the pricing policies and strategies of the products during
marketing strategies. One of the major environmental factors that influence the pricing most
is competitors and their pricing strategy (Pomering, Noble, & Johnson, 2011). Apart from
this, prices of products can be affected by many other environmental factors such as
economic environment, customers demand, etc. However, apart from this minimum number

Marketing Mix
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of suppliers also control the pricing of a business organisation because they have strong
bargaining power. Apart from this, the bargaining power of buyers also influences the pricing
strategy of a company, because customers are more aware and sensitive about the price and
quality. If they get low price from other competitors, they will immediately move to another
brand or products. Apart from this, pricing is also affected by the nature of the market, and
intensity of competition. The heavy competition in the market results in low pricing products.
Apart from this, marketing mix strategy of the company also affected the pricing strategy of
an organisation. One of the important factors that influence the price most is rules and
regulation and taxation policy of government. If government hike the taste on particular
products, it will directly affect the pricing of the firm (Pour, Nazari, & Emami, 2013).
(Source: Riaz & Tanveer, 2012)
Answer-10
Products Consumer priorities Consumer needs Consumer
preferences
Effect on marketing
mix
Bread Fresh Breads
High qualities
Hunger
Low prices
Brown Breads
Wheat Breads
Product: provide
superior quality

Marketing Mix
8
Easily Available Mix Breads breads to customer.
Price: Market or
competitive price
because of large
number of
competitors.
Place: Both Rural
and urban areas can
be targeted.
Promotion: Should
be communicated
about the quality of
breads and freshness.
Fuel High quality
High efficiency
Greater mileage Low price
Vehicle Performance
Product: Superior
and high quality
Price: Should be
competitive and
match the other
pricing strategy of
competitors.
Place: It can be
placed in urban areas
where large number
of people will have
vehicles.
Promotion: Can be
promoted on
Television or radio
etc.
BMW Luxury Unique Identity Comfort level Product: High-tech

Marketing Mix
9
High End Quality Social Status High performance
Advanced Features
and advanced feature
products that will
meet the customer
demands.
Price: Higher Prices
Place: Urban Areas
or metropolitan cities
Promotion:
Through, TV
advertisements and
newspaper
advertisements.
Answer-11
Product positioning is a marketing strategy that helps the business organisation to
establish itself in the mind of customers. Product positioning helps to create an image in the
mind of people through advertising, through its corporate social responsibilities or social
activities, providing quality products and services in low prices (Kim & Hyun, 2011). These
all factors help an organisation in positioning and creating brand image in the mind of
customers. It is an important part of marketing plan and strategy. Through the product
positioning strategy the business organisation communicates to its target customers that how
they provide different products that fulfil the customer needs. Through the positioning
strategy, the organisation uses an available mode or media of communication and conveys the
key messages to the customers that what are they offered and how the offered product or
services differ from others (Londhe, 2014). Positioning strategy helps to gain the competitive
advantages over the other competitors in the same industry. It shows the customer and
communicate them about the brand quality and quality of services that organisation is
offering to them and the unique selling proposition (USP) of the product and services (Kunz,
Hackworth, Osborne, & High, 2011).

Marketing Mix
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Answer-12
Marketing mix variables Target Market 1
(Youth people who
care about their
fitness)
Target Market 2
(Old age people)
Target Market 3
(Children)
Product Superior quality and
free from oil and
chemicals.
Superior quality and
free from oil and
chemicals
Superior quality and
free from oil and
chemicals
Pricing High
(Pricing strategy will be
high for young age
people because is more
demanded by them
because they are health
conscious and spending
time on gym and have
more disposable
income)
Low
(Old age people
cannot afford and
not more disposable
income, thus prices
will be low and this
thing also apply on
children as well)
However, growth in
organic product is
rising by 36% from
2011 to 2016, the
prices can be high
for the products for
young people
(Australian, organic
report, 2018).
Low
(price or children
will be low because
it is the necessity for
them)
Promotion Magazines, Social
media, newspapers, TV
advertisements.
Newspaper and TV TV ads and mother
care organizations
Place Urban Areas like Urban and rural Urban areas

Marketing Mix
11
Sydney, Adelaide, New
South Wales etc.
Queensland is known
for organic food
industry. Therefore, the
other cities need to
know about the benefits
about organic food.
areas both.
Customer service level High quality services or
on the door delivery of
product.
High quality services
and on the door
delivery of products
High quality services
and on the door
delivery of products
Austrlaian has a reach land for the organic food products, which is spread in 35
million hectare (10% of all agricultural land) (Australian Organic, 2018). The table shows
that three target market for the organic foods; young people, old age people, and children.
The organic food helps in healthy body and it is the requirement for all the three categories of
people. The young people do not want to consume fat or oil products because it affects their
health, while the old age people are more conscious about their diet and organic food provide
best diet which is free from fat and oil, while the most sensitive market are children. The fast
food consumption harms their health thus they are the third market group for it. The
promotion strategies for these products are gyms and colleges where youths spending more
time, Schools, and other such places where they can easily attracted towards the product. The
best promotion medium for the youth and old people, it will be magazines, social media, or
newspapers while for children school and TV advertisements and mother care organisations
will be good idea.
Answer-13
All the components of marketing mix strategy is crucial for organisational objective
and goals because the whole organisational objective is depends on these 4Ps. However, in
service industry three other P’s are also included such as People, Physical evidence, and
Process. Marketing mix (product, price, place, and promotion) strategies of any organisation
determines the success and growth of the organisation. Marketing mix strategy is the part of