Promotion is about how the customers are informed about a particular product or service and plays a vital role. So promotion basically carries the 3 Ps of the marketing mix by presenting that all important information to the right target market.
In this paper about the Marketing Mix, it will explain the elements of the marketing (product, place, price, and promotion). I have enclosed a chart about the Pricing Strategies Mix. I will also be selecting an organization by the name of Target in which I am familiar with and will describe the four elements of the marketing mix and how it impacts the organizations developmental marketing strategies and tactics.
Ryanair is Europe’s largest low-fares, no-frills short-haul carrier. The organisation was founded in 1985 as a conventional airline but re-launched itself in 1990/1991 as a low-cost carrier, replicating American Southwest Airlines’ business model. Since then Ryanair has grown
Ryanair positioned itself as a low cost airline, which delivered services equivalent to that of British Airways and Aer Lingus. In terms of service quality, they positioned themselves in the same category as the aforementioned airlines, but at the same time, charging a relatively low price when compared to British Airways and Aer Lingus. Their strategy was to deliver first rate/ good quality customer services and offer meals and amenities comparable to that of British Airways and Aer Lingus. The second strategy was to charge a single fare ticket of I£98 on it Dublin-London service, which was very low when compared to British Airways and Aer Lingus’s rate of I£208 or I£99 if booked in advance.
The objective of this report is to appraise and evaluate the external environment, internal capabilities of Ryanair and assess the competitive environment. This project report also evaluates the marketing focus deployed by Ryanair in the year 2009 when the airline achieved a benchmark by being Europe’s largest carrier by passenger numbers and market capitalisation.
Marketing mix is used at the MARC facility to develop and implement a plan to achieve organization goals. The four variables product, price, place, and promotion are within the organization’s control and therefore, the mix of those four elements are key in marketing decisions. Marketing mix is the combination of all the experiences, tools, innovations, and creativity that the MARC uses to make consumers their clients. All four P’s are needed in a marketing mix they should all be tied together. Revenue, while promotion, place, and product generate cost. Producing, designing, distributing, and promoting products come with expenses.
The Marketing Mix and the 4Ps of Marketing - from MindTools.com. 2017. The Marketing Mix and the 4Ps of Marketing - from MindTools.com. [ONLINE] Available at: https://www.mindtools.com/pages/article/newSTR_94.htm [Accessed 3rd May 2017].
A marketing strategy is the combination of the target market, or the customers the marketing is intended to reach, and the marketing mix. Product, price, place, and promotion are components of the marketing mix, or the four p’s, which create a value for the customer (Perreault, Cannon, & McCarthy, 2009). For this reason, the customer, who is not part of the marketing mix, is the center of the target, surrounded by the elements of the marketing mix. The ultimate goal of a marketing strategy is to create value for the customer, which allows the organization to increase customer satisfaction and results in repeat customers and additional equity for the organization (Armstrong &
Ryanair spends very little on advertising. They do not subcontract advertising facilities. Ryanair uses a very common form of advertisements, mostly black and white print ad in a newspaper, with the focal message of "lowest fare". Even the company’s logo is very simple and straight forward which reads ‘Ryanair; the low fares airline’ in blue and white. However customer attention is captured through stimulating images or unpleasant comparison to other airlines.
A promotion mix is the combination of sales promotion, advertising, personal selling, sales promotion as well as direct marketing tools employed by a company to communicate their value and build customer relationships. The Radisson Blu Hotels focus on individualized promotion policies so as to preserve a close connection with their customers and maintain their exclusivity. As a result, the company has moved away from mass media advertising and mass medium outlet. To achieve this, sales promotions such as coupons are sent using an online mail list where it updates customers on new product bundles and promotion of events that are happening in the hotels. The company chooses to use various distribution channels to maximize their relationship with the customers such as personal sales promotion or via the
The strategic plan of Ryanair has been to establish itself as Europe’s leading low-fares airline.” Ryanair aims to offer low fares that generate increased passenger traffic while maintaining a continuous focus on cost-containment and operating efficiencies.” (www.ryanair.com)
Ryanair’s growth rate is affected by macroeconomic factors such as the recession, as seen in 2010 when Ryanair saw a 200% increase in profit and traffic growth, as the low fares became attractive for those suffering from the current climate. Uncertainty still remains regarding the economic climate; problems would arise if it continued, as passengers would reduce spending restricting the company’s passenger volume growth. If the economic climate was to grow, business and leisure passengers may choose to pay more and travel with a full service airline, this could consequently result in demand for low-cost flights to drop.
For the in-flight service, it is suggested that Ryanair should offer rental in-flight entertainments or internet services. As for a promotion, in the best case, it could offer a free flight or I£1 flight with limited seats to attract customers who never fly before or those who love travelling.
The 'marketing mix' is a set of controllable, tactical marketing tools that work together to achieve company's objectives. The marketing mix analysis is also called 4P analysis. This analysis contains a set of controllable strategic tools of marketing which work in simultaneously to attain the objectives of an organization. In this paper we will analysis two organizations with respect to their marketing mix. The companies that I have chosen for this task are Pepsi Co and Coca Cola.