Pricing Between Marketing And Sales Promotion

The product strategy ranges from brand name to product image to package design to service to guarantee to product development and more; pricing strategy must allow your prices to be fair relative to the benefits of your product and must factor in competition; distribution is the goal to deliver your product to the right people in the right quantities, at the right time and the right place; and promotion strategy includes all the ways that marketers communicate about their products.

According to an article from ‘Supply & Demand Chain Executive’ written by (DelMonte, 2007) states what is the marketing mix: “is putting the right product in the right place, at the right price, at the right time.’ The marketing mix is an implement which is needed and it is much utilized in today’s working industries for managers to evaluate business targets such as sales and company’s profits, and also to assist in order to meet consumer needs effectively. It purposes is to satisfy the customer as well as the seller by using the marketing mix tool. The marketing is known as the ‘4Ps’, and it is made up of: place, product, promotion and price.

When trying to determine the correct price, a number of factors must be considered: the market and its segments, the size of each segment, the ability to reach each segment, what distribution channels to target, whether to vary price by segment, the usefulness of promotional offerings, and whether the goal is to skim or penetrate each market.

The role of pricing strategies in marketing gives the marketing manager the ability to modify their strategy to accommodate for the changes in the market. For instance, if the economy suddenly hit a decline, if applicable the marketing manager will have to adjust the pricing if they want to retain revenue but a smaller profit. Depend on what kind of product is being market will the effect the pricing strategy, if the product is only in the market there pricing inelastic pricing may vary tiny amount. Majority of the times cheaper quality of the product the cheaper unit price, the marketing manager will have to increase the price if they want better quality. The strategy of sales revenue can tricky tactics, if one product sales number are low but they also sales similar product at

Choosing a marketing strategy involves making “decisions about price, channels of distribution, product, communications, and customer relationship management” (Winer & Dhar, 2011, p. 36). In order to develop a marketing strategy, the CEO of MM must know “who the customers are, why they buy, how they make purchasing decisions, where they purchase products, and when they buy” (Winer & Dhar, 2011, p. 126). For quarter 4 of 2012, the CEO decided to use a price optimization strategy, which focus on the target market and

Marketing strategy is a method of focusing an organization's energies and resources on a course of action which can lead to increased sales and dominance of a targeted market niche. A marketing strategy combines product development, promotion, distribution, pricing, relationship management and other elements; identifies the firm's marketing goals, and explains how they will be achieved, ideally within a stated timeframe. Marketing strategy determines the choice of target market segments, positioning, marketing mix, and allocation of resources. It is most effective when it is an integral component of overall firm strategy, defining how the organization will successfully engage customers, prospects, and competitors in

Every organization needs to have a marketing strategy so that they know who are their competitors, which market they need to target, do they have resources to compete in that market and what strategies they need to adopt to gain competitive position in the industry. The most important thing is with the help of marketing, company is able to make people aware of its product.

In the marketing world, before releasing a product onto the market a company would carry out research in all spectrums to investigate the targeted audience. Once market research is completed, marketing or advertising is carried out so that the targeted consumers can purchase and the company receives an earned profit from sales. Marketing is the management process responsible for identifying, anticipating and satisfying customer requirements profitably (Chartered Institute of Marketing, 2009). Marketing strategies need to tick off consumer needs and demand. Companies follow a set of marketing strategies to be able to achieve their set mission goals. Strategies like segmentation, targeting and positioning of the market is used to analyse the

There are many factors to consider when marketing a new or existing product. Segmentation, targeting, and positioning are important when identifying the specific target market, examining the role that consumer behavior plays when applying basic marketing concepts, and examining the impact of purchase trends on consumer behavior. Internal and external influences on consumer behavior are all factors that must be considered when applying marketing strategies. Learning and memory theories are also factors considered when applying marketing strategies. In addition, strategies for

Price interacts with all other elements of the marketing mix to determine the effectiveness of each and of the whole. The objectives that guide pricing strategy should be a subset of the objectives that guide overall marketing strategy. Thus, it is probably wrong to view price as an independent element of marketing strategy or to assert that price, by itself, is a central element in the marketing mix.” (Webster, 1979)

Firstly, they need to determine the new product price. Price that is the money or other considerations (including other goods and services) exchanged for the ownership or use of a good. Pricing determining will be influence the performance of marketing planning.

The marketing strategy should be tailored around the firm's target market; if this were not the case marketing would be then less successful. Each aspect of the marketing mix would need to be formulated with the target market (consumer) in mind. For example the design of the product would need to be such that it would satisfy the consumer's needs. If it did not consumers would see no need to have it and buy a competitor's product. The price of

The company would employ varied marketing strategies that they will use for the next one and three years. One of them is the pricing strategy, which is one of the essential marketing elements. Bearden, Netemeyer and Haws, (2011, p.63) point out that pricing strategy is one of the vital element of competing with competitors favorably. This is through setting the prices of products differently in order to differentiate the price from that of the competitors. Many companies use pricing strategy in setting the price above or below the equilibrium level in the market. For instance, the

Price, which is one of the most important elements of the marketing mix, can be difficult to get right. Pricing too high, or low, can negatively impact on customer satisfaction and revenue. Adopting a pricing strategy is necessary to achieve desired sales objectives (Chan & Wong 2005).

Q1. There are several pieces of information that are important to making good marketing decisions. The most important of these is the break-even point. This is the amount of sales needed to cover costs of a product. The price is often determined by things other than cost such as competitor's prices and the positioning of the product in the market. Thus, the price might be set and then the marketing team needs to figure out how to sell the breakeven point of volume. Or, given a price in the marketplace, the decision might be whether to sell the product or not if it is felt that the company might not sell enough units in order to breakeven.