The Expanded Marketing Mix: IKEA - highlights the 4Ps and expanded 7Ps marketing mix
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The Expanded Marketing Mix: IKEA
At any successful company, marketing seeks to connect with customers, serve their needs, and accomplish the stated mission of the organization. A successful marketing process creates value through consumer satisfaction from brand building before the sale to post-sales service and support (Kotler et al, 2001). The marketing strategy process has four primary segments: product, price placement, promotion and people (Kotler et al, 2001). Companies with a service element to their business often highlight three additional areas: people, processes and physical evidence. In addition to outlining the seven Ps, this report focuses on the unique product and service marketing approach used by…show more content… The processes consist of standard operating procedures, mechanisms and relationship flows used by the organization to perform a service or manufacturing activity (McColl-Kennedy and Kiel, 2003). From a consumer standpoint, this process refers to actual documentation from invoices to terms of sale involved in the purchase, the various stages of negotiation and the order flow through the seller organization. Barnes et al (1997) define process as the simplicity or complexity of making product delivery happen.
The last P is physical evidence, or environment. McColl-Kennedy and Kiel (2003) define this final attribute as the environment in which a service is delivered in which the seller and buyer interact before, during and after the sale. For example, brochures, reports, letterhead, business cards, facilities, and even colors used in the decor of the service area factor into the environment in which an organization carries out a service activity (McColl-Kennedy and Kiel, 2003).
Applying the 7 Ps: IKEA
IKEA, a furniture retailer and franchisor, provides an excellent case study in the application of the 7 Ps in the expanded marketing mix. The company's core product is furniture retailing, including decorations for the home and home office under its "Work IKEA" concept (IKEA.com, 2004). IKEA takes a unique approach, focusing on convincing customers to buy furniture to improve their "environment." IKEA offers a wide range of home