Title: BMIS – L1 – QC5 – Marketing mix

A marketing mix consists of four elements: product, price, place and promotion.
Required
Which of these four elements is each of the following?

Company Action
(a) Manufacturer and supplier of PCs Providing free Nexus software with every PC supplied
(b) Car manufacturer Displaying a new model of sports car at a motor show/exhibition
(c) A company that installs domestic gas boilers Offering to take the customer’s old boiler in part-exchange for a new boiler
(d) Television company Offering downloads of TV programmes to customers’ home computer via the internet

 

(a) Product The software is an additional feature of the item that is offered to customers. It is a part of the product.

(b) Promotion Trade exhibitions are an example of promotions.

(c) Price Offering to ‘trade’ an old gas boiler in part-exchange for a new one is a way of reducing the selling price and is therefore an element of price. (It could also be argued that offering to take away and dispose of the old boiler is a part of the product).

(d) Place Downloading TV programmes through the internet is the channel of distribution for delivering the product to the customer.