The Marketing Mix aka the 4 P’s BBI2O Introduction to Business Unit 4: Functions of a Business 4.D Marketing

Product Refers to an item’s name, packaging, labelling & guarantees Name A Brand Name is a word or group of words that identifies a company’s product Four Features of Good Brand Names: 1. easy to pronounce 2. easy to recognize 3. easy to remember 4. short and simple

Types of Brand Names 1. Company Name and Product Name Ex. Kellogg’s Frosted Flakes Johnson & Johnson’s Baby Shampoo Johnson & Johnson’s Baby Shampoo 2. Individual Product Name Ex. Tide, Crest, Ivory National, Private and Generic Brands National Brands are advertised and are available in all stores Private Brands are produced by national brand companies for a particular retailer. The retailer then creates its own brand name for the product. Generic Brands or No Name Brands – produced by national brand companies but without brand name and relatively simple packaging.

A brand name might include the owner/founder’s name Examples? Tim Hortons, McDonalds, WalMart Or It might include the place of production Examples? PEI or Idaho Potatoes, Florida/California Oranges When a consumer repetitively buys only one brand they are showing brand loyalty. A symbol or logo to represent the brand name is a brand mark Brand marks that are registered so no one else can use them are trademarks. © ™ ®

Packaging 1.Product/Consumer Protection 1.Container must protect product from damage (eggs), spillage (bottles) and spoilage (canned food) as well as against tampering (medicine, drink caps) 2.Convenience 1.Ease of transportation, storage and display 2.Ease of use (milk carton) 3.Single serving sizes for 1 person families (tv dinners) 3.Environmental Concerns 1.Consumers are encouraged to buy products with packaging that is easily recyclable.

Labeling Instructions for assembly, safe use and 1 st aidInstructions for assembly, safe use and 1 st aid IngredientsIngredients Manufacturer’s name and addressManufacturer’s name and address UPC stands for Universal Product Code and has three main parts: 1. MFR name identification, the 2 product name identification and a 3 check digitUPC stands for Universal Product Code and has three main parts: 1. MFR name identification, the 2 product name identification and a 3 check digit

Place Consumers must be able to buy a product when they want it A variety of retail sales methods are used to make the product available to the consumer ex. Self-service, telemarketing, e-commerce Even the physical and geographical location must be considered Businesses must choose the most effective distribution channel A distribution channel is the way a product moves from the mfr to consumer

Distribution Channels MFR direct marketing  Ex. Dell, Farmer Consumer MFR -----independent distributor  Ex. Avon, Paper Carrier Consumer MFR Retailer  Ex. Cdn Tire, Wal-Mart, Zehr’s … Consumer MFR --Wholesaler  Retailer  Ex. Costco  Corner Store Consumer Who makes it Who uses it

Price Is often determined by product demand High demand  High Price When price is low, mfrs’ profit is less per unit but more units are sold When price is high mfrs’ profit is more per unit but less units are sold Promotion Informs the consumer about a product/service and encourages their purchase through advertising, sales promotions and publicity 3 objectives: Inform, Persuade, Remind AIDA formula: Attention, Interest, Desire, Action