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Assignment On The 7Ps Of Marketing Mix (Coca- Cola and Pepsico)

Subject-PBM

Prepared By-Manoj Sachapara En.No-117550592178

Submitted to-Mr.Pratik Bhavasar SPEC-Anand

Introduction to Marketing Mix Marketing Mix is the set of marketing tools that the firm uses to pursue its marketing objectives. Marketing mix has a classification for these marketing tools. These marketing are classified and called as the Four Ps i.e. Product, Price, Place and Promotion. The most basic marketing tool is product which includes product design, quality, features, branding, and packaging. A critical marketing tool is price i.e. the amount of money that customers pay for the product. It also includes discounts, allowances, credit terms and payment period. Place is another key marketing mix tool. And it includes various activities the company undertakes to make the product accessible and available to the customer. Some factors that decide the place are transport facilities, channels of distribution, coverage area, etc. Promotion is the fourth marketing mix tool which includes all the activities that the company undertakes to communicate and promote its product to target market. Promotion includes sales promotion, advertising, sales force, public relations, direct marketing, etc.

1. The 7 Ps of Coca Cola The 7 Ps are very important in Internet marketing and can make a big difference in a successful online business. 1. PRODUCT: You need to be able to assess the market and the customers mood to understand if the product you are selling online is really in demand or not? A good product sold at the wrong time or in the wrong place might not sell as much, so you need to be educated in how someone surfing on the Internet will be attracted to buy your product. Appropriate research should be done ahead of time, at our company, Karma Snack, we can conduct marketing research for you through our business intelligence services. We help clients find the right market, demographic, and best time of year for promotion your products, and then help deploy the campaign.

2. PRICE: By assessing what people can spend for some products, analyzing the buying patterns, and knowing the trends you must intelligently set a price that will be attractive enough to the customer and yet bring you profits. If a product is in demand and the current

price is not justifying the cost, you can raise it to ensure that the overall sales will bring you profit even if you lost some customers. At Karma Snack, we help clients find the sweet spot for your products pricing by testing pricing, discounts, and doing in-depth research on your competitions bottom-line. The end goal of every campaign is to increase your profitability, which reducing costs, while increasing your market share.

3. PROMOTION: When you are promoting your product on the Internet you need to question whether you are addressing the right target audience. Even if you are getting the target audience to your website, you need to be sure that you speaking the language they understand. This way you can communicate the benefits in a way that they will understand. An effective promotional campaign will mean your advertisements and the campaign tries to reach out as many potential customers as possible. Karma Snacks team takes care of analyzing the traffic to your website, the sources of the traffic, and the average stay. We then utilizes advanced behavioral analytics and predictive analysis to get more profitable customers to your business.

4. PEOPLE: When you are doing Internet marketing you have to be able to outsource the work and hire the people to do things like write effective content. Youll want the people who can provide answers to visitors questions and provide them with the information they are looking for. It will also be necessary to effectively pass it back to the management. Lastly it is very important to ask if you have the people to share information on the product, service, or company on blogs, forums etc. by posting about it. Karma Snack helps clients with all of this by utilizing their in-house team of copywriters, without additional charges to your campaign.

5. PLACE: Obviously in the world of Internet marketing, your website is the place where all transactions happen. How interactive is your website? How user-friendly is it? How

easy is it to navigate for the customer? These questions are very important to attract and retain customers. Karma Snack utilizes A/B Split Testing, and Multi-variate testing on an ongoing basis, to constantly improve your websites performance, increase the amount of traffic which converts into a sales/lead/ or a content. We test color schemes, buttons sizes, images, photos, layouts, and are always improving your website. Your website has to constantly evolve, there are times where your website will not look like it did a week ago, a month from now, or a year from now. We are data centric, so all changes and improvements have to be justified by increased ROI for you.

6. PROCESS: It is very important for Internet marketing too. You need to ask if you have resiliency in your site, the ability to handle large number of customers, the proper support at all times, and a system to answer FAQs. Karma Snack scales campaigns according to each clients needs. There are times clients tell us to scale back the efforts since they cannot handle the volume, and have to expand resources, and we adjust campaigns accordingly.

7. PHYSICAL EVIDENCE: Online, it is difficult for the customer to know how the product is going to benefit them. So it will be necessary to communicate in a way that the customer will be able to feel confident in purchasing a product or service. You can do reports and articles that will excite the customers about the product and the service. Video and images also help the customer feel comfortable. If you talk to a Karma Snack representative, you can learn about how we take care of Video, images, content, reviews, articles, and sync all of your offline and other online marketing campaigns for accountability.

2. The 7 Ps of Pepsico Product The Pepsi-Cola drink contains basic ingredients found in most other similar drinks including carbonated water, high fructose corn syrup, sugar, colorings, phosphoric acid, caffeine, citric acid and natural flavors. The caffeine free Pepsi-Cola contains the same ingredients but no caffeine. Some of the different and varied brands of Pepsi are as follows: 1. 2. 3. 4. 5. 6. 7. All Sport Aquafina Caffeine-Free Pepsi Crystal Pepsi Diet Pepsi Mirinda Mountain Dew

8. 9. 10. 11. Price

Mountain Dew AMP Mountain Dew LiveWire Mountain Dew MDX Mug Root Beer

Pepsi again decides it price on the basis of competition. The best think about the company Pepsi is that it is very flexible and it can come down with the price very quickly. The company is renowned to bring the price down even up to half if needed. But this risk taking attitude has also earned Pepsi losses. Though lowering the price would attract the customers but it would not help them cover up the cost incurred in production hence causing them losses. This was the situation earlier but now Pepsi is a full-fledged and growing company. It has covered all its losses and is now growing at a rapid rate. Place Place is a term that has a variety of meanings in a dictionary sense, but which is principally used in a geographic sense as a noun to denote location, though in a sense of a location identified with that which is located there. In marketing, place refers to one of the 4 P's, defined as "the market place". It can mean a geographic location, an industry, a group of people (a segment) to whom a company wants to sell its products or services, such as young professional women (e.g. for selling cosmetics) or middle-aged family men (e.g. for selling family cars). Pepsi again has spread worldwide. Pepsi when entering a new market does not go in alone but it looks for partners and mergers. Till now Pepsi has collaborated with companies like Quaker Oats, Frito-lays, Lipton, Starbucks, etc. Pepsi like Coke has spread all over the world. It is because of this worldwide spread that now it is coming up with Advertisements which can be broadcasted in the different nations in the world. The recent example with would be the Pepsi advertisements having David Beckham as it brand ambassador.

Promotion Promotion is one of the four aspects of marketing. Promotion comprises four subcategories: 1. 2. 3. 4. Advertising Personal selling Sales promotion Publicity and public relations

The specification of these four variables creates a promotional mix or promotional plan. A promotional mix specifies how much attention to pay to each of the four subcategories, and how much money to budget for each. A promotional plan can have a wide range of objectives, including: sales increases, new product acceptance, creation of brand equity, positioning, competitive retaliations, or creation of a corporate image.

Both the companies Pepsi and coke are famous for their promotions. The rivalry was first started when Pepsi started with its blind taste tests known as the Pepsi Challenge. The challenge is designed to be a direct response to critics who allege that Coca-Cola and PepsiCola are identical drinks, with no meaningful differences. The challenge takes the form of a taste test. At malls, shopping centers and other public locations, a Pepsi representative sets up a table with two blank cups, one containing Pepsi and one with Coke. Shoppers are encouraged to taste both colas, and then select which drink they prefer. Then the representative reveals the two bottles so the taster can see whether they preferred Coke or Pepsi. If Pepsi is revealed, the shopper is given a small prize. The implication is that Pepsi tastes better than Coke, and thus consumers should purchase Pepsi.

In blind taste tests, more consumers prefer the taste of Pepsi to that of Coca-Cola. Because Coke was the historical leader, more people expected that they'd prefer and select Coke. Their surprise at picking Pepsi in the blind taste test (products were served in unmarked cups)

helped change their minds about which product they prefer. Capturing this on film, Pepsi turned this into a memorable TV campaign that lasted many years. Also ad-campaigns are put up on the television by both the players. The following statistic just tells of much of share of ads on TV are captured by these players.