The Marketing Mix

Post on 18-Nov-2014

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Marketing Mix explained with examples - Clinic shampoo, Vicks...

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FORMAT OF SESSION

• HOW THE MIX ELEMENTS WORK IN TANDEM.

• HOW THE MIX ELEMENTS CHANGE FOR DIFFERENT PRODUCT MARKET SITUATIONS.

THE MARKETING MIX

CLINIC SHAMPOO

• PLATFORM OPTIONS: COSMETIC OR MEDICATED.

• WITHIN MEDICATED: PROPHYLACTIC OR SPECIFIC.

CLINIC – THE RESEARCH

• SURVEYS SHOWED THAT DANDRUFF WAS A PROBLEM IN INDIA.

• DANDRUFF REMOVAL WAS BY A BRAND CALLED “SELSUN” – A MEDICINE.

• SHAMPOOS: NOT USED FOR DANDRUFF REMOVAL.

CLINIC – THE PLATFORM

• “THE SHAMPOO WHICH REMOVES DANDRUFF”.

IMPLICATIONS

• CLINIC IS A SHAMPOO.• IT IS NOT A COSMETIC.• IT REMOVES DANDRUFF.• IT HAS MEDICINAL ABILITIES.

WORKING IN TANDEM

• THE “P” WHICH COMMUNICATES WITH THE AUDIENCE IS PROMOTION?

• IF OTHER “P”s ALSO COMMUNICATE, COSTS ARE SAVED.

CLINIC - THE PRODUCT

• COLOUR: BLUE – “DISTANCE”.• PACKAGING: NOT “FRIVOLOUS”.• NAME: “CLINIC”.

CLINIC - THE PRICE

• HIGHER: WILL IT DRAW CONSUMERS?

• LOWER/AT PAR: WILL THE PLATFORM BE CREDIBLE?

THE PLACE

• DISTRIBUTION DECISIONS ARE AFFECTED BY TWO VARIABLES – LEVEL OF INVOLVEMENT AND THE BASKET OF GOODS.

• CONCEPT OF “DEPTH” AND “WIDTH”.

CLINIC - THE PLACE

• BASKET OF GOODS: MEDICINE STORES.

• LOI: HIGHER THAN COSMETICS – HENCE LIMITED AVAILABILITY WITH RESPECT TO WIDTH VIS-À-VIS COSMETIC SHAMPOOS.

CLINIC - THE PROMOTION

• BY NOW, YOU HAVE TOLD THE CONSUMER THAT WE ARE MEDICINAL, AND NOT A COSMETIC.

• ALL THAT PROMOTION HAS TO DO IS TO SHOW HOW IT WORKS.

• HENCE, “SHOW HOW, BEFORE AND AFTER” + USAGE OF MASS MEDIA.

VELVETTE

• THREE MAJOR PROBLEMS: HLL, PONDS AND COLGATE PALMOLIVE.

• OBJECTIVE: TO LAUNCH A COSMETIC SHAMPOO WITHOUT WAKING THE GIANTS.

PHYSICS OF A LAUNCH

• THE CONCEPT OF “MOMENTUM” IN PYHSICS.

• EQUALLY APPLICABLE IN MARKETING.

HOW DO WE DO THIS?

• HOW CAN WE LAUNCH A PRODUCT WITHOUT WAKING UP THE GIANTS?

VELVETTE -THE SOLUTION

• DO NOT EAT INTO THE GIANT’S MARKET SHARE – BRING IN NEW CONSUMERS.

• DO NOT BE AVAILABLE IN THE SAME OUTLETS AS THE GIANTS – THE PLACE STRATEGY SHOULD REFLECT THIS.

THE RESEARCH

• SHAMPOOS HAD CROSSED THE STAGE OF “FEAR OF CHEMICALS”.

• THE BOTTLENECK TO GROWTH WAS “COST OF TRIAL”, ALSO KNOWN AS “DOWN PRICE BARRIER”.

VELVETTE - PRODUCT

• FIRST TO USE SACHETS.• MAIN OBJECTIVE: BRING IN NON-

USERS.

VELVETTE - PRICE

• RS 1/- IS THE COST OF TRIAL.• COST OF TRIAL REDUCED FOR

RETAILER.• NOT COST EFFECTIVE FOR

EXISTING SHAMPOO USERS.

VELVETTE - PLACE

• THE PAAN SHOP WAS THE MAIN OUTLET, AVOIDING THE GIANTS.

• MAIN TARGET AUDIENCE: MEN.• SHELF SPACE CREATION.

VELVETTE - PROMOTION

• THE “WHOLE FAMILY” USES IT.• PREPARING THE GROUND FOR

LAUNCH OF THE BOTTLED VARIANTS WHEN MOMENTUM HAD BEEN GAINED.

VICKS COUGH DROPS

• PURCHASE OF DRUGS IS DIFFERENT FROM OTHER PRODUCTS.

• BUYER, INFLUENCER (DOCTOR), CHEMIST AND COMPANY ARE 4 PLAYERS IN THIS TRANSACTION.

THE PHARMA “CYCLE”

• THE RELATIVE IMPORTANCE OF THE 4 PLAYERS DEPENDS ON THE DEGREE OF SERIOUSNESS ATTACHED TO THE AILMENT.

THE VICKS PLATFORM

• VICKS FELT THAT COUGHS WERE SO COMMONPLACE THAT THE KEY DECISION MAKER IS THE CONSUMER. HENCE, TARGET THE CONSUMER WITH THE PLATFORM OF “CONVENIENT RELIEF FROM COUGHS”.

THE BIG RISK

• YOU WILL PERMANENTLY ALIENATE DOCTORS – AND IT’S A ONE WAY TICKET.

• CONVERT THE PRODUCT INTO A FMCG FROM A DRUG. REORGANISE INTERNAL MINDSETS.

VICKS – THE PRODUCT

• TASTE: NOT TOO “MEDICINY”.• COLOUR: NOT “FORBIDDING”.• PACK: FRIENDLY.

VICKS – THE PRICE

• HIGHER: DANGEROUS?• LOWER: ARE YOU A COUGH

REMOVER OR A LOZENGE?

VICKS – THE PROMOTION

• TELL THE CONSUMER THAT A COUGH IS NO BIG DEAL. IT’S “KHICH KHICH”.

• EVEN A CHILD CAN TELL YOU THE SOLUTION TO “KHICH KHICH”.

• THE LION KING.

VICKS – THE PLACE

• BASKET OF GOODS: MEDICINE SHOPS.

• CONSCIOUS STRATEGY AND A GAMBLE: PAAN SHOPS.