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4.6: The extended marketing mix of seven P's (People (Getting Good…
4.6: The extended marketing mix of seven P's
People
Why People?
refers to employees and managers & how they relate and communicate with customers
people employed can give competitive advantage
can also lead to poor customer reaction & disloyal clients
customers make judgments about service based on the people representing the business
People Online
employ people who genuinely believe in the products or services that the online business sells
more likely to give managers honest feedback
Getting Good People
well-trained, confident and well-motivated employees who deal with customers in an efficient, speedy manner create loyalty
much cheaper to keep existing customers than to find and attract new ones
Employees require:
appropriate interpersonal skills and training
an aptitude for dealing with people
service knowledge in order to deliver a quality service
hire the right people: ‘got the right people on the bus, and the wrong people off the bus’.
‘get the right people in the right seats on the bus’
Process
Why Process?
process
: procedures and policies that are put in place to provide the service or the product to the consumer
the system used to deliver the goods or services
speed and efficiency depend on the process
processes mean that everybody in the organisation knows what to do and how to do it
customer expectations:
short waiting times
quality information given to customers
helpfulness and knowledge of employees
The Importance of Changing Process
processes must change for businesses to remain competitive
retail shopping :arrow_right: online shopping
businesses that fail to adopt technologically advanced processes will not attract customers
processes to fit in with their lifestyles and expectations
Physical Evidence
Why Physical Evidence?
physical evidence
: the ways in which the business and its products are presented to customers
the way the business’s goods or service ‘appears from the outside’
where the service is being delivered from (location)
the appearance and state of repair/decoration of retail shops
help distinguish a company from its competitors
used to support the charging of a premium price for a service
establish a positive customer experience
customers will make judgments about the organisation based on the physical evidence
Examples
can also refer to the appearance of employees and how they dress and act
intangible products
: a nonphysical product – a service – provided to a consumer
tangible products
: a physical object that can be touched
size, shape, colour, material, printed information for customers, barcode and label of the packaging
Consistency with other Elements of the Mix
justify a high-quality restaurant status that has excellent food, a strong positive brand image and a price to match if the premises themselves are of poor quality
the physical environment has to feel right and be in line with customers' expectations
customers use all senses to make judgements
:eye: :ear::skin-tone-3: :nose::skin-tone-3: :hand::skin-tone-3: :stuck_out_tongue:
Seven P's Model in a Service-Based Market
the combined seven P's marketing mix forms the strategy that a service-based business will adopt to win and keep customers
each element must be integrated with all other elements
Cecilia Martínez A01197738