User:Daysen

HOW THE INTERNET HAS CHANGED THE MARKETING MIX

The internet has changed the way business is done in the current world. The variables of segmentation, targeting and positioning are addressed differently. The way new products and services are marketed have changed even though the aim of business in bringing economic and social values remain unchanged. Indeed, the bottom line of increasing revenue and profit are still the same. Marketing has evolved to more of connectedness, due to the new characteristics brought in by the internet. Marketing was once seen as a one way, with firms broadcasting their offerings and value proposition. Now it is seen more and more as a conversation between marketers and customers.

The Four Ps The internet has significant impact on Mc Carty’s four Ps (Product, Price, Promotion, and Place). With new technology and the internet there has been a considerable shift in the ways and means of developing, promoting, placement and distribution of products. The tools available for research, sensing, and defining, realising, capturing, communicating, augmenting and sustaining value have changed. Product and Services With the internet, there is more and more the possibility for mass customization with near mass production efficiency. Customers are able to convey specific requirements that can be considered during product design and development. They may also choose features that interest them and this could decrease production cost as manufacturers only have to invest in exactly what the customers look for. Price With the easy access to prices for products and substitutes, with third party price comparators from the internet, the market reaches a near perfect competition. Customers are more prices sensitive and pricing strategy must be well thought of. Also price is now a less effective weapon as competitors have access to their rival’s prices and can easily copy and amend theirs. Place and Distribution. The internet has created a global market place. Digital products can be delivered anywhere. With non digital products logistic is the main area to focus. Promotion The best method to promote products today is an integration of the online and offline promotional mix. However, the advantage of online promotion is that it can be tracked, measured and targeted far more sophistically than offline.