Unit 9 – Creative Product Promotion P2

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Marketing Mix / Extended Marketing Mix The marketing mix is a business tool used in marketing. The marketing mix is often crucial when determining a product or brand's offering, and is often synonymous with the four Ps: price, product, promotion, and place; in service marketing, however, the four Ps have been expanded to the seven Ps or eight Ps to address the different nature of services. Promotion Promotion is an important marketing activity; it’s a component of the marketing mix. The marketing mix consists of the Product, Price, Place, Promotion, People, Packaging, Physical Evidence and Processes. When doing promotion, the features and benefits of the product must be included in ever promotion activity. Introduction of Skoda Skoda is one of the four mainstream brands under Volkswagen group. Its cars are based on VW’s platforms and are mostly developed in Germany. Benefited by the lower labour cost, its cars are usually seen as cut-price Volkswagen, with less sophisticated features of course but the build quality nearly matches the German brand. This helps Skoda establishing a reputation of good value for money. Marketing Mix in relation to the Promotion of Skoda Product The product is the item that any business is trying to sell in order to create profit. On Skoda, they must promote them by putting the description, logo and website and any other derails of customer service. Price The price is the amount of money it costs for consumers to be able to buy the products. The price is a big factor of promotion and when Skoda tries set the price as low as possible or even gives out big discount to all customers. This could be free car insurances, free service or even cash back. This not just going to increase sales profit, it will also set a good relationship to the other insurances provider or even local MOT/ Service. Place The place is where the

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