Marketing mix
Technology has had a significant impact on the way that businesses market their products and services. The speed at which technology develops means that successful businesses need to be flexible and adapt to change, so that they can respond quickly to customers.
Technology affects the A description of the five basic elements of marketing - price, placement, product, promotion, people. 鈥 product, price, place and promotion 鈥 in various ways.
The impact of digital communication systems on the marketing mix
Digital communication can have a significant impact on the marketing mix of a business:
| Product | Products can be adapted and accessed easily in a format that is convenient to the customer. |
| Price | Money saved by using digital communication can help a business to keep its prices low. |
| Place | Customers can access services regardless of where they are, eg through mobile banking apps. |
| Promotion | Businesses can email newsletters, track customer behaviours on social media and their website, and advertise online. |
| Product |
| Products can be adapted and accessed easily in a format that is convenient to the customer. |
| Price |
| Money saved by using digital communication can help a business to keep its prices low. |
| Place |
| Customers can access services regardless of where they are, eg through mobile banking apps. |
| Promotion |
| Businesses can email newsletters, track customer behaviours on social media and their website, and advertise online. |
The impact of e-commerce on the marketing mix
The buying and selling of goods and services online. can affect all four areas of the marketing mix:
| Product | Customers can download digital products (eg music tracks or e-books) immediately after payment. |
| Price | Customers can compare prices across online sellers easily, so prices need to be competitive. |
| Place | Selling online provides another way for customers to make a purchase at any time, wherever they are. |
| Promotion | Promotional offers or 鈥榝lash sales鈥 are easy to implement through an e-commerce website. |
| Product |
| Customers can download digital products (eg music tracks or e-books) immediately after payment. |
| Price |
| Customers can compare prices across online sellers easily, so prices need to be competitive. |
| Place |
| Selling online provides another way for customers to make a purchase at any time, wherever they are. |
| Promotion |
| Promotional offers or 鈥榝lash sales鈥 are easy to implement through an e-commerce website. |
The impact of social media on the marketing mix
Social media is an interactive computer based technology that allows the user to create and to share information and ideas through virtual communities and networks. can also influence all four areas of the marketing mix:
| Product | Product information can be shared using video demonstrations where appropriate. |
| Price | Cost savings may enable a business to lower its prices. |
| Place | Businesses can interact with customers around the world, regardless of location. |
| Promotion | Social media is a cost-effective way of targeting promotions at specific groups of customers. |
| Product |
| Product information can be shared using video demonstrations where appropriate. |
| Price |
| Cost savings may enable a business to lower its prices. |
| Place |
| Businesses can interact with customers around the world, regardless of location. |
| Promotion |
| Social media is a cost-effective way of targeting promotions at specific groups of customers. |
The impact of payment methods on the marketing mix
Payment methods may have a less direct impact, but they can still affect the marketing mix of a business:
| Product | Online payment methods allow digital products to be purchased easily. |
| Price | Any fees incurred through the use of specific payment methods need to be accounted for when setting the price of a product. |
| Place | New payment methods have facilitated the ability to sell products online. |
| Promotion | Businesses can promote the fact that they offer a variety of ways for a customer to pay, eg cash, card, PayPal. |
| Product |
| Online payment methods allow digital products to be purchased easily. |
| Price |
| Any fees incurred through the use of specific payment methods need to be accounted for when setting the price of a product. |
| Place |
| New payment methods have facilitated the ability to sell products online. |
| Promotion |
| Businesses can promote the fact that they offer a variety of ways for a customer to pay, eg cash, card, PayPal. |