Marketing

Marketing practices is a management process which goods or services move from concept to customer. Marketing can also be defined as a kind of thinking based on the business about the satisfactory and the needs of a customer. Besides, marketing of a company can be used as a tool of distribution of goods and services, distribution being understood in a broader sense than the normal economical one. Marketing practices include the activities all engaged in the transfer of goods from producers to customers, not only those who buy and sell, wholesale and retail, but also those who develop, warehouse, transfer, insure, finance, or promote the product, they also lend a hand in the process of marketing. Marketing mix, something which can influence the decision in making a business decision, fall into seven controllable categories: product, price, place, promotion, people, process and lastly physical evidence. First, the product. It is a tangible object or an intangible service that is mass produced or manufactured in a large scale with a specific volume of units. Every product is subject to have a life-cycle including a growth phase followed by an eventual period of decline as the market approaches market saturation. A product will have to retain its competitiveness as well as freshness to attract customers, in order to do that, product differentiation is needed, and is one of the strategies to differentiate a product from its competitors. Examples of product decisions that can be made are: brand name, functionality, styling, quality, safety, packaging, repair and support, warranty, and accessories. Price is the amount of a customer pays for a product. This refers to the process of setting a price for a product, including discounts, besides, the price need not be monetary, it can simple be what is exchanged for the products or services. Pricing is difficult as it had to be reflected with the supply and demand relationship. There are pricing decisions to be made like, pricing strategy that includes penetration pricing, skimming pricing, competition pricing, product line pricing, bundle pricing, psychological pricing, premium and optional pricing. Place can be defined as the location where a product can be purchased or how the product and services gets to customer. Besides, place also represents how the environment in which the product is sold affects the sales of the product and it also represents any physical store as well as virtual stores on the Internet. Some examples of placing decisions are: distribution channels, market coverage, specific channel members, inventory management, warehousing, distribution centers, order processing places and members, transportation and reverse logistics. Promotion means all the communications that a marketer may use in a marketplace and the communication of information about the product with the goal of generating a positive customer response. Promotion has four distinct elements: advertising, public relations, personal selling and sales promotion. Advertising covers any communication that is paid for, public relations are where the communication is not directly paid, and word of mouth is any informal communication about the product by any individuals. A successful product or service means nothing unless the benefit of such a service can be communicated clearly to the target market. People means all of the people involved with consumption of a service are important. It also defines the market segmentation, mainly demographic segmentation. It addresses particular class of people for whom the product or service is made available. Besides, it refers to how your level of service and the expertise and the skills of the people working for you can be used to set you apart from your competitors. To be successful in business, you must develop the habit of thinking in terms of exactly who is going to carry out each task and responsibility. In many cases, it's not possible to move forward until you can attract and put the right person into the right position. Process is the procedure, mechanism and flow of activities by which services are used. Other than that, it is also the procedure of how the product reaches the hands of the users. It is also the process involved in providing the service and the behaviour of the people, which can be very crucial to customer satisfaction and loyalty to the company. Last but not least, physical evidence. Physical evidence means that the marketing strategy should include effectively communicating their satisfaction to potential customers. Unlike a product, a service can’t be experienced before it is delivered. This means for a customer choosing to use a service there can be an element of risk. Any uncertainty can be reduced by helping potential customers to ‘see’ what they are buying. Case studies and testimonials can provide evidence that your company keeps its promises. Physical evidence is an essential ingredient of the service mix; consumers will make perceptions based on their sight of the service provision which will have an impact on the organisations perceptual plan of the service. Tiger Airways is a leading low-cost carrier around Asia, the marketing mix of the company can be divided into seven parts. The first part, product, Tiger Airways is an airline providing low-cost flights domestically and internationally. The product or service provided is air flight and this is high cost product which very few of the companies providing it. Tiger Airways provides flights to Singapore, Hong Kong, and many places around Asia. The prices of the products will be RM23.00 (without tax and charges) from Malaysia to Singapore, RM100.00 (including tax and charges) from Malaysia to Singapore. The prices is among the lowest in all airlines, the only competitor in Asia is AirAsia which also provides low cost flights around Asia. The prices are set on cost-based and competitor-based. The promotion is set through advertisements on TV, flyers and newspapers. Besides, Tiger Airways has their own website promoting their flights. The place is in the airport of Penang, the airport of KL, the airport of Singapore and the airport of Indonesia. Customers also can buy the tickets through Internet and print it out for uses in the airport. The people in Tiger Airways have their own uniforms which look lively in white and orange colour, and their services are focused on being friendly and servicing with a smile concept. The process is transparent to the public, as it is being shown in airports on their services and their aeroplanes. Lastly, their physical evidence is the feedback from customers which is positive about their airbuses and the services, because of the friendly and kind services provided. Other than that, their airbuses are not only cheap, they are safe and comfortable to ride on.