Group 7 Course Work Mkting Mix

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MAKERERE UNIVERSITY

COLLEGE OF BUSINESS AND MANAGEMENT SCIENCES


SCHOOL OF BUSINESS

MASTER OF BUSINESS ADMINISTRATION YEAR 1


COURSE UNIT : MARKETING MANAGEMENT
COURSE CODE : 7202
FACILITATORS : PROF. PETER K. TURYAKIRA
DR. SARAH BIMBONA
ACADEMIC YEAR: 2021/2022

QUESTION SEVEN- (GROUP 7)


GROUP MEMBERS Registration Number
1 Sarah Namugenyi 2021/HD06/20523U
2 Sadiq Sekiswa Luutu Harun 2021/HD06/20571U
3 Janet Betty Nabisere 2021/HD06/20499U
4 Charles Katongole 2021/HD06/20441U
5 Martine Rugamba 2021/HD06/20568U
6 Simon Peter Kyomuhendo 2021/HD06/20466U

Topic: Marketing Mix Analysis of a Company

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CONTENTS
INTRODUCTION.............................................................................................................................3
1. LITERATURE REVIEW.........................................................................................................4
1 MARKETING IN GENERAL.......................................................................................................4
Definition of marketing.................................................................................................................4
1.2 Marketing process..............................................................................................................4
1.3 Marketing Strategy.............................................................................................................4
2. MARKETING MIX......................................................................................................................5
2.1 Product................................................................................................................................6
2.1.1 Product classification..................................................................................................7
2.1.2 Additional features of a product.......................................................................................8
2.2 Price....................................................................................................................................9
2.2.1 Price objectives................................................................................................................9
2.2.2 Pricing strategy...............................................................................................................10
2.2.3 Price adjusting................................................................................................................10
2.3 Place.................................................................................................................................11
2.3.1 Distribution channels.....................................................................................................11
Types of distribution channels................................................................................................12
2.4 Promotion.........................................................................................................................14
2.4.1 Promotion mix................................................................................................................14
2.5.1Services marketing……………………………………………………………………25
II. ANALYSIS..........................................................................................................................18
3 INTRODUCTION OF COMPANY...........................................................................................18
4 MARKETING MIX OF THE COMPANY.................................................................................18
4.1 Product..............................................................................................................................18
4.2 Price..................................................................................................................................19
4.3 Place.................................................................................................................................20
4.4 Promotion.........................................................................................................................21
CONCLUSION...............................................................................................................................22
5. Services Marketing………………………………………………………….………….23
REFERENCES................................................................................................................................25

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ABSTRACT
This paper aims at analysing marketing mix of 2 selected companies one for tangible and other
for intangible products. It is presented in two parts, the literature review and analytical. The
literature review contains theoretical part that aims at explaining the function and role of
marketing mix and explains each element of marketing mix. The analytical part aims at analysing
elements of chosen company’s marketing mix and based on the analysis, and suggest some
recommendations

INTRODUCTION
Generally, marketing involves a wide range of approaches. Among them, the 4P’s of marketing
has been the most popular and it plays important role in marketing. Therefore, having knowledge
about functions of marketing mix and being able to analyze its elements are valuable ability for
one’s future career. Regarding these reasons I chose marketing mix analysis as a topic of my
bachelor thesis.
The theoretical part has two parts. The first part explains marketing in general in order to define
the function and role of marketing mix in it. In the second part, elements of marketing mix;
product, price, place, and promotion are explained in detail.
The main aim of the analytical part is to conduct a marketing mix analysis on a chosen company
and to recommend possible actions that can improve 4Ps of the company based on the analysis.
Harris International is chosen for tangible products and Mulago Specialised Women and
Neonatal Hospital. These were chosen as the company to be analysed due to the personal contact
and experiences. Therefore, the primary data can be achieved conveniently. This part consists of
two parts. In the first part, a brief introduction and in the second part, the company’s marketing
mix is explained and analysed.
The final part of this paper is the recommendations that included certain ideas which will help to
improve the function of 4P’s of Harris International and the 7Ps Mulago Specialised Women and
Neonatal Hospital

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1. LITERATURE REVIEW

1 MARKETING IN GENERAL
Definition of marketing
“Marketing is not the art of finding clever ways to dispose of what you make. It is the art of
creating genuine customer value.” Philip Kotler
‘’Marketing is the social and managerial process by which individuals and groups obtain what
they need and want through creating and exchanging products and value with others. (Kotler and
Armstrong 2005, 3)
From the definition, it seems that marketing can be understood as a process of finding possible
needs of customers and satisfying them. As a result of this process, an organization makes profit,
which is practically an organization’s basic objective. On the other hand, customers remain
satisfied with the offering. In short, marketing is simply “meeting needs profitability”. (Kotler
and Keller 2007)
1.2 Marketing process
According to marketing specialists, a marketing process has five steps.
1. Understand customer needs and wants
2. Designing a customer-driven marketing strategy
3. Construct a marketing program that delivers superior value
4. Build profitable relationships and create customer delight
5. Capture value from customers to create profits and customer quality (Kotler and
Armstrong 2005)
1.3 Marketing Strategy
. As McCarthy mentioned in his book, “marketing strategy basically means selecting a target
market and creating a related marketing mix.” (Cannon, Perreault and McCarthy 2008)
A process of selecting a right target market for one’s company starts with a market segmentation.
“It is a process of dividing market into distinct groups of buyers who have distinct needs,
characteristics, or behavior and who might separate products or marketing mixes.” (Kotler and
Armstrong 2005, 47)
The next process which comes after the selection of a target market is to think about how to
satisfy the needs of this certain group of customers or what kind of product features we offer.
These features are called the elements of marketing mix or “the controllable variables the
company puts together to satisfy this target group”. (Cannon, Perreault and McCarthy 2008, 33)

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2. MARKETING MIX
The aim of this chapter is to give an understanding of what marketing mix elements are and to
clarify characteristics and role of each element.
After a firm chose what kind of customers it wants to appeal, it has to go through many obstacles
and make a lot of decisions in order to deliver the product to final consumers. In other words,
there will be thousands of factors that will both positively and negatively affect a firm’s
marketing activity. Some of them are controllable and some are not. The factors which are
controllable are called marketing mix. The factors that a firm cannot control are marketing
environment. Political-legal, economic, technological, social-cultural environments are included
in marketing environment. (Kurtz and Boone 2006) In this case, a firm tries to create a market
mix that fits into the marketing environment rather trying to control them.
And these are known as the 4 P's of Marketing typical for a tangible product and then additional
3Ps which are People, Process and Physical evidence for services marketing. Figure 2 shows the
variables that each element of marketing mix covers.
Marketing Mix
Product: Price: Place: Promotion:
Physical good Objectives Objectives Objectives
Service Flexibility Channel types Promotion blend
Features Level over product Market exposure Sales people
Benefits life cycle Kinds of middle Advertising
Convenience of use Geographic terms men Kinds and Sales promotion
Quality level Discounts location of store Publicity
Accessories Allowance How to handle
Skimming transporting and
Installation
Penetration storing
Instructions Value based
Warranty Cost plus
Cost leadership
Product lines Service levels
Packaging Managing channels
Branding
Figure 2: Elements of Marketing Mix (Cannon, Perreault and McCarthy 2008, 36)

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2.1 Product
“A product is anything that can be offered to a market to satisfy a want or need, including
physical goods, services, experiences, events, persons, places, properties, organizations,
information, and ideas” (Kotler and Keller 2007, 148).
A product can also refer to a bundle of benefits a seller offers to a consumer at a price. Hence a
product can be tangible or intangible or a blend of both like a text book.
A text book is a tangible good that we can touch and own, we read the book and get information,
idea.
To be successful in today’s business world, one must have the right product. The right product
has to satisfy the needs of the customers, the customer should know how and where to use it,
easily identifiable with a catchy name, well designed and packaged distinctive from its
substitutes.
The business has to maintain the uniqueness of its product by continually adding customer value
in order to beat off competition. To increase the customer value, marketers have to add certain
features to the product at certain levels.
According Kotler, market offering or product is planned at three levels; core benefit, actual
product, and augmented product. Each product level is created by adding values to the basic
product. The core benefit is the first level and it is the basic benefit that customers purchase. At
the second level, by developing product features, the core benefit is turned into an actual product.
An actual product is a product that has certain features such as quality, design, packaging, and a
brand name. Lastly, an actual product becomes an augmented product when a marketer adds a set
of attributes and conditions to it. (Kotler and Armstrong 2005)
From what is mentioned above, it seems clear that a firm should try to find possible ways to
make their core benefit into augmented product. However, sometimes a single product is not
enough to meet the needs of target customers even it was an augmented product. Therefore, a
firm can offer several products which can be similar to each other or offers completely unrelated
product.

Product mix of a firm.


A product mix has four important dimensions. Width, length, depth, and consistency.
i. The width of a product mix shows how many different types of fields the firm is involved in.
ii. The length of a product mix reveals the number of products a firm sells and
iii. The depth refers to the variations in each product.

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iv. Consistency refers to the products relation to the final use, requirements of product,
distribution channels etc. (Kotler and Armstrong 2005)

2.1.1 Product classification


Product is broadly classified on the basis of use, durability and tangibility.
1. Based on use.
The product can be classified as
i. Consumer good
ii. Industrial good
A. Consumer Good.
It is a good that customers buy for their personal use or a product that can be immediately used.
It is a product meant for end users and can also be called Business to Consumer (B2C) product.
It is further classified into four groups according to consumers buying habit or the concept of
how they perceive the product and shop for it.
• Convenience product.
It is a product purchased frequently and customers spend less time, effort, and money in order to
buy it. This good is bought frequently without much planning or shopping effort and consumed
quickly. Buying decision for this product does not involve much pre-planning. Such a good is
normally sold at convenient retail outlets like soft drinks.
• Shopping product.
This is a product not frequently bought but when it comes to purchase, it requires some time and
effort like clothes, shoes, household items. For this product, a consumer makes choice
considering its suitability, price, style, quality and substitutes. For these goods, consumers spend
a lot of time and effort to finalise their purchase decision since they less information before
making their journey to buy.
• Specialty product.
This is a product that a customer really wants and makes a special effort to find it and brand
identification and unique characteristics are important to them. The customer is ready to buy this
product at its offered price. However, before making trip to purchase, the buyer normally makes
research to get information about this product, its substitutes and its brands so that he is sure of
getting the right product to satisfy his want or need. Examples of such goods include cars, TV
sets, laptops.
B. Industrial products

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These are products that can be used in further production process and bought by business units,
not by final customers. They are also called Business to Business (B2B) products. They are
grouped into 3:
i. Materials and parts that consist of raw and manufactured materials and parts.
ii. Capital items that are long-lasting products that are used in manufacturer’s production
or operation. Installations and accessories are part of capital items.
iii. Supplies and services are the short-term products that have features of supplement and
service eg lubricants (Kotler and Armstrong 2005)

The buyers of industrial products are normally knowledgeable, cost conscious and rational in
their purchase decisions thus marketers follow distinctive pricing, distribution and promotional
strategies for their sale.

2. Based on durability:
a. Durable products:
Products used for a long period like cars. These goods normally require more personal selling
efforts and fetch high profits. Purchase decisions for durable goods normally depend on seller’s
reputation, pre-sale and after-sale services.
b. Perishable products:
These are products consumed for short period of time like drinks, soap. They are consumed
quickly and are often purchased. These are normally sold through convenient retail outlets. They
normally fetch low profit margins but heavy advertisement is done to attract customers
3. Based on tangibility:
i. Tangible product
These have a physical form. They can be touched and seen like soft drinks, raw materials,
machinery.
ii. Intangible product
These are services, activities that are meant to satisfy the needs and wants of a consumer.
These include medical treatment, banking, insurance services, and education.

Additional features of a product


Additional features should be made to a product to make it more competitive in the market.
These include Branding, packaging, labelling, warranties, and guarantees.
i. Branding.
This involves the use of a name, term, symbol, or design – or a combination of these to identify
the product. It includes the use of brand names, trademarks, and practically all other means of
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product identification. (Cannon, Perreault and McCarthy 2008, 248) Brand names make the
process of buying and selling easy. From the firm’s point of view, it makes selling easy and
requires less effort from marketing managers because for the customers, brand product stands for
quality, trustworthiness and other positive feelings and they do not hesitate to choose the product.
ii. Packaging
This is not only for protecting the product but nowadays it is also for promoting, and enhancing
the product. (Cannon, Perreault and McCarthy 2008, 248 - 257)
Good packaging makes a product easy to store and use. It can make the product stand out from
similar products.

A warranty explains what the seller promises about his product. (Cannon, Perreault and
McCarthy 2008, 257). For example, 90-day warranties, refunds or replacements, and repairing
services can be included in warranty.

One of the common guarantee types is to compensate the loss of a customer if the quality of the
good or service could not match their expected level.

2.2 Price
Price is what a customer must give up to get the benefits offered by the rest of a firm’s marketing
mix, so it plays a direct role in shaping customer value. (Cannon, Perreault and McCarthy 2008,
456). It is the amount of money that a buyer has to pays for a product. Price is an important
element in the marketing mix because it determines the profit margin of the business.
The price is determined by a number of factors including costs, demand, and price of substitutes.
Price changes have direct impact on sales and demand, so businesses have to follow a certain
price setting process in order to set the most favourable price.
The firm should define its price objective, then create a suitable pricing strategy that will help the
company achieve its price goal and finally adjust the price to fit and stay in business.

2.2.1 Price objectives


Before setting the price, a firm must consider what kind of pricing objectives it should go for.
Pricing objectives vary from company to company depending on their overall organizational
goal, marketing objectives and other related factors. A firm can set a price aiming at three basic
objectives.
i. Profit objective pricing.
This is about setting a price in order to get as much profit as possible.
ii. Sales maximisation pricing.
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Some firms believe that maximum sales would spontaneously lead to high profit.
Therefore, the set a minimum profit level and focus on increasing its market share in
the market.
iii. The status quo pricing objective.
This objective is mostly adopted by a firm which has its aimed profit level and market
level. The price tends be stabilized and non-price factors are taken in account
seriously. (Cannon, Perreault and McCarthy 2008)

2.2.2 Pricing strategy


In order to achieve the previously mentioned pricing objectives, a firm must create a proper price
strategy. There are three types of pricing strategies (Kurtz and Boone 2006);
1. Market skimming pricing
This is the setting of comparably higher price than the competitors. It is mostly used when
introducing new and highly distinctive product into the market.
2. Market penetration pricing.
This is where a firm offers relatively lower prices that its competitors in order to attain
customers. It is recommendation for a market where competition is so stiff.
3. Competitive pricing.
This is where a firm sets its price by matching with other competitors’ prices and tries to
distinguish itself by focusing on other marketing mix elements. This is used in a highly
competitive market where there are negligible differences in quality of competing brands.

As noted earlier, many external and internal factors must be taken in account during the price
setting process. The customers’ demand, the cost function, and competitors’ prices are the most
major considerations in setting price. (Kotler and Keller 2007)

Thus, the firm must first make research on demand in the market, then carefully examine its
internal cost function and finally must consider competitors’ prices, costs, and price change
reactions from customers.

2.2.3 Price adjusting


Depending on the competitive situation, a firm adjusts its product’s price according to the variety
of factors. These factors can be related to geographical differences, the time of deliveries,
guarantees, etc. There are five types of pricing policies that help the company to adjust the price:

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geographical pricing, price discounts and allowances, promotional pricing, differentiated pricing
and product-mix pricing (Kotler and Keller 2007).
If company operates in different location and countries, it should adjust the price considering
shipping costs, exchange rate, and lack of cash payments. As for the price discounts and
allowances, prices can be adjusted according to early and late payments, and purchase volumes.
Promotional pricing includes special event pricing, warranties, and psychological pricing.
Differentiated pricing involves activities like offering different price for different individuals like
price for students, and seniors. If a company offers more than one product, it should consider the
facts that each product’s demand differs from another thus requiring specific pricing policy.

2.3 Place
Place is also referred as a distribution channel by marketers. “Place is the activity of making
goods and services available in the right quantities and locations, when customers want them.”
(Cannon, Perreault and McCarthy 2008, 290) A place can be any physical premises like
supermarkets, stores, groceries, as well as virtual places like internet shops. The producer has to
position and distribute his product in a place that is easily accessible to buyers.

Distribution strategies.
This is a plan aimed at providing a product to the customers through the supply chain.
These include;
i. Intensive distribution.
This strategy involves the use of many middle men/retailers/wholesalers who who stock
the product in many areas where a customer is able purchase it. This is specially used for
drinks, foods, clothes.
ii. Exclusive distribution
This is where particular distributors are identified and obliged to sell a product in defined
places. Here the target market is well defined. Exclusive distribution is commonly used
by businesses dealing in luxurious and high-end products correlated to brand and prestige
image.
iii. Selective distribution
This is where companies offer their product only to particular stores or geographical areas
for distribution.
iv. Franchising
This is a distribution strategy involving a franchisor, who establishes the brand’s trade
mark and business system and a franchisee who pays a royalty for the right to do business
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under the franchisors name and system. This is normally used for uniqueness and quality
control.

2.3.1 Distribution channels


This refers to the pathway used by a producer ownership and physical state of goods to the
consumers. It involves producer, middle men and final consumers.
An efficient channel of distribution performs the following functions:
(a) It establishes a regular contact with the customers and provides them the necessary
information relating to the goods.
(b) It provides the facility for inspection of goods by the consumers at convenient points to make
their choice
(c) It facilitates the transfer of ownership as well as the delivery of goods.
(d) It assists the provision of after sales services, if necessary.

Types of distribution channels


A company should choose a distribution channels that are suitable and efficient for its business.
A company can sell its products either directly to the customers or through wholesalers, retailers,
and other agents. Typically, there are two types of distribution channels: a direct marketing
channel and an indirect marketing channel. “Direct marketing channel is a marketing channel
that has no intermediary level. Indirect marketing channel is a channel that contains one or more
intermediary level.” (Kotler and Armstrong 2005, 364).
1. Zero stage channel of distribution

M C
Manufacturer Consumer
This direct contact with the consumer can be made through door-to door salesmen, own retail
outlets or even through direct mail. This is recommended for perishable products and certain
technical household products since door-to-door sale is an easier way of convincing consumer to
make a purchase
2. One stage channel of distribution

M R C
Manufacturer Retailer Consumer

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In this case, there is one middleman i.e., the retailer. The manufacturers sell their goods to
retailers who in turn sell it to the consumers. where individual purchase involves large amount. It
is also used for distribution through large scale retailers such as departmental stores.
3. Two stage channel of distribution

M W R C
Manufacturer Wholesaler Retailer Consumer
This is the most commonly used channel of distribution for the sale of consumer goods. In this
case, there are two middlemen used, namely, wholesaler and retailer. This is applicable to
products where markets are spread over a large area, value of individual purchase is small and the
frequency of purchase is high.

4. Three stage channel of distribution

M A W R C
Manufacturer Agents Wholesaler Retailer Consumer

When the number of wholesalers used is large and they are scattered throughout the country, the
manufacturers often use the services of mercantile agents who act as a link between the producer
and the wholesaler. They are also known as distributors.

Factors influencing choice of distribution channel


a. Nature of the market.
When the number of buyers is limited, concentrated in certain locations and their individual
purchases are large as is the case with industrial buyers, direct sale may be the most preferred
choice. But where the number of buyers is big with small individual purchase and they are
scattered, then the use of middlemen becomes the most ideal.
b. Nature of the product.
A product of technical nature involving a good amount of pre-sale and after sale services is
normally sold through retailers without involving the wholesalers.
Consumers goods having small value, bought frequently in small quantities usually require a
long channel involving agents, wholesalers and retailers as the goods need to be stored at
convenient locations.
Specialised industrial machinery, having large value and involving specialised technical
service and long negotiation period requires direct sale.
c. Nature of the company.

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A firm that has enough financial resources can afford to own a distribution force and retail
outlet, can do direct distribution. These normally prefer shorter distribution channels.
However, firms that prefer to concentrate on manufacturing use middle men for distribution.
d. Nature of Middlemen.

Availability of the right kind of middlemen having the necessary experience, contacts,
financial strength and integrity, their use is preferred as they can ensure success of newly
introduced products. Though middlemen add their own margin of profit to the price of the
products, , it still remains economical to the manufacturer because they greatly improve the
inventory turnover.

2.4 Promotion
Promotion is the process of informing and persuading people to buy a given product.
“Promotion is the function of informing, persuading, and influencing the consumer’s purchase
decision.” (Kurtz and Boone 2006, 482). Promotion involves not only advertising but also other
promotional activities such as sales promotion, public relation, personal selling and direct
marketing.
The main objectives of promotion are,
i. To inform the customers that a certain product exists in the market
ii. To persuade the customers to buy the product.
iii. To remind the customers about the product and inform how different it is from others.
For any promotion to be successful and meet the vision and mission of the company, it should be
designed having the following characteristics;
a) Persuasive/convincing
b) Relevant, important, and pertinent
c) Appropriate / proper
d) Factual, it must be based on facts
e) Repetitive over and again
f) Coordinate, the real number that corresponds to a point.
2.4.1 Promotion mix
These are methods of achieving promotion objectives. An effective promotion mix will ensure
that product information reaches the potential buyers at the best time.
These promotional methods are divided into three groups: personal selling, mass selling, and
sales promotion (Cannon, Perreault and McCarthy 2008).
i. Personal selling.
This is about having face-to-face or one on-one interaction with the customers through
salespeople. It involves direct spoken communication between sellers and potential

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customers. (Cannon, Perreault and McCarthy 2008). The main advantage of this, is an
immediate feedback from the customers but requires a lot of effort and money.
Direct Selling
Is a retail channel used by top global brands and smaller entrepreneur companies to
market products and services e.g Direct mail, telemarketing, e-mail marketing, text, social
media
With direct selling we reach each customer individually i.e door to door.
Rationale for direct selling
 Development of effective customer data base
 Direct response
 Strong customer relationships
ii. Mass selling
“Mass selling is communicating with large number of potential customers at the same time.”
(Cannon, Perreault and McCarthy 2008, 370) There are two forms of mass marketing:
advertising and publicity.
a. Advertising
This is the main form of mass selling. “Advertising is any paid form of non-personal
presentation of ideas, goods, or services by an identified sponsor.” (Cannon, Perreault and
McCarthy 2008, 370).
Advertisement can be done through electronic media like television, radio, internet,
cinema commercials, and printed media like newspapers, magazines, billboards.
In the contemporary business world, internet promotion has become one of the effective
ways of promoting one’s business. Websites, banner ads, interstitials, search engines,
mass emails are the common types of internet promotion.
b. Publicity
Public relations involve communicating with your market to raise awareness of your
business, and build, manage your businesses reputation to cultivate good relationships with
customers. Public relations is focused on maintaining positive reputation of a company as a
whole. The types of public include Financial public, Media public, Government public,
Citizen public, Local public, General public and Internal public
Public relations involve - Strategic communication
- Media relations
- Community relations
- Internal communications
iii. Sales promotion.

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These are short term activities aimed at inducing consumers to buy, at middlemen to sell, or
at a firm’s own employees to increase turnover.
Sales promotions aimed at consumers include contests, gifts, coupons, samples, sponsored
events.
Price deals, promotion allowances, and trade shows are the sales promotion for middlemen.
A company can also implement a sales promotion for their employees or its own sales force
by organizing contests, bonuses, meetings, and trainings. (Cannon, Perreault and McCarthy
2008)

Services Marketing
‘Services are economic activities that create value and provide benefits for customers at
specific times and places, as a result of bringing about a desired change in or on behalf of
the recipient of the service.” (Lovelock)
“Service refers to any act that a party offers to another that is essentially intangible and
doesn’t result in ownership of anything’’ (Kotler, 1984)
Zeithaml and Bitner define services as deeds, processes and performance.
 Deeds are the actions of the service provider
 Processes are the steps in the provision of service
 Performance is the customers’ understanding of how the service has been delivered.
Examples of services include advertising, medical services, education, restaurant and hotel.
Characteristics of services
1. Intangibility:
Services are performances or actions rather than objects. They cannot be seen, or
touched
2. Inseparability of production and consumption
Services can not be separated from the person or firm providing it. A service is
provided by a person who has a particular skill like a doctor, singer, engineer.
3. Heterogeneity
Since services are performances, frequently produced by human beings, no two
services can be precisely the same. A doctor who gave a particular patient complete
attention in one visit may behave a little differently in the next visit.
4. Perishability
A service has to be consumed simultaneously with its production. It can not be stored
like a tangible good. Services are perishable in terms of delivery and time. An empty

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seat on a plane can never be utilised and charged after departure. Revenue from it or the
cost incurred once lost is lost forever.
5. No transfer of ownership.
Unlike for tangible products, when one pays for a service, he never owns it.

Service marketing mix.


This adds other 3Ps to the above 4 to make 7Ps. The extra Ps are people, process and
physical evidence.
1. People
All humans who play a role in service delivery and who influence the perceptions
of customers (Zeithaml and Bitner, 1996). It is therefore crucial for a service
company to hire right people and train them to deliver superior services to
customers.
2. Process
The actual procedure, mechanisms and flow of activities through which a service is
delivered (Zeithaml and Bitner, 1986)
The dimensions of a process’s efficiency and effectiveness:
i. Length: the number of steps that participants have to follow in order to
effect service delivery
ii. Duration: the time that elapses from the first to the last activity of the
service delivery process
iii. Logistical effectiveness: the degree of smoothness in the flow of the steps
of the service delivery process.
The company should establish an effective system and process that make service
delivery to be satisfied by the consumer.
3. Physical evidence (Tangibility)
The setting where the service is delivered (Zeithaml and Bitner, 1996)
There should be a place where the service provider and the customer interact
Physical evidence also involves any tangible components that facilitate
performance or communication of the service.
Tangibles are defined as the appearance of physical facilities, equipment, personnel
and communication material (Zeithaml, 2009). Tangible indicators in the physical
environment of a service firm influence behaviour of customers and their future
purchase decisions (Burgers et al., 2000). Consumers look at tangible elements and

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assume about the service firm and its performance (Lenka et al., 2009). These may
include the décor, furniture, building, setup.

Conclusion to literature review.


In conclusion an efficient marketing mix means employing the right people in the right processes
and systems, to provide the right product in the right place, at the right price, at the right time. In
other words, the key to successful business is by creating a certain product that satisfies
particular group of people, putting it at some place where those people often visit and pricing it at
the level which the same people think it is worth for the product.
A marketing mix that satisfies target customers will enable a firm to achieve its strategic goals
successfully and improve its current performance.

II. ANALYSIS

INTRODUCTION OF COMPANY

HARIS INTERNATIONAL LIMITED


Also, commonly known as RIHAM, is one of Uganda’s food and beverages company. It was
founded in 2005 and mainly it deals in production of food and beverages
RIHAM operates a product portfolio which comprises carbonated soft drinks including sodas,
juice and energy drinks, nnatural mineral water, and confectionaries like biscuits.
It is main office and plant is located in Kawempe Division, Kampala District.

MISSION
To provide a wide range of value-added convenient food and beverages to all our customers at
competitive prices through continuous product development, modernization in food and
beverage processing, commercialization of agro input products and establishing an efficient
distribution network whilst delivering sustainable shareholder value.
VISION
To be the best and preferred provider in the food and beverage industry in Africa.

4. MARKETING MIX OF THE COMPANY


4.1 Product
The product mix of the company covers;
1. Carbonated soft drinks: Riham Cola, Fun time, WhatsApp, Exotic Tangawinzi, Lavita
2. Natural mineral water: Riham Water, Krystal Natural Mineral Water
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3. Juices: Oner juice in pineapple, mango and apple flavours
4. Malt drink: Coffee malt
5. Energy drink: Rock Boom
6. Confectionary foods: biscuits (Riham Butter, Riham Assorted Creamy, Nice, Tea Biscuits,
Ginger, short Cake, Digestive)
The company’s well-known brands in the Uganda market are “Riham Cola, Rook boom, and
Oner Juice and Riham Digestive Biscuits.
All these products are manufactured at the Kawempe plant

The advantages that distinguish the company’s product mix from others are:
• well-known brands
• wide range of products choice
• high quality – relatively low price

Analysis
Based on this product information, it seems clear that HARIS INTERNATIONAL LIMITED
chose soft drinks and confectionary items as their major offering to the market. As it does not
offer any service along with the product, its marketing offering can be defined as a pure, tangible
good. Furthermore, its product type belongs to a consumer product, precisely, a convenient
product.
As mentioned in the theoretical part, a firm’s product mix includes width, length, depth and
consistency. As for the HARIS INTERNATIONAL LIMITED product mix, it produces over 6
types of products. Product length can be seen clear from the number of items in each list of
products. For example, HARIS INTERNATIONAL LIMITED manufactures different types of
carbonated products as shown above. As for product depth, Riham has over 6 different
brands/flavours of biscuits with the Brand name Riham, like Butter, Ginger, butter, creamy, tea,
nice, short cake.
What HARIS INTERNATIONAL LIMITED sells is mainly soft drinks and confectionaries
which are products that can be highly affected by seasonal and occasional factors. In other
words, during the hot weather, school time, customers tend to purchase more compared to the
rest of year. Therefore, the company should consider these times during the year and be certain
of sufficient product reserve.

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It is obvious that the current financial crisis affects customers in Uganda and their buying
behavior. In such times, customers reduce or even give up luxurious consumptions and stick to
the basics.
Therefore, the company should make more research on their products that are more frequently
used by customers so that they put more focus on them in terms of production and marketing.
Secondly, it should maintain its current product mix, specially the products that are well-known
in the local market

4.2 Price
HARIS INTERNATIONAL LIMITED has several product lines as mentioned in Product section.
It produces these products thus has to price them. The company adds production costs, taxes and
expected profit to get the price. Thus, the price of each product differs due to its production costs.
The company offers three types of prices: agent price, wholesale price, retailer price and this
price increases per level but still already fixed up to the retail level

Analysis
According on the formula of how HARIS INTERNATIONAL LIMITED calculates its final
price, it shows that the company’s price objective is profit-oriented, precisely a target return price
objective. All the basic costs are counted in the final price which reveals that the company has a
cost – based pricing strategy. This cost – based strategy is at the core level of pricing and the
final price is administered according to the position of distribution channel members such as the
wholesalers and retailers.
However, it is important to compare BOSA Impex’s price with six other competitors’ price. All
the major two competitors Crown Beverages (Pepsi) and Century Bottling Company (Coca-Cola)
manufacture beverages though not with the confectionaries. This means that for beverages, the
company has two main competitors and many competitors are for biscuits.
Therefore, for the pricing policy of the company, it is better for the company to stick to the
current pricing policy rather than initiating a dramatic change in the price. The financial crisis in
the country has affected every business in the country. Therefore, it is better not to try to seize
the competitors’ market share by cutting price. If the company needs to increase its current price
due to any reasonable cause, the change must be made slowly.

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4.3 Place
For HARIS INTERNATIONAL LIMITED, the distribution channel is one of the most important
factors that help its product to stay closer to the customers. Therefore, the company sells its
product both directly to the customers and through intermediaries. HARIS INTERNATIONAL
LIMITED has a warehouse which is located in the Kampala Capitall City at Kawempe. From this
warehouse it distributes the products all over the city and directly sells the products at its
warehouse.
Channel 1: HARIS INTERNATIONAL LIMITED also involves a direct selling in its
distribution channel. It operates 1 small store at its warehouse centre which is closely located to
the company’s head office.
Channel 2: Kampala City has many wholesalers of different consumer products and all retailers
and salespeople buy from these wholesalers and distribute the products all over the country.
HARIS INTERNATIONAL LIMITED has a special cooperation contract with some wholesalers
in Kikuubo. The company supplies the products each month according to wholesalers’ order and
every wholesaler must pay the total amount of payment within a month.
Channel 4: There are a number of agents across the country. These pay by sales and are
trustworthy companies that have been successfully cooperating for long time with HARIS
INTERNATIONAL LIMITED. These companies can order products as much as they want and
pay based upon their monthly sales. These companies have certain amount of limit on their stock
and required to complete the payment at a certain time, usually at the end of month. Sales
promotion will be 1-3% depending on sales amount.
Analysis
The impact of this distribution channel is that HARIS INTERNATIONAL LIMITED uses all the
possible channel members beneficially. It not only cooperates with the local wholesalers and
retailers to distribute its products, but also owns a small store next to its warehouse where
customers can directly purchase the product. Direct selling enables the company to sell more
compared to selling the product only through intermediaries.
However, this process adds more cost to the final price of the product when product reaches to
the final customer. If the company has subsidiaries in other cities that are close to regional
merchants, the company has an increased opportunity for its total sales and revenue margins.
There are other cities where HARIS INTERNATIONAL LIMITED can establish subsidiaries:
Arua, Mbale, Mbarara

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Expand its geographical coverage gradually by starting from the closer cities. When doing this, it
is not necessary for the company to create a whole new store but only need to cooperate
merchants who owns stores.
Moreover, HARIS INTERNATIONAL LIMITED should maintain the good relationships with
the current distribution channel members as there are several competitors in the market who
ready to seize its market share.

4.4 Promotion
HARIS INTERNATIONAL LIMITED has a very active policy on promotion. It plans its
promotional activities monthly. According to company’s marketing plan, it focuses on two major
promotional activities.
1. Necessary promotional activities
2. Seasonal and occasional promotional activities.
Necessary promotional activities: The main goal of necessary promotional activities is to
remind the company’s existing product to the customers as there are many similar or substitute
products coexist in the market. Moreover, it runs commercials on TV and radio once per season.
Seasonal and occasional promotional activities include activities such as promoting slow-
selling products, occasional and seasonal promotion activities (during the school times), and
other promotional activities that are needed such as sponsorships, supporting charity events, etc.
Generally, the promotion mix of HARIS INTERNATIONAL LIMITED can be divided into five
groups: personal selling, sales promotion, public relations, advertising, and sponsorships. Figure
15 illustrates the promotion mix of HARIS INTERNATIONAL LIMITED

Analysis

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From the above-mentioned facts, HARIS INTERNATIONAL LIMITED equally focuses on all
elements of its promotion mix and promotional activities are implemented all year round. As a
result, customers are continually reminded about the products. The majority of HARIS
INTERNATIONAL LIMITED promotional activities are focused on youths especially through
internet since it has become a part of young people’s everyday life.
HARIS INTERNATIONAL LIMITED can create a unique cartoon character or hero like clown.
This special cartoon character will attract them. The created cartoon character for kids could visit
schools and kindergartens during the school and become known among kids and students.

CONCLUSION

According to the situation analysis of HARIS INTERNATIONAL LIMITED, external marketing


environment seemed quite favourable except the influence of current financial crisis in which
raised the inflationary rate.
HARIS INTERNATIONAL LIMITED is a relatively young company and has a bright future to
go further. Therefore, the company should maintain its current achievements and seek for further
accomplishments in terms of quality and marketing mix.

SERVICES MARKETING
MULAGO SPECIALISED WOMENS HOSPITAL
Company Profile
This is a government owned specialised hospital commissioned in 2018. Its construction
and equipping were financed by a loan from the Islamic Development Bank.
It is a subsidiary of Mulago National Referral Hospital to provide paid for services.

Service marketing mix of Mulago Specialised Women’s Hospital


This adds other 3Ps to the above 4 to make 7Ps. The extra Ps are people, process and
physical evidence.
1. Services:
Provision of specialised medical care to women and neonates.
2. Price:
The hospital has a profit motive objective of price setting. This is to ensure that it gets
revenue to pay the consultants and also be able to pay back the loan used to build it.
It used price penetration to enter the private medical sector, and now uses competitive
pricing to remain in private business. Its prices for the highly specialised treatment is

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however relatively lower than its competitors like Kampala Hospital, Mengo, Nakasero
Hospital.
This hospital is still subsidised by the government but charges higher prices. This has
left out ordinary citizens from accessing such needed care and treatment.
Thus, the hospital may create another class of low earners and charged minimal
amounts.

3. Place
The hospital is situated in Mulago in the central District of Uganda for easy access.
Since the nature of the service is a business to customer service, it has no
intermediaries, and no other branches. This was made to centralise standard specialised
care and treatment for women and neonates.
Since the hospital is located in one place with no other similar branches across the
country, people spend a lot of time and costs to travel from other parts of the country.
Thus, the government and hospital should strengthen similar departments in the
regional referral hospitals with the required staff and equipment.
4. Promotion
The hospital provides medical services with set standards governing advertisement.
Thus, the only method of informing the population is through publication in the media,
press statements, publication, journals and referrals.

5. People
All humans who play a role in service delivery and who influence the perceptions of
customers. The hospital hires only senior and consultant medical practitioners in order
to meet the set standards and objectives. All these medical experts work on particular
days and times usually giving customised services.
However, such personnel are scarce in the country thus leaving a vacuum in other
government and private hospitals.
Furthermore, in the case of duty by a particular consultant, the customer may wait until
the return of this expert.

6. Process: The actual procedure, mechanisms and flow of activities through which a service
is delivered.
Analysis

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At the hospital, the steps are short guided and clear. A client is attended on first at the
reception, guided to the respective medical personnel who are regularly available,
attended to, then billed and pay at the cashiers. Since the number of patients are few
due to special nature and high price, coupled with enough medical personnel,
operational equipment, the process is relatively short.
However, this process delays some emergency conditions since one has to always go
through almost all stages. The hospital can assess emergencies on a case by case
basis in order to efficiently handle emergencies.
7. Physical evidence (Tangibility)
There should be a place where the service provider and the customer interact. The hospital’s
ambiance is clean, tidy with private security for the safety of customers property. It not
crowded, building well kept and cleaned. The contact phone numbers of hospital
management are well pined up and those on duty for any inquiry and clarification. For
inpatient, there are nurses on standby, who routinely check on the patients and deliver all the
needed items.
The medicines given are also of good quality and packed well for carriage.

REFERENCES
Cannon, Joseph P., Perreault, William D., Jr. and McCarthy, E. Jerome. 2008. Basic Marketing:
A Global Managerial Approach. New York: McGraw-Hill.
Dager, Joe. “Replace the 4P’s of Marketing with the 5B”s?.” Motivation and Strategies for
Entrepreneurs. http://www.evancarmichael.com/Retail/3835/Replace-the-4-Ps-
ofMarketing-with-the-5-Bs.html.
Kotler , Philip and Armstrong, Gary. 2005. Principles of Marketing. Upper Saddle River, NJ:
Pearson Prentice Hall.
Kotler, Philip and Keller, Kevin L. 2007. A Framework for Marketing Management. Upper
Saddle River, N.J: Prentice Hall.
Kurtz, David L. and Boone, Louis E. 2006. Principles of Marketing. Mason, Ohio:
Thomson/South-Western.
Kotler, Philip. 2009. Philip Kotler Marketing Group. http://www.kotlermarketing.com/
Kotler, Philip. “Dr. Philip Kotler Answers Your Questions on Marketing.” Philip Kotler
Marketing Group. http://www.kotlermarketing.com/phil_questions.shtml#answer7/
Robbs, Brett. "Advertising," Microsoft® Encarta® Online Encyclopedia 2009.

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http://encarta.msn.com/encyclopedia_761564279/advertising.html Spencer, Tom.
2009. Product life cycle model.
http://www.tomspencer.com.au/2009/01/25/product-life-cycle-model/

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