MARKETING

Relationship marketing more relevant to businesses of today than the Four P's

Relationship marketing more relevant to businesses of today than the Four P's

Introduction

Customer retention is very important because of business competitive environment. Thus, a marketing expert to give heed to RM and its tactics. Nowadays, salesman strives not only to provide high-quality goods and services but also to retain loyal customer due to long-time profitable. It noted that relationship marketing is a strategy that promises "the systematic development of ongoing, collaborative business relationships as a key source of sustainable competitive advantage. An organization must prizes to customer propensity for a valuable goods and services in order that attracting its loyalty and satisfaction. Therefore, RM can be considered as the main point in planning marketing.

On the Contrary, the marketing mix traditionally defined as gathered information that serves to help an organization to make appropriate product and service, pricing, delivery, and promotional decisions. The analysis of the marketing mix serves to provide information for use to effectively introduce a product or service into the marketplace. The traditional marketing mix, which also known as the four Ps of marketing, includes product, price, place, and promotion.

Marketing Mix: the Four P's

The product includes the total tangible or intangible outputs of an organization. Tangible products referred to as “goods,” while intangible products called “services.” For example, a sport good is an item utilized in the production of sporting business industry operations or for the personal satisfaction of a sport consumer. This can range from facilities and equipment to sporting goods and retail merchandise. A sport service is the process of providing quality, value, and satisfaction to the sport consumer by providing a quality standard work and/or service expected by the sport consumer. In sport marketing, intangible products may be also referred to as the “experience.”

Price is the value a consumer equates to a good or service or the amount of money or goods asked for in exchange for something else. It argued that this is the most important element of the marketing mix because there are costs associated with producing, delivering, and promoting products, and it also directly affects the bottom line, or financial profitability, of an organization. Price directly get affected by fixed and variable costs, targeted consumers and their ability and desire to pay, company goals and objectives, competition, and positioning strategies employed. Price also get affected by the pricing strategy implemented, including penetration pricing (low price to increase market share and sales), skimming pricing (high price that is reduced gradually to increase market share and sales), competition pricing (price is set in comparison to competitors), or premium pricing (high price that articulates the exclusiveness of the product).

Place deals with the methods of distributing the product to consumers. Product placement, or distribution, focuses on the logistical aspects of purchasing and supply chain management to get the product or service from the manufacturer to the customer. Traditional distribution channels involve a manufacturer working with a wholesaler to sell products to retailers, who then ...