PRODUCT This component refers to the unique combination of goods and
services offered by a firm to consumers. The product includes both the tangible
and intangible elements of the service offering. Product decisions involve
product attributes such as quality, the breadth and mix of the product
line (i.e., the number and type of products and services offered by a firm), and
services such as warranties and guarantees
PLACE The place component refers to the manner in which the products
and services are being delivered to consumers. This component is sometimes
referred to as distribution, and it involves decisions related to the location of
facilities and the use of intermediaries. In addition, the marketing of services
includes the decision regarding customer involvement in the production
process
PROMOTION This component refers to the methods used to communicate
with consumer markets. The promotion mix includes advertising, personal
selling, sales promotions (e.g., coupons, rebates, and contests), and
publicity. These are the vehicles that can be used to communicate the firm’s
intended messages to consumers. The decisions for promotion involve the
18 chapter 1 the functions of marketing
Hospitality firms use the elements of the marketing mix to establish a competitive position
in the market. Courtesy of Red Lobster Restaurants, Orlando, Florida.
amount to be spent on each component of the promotion mix, the strategies
for each of the components, and the overall message to be sent
PRODUCT This component refers to the unique combination of goods andservices offered by a firm to consumers. The product includes both the tangibleand intangible elements of the service offering. Product decisions involveproduct attributes such as quality, the breadth and mix of the productline (i.e., the number and type of products and services offered by a firm), andservices such as warranties and guaranteesPLACE The place component refers to the manner in which the productsand services are being delivered to consumers. This component is sometimesreferred to as distribution, and it involves decisions related to the location offacilities and the use of intermediaries. In addition, the marketing of servicesincludes the decision regarding customer involvement in the productionprocessPROMOTION This component refers to the methods used to communicatewith consumer markets. The promotion mix includes advertising, personalselling, sales promotions (e.g., coupons, rebates, and contests), andpublicity. These are the vehicles that can be used to communicate the firm’sintended messages to consumers. The decisions for promotion involve the18 chapter 1 the functions of marketingHospitality firms use the elements of the marketing mix to establish a competitive positionin the market. Courtesy of Red Lobster Restaurants, Orlando, Florida.amount to be spent on each component of the promotion mix, the strategiesfor each of the components, and the overall message to be sent
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