Minor Assignment Marketing Mix Essay Example for Free

Minor Assignment Marketing Mix EssayIntroductionThis motif has been compiled in come out to describe the four almost common elements of the market placeing mix which are set forth by Elliot, Rundle-Thiele and Waller (2010 p.18-21) in the following few sentences. * Product A good, help or idea offered to the market for exchange. (p.18) * Price The amount of money a business demands in exchange for its offerings. (p.20) * advancement The market activities that identify potential customers, partners and society informed of and attracted to the businesss offerings. (p.20) * Place (Distribution) The means of making the offering easy to the customer at the right time and place (p.21) In conjunction with these descriptions, all four marketing mix elements ordain be analysed and shown how they can be applied to retail gasoline outlets and the products which are make available to customers.The Marketing MixElliot et. al describe the marketing mix as the different eleme nts that marketers lease to consider. (2010 p. 18) When using the marketing mix to market retail accelerator outlets such as Caltex Woolworths or Coles Express, marketers conduct to consider the Product, Price, Promotion and Distribution (Place) of not plainly gas, but many other consumer and specialty products which retail gun outlets offer.ProductIt can be seen in retail accelerator pedal stations that other than the judge fires uniform unleaded and diesel which are generally relatively low in terms of their bring in margin, some oil firms claim that supermarkets sell gaseous state at a loss in order to attract customers. (The Economist, 1996 p.58) Other products are required in order to boost profits for the retail petrol ambits owner. These other products are mostly the convenience type and can range from the daily theme and chewing gum, to a bottle of orange juice or a loaf of bread.There are three categories of convenience products outlined by Elliot et al. which are all found in retail petrol outlets and include staple products, impulse products and emergency products. (2010 p. 207) * Staple products These are considered to be everyday grocery products like bread and milk, purchased regularly by consumers and therefore arent heavily promoted * Impulse products These are considered to be only purchased when seen, like confectionary or magazines which are eye catching and are usually found around the bullion register. * Emergency products These are considered to be those products which are only purchased when really needed, like a raincoat or an umbrella.Although there are a lot of products sold by retail petrol outlets like Caltex Woolworths and Coles Express, the intelligible product centred on all retail petrol outlets is the fuel supplied to consumers. The varieties of fuels which can be purchased can include* E10 10% Ethanol.* E85 85% Ethanol.* E95 95% Ethanol.* Unleaded Standard fuel.* Hi Octane Offered for high performance vehicles.* LPG Alternative to smooth fuel, a Gas product.* Diesel More efficient lower sulphur producing by product. There is a vast selection of fuels for consumers to choose from and although the blends of fuels stay similar, the names and descriptions of these fuels tend to change from outlet to outlet. For warning, when you drive into a Caltex Woolworths you are confronted with the choice of Caltex Vortex 95 or 98, both are hi octane blends offered to a future purchaser. (Woolworths fuels, Website.) PriceWhen seting with topic of pricing in retail petrol stores, the outcome of the hurt has to be both beneficial to the seller, and seen as a good deal to the buyer, otherwise no trades will maintain place. As stated previously, petrol itself tends to have a lower margin for profit which means the strategic pricing of other products in-store needs to be addressed as well as ensuring that the price of petrol is not seen as out of balance with other suppliers. There is an obvi ous demand for petrol, as nearly everyone who is able, drives or rides a vehicle which requires fuel to run. So it could be argued that retail petrol stations fag outt necessarily set their own prices, but go off supplier guidelines which base their fuel pricing strategy on demand, Demand based pricing sets prices according to the level of aggregate or individual customer demand in the market. (Elliott et al. 2010 p. 250)Elliott et al. alike continue to write that both Caltex Woolworths and Coles Express try for more than 60% of the Australian fuel market share (2010 p.268) so high demand from their suppliers will enable them to lower their fuel prices and therefore gain more customers, earning higher profits. Pricing of other products offered by retail petrol outlets such as bread or milk tend to have the prospect to be competitive and more fairly priced than a standard petrol station, the major grocery companies quarter retail petrol outlets like Woolworths and Coles focus o n gaining more ground off one and other, price drops are reflected in store and this also proves more profitable, because consumers are drawn into purchasing something they wouldnt usually associate with their petrol.PromotionAn important aspect in the success of retail petrol outlets is in their forwarding, or the way in which their fuels and other products are portrayed to potential customers. There are many numbers game of ways in which retail petrol outlets use promotional tools to make the public more aware of what their outlet has to offer. Using the Coles Express website for example, it can be seen that promotion plays a major role in the marketing of retail petrol outlets, on the homepage can be found five key promotional campaigns designed to catch the eye of potential customers. The opportunity to win the ultimate weekend Ferrari drive live on or two Cadbury chocolate bars for four dollars (Coles Express, website) are two examples of how Coles Express use promotion as a tool to gain the interest of potential customers.The use of shopper order of businesss and rewards cards are also a major way in which retail petrol outlets have promoted themselves, using incentives of cheaper fuel by spending amounts of money in store or purchasing earlier in their supermarkets and bringing the docket to the petrol station in order to gain the fuel discount. In the recent past, retail petrol outlets have encouraged shoppers to buy openhanded in store in order to earn big discounts off fuel motorists who spend more than $300 during one supermarket visit during the next three eld receive a 40 cent per litre petrol discount.Shoppers who spend more than $200 or more receive a 25 cent a litre discount, while those who spend $ coke or more get a 10 cent a litre discount. (Cranston 2009) Woolworths have the universal Rewards program, and Coles have the Fly buys rewards program. Both these programs offer rewards point in exchange for purchases made in their outlets. other way in which retail petrol outlets can promote their product is through sponsorship, Coles Express for example are sponsoring Daffodil day, a program not normally associated with fuel but this can abet to grow an organisations image, by supporting such a worthy cause, Coles express may gain compliance from the community and in turn boost their profits. Place (Distribution)The transportation and distribution of products including fuel to retail petrol outlets operates under the marketing mix category of Place. The science (or art) of ensuring products are in the right place at the right time in the right quantity is known as logistics and the various partners that contribute to the process make up is called the supply chain. (Elliot et al. 2010 p.21) Retail petrol outlets operate somewhat differently to conventional service stations, the retail petrol outlets are often situated near to a parent supermarket company (in the said(prenominal) complex) which makes supply of pro ducts other than fuel relatively easy as the distance for stock to travel is minimal.When expression at the fuel aspect, it can be seen that the logistics tend to become a lot more concern and a more defined supply chain emerges. * First fuel is sourced from their respective supplier (Caltex or Shell) on a relatively routine basis, as fuel is a required product for most of the community. * The fuel is then transported by truck from oil refineries which are based in more coastal areas (Caltex oil refinery in Kurnell NSW) which makes it easier to transfer oil from overseas oil barges when new shipments arrive. * When the trucks reach the retail petrol outlet the fuel is then pumped into underground holding tanks, where the fuel can now be distributed to the customer via the petrol pump and now exchange of fuels can be made for a profit. end pointThis report was compiled in order to describe the four elements of the marketing mix* Product* Price* Promotion* Place (distribution)The de scriptions of these marketing mix elements were also shown in application how they are applied when breaking galvanic pile the four aspects in relation to retail petrol outlets. Focusing on the Caltex Woolworths and Coles Express partnerships it was able to be shown how the marketing mix elements are applied. Products have been broken down into specific fuels and other items which are available to potential customers, these products have also been categorised as either Staple, Impulse or Emergency. Price has been shown to be of vital importance, and the outcome of the price has to be both beneficial to the seller, and seen as a good deal to the buyer.Promotion has also proven to be of high importance to the overall marketing of retail petrol outlets, the use of shopper dockets for discounts, and sponsorship for awareness and image are important promotional tools outlined above. Place (Distribution) outlines the logistics and supply chain which is in place for retail petrol outlets to gain their product in order to forward it onto the gainful public to gain an overall profit. All four of these marketing mix elements play their own as pivotal role in ensuring the successful operation of retail petrol outlets.ReferencesColes Express website www.colesexpress.com.auCranston, B. (2009) NSW ACCC investigating supermarket petrol promotion. AAP Australian National News wireElliott, G. Rundle-Thiele, S. Waller, D. (2010) Marketing.Pump Action, The Economist. (1996) Vol. 338 Issue 7950, page 58Woolworths petrol website www.woolworthspetrol.com.au