Product Marketing Mix Helped a Big-box Retailer to Enhance Product Launch Success by 3x | A Case Study by Quantzig

Jun 18, 2020

Product Marketing Mix: What is it all about?

Market mix strategy is a technique that helps in quantifying the impact of several marketing inputs on sales and market share, whereas product marketing mix is a basic understanding of the elements that make up a product and those necessary to enhance its market success. Effective in-store product placement that is backed by a robust marketing mix enhances brand recognition and maximizes sales. There are several factors which retail brands must follow while forming their product positioning strategy, which includes the size of the store and shelving options available, and product category.

Gaining actionable insights to deliver outstanding results can be a tough task. Contact us to learn how a robust product mix strategy can help you boost your business outcome.  

Four Ps of Product Marketing Strategy

Since the very beginning product marketing mix has been associated with the four Ps: price, product, promotion, and place:

  • Price: The cost associated with a product purchase. Price at times depends on the customer’s perceived value of the product or service, and it can change an organization’s marketing strategy. A lower price makes a product accessible to more customers, while a higher price might appeal to a customer base who are seeking exclusivity. Either way, the price must be greater than the cost of production so that a business can make a profit.

  • Product: It is important for marketers to consider the life cycle of a product to address challenges that may arise when it reaches the end-user.

  • Promotion: Advertising and sales promotion and other promotional activities. This category also includes public relations and ongoing relations with the media.

  • Place: The physical location where the customer can access, or purchase a product this also includes distribution centers, warehousing, and even franchises.

Continue reading to gain in-depth insights into the benefits of marketing mix product positioning solutions or request a free proposal.

Client’s Background

The client is a well-known big-box retailer headquartered in one of the most renowned cities in the USA. The client operates in more than fifty countries and has more than 10,000 stores across the world. The retailer is also one of the largest companies in the US by revenue and as per the fortune global 500 company list in 2019, it is a prominent retail industry player. It is also one of the largest private employers in the world with more than 1.5 million employees.

Predicaments Faced

Owing to their inability to communicate product attributes to its target customers, the big-box retailer witnessed a decline in MROI from its newly launched product segment. This is when they approached Quantzig looking to leverage its product marketing mix expertise to develop an effective product positioning strategy based on end-user requirements, competitive pressures, and available communication channels. By deploying an effective product mix they wanted to ensure that the marketing messages resonate with target consumers and compel them to take immediate action.

By collaborating with Quantzig, the client wanted to accomplish the following goals:

  1. Identify the most rewarding marketing channels
  2. Gauge the impact of marketing strategies
  3. Utilize marketing mix product positioning strategy
  4. Allocate the budget across channels for marketing campaigns

Request a free demo to know how our customized product mix strategy can help your business to outgrow the competitors.  

Our Approach

To determine the right product mix and develop a product positioning strategy, our marketing mix experts adopted a comprehensive three-phased approach. The devised product marketing mix enabled the client to examine the bond between the product positioning elements and performance metrics that represent the success rate in a retail market place.

Business Impact

As a part of this product positioning and marketing mix engagement, the recommended changes helped the client to improve their revenue while meeting their business goals. Along with asserting the effectiveness of marketing channels in terms of MROI, it resulted in being beneficial in driving improvement of marketing campaigns. Furthermore, this product positioning and marketing mix engagement enabled the client to: 

  • Improve the ability to gauge marketing channels’ effectiveness in terms of MROI sales
  • Evaluate the contribution of marketing activity and campaign
  • Increase MROI by 45%
  • Drive product launch success by 3x

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