The Importance of Processes in the Marketing Mix
- Processes refer to the activities, procedures and systems a company employs to deliver a product or service to its customers and create a competitive advantage
- Some reasons why processes are important in the marketing mix include:
Effective processes form an important part of the extended marketing mix
- Businesses develop a set of processes that allow for a product or service to be delivered effectively to their customers
- E.g. from the moment cruise passengers book their trip a series of process are engaged
- Online booking and customer service processes provide for smooth organisation and preparation for the trip
- When they arrive at the dockside customers are greeted; their baggage is taken to their allocated cabin; two weeks of services from restaurants and evening entertainment, casinos and shopping are organised and provided; specialist services and facilities are available to those with particular needs and, finally, when customers arrive at their destination, baggage is delivered to them
The Importance of Processes
Reason for Importance |
Explanation |
Example |
Customer Experience |
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Efficiency |
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Consistency |
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Adaptability |
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Alignment |
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Exam Tip
When businesses change their processes it is crucial that they are carefully tested in advance to ensure that customers can continue to access products or services seamlessly. IT-based processes are particularly prone to problems and a number of high-profile disasters have hit well-known brands.
- In the early 2000's Hershey’s tried to squeeze a complex IT upgrade project into an unrealistic timeline and launched it during the busy Halloween season before its employees had been adequately trained on the new system
- As a result the business could not process $100 million worth of confectionery orders and suffered a 12% drop in sales