Marketing mixes are collections of marketing tasks or activities aimed at meeting target markets’ needs effectively. Traditionally, a typical marketing mix comprised of four elements: promotion, place, price as well as product. The extended marketing mix (EMM) comprises of the four elements plus three others: processes, physical evidence as well as people. The EMM is especially pertinent to service providers (Kotler & Keller 2006; McCarthy 1964). Even then, it is as well pertinent to all businesses that prioritise customer satisfaction. When the seven elements are mixed appropriately, businesses meet their specific marketing goals easily, speedily, and cost-effectively. They meet their customers’ demands, or requirements, sufficiently (Bowman & Gatignon 2010).
The last three EMM elements have been introduced to the traditional marketing mix since the contemporary marketing efforts are becoming increasingly client-centred. As well, they have been introduced since service industries have grown to dominate many economies. In this paper, the EMM for Audi is explored (Oh & Pizam 2008). Audi is a luxury-car producer based in Bavaria, German. Its head office is in Bavaria. It has several production plants globally. It is highly recognised as an excellent producer of luxury automobiles. Its cars have aesthetically attractive designs. The cars are seen as pleasing drives that are markedly mechanically dependable according to Estelami (2010).
Audi’s Extended Marketing Mix
Audi produces high quality, luxury automobiles that satisfy the requirements, or demands of diverse sets of consumers. In the 90s, the company had several challenges with its cars’ microprocessors (Oh & Pizam 2008). The challenges were occasioning electronic malfunctions that jeopardized the company’s standing particularly within America. Over the years, the company has invested marked effort and resources in addressing the challenges. Its latest cars have quite limited electronics problems since, over time, the company has developed new, as well as enhanced, technologies according to Estelami (2010).
Over time, Audi has expanded its product range. The range includes A1 cars on one extreme and four-wheel car like Q7 along with Q5 on the other extreme. The most popular products of the company include Audi A4 along with Audi TT. The company has made commendable progress in positioning itself as a leading producer and seller of luxury cars. The positioning is associated with its growing profits and sales. In mid-2007, Audi opened a manufacturing plant in India (Bowman & Gatignon 2010). From then, it has established commendable presence within the country. Consequently, many Audi vehicles are accessible in India. Those owning Audi cars frequent Audi garages to get car maintenance, as well as repair, services.
Audi sets its product prices in ways that mirror and are sensitive to its markets’ conditions and organizational objectives. Especially, the company sets its product prices in a way that projects it as offering value for its clients’ money. It sells its products at prices that appear to offer buyers value for their money, based on the segments they occupy (Oh & Pizam 2008). The prices of any one Audi product are different in different market segments. For instance, an Audi A1 costs less in India than in England, which projects the company as having a skimming or premium pricing regime.
Indeed, the different but considerably high prices for the Audi A1 are justifiable in the different markets when one examines car’s brand image along with quality according to Estelami (2010). The high-level pricing is as well essential for the Audi brand’s appropriate positioning. Individuals are fond of Audi’s reputation. That is shown by its production, which grows in each succeeding year.
Showrooms along with dealerships provide repayment schemes, hence allowing diverse clients access to the Audi products and brand as a whole (Bowman & Gatignon 2010). Certainly, the extant range of Audi cars is highly regarded. Even then, there are indications that the range will continue growing steadily in the days ahead. Audi has been registering enhanced performance each succeeding year as it continues rationalizing its product prices as well as providing creative financing options. Its clients can access Audi finance products from Audi Finance. Such products are aimed at making the purchase of Audi cars attractive.
Place or Distribution
Audi distributes its cars across the globe in a way that its customers find convenient. One can easily access and purchase the cars from strategically located outlets like showrooms along with dealerships in locations deemed prime. In India, the company has close to 30 dealerships, all of which report growing sales. Even though the company has its roots and head office in Bavaria, German, it has a global presence (Bowman & Gatignon 2010). It has invested heavily in countries like India to realize particular lasting aims. In recent years, its growth in Asian economies has been remarkable. It has not only grown its global presence via showrooms along with dealerships in locations deemed prime but also commendable aftercare services especially with Europe.
Audi has integrated its promotional engagements in ways geared towards attaining its marketing goals. The engagements support product marketing via suitable promotional, as well as advertising, activities. Audi takes part in numerous sponsorship and sports ventures annually. The ventures include facilitating various soccer clubs. It has a lasting Sony’s Play-Station Home feature. Although it is keen on remaining within the public space, it is careful not to overdo it. It runs advertisements on TV, magazines and billboards. It leverages in technological capabilities in promotional activities according to Estelami (2010).
Audi depends on its cars’ quality and standing to grow its sales and productivity. The activities emphasise its growing sales and productivity. In India, celebrities are contracted by the company to launch its cars. For instance, Salman Khan, a celebrated Bollywood figure, launched Audi RS 7. Over the years, the company has established a well-defined niche market. Owing to the market, the company does not engage in mass advertising or marketing. Rather, it runs advertisements only in a highly premium segment (Bowman & Gatignon 2010). That helps draw the market towards its renowned brand.
Physical Evidence, Physical Layout, or Packaging
Physical evidence means how a business’ services, products and all other aspects come out to an external observer or party. Customers usually make decisions on whether or not to purchase given products based on how they perceive their bar codes, labels, materials, color, form or dimensions (Kotler & Keller 2006; McCarthy 1964). Such attributes are client-tested and then updated accordingly. Audi makes many presentations to customers desirous of purchasing given Audi cars. The presentations entail explanations and demonstrations of the cars’ interiors, exteriors, capabilities, designs, and operating instructions (Oh & Pizam 2008).
The company organizes the requisite insurance covers for its clients where possible to ensure that they are protected from the liability that may stem from accidents involving the cars. The cars are taken through thorough engineering appraisals to ensure that they meet industry and brand quality standards according to Estelami (2010). Audi ensures that its products adhere to every applicable regulatory provision.
Notably, Audi cars are quite appealing externally. Possibly, that has been informed by the actuality that visual appearance or packaging of physical products breaks or makes their purchases. Considerable packaging enhancements may lead to entirely different client reactions. Even where a business is selling virtual services, they should provide their customers with physical support associable with the services as physical evidence.
Notably, the evidence may as well refer to a business’ staff and their appearance (Bowman & Gatignon 2010). Those manning Audi dealerships, as well as showrooms, are required to dress smartly, set up their workstations warmly, and express commendable professionalism when serving clients. They hand to clients appealing brochures as they interact with them according to Estelami (2010).
Presently, the layouts of the dealerships, as well as showrooms, are deemed critical to clients by the company. That is because the clients are served from them. The clients come into contact with the Audi cars they wish to desire within the dealerships or showrooms. Over the years, the clients have come to expect high presentation levels within the dealerships as well as showrooms according to Estelami (2010). They need to have an easy time moving through the premises holding Audi cars and be attended to by warm, welcoming staff. Audi pays marked attention to the creation of attractive presentation spaces and related facilities. The spaces come off as stimulating, pleasant, and attractive environments (Bowman & Gatignon 2010).
Ideally, businesses have people as one of their critical elements. At Audi, people are considered quite important (Kotler & Keller 2006; McCarthy 1964). They support the company’s product production and sales. The company has highly trained personnel who offer customer-care support. They offer the support based on unmistakably defined expectations like operation hours and the allowed, mean response times (Oh & Pizam 2008). The personnel help the company ensure the contentment of its extant, as well as prospective, customers when they visit its showrooms or dealerships. Audi has clear policies on how it hires, trains, and retains staff and builds effectual teams. Its well-informed staff members add marked value to its principal product offerings according to Estelami (2010).
Notably, customer service is a core element of contemporary businesses, including Audi (Kotler & Keller 2006; McCarthy 1964). Audi customers are quite loyal to it owing to the actuality that they feel that its staff treats them professionally (Oh & Pizam 2008). Audi’s staff members have been well-trained on how to communicate to clients and interact with them. They are well-versed with the commendable customer care and relations practices (Bowman & Gatignon 2010; Oh & Pizam 2008).
Ideally, businesses should have solid policies, as well as procedures, in place, especially with respect to marketing their products (Kotler & Keller 2006; McCarthy 1964). The procedures, or processes, are markedly critical in the businesses’ marketing approaches. Audi has solid policies, as well as procedures, in place, to guide how it markets its cars according to Estelami (2010).
Its customers are keen on appreciating the cars. As well, the customers are keen on the form and shape that the brand will take in the days ahead. The company has well-defined ways of handling the concerns and complaints expressed by its customers. It has well-defined processes for making out client needs as well as preferences. Overall, it has clearly defined processes to guide all its foreseeable engagements, especially the ones that are marketing-related (Bowman & Gatignon 2010).
Marketing mixes are collections of marketing tasks or activities aimed at meeting target markets’ needs effectively. The EMM is especially pertinent to service providers.
When the seven EMM elements are mixed appropriately, businesses meet their specific marketing goals easily, speedily, and cost-effectively. Audi is a luxury-car producer based in Bavaria, German. Audi produces high quality, luxury automobiles that satisfy the requirements, or demands of diverse sets of consumers (Product). Audi sets its product prices in ways that mirror and are sensitive to its markets’ conditions and organizational objectives (Price).
Audi distributes its cars across the globe in a way that its customers find convenient (Place). Audi has integrated its promotional engagements in ways geared towards attaining its marketing goals (Promotion). Audi makes many presentations to customers desirous of purchasing given Audi cars. The presentations entail explanations and demonstrations of the cars’ interiors, exteriors, capabilities, designs, and operating instructions (Physical evidence). At Audi, people are considered quite important. They support the company’s product production and sales (People). Overall, Audi has clearly defined processes to guide all its foreseeable engagements, especially the ones that are marketing-related (Processes).