Contributions to the Foundation of the Marketing Mix for Retail Companies

• Author: Balasescu, S.
• Position: Dep. of Marketing, Tourism-Services and International Business, Transilvania University of Brasov
• Pages: 17-24

Bulletin of the Transilvania University of Braşov

Series V: Economic Sciences • Vol. 7 (56) No. 1 - 2014

CONTRIBUTIONS TO THE FOUNDATION

OF THE MARKETING MIX FOR RETAIL

COMPANIES

Simona BLŞESCU1

Abstract: This paper highlights the particularities of the marketing mix for a

company from the retail sector. In this sector there are some specific activities

which influence the marketing approach, in terms of decisions regarding the

policies and strategies. New elements are added to th e traditional marketing mix,

specific to the retail activity, and this triggers the marketing mix for the retail

company. All the elements are extensively presented in the paper, with emphasis

on their importance and relevant examples.

Key words: retail, marketing mix, strategies, point-of-sale.

1 Dep. of Marketing, Tourism-Services and International Business, Transilvania University of Bra şov.

1. Introduction

There are many approaches of the

marketing mix in literat ure. Without the claim

of creating an entirely new concept in terms of

the marketing mix for retail companies, the

present paper still tries to raise the issues that

lead to the idea that there are many features of

marketing decisions being taken by retail

firms.

Through this paper we try to deliver the best

solution to the following question: What is

better for a retail company manager? The

traditional approach leads the retail manager

to make decisions close to the four classic

elements of the marketing mix (product, price,

placement, promotion). Our approach is

different from the traditional view. It suggests

the retail manager to better understand and

then approach the variables specific to the

retail company activities. These elements

which are added to the 4P of traditional

marketing mix might le ad to better marketing

decisions appropriate for the retail sector.

2. Marketing mix for retail companies

Marketing mix is a concept created by N.

Borden in 1957, which in cluded at the time

12 elements: product, pa ckaging, price,

brand, distribution c hannels, personal

selling, advertising, sales promotion,

display, service (post-sale), logistics,

information gathering and analysis.

Subsequently, E.J. Carthy summarized

these variables around four pillars:

product, price, place (distri bution) and

promotion.

For retail companies, due to the

specific nature of the activities and

especially due to the fact that they come

in direct contact with the end consumer,

we can identify six fundamental elements

that compose the marketing mix [5]: the

spatial location of the retail unit; the

store (point of sale) as an image, ambient

and atmosphere; product; price;

distribution; promot ion.