Page 285 - (DK) The Business Book

SUCCESSFUL SELLING 283

company it means greater efficiency, Marketing pioneers
more accurate revenue forecasting,
Neil Borden recognized the
and a greatly reduced risk of being
importance of creating a
overstocked at the end of the season.
marketing methodology—
The marketing mix of fashion a set of stated intentions for
Marketing mix represents the chain Zara embodies the Four Ps. marketers to follow. When he
setting of the company’s Because of an emphasis on “Place”
put forward his marketing mix
marketing decision variables (distribution), new products are concept in 1953, he drew on
at a particular point of time. delivered twice a week, and there theories developed by earlier
Philip Kotler are only 10–15 days from the marketing thinkers.
sketching of a new design to the Ralph Butler, professor at
item’s arrival on the store floor. Such the University of Wisconsin,
a streamlined approach to “Place” pioneered the use of the term
means that “Product” reflects “marketing” by developing a
immediate trends; “Promotion” course on selling called
happens on the instant channel “marketing methods” in 1910.
A few years later in 1915, H. W.
Ps, they’ve endured as an effective of the Internet; and “Price” is kept
Shaw wrote Some Problems in
method for organizing the major low due to the emphasis on “Place.”
Marketing Distribution, in
tactical tools marketers can deploy Marketing guru Philip Kotler
which he identified the tasks
in a competitive marketplace.” has acknowledged alternatives to
of production and distribution.
the Four Ps, but maintains that Paul Cherington and Paul
The four Ps in practice they still make a useful framework. Ivey, among others in the
In an industry such as fashion, More recently, in 2013, he suggested 1920s, further consolidated
which by its nature needs to be a fifth P—Purpose. This is not only marketing as a field of scholarly
forward thinking and to embrace the purpose of a business to make pursuit, laying the groundwork
e-commerce and m-commerce, the money, but also a higher purpose of for marketing as a college
Four Ps are still in evidence. To being a good corporate citizen. This course in its own right. In the
cater for the immediacy demanded fifth element is a concept embraced 1920s and 1930s, Paul Dulaney
by fashion-conscious customers, UK by Zara, a company that has kept 50 Converse described key
street-wear fashion brand Bench has percent of manufacturing in Spain elements of the marketing
mix—distribution, pricing, and
focused on “Place”—in this instance rather than subcontracting it to
advertising—and emphasized
the speed at which the product can Asia. Not only can the business
the need to coordinate
reach retail outlets. Rather than react more quickly to changing
marketing activities.
relying on the usual trade-show fashions, it can also be applauded
route and showroom invitations, for keeping employment local. ■
Bench uses a more direct approach.
Sales people take samples to
retailers, and send orders directly
to headquarters while still with the
retailer. An automated system then
generates purchase orders to the
manufacturing site within hours.
From the customer’s point of view
(both individual consumers and
retail outlets), styles arrive quickly,
keeping the brand fresh. For the

Fashion store Zara concentrates its
marketing mix on “Place.” It is able to
deliver new designs to its store floors
in just under two weeks.