Agriculture Reference
In-Depth Information
Customers - Competition
Product
Price
Target
market
Promotion
Place
Market conditions
Figure 7.1
The marketing mix
Each of these four elements of the marketing mix, the four Ps, are explored individually
in this chapter. But, keep in mind that each of these elements must complement one another
in order to create the intended position in the market. For example, how would the California
vegetable growers respond if they were called on by a John Deere salesperson that did not
understand the technical features of the high quality tractor the growers were interested in?
Or how would the growers react if the salesperson was very knowledgeable, but the tractor
failed three times during the fi rst week of operation? What would these growers think
about John Deere if the promotional literature they received on the tractor was sketchy and
unprofessional? For an agribusiness marketing program to be successful, all elements of
the marketing mix must communicate a clear and consistent story—the position—to the
target market.
Product/service/information decisions
Product/service/information decisions form the heart of the marketing strategy and are
among the most fundamental decisions an agribusiness makes. (We will use the term prod-
uct instead of product/service/information in this section, but don't forget that service and
information are critical to the fi rm's strategy in this area.) Decisions that must be made here
include:
The mix of different products and services offered,
The extent of each product line,
The specifi c characteristics of each product sold, and
The level and type of information provided in the bundle.
