Marketing Strategy Analysis
As discussed by (Palmer, 2012, p. 259) the marketing mix is a conceptual framework that identifies the principal decisions made in configuring offerings to meet customer’s needs. It is made up of four coherent elements which include: Product, Place, Price and Promotion. The newspaper and publishing industry is dominated by 4 major companies (News Australia Holding Pty Limited, Fairfax Media Limited, Seven West Media Limited and APN News and Media Limited), each owning large sectors of the market share (IBISWorld 2012, p. 27). Each company has specifically designed their marketing mix based upon carful and in-depth research of the characteristics in their target market. (Pride & Ferrell, 2011, p. 40 )
Firstly, in relation to Product, according to (Solomon et al 2006, p.183), “A product is anything tangible or intangible that satisfies consumer or business customers’ needs as a result of an exchange process.” As well, Solomon also remarks that a “Product is more than just a thing that comes in a packet”. From an intangible perspective a Product is a package of “attributes, benefits and values” that appeal to and satisfy the needs and wants of consumers. Each major newspaper publishing company has their specific brand of newspaper, and that is their tangible product. Fairfax Media Limited is one example owning the Herald-Sun, the Age and the Australia Financial Review (IBISWorld, 2012, p.29). Due to the 6.1% decrease of readers over the last 5 years, Fair Fax media have had to adopt a new marketing strategy to best suit their target market. Readers have now resorted to alternative sources of news, such as the internet. Fairfax Media responded to this and made their news available online, as well as releasing the “Herald Sun Digital Pass” which is an application for smartphones and tablets that allows consumers to subscribe to the Herald Sun (ITunes 2012, Herald Sun Digital Pass). In comparison, News Australia Holdings Pty Limited, holds a monopoly over the
Firstly, in relation to Product, according to (Solomon et al 2006, p.183), “A product is anything tangible or intangible that satisfies consumer or business customers’ needs as a result of an exchange process.” As well, Solomon also remarks that a “Product is more than just a thing that comes in a packet”. From an intangible perspective a Product is a package of “attributes, benefits and values” that appeal to and satisfy the needs and wants of consumers. Each major newspaper publishing company has their specific brand of newspaper, and that is their tangible product. Fairfax Media Limited is one example owning the Herald-Sun, the Age and the Australia Financial Review (IBISWorld, 2012, p.29). Due to the 6.1% decrease of readers over the last 5 years, Fair Fax media have had to adopt a new marketing strategy to best suit their target market. Readers have now resorted to alternative sources of news, such as the internet. Fairfax Media responded to this and made their news available online, as well as releasing the “Herald Sun Digital Pass” which is an application for smartphones and tablets that allows consumers to subscribe to the Herald Sun (ITunes 2012, Herald Sun Digital Pass). In comparison, News Australia Holdings Pty Limited, holds a monopoly over the
References: Palmer, R, Cockton, J & Cooper, G (2007). Managing Marketing. United Kingdom: Elsevier. Palmer, S (2012). Introduction to Marketing: Theory and Practice. 3rd ed. United Kingdom: Oxford University Press. Pride, W & Ferrell O (2011). Foundations of Marketing. USA: South-Western Cengage Learning. Soloman, M. R., Marshal, Greg W., Stuart, Elnora W. (2006). Marketing: Real People, Real Choices. Prentice Hall, Pearson Education Australia.