Q1. How would you apply the extended marketing mix (7 Ps) to promote a new financial product, such as a savings scheme or loan service, in a competitive market? Discuss with example.
- The 7 Ps (Product, Price, Place, Promotion, People, Process, Physical Evidence) are essential for marketing intangible financial services.
- Product in financial services focuses on unique benefits and solving specific customer needs like quick access to funds.
- Price involves transparent interest rates and fees, ensuring competitiveness and avoiding hidden charges.
- Place emphasizes convenient distribution channels, with digital platforms (apps, web) being critical for modern financial products.
Answer: The extended marketing mix, often referred to as the 7 Ps (Product, Price, Place, Promotion, People, Process, and Physical Evidence), is critically important for promoting financial services like a new savings scheme or loan service in a competitive market. Unlike tangible goods, financial products are intangible and rely heavily on trust and service quality, making the additional 'Ps' essential for delivering and communicating value. According to marketing principles for financial services, an ...