THE MARKETING MIX
(operational marketing) C 4.3
Once the strategic marketing plan is defined, the enterprises and the GI organization must make it operational
considering the characteristics of the GI product as defined in the Code of Practice. Marketing mix provides with tools to
take decision in the implementation of the GI strategy.
Objectives
The marketing mix consists of establishing the means to achieve the operational objectives in each market selected
by the GI organization and its members, by combining four operating factors: Product, Price, Place, and Promotion.
Operational marketing activities are usually generated by individual actors. Indeed, GI organizations are often
more dedicated to the definition of product characteristics and communication. But this is not a rule; the collective
organization could also take decisions or give advice on product presentation, price and sale location and also be
involved in other marketing aspects of the GI product.
The marketing mix components
THE MARKETING MIX (operational marketing)
DISTRIBUTION
Distribution Channels
PRODUCT sales points
Quality
Characteristics (Code of Practice)
options COMMUNICATION
Style Collective advertisements
Name or mark Sales forces
Packaging Sales promotion
Sizes Public relations
Guaranties (certification) Direct marketing
After-sales
PRICES
Tarifs
Rebattes
Payement conditions
Etc.
In yellow: responsibilities that may be delegated to the GI organization
Source: linking People, Places and Products
Key concepts
The marketing mix is organized around the «4 Ps» :
Product
In addition to the specific characteristics described in the CoP, other product characteristics are:
• The attributes of the product. The attributes refer to the tangible and intangible characteristics intrinsic to
the product (color, flavor, aroma, taste, etc.), or associated with the degree of processing, or presentation (for
example coffee can be sold as beans or as powder; ham can be whole or in slices).
• The brands presented on the labels:
- the collective logo associated with the GI, managed by the GI organization: it allows consumers to identify
important asset to build the reputation and image of the firm.
• Packaging and labelling. Packaging can increase the level of services provided with the product. In particular,
it can preserve intrinsic qualities of the product, protect it while in transport, or be used as an appealing
”advertisement” for consumers. Labeling provides important information about product characteristics
(composition, nutritional facts, description of how to use the product), about specificity related to the GI and in
terms of quality and origin. These can all facilitate usage by consumers and increase opportunities to buy and
consume the product.
C 4.3
Price
Price is a direct determinant of profits (or losses) in relation to sales. Price also determines, to some degree, the
type of customer and competition the organization will attract. An error in pricing the GI product may limit the
benefits from GI activities. In order to attract consumers, the best relationship between price and quality level in
comparison to other products of the same category should be proposed. Thus, it is important to clearly highlight the
specific attributes of the GI product in order to provide a justification for higher consumer prices.
Place
The choice of the place is complex, and concerns the selection of the distribution channel(s), the geographical
location to sell the product and through whom the GI product will be sold (for example a wholesaler, a retailer,
an exporter, etc.). For the distribution of GI products, three main channels could be considered, depending on GI
characteristics and target market desires:
• traditional distribution and local direct selling;
• large-scale distribution;
• innovative distribution (e-commerce, specialized fairs, food markets, buying groups for fair trade products, sales
LE MARKETING MIX (marketing opérationnel)
trhough community supported agriculture …).
Promotion
Promotion is an important aspect of the marketing mix. It is crucial to keep in constant communication with both
current and potential consumers and provide information about the specific quality and characteristics of the GI
product in order to increase consumer willingness to purchase and pay. The following questions must be answered:
Who communicates? To which public is the communication addressed? What to communicate? And how?
Process
It is necessary first to define the objectives and coherent activities of the marketing mix according to the « 4 Ps ».
Once defined, responsibilities and necessary means for the implementation of each action must be defined. In the
marketing mix, the members of the GI organization must define what is the responsibility of the GI organization and
what should be left to each firm.
Summary
The marketing mix makes operational the marketing of GI products. Certain characteristics of the GI product are
defined in the Code of Practice, whilst other are part of the marketing mix.
It is often beneficial to delegate to the common GI organization a large part of the communication (promotion).
Indeed, the more the resources are collective, the more impact can be expected of the communication on the
collective reputation of the GI. It is to be noted that in some countries public institutions may contribute financially to
the communication on the GI products (see chapter 6.2).
