Turbo Charger Company - Essay Example

The four P’s of Marketing: Product: The products that the companies offer are often the heart of any companies marketing strategy. Since the banks are a part of the service industry therefore many a times the results or the benefits of the product are not that conspicuous to the customer. The marketing strategy will fail badly if the product part is not good, no matter how strong the other 3 P’s of marketing are. HSBC offers many products and services but the one thing that makes it stand out from the other banks is its current account feature.

This will be used in this assignment to highlight HSBC’s marketing mix. According to HSBC (2012) sources the current account has many features one of them which is the prepaid cards. There are two types of these cards: the financial manager and the budget manager. The financial manager is targeted towards customers who are financially stronger while the budget manager is for customers with relatively lower incomes who find trouble in maintaining a regular credit card like students. Apart from this the current account also has the feature of online banking which makes it possible to make transactions on the move.

It also has the option of real time balance alerts. It has an additional option of savings for customers who deposit more than a specified amount monthly into the account. Price: The price is important for the bank it has a dual function. The first is that the price must be good enough that it attracts the customers and the second is that this price must be good enough to generate the required revenue for the bank. A number of factors influence the pricing decision some of which are the maximization of profit, increase in the market share, corporate social responsibility and survival in the market.

The trend in the pricing of current accounts has not changed much for quite some time now. There is usually no set up fees and the benefit is sought from the cash that is deposited in the banks. Increase in the interest rate would not help much in increasing the number of existing customers. The credit cards give an incentive to the customer to save more. The saved money is within the customer’s account which the bank can always lend further. This strategy is especially useful in situations when it is hard to raise new capital.

Place: Place in terms of the marketing mix means that the product is available to the customer through a proper channel which include delivery as well. Delivery does not only mean the physicality but also the availability of the service through electronic means. Even if the product is of very high quality and very highly rated, the readiness of the availability will highly affect the customers’ opinion whether the product is a failure or a success. The current account scheme is available at the majority of HSBC centers.

Promotion: Promotion heavily depends upon the methods of communication used to create awareness among the customers and potential customers regarding a particular product or service. The major objectives of promotion are to get customer attention, give them the relevant information and encourage the customer to buy the product. According to Adrian Palmer (2008) Advertisement on the other hand first of all mean that it entails costs and is paid, it cultivates the attitude of the customer into believing something which in return forces the customer to some extent to buy the product or the service. There