Islamic Marketing Mix

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Islamic Marketing Mix

MBBC 4263
ISLAMIC MARKETING
PN. JUNAINAH IDRIS
Learning Outcomes
• Define Islamic Marketing Mix
• Describe the component of Islamic Marketing Mix
• Discuss 9Ps in Islamic perspective
Islamic Marketing Mix
• Islamic Marketing Mix are the set of marketing tools the firm uses to
implement its marketing strategy.
• Islamic Marketing Mix consist of 9 components or 9Ps (Product, Price,
Place, Promotion, People, Process, Physical evidence, Patience and
Promise).
• The firm must blend each Islamic marketing mix tool into a
comprehensive integrated marketing program that communicates
and delivers the intended value to chosen customers.
Product
Patience Price

Promise Place
Target Market

Physical
Promotion
Evidence

Process People
Islamic Marketing • To deliver on its value proposition, the firm must
Strategy based on first create a need-satisfying market offering
(product).
Islamic Marketing Mix • It must then decide how much it will charge for
the offering (price)
• How it will make the offering available to target
consumers (place).
• It must engage target consumers, communicate
about the offering, and persuade consumers of
the offer’s merits (promotion)
• It must satisfy and concern on public (people)
• Conduct all marketing activities by following
Shariah Law (Process)
• Must potrays Islamic value (Physical evidence)
• Hardworking and do not give up (Patience)
• Keep their word and deliver value as being
promised (Promise)
• In Islam, ‘products’ are associated with
values and ethics. The word Taiyyibat, which
Product is mentioned in the Quran 18 times, has
been explained by Islamic scholars to carry
the meanings of beauty, purity, physical and
spiritual cleanliness, and attractiveness, and
it is usually used along with the word Rizq
(sustenance).
• Incorporates moral and transcendental
elements within the production decision-
making process in product development.
• The product should be Halal (lawful).
• The product must be deliverable.
• All parties intend to discharge their
obligations, financial and otherwise, in good
faith and should be based on principle of
the justice , fairness and equity.
Creates hope, which in Companies also should Product transparency could

Hunamistic
Realistic

Transperancy
turn create an inner view the market hinder the consumers from
power to make a any harm that the products
humanly. This means may cause
breakthrough. that companies should Prophet Muhammad SAW
If companies knew that realize that it is the said the following: Narrated
they are selling expensive human being that buy Hakim bin Hizam: Allah’s
products, they are better the products, not just a Messenger said, “The seller
sell the product in credit set of “being” which and the buyer have the right
rather than asking people to keep or return goods as
to buy it in cash. They
could be treated like an long as they have not parted,
could also offer the least object. or till they part; and if both
expensive products. This the parties spoke the truth
and described the defects
may encourage customers’
and qualities (of the goods),
willingness to buy. then they would be blessed
in their transaction, and if
they told lies or hid
something, then the
blessings of their transaction
would be lost”
Price
• Prohibition to create false impression that customers
getting bargains but in fact they are not.
• Prohibition to change a price without altering the
quality or quantity of the product.
• Prohibition on false propaganda or publicity on the
part of marketers regarding the position of demand
and supply through the media.
• Prohibition on price discrimination practice between
bargainers and non bargainers by selling them the
same product for different prices. In this regard,
Saeed and Sohail (2001) argue that price
discrimination is a sort of riba.
• Islam does not prohibit price controls and
manipulations for the purpose of meeting the needs
of the market. Example, current practice of airline,
hotel, and some other industries are depends on the
price discrimination strategy which the customers
have to pay different charges because of the date
factor.
• Rasulullah S.A.W sold his products at a price that could be absorbed by the market.
• should not cheat the easy- going customer for illicit gain. For example real owners of
the merchandise pretend that they are not the owners in order to increase the price
by making consumers believe that a higher price would be charged by the real
traders.
• The price cannot be lower than the standard price in the market because of its effect
of benefiting the buyers but harming the sellers. Likewise, it cannot be higher than
the standard price in the market because it will harm the buyers whom may not have
enough money to purchase the needed merchandise but are forced to do so.
• Umar Al-Khattab when he passed by Hatib bin Abi Balta’ah and found him selling
raisins at a much lower price with the intention of putting his competitors to loss.
Umar Al-Khattab told him: Either enhance your rate or get away from our market.
• Hadith of the prophet which goes thus: “Do not raise prices in competition” (An-
Nawawi 2:270, narrated by Al Bukhari and Muslim).
Promotion
• Avoidance of false and misleading • Prohibited all forms and shapes false
advertising. Un ethical for the salesman assertion, unfounded accusation,
or customer relation advisor to over- concoction and false testimony.
praise his product and attribute to the • Avoidance of sales promotions that use
qualities which they do not possess. deception or manipulation such as using
• Marketing communication about goods sexy woman to attract attention.
and services are not intentionally
deceptive or misleading.
• Swearing in the name of Allah in order to
promote products and persuade buyers
to purchase the goods is not allowed.
"Those who purchase the small gain at the
cost of Allah’s covenant and their oaths
(they have no portion in the hereafter) (Al
Imran 3:77).
• Giving false impression of any kind to
Promotion promote the product is prohibited.
• False and misleading advertising as well
as deceptive and manipulative
promotion must be avoided. True
documents that reveal accurate
specifications as well as terms of
quantity and quality should be revealed.
• exploiting women in advertising to lure
and attract customers, employing
suggestive language and behavior and
using obscene advertising to promote
products/services, especially for women,
are all not acceptable in Islam.
Place
• Not manipulating the availability of a product for
purpose of exploitation.
• Not using coercion in the marketing channel.
• Not exerting undue influence over the re-sellers
choice to handle a product.
• Distribution channels are not supposed to create a
burden to the final customer, in terms of higher
prices and delays.
• Unethical practices in distribution could be weak
packaging without adequate security and
protection for the product, inappropriate
packaging, and dangerous and toxic products must
be transported very carefully without any
negligence. Harming people on roads when
transporting dangerous goods is unforgivable and
equates to unjust marketing practice.
People
• The marketers not to resort to any form of coercion.
Coercion means Compel a person to do a thing without
his consent, sexual appeal, emotional appeal, fear
appeal, subliminal advertising and pseudo.
• Islam emphasizes the importance of “free’ and
"independent judgment" on the part of the customer.
Freedom to think rationally while making decisions
relating to global marketing activities.

• Scientific claims all have elements of coercion which cause them to be categorized as unethical as
means of marketing must be avoided.
• Employee satisfaction and customer satisfaction. Employees must be patient, honest, fair, and
accountable.
• Marketer must be polite, gentle, honest, and smiley. Marketers
should be able to think rationally and show concern for
People customers' feelings and attitudes. Prophet Muhammad (PBUH)
said in hadith “I was ordered to address people according to
their minds”.
• Disclosure of information related to customers as in banks is
unethical. For example, a case when a manager of one of the
conventional banks in Jordan was fired because he disclosed the
balance of one of the customers to other client.
• They should also have a nice look and proper appearance.
Women need to wear headscarf and abstain from excessive
make up. They should not wear tight clothing that can be
seductive. Women staff must attire in dress that comply with the
Muslim culture.
• Islam also has ordered merchants to stop buying and selling on
Friday, especially at the time of mid-day prayer. The Quran
states:
"O ye who believe! When the call is proclaimed to prayer on Friday
(the day of assembly), hast earnestly to the remembrance of Allah,
and leave off business (and traffic): that is best for if ye but knew”
( Al Jumaa 28:9).
• Men are not allowed to work as hair stylists in women’s saloons.
Marketers must show
a sense of
responsibility in four
categories
Responsibility
Towards God

Responsib
ility Responsib
Toward ility
The Towards
Environm Society
ent

Respect Of
Marketers’ Own
Welfare
Process

• The process element includes procedure, mechanism and flow of activities by


which services are provided. The “process” also means how the product will reach
the end user. This essential ingredient of the marketing mix is crucial to customer
satisfaction’ Issues such as waiting times, the information given to customers and
the helpfulness of staff, efficiency in carrying out the service, staff interaction in a
manner appropriate to the service, are all vital to keep customers happy.
• Customers are not interested in the details of how your business runs. What
matters to them is that the system works. Once a marketer told a customer “look at
the desk we make. It is very strong and sturdy, if we through it from the top of the
fifth floor it will not break”. The customer replied “Well I don’t buy a desk to throw
it from the top of a building”.
Process
• No coercion
• Shariah compliance
• Right marketing information
• Shake hands with men
• No pressure selling techniques
• Islamic greeting
(AssalamuAlaikum) • No swearing in the name of Allah
• Islamic hospitality • No exploitation of monopoly power
• No bribes, No sexual harassment • No fraud transaction
• Honesty, Fairness , Respect • Staff interaction efficiency
customers • Proper use of customer waiting time
• No hard sale, No harm, • Respect for time
Physical Evidence • Physical evidence is an implicit element
which means the ability and environment
in which the service is delivered.
• Physical evidence can be both tangible
goods that help to communicate and
perform the service, and the intangible
experience of existing customers and the
ability of the business to relay that
customer satisfaction to potential
customers.
• Physical evidence is an essential ingredient
of the service mix which allows the
consumer again to make judgments on the
organization.
Physical Evidence

• Shariah compliance • Quranic verses, Hadiths


• No gambling halls • and Arab wisdoms and sayings on
• Mosques in companies and walls
businesses • Pictures of founders (not a must)
• Stationary engraved in the name • Documentation and witnessing of
of Allah credit
• Islamic architectures • Taking items as collateral
and guarantees for credit payment
Promise
• “Promise management” which means shifting from marketing mix to building
relationships. In a survey conducted by the researcher the following question was
asked to managers and owners of the private sector in the West Bank “What do you
consider to be the single major reason for your success? 75 percent of the one
hundred twenty participants named keeping promises and being patient as their major
reasons.
• An integral element of relationship marketing approach is the “promise concept”
which has been strongly emphasized by Henrik Calonius. According to him the
responsibilities of marketing do not only or predominantly, include giving promises and
thus persuading customers as passive counterparts on the market place to act in given
way. A firm that is preoccupied with giving promises may attract new customers and
initially build relationships. However, if promises are not kept, the evolving relationship
cannot be maintained and enhanced (Calonius, 1983).
Promise
• Abide by Islamic law (Shariah)
• Respect promises
• No faked promises
• Respect for time
• Promise management
• Relationship marketing
• Good communication
• Passive persuasion
Patience
• Patience is another element of Islamic • Allah indeed rewards believers for being
marketing mix .This element is of utmost patient. The Quran states "No one will be
importance in service industry. Islam granted such goodness except those who
urges people to be patient in dealing with exercise patience and self-restraint, none
customers. Patience is a key characteristic but persons of the greatest good fortune
of good communication. (Fussilat, 24:35).
• The Quran states “…Allah surely loves
those who are patients" (Al Imran 4:146).
• Allah has ordered us to be patient. The
Quran sates "And be patient, indeed Allah
is with the patient ones" (Al Anfal, 10:46)
and sates "Be patient, for your patience is
with the help of Allah" (An Nahl, 14:127 ).
Patience
• Abide by Islamic law (Shariah)
• Be patient with all kinds of
customers
• Good communication skills
• listening to customers
• Be helpful

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