PRINCIPLES OF

MANAGEMENT
J&J MARKETING
MIX CASE STUDY
J&J MARKETING
MIX CASE STUDY
RECENT POSTS…
 1 INTRODUCTION

2 BACKGROUND

3 7 Ps OF MARKETING

CONTENTS 4 INTERNAL FACTORS

CLICK TO GO TO
5 EXTERNAL FACTORS
PARTICULAR
SLIDE
6 CASE STUDY AND QUESTIONS

7 BIBLIOGRAPHY
 PART 1
INTRODUCTION
AND
BACKGROUND OF
MARKETING MIX
1. INTRODUCTION
• WHAT IS MARKETING MIX?

The marketing mix refers to the set of actions, or

tactics, that a company uses to promote its brand
or product in the market. The 4Ps make up a
typical marketing mix - Price, Product,
Promotion and Place. However, nowadays, the
marketing mix increasingly includes several other
Ps like Packaging, Positioning, People and even
Politics as vital mix elements.
2. BACKGROUND
• The term Marketing Mix was developed by Neil Borden who first started using the phrase in 1949. “An executive is a
mixer of ingredients, who sometimes follows a recipe as he goes along, sometimes adapts a recipe to the ingredients
immediately available, and sometimes experiments with or invents ingredients no one else has tried." (Culliton, J. Neil Borden
1948)
• According to Borden, "When building a marketing program to fit the needs of his firm, the marketing manager has to
weigh the behavioral forces and then juggle marketing elements in his mix with a keen eye on the resources with
which he has to work." (Borden, N. 1964 Pg 365).
• E. Jerome McCarthy (McCarthy, J. 1960), was the first person to suggest the four P's of marketing – price, promotion,
product and place (distribution) – which constitute the most common variables used in constructing a marketing mix.
According to McCarthy the marketers essentially have these four variables which they can use while crafting a
marketing strategy and writing a marketing plan. In the long term, all four of the mix variables can be changed, but in
the short term it is difficult to modify the product or the distribution channel.
E. Jerome McCarthy
• Another set of marketing mix variables were developed by Albert Frey (Frey, A. 1961) who classified the marketing
variables into two categories: the offering, and process variables. The "offering" consists of the product, service,
packaging, brand, and price. The "process" or "method" variables included advertising, promotion, sales promotion,
personal selling, publicity, distribution channels, marketing research, strategy formation, and new product
development.
• Recently, Bernard Booms and Mary Bitner built a model consisting of seven P's (Booms, B. and Bitner, M. 1981).
They added "People" to the list of existing variables, in order to recognize the importance of the human element in all
aspects of marketing. They added "process" to reflect the fact that services, unlike physical products, are experienced
as a process at the time that they are purchased. Desktop modeling tools such as Micro TSP have made this kind of Mary Bitner
statistical analysis part of the mainstream now. Most advertising agencies and strategy consulting firms offer MMM and
services to their clients. Bernard
Booms
 PART 2
7 Ps THAT MAKE UP
THE MARKETING
MIX
7 Ps OF MARKETING:-
PRODUCT

PRICE

PROMOTION

PLACE

PEOPLE
LET US SEE WHAT THESE Ps ARE CLICK ON THE TAB TO GO TO THE
PROCESS AND HOW THEY HAVE BEEN
UTILIZED BY JOHNSON &
SPECIFIC SLIDE.

JOHNSON!

PHYSICAL EVIDENCE
 ABOUT JOHNSON & JOHNSON
Johnson & Johnson (J&J) is an American multinational corporation founded in 1886 that develops medical devices, pharmaceuticals, and consumer packaged goods. Its common stock is a
component of the Dow Jones Industrial Average and the company is ranked No. 36 on the 2021 Fortune 500 list of the largest United States corporations by total revenue. Johnson & Johnson is
one of the world's most valuable companies, and is one of only two U.S.-based companies that has a prime credit rating of AAA, higher than that of the United States government. Johnson &
Johnson is headquartered in New Brunswick, New Jersey, the consumer division being located in Skillman, New Jersey. The corporation includes some 250 subsidiary companies with operations
in 60 countries and products sold in over 175 countries. Johnson & Johnson had worldwide sales of $82.6 billion during calendar year 2020.

INDUSTRY
Pharmaceutical, Medical Services, Consumer Healthcare
ACUVUE
LENSES
FOUNDED
BAND-AID January 1886, 135 years ago in New Brunswick, New Jersey

REVENUE
CLEAN & CLEAR TYLENOL US$ 82.584 Billion (2020)
FACE WASH
JOHNSON NO. OF EMPLOYEES
’S BABY 134,500 (2020)
NEUTROG
-ENA SKIN
 ABOUT JOHNSON & JOHNSON
• This multi-national American company deals in consumer goods as well as pharmaceutical goods. Johnson & Johnson brand is today
associated with qualitative products. In this health conscious world, the company has earned the trust of its consumers by supplying
natural products that do not have any chemicals. This globally acknowledged brand has targeted every segment of the society with
age being no bar. It has products for babies, children, teenagers and even adults.

• The company faces competition from the following-

 Abbott Labs
 Lilly Elli & Co
 Novartis A G
 Hindustan Unilever
 Nivea
 Wipro
 Himalaya
 Procter & Gamble
 Pigeon
 Colgate
Product
• Johnson & Johnson is a well-established brand whose product portfolio is divided into three
segments like consumer products, Pharmaceuticals and equipment related to medical
industry. Its consumer division is one of the most important manufacturers of India and
helped in the steady growth of the company. Most of its items are available in different colors
and fragrances. Its product line includes:-

 Baby care products like massage oil, toothbrush, shampoo, wipes, nappy pads, powder,
body lotion, soap, cream and hair oil.
 Skin care products like Clean & Clear face wash, Clean & Clear deep action cleanser,
Clean & Clear moisturizer, Shower to shower, Body lotion and Neutrogena skin care
products.
 Wound care like band aid
 Oral care products like mouth wash under the name This is available in three varieties-
mouthwashes, fresh burst and cool mint.
 Nutritional products
 Women’s health care like Stay Free’s sanitary napkins
 Pharmaceutical products– The range of these items is varied and large. They are
generally used for therapeutic uses like Dermatology, Contraceptive, Cardiovascular,
Anti-effective and Anti-fungal.
 Medical equipment that are used by medicinal professionals. This includes products
related to spinal care, circulatory diseases and products for orthopedics. The other
Price
Learn more
• The quality of every Johnson & Johnson product is very good and even then, the
company has decided on an affordable pricing policy. Many times, its products
also use psychological pricing by keeping the value of the product at multiples of
99 or 49.
• The company for all its health care products has tried to retain their increased net
prices inside the CPI or the Consumer Price Index.  It is an index in use in USA
and it considers the average purchase price of a product which the consumer can
afford. As Johnson and Johnson is a consumer product, it takes care of its
customers through its pricing policy.
• Johnson & Johnson is aware of its responsibility to the society and for this; they
have worked closely with the government to keep prices reasonable for medical
items.
• In order to determine the value of their product the company has a team of efficient
members that analyses the various factors like the production cost, the targeted
segment of the society, demand, supply and the ability to pay for the product. After
proper evaluation, the prices for any product are determined.
• In some cases, the prices are at a little higher rate, for instance on products like
consumer goods and baby care products, where the consumer is willing to give out
the extra money for the health of their family members. In cases of medical
equipment, the prices are at affordably priced so that people can easily buy those
products.
 Promotion
• Johnson & Johnson has realized the advantage of consumer awareness and hence has decided on promotional activities that
are instructive with a strong message as well as are eye-catching. Good and sensible marketing is very important in order to
increase the product visibility and so the ads are placed on the hoardings, magazines as well as newspapers so that they can
be easily viewed. It is dedicated to the concept of natural and qualitative products and hence has made its packaging process
environmental friendly.
• Johnson & Johnson has been associated with promotions that inspire healthy living. Some of the famous campaigns are
“Having a Baby Changes Things” and “The Campaign for Nursing’s Future”. Famous actor Prachi Desai has been associated
with the company and its various campaigns. The new baby to be involved in the Johnson’s ads is “Khiyaan Singhvi”. The
company has been showing delightful ads featuring babies and children in prime time slots of the various television channels.
Popular cartoons like The Little Mermaid, Pocahontas and Winnie the Pooh and Pals have also been included in the ads for
baby care products making them highly popular amongst the viewers.
• One of the most loving part of Johnson and Johnson is the cute and absolutely delightful baby ads it shows on television.
People love such ads. And as the baby is most important to mothers, the mother and baby connection is shown strongly in the
ads by Johnson and Johnson. This is one of the reasons the company thrives because it has a strong emotional connect with
its target audience.
• Johnson & Johnson offers various schemes to its customers at regular intervals like soap free with every three purchases,
hundred-milliliter bottle free with five hundred milliliter product. It also offers special discounted coupons on products like
Stay Free Secure, Baby powder and Baby soap. Many hospitals have been giving out special baby product kits to the new
mothers who leave the hospitals with their babies. This is a very smart scheme as the products gain the trust of mothers at an
early stage and hence the mothers generally continue with the products of this company.
 Place
• Johnson & Johnson is a renowned brand name that has two hundred and thirty
subsidiary companies with operations in more than fifty-seven countries. They have
the advantage of local windows of the operating companies to meet the various s
customer needs through scientific developments. The company has set up an
executive committee, which is responsible for all its operations and for its resources
allocation. The main responsibility of the company is to supervise and coordinate the
various consumer activities, the medical devices and the diagnostic business. In most
of the cases, the local citizens manage the subsidiaries.
• In order to meet the aspirations of the consumers and to fulfill their needs, the
company has been using a well-organized distribution channel. Johnson & Johnson
has been using an approach called decentralized management, where the employees of
the company are encouraged to give their hundred percent with the understanding that
they will eventually benefit from this scheme.
• They have also utilized the modern technology to their advantage and hence have been
selling their products on various portals and shopping sites on the internet. They have
successfully capitalized the emerging internet market to its full potential. Today the
company’s sales figure through internet is astounding. All Johnson & Johnson items
are easily accessible at retail outlets, wholesalers and modern markets like Metro Cash
& Carry, Wal-Mart, Dmart, Reliance Fresh and Big Bazar.
 People
• William C Weldon is Chairman & Alex Gorsky is the Chief Executive Officer of
Johnson & Johnson.
• Joseph J. Wolk is the Chief Financial Officer and Vice President of Finance.
• Johnson and Johnson has a Global Diversity and Inclusion program with a goal
of achieving a skilled, high performance workforce that is reflective of the
diverse global marketplace (workforce).
• Johnson & Johnson India was ranked as Kicentric Best Employer 2020
• It has people working under its sales team that play a vital role in its marketing
efforts. These people have been trained in persuasive techniques, but also to
show respect to the business customers taking into consideration their
preferences.
• It has people working in its customer service department. These are contacted by
customers in case of any issues within the product, and these people guide
customers through the process of getting the issues resolved. These people are
trained to respect the customers and try their best to get their issues resolved.
• Has people working with suppliers to obtain raw materials. These people play a
vital role in maintaining or improving the quality of the final product produced.
• Has people working at retail stores who help the customer on site, by answering
any questions or helping them decide the product that best suits their needs.
 Process
• Johnson and Johnson employs what they call a “decentralized management
approach”. Employees are encouraged to be “entrepreneurial” with the understanding
that they will benefit from focusing on customer needs and providing solutions.
• Johnson and Johnson seeks to turn insights into innovative new products and
sometimes whole new businesses. Their goal is to capitalize on scientific
breakthroughs, marketing insights and manufacturing expertise easily across the full
range their businesses. With more than 250 operating companies have a local window
into emerging customer needs, scientific developments, and technologies throughout
the world.
• To make sure that its products are always available at retail stores has systems
installed where retailers can notify when their inventory levels are low. provides them
with more products while ordering its productions to replenish its stock. This ensures
that products are always available to customers when needed.
• Has an online delivery process, where orders are received in the computer system and
based on these orders, the relevant product from the inventory is shipped to the
delivery service provider.
• It is actively involved in researching market opportunities in order to understand
customer needs. It also develops understanding regarding customer needs through
feedback collected at store, its helpline or social media pages.
 Physical Evidence
• The Johnson & Johnson Headquarters is located at One Johnson &
Johnson Plaza, New Brunswick, New Jersey.
• The Johnson& Johnson Consumer Division is located at 199
Grandview Road, Skillman New Jersey.
• The Ortho-Biotech Division is located at 700 Route 202 Raritan,
New Jersey.
• The Lifescan Division is located at 1000 Gibralta Drive, Milpitas,
California.
• The VistaKon Division is located at 7500 Centurion Pkwy,
Jacksonville, Florida.
• The Endo Surgery Division is located at 4545 Creek Road
Cincinnati, Ohio.
• The Independence Technology Division is located at 40 technology
Drive, Warren New Jersey.
• The Johnson and Johnson logo is based on the signature of James
Wood Johnson, one of the two brothers originally who founded the
company.
• Johnson & Johnson maintains a presence online via a number of
websites http://www.jnj.com/connect/others/sitemap/ which
provide information on company values, and management
approach.
• Another Johnson and Johnson website http://www.jnj.com ,
provides detailed information on various consumer products such
as Listerine or Tylenol.
 PART 3
7 Ps THAT MAKE UP
THE MARKETING
MIX
 Factors That Affect the
Marketing Mix
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Factors
title
Internal Factors
• Elements outside of the • Elements within the
business’s control that business that can be
affect the marketplace monitored and adjusted
by the organization and
that affect the
marketplace.
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 External Factors That Affect the Mark
eting Mix
Customer Economic Technological
Political forces Natural forces Competition
attitudes conditions advances
• Individuals’ • Layoffs, • New technology • May impact both • Natural • Activity among
feelings or unemployment may make a business occurrences as competitors
opinions affect rates, interest product obsolete decisions and simple as a may affect traffic
everything from rates, and cost or may help in customer thunderstorm and sales in the
fashion to food, of living affect improving spending. can impact sales business.
from cars to customer product quality Government for all different • For eg: Is your
planes and may spending. or productivity. regulations types of biggest
change quickly National businesses competitor
and without security and currently
warning. international implementing a
relations customer
Consumer appreciation
trust of the program to
system motivate
customers to
shop exclusively
at their store?
Internal Factors That Aff
ect the Marketing Mix
• Exactly what does the business want to achieve?
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• Is the goal to be the market leader or is it to
Company maintain a level of business to assure surviving the
objectives first critical years?
Enter title • These very different goals will require different
marketing mix decisions.
Company • Will you offer store credit to your customers?
Enterpolicies
title • Will you provide paid vacation time for employees?

Financial • Cash flow patterns should be analyzed regularly to

situation maintain an organization’s financial stability.
 PART 4
CASE STUDY AND
QUESTIONS
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 BIBLIOGRAPHY
• https://www.linkedin.com/pulse/history-marketing-mix-from-4ps-7ps-yous
ef-baalbaki
• https://www.jnj.in/
• https://en.wikipedia.org/wiki/Johnson_%26_Johnson
• https://www.marketingteacher.com/johnson-and-johnson-marketing-mix/
• https://www.essay48.com/term-paper/4052-Johnson-Johnson-Marketing-
Mix
THANK YOU!