Published by MBA Skool Team, Last Updated: December 19, 2016
Marketing Strategy of BHP Billiton analyses the brand with the marketing mix framework which covers the 4Ps (Product, Price, Place, Promotion). There are several marketing strategies like product innovation, pricing approach, promotion planning etc. These business strategies, based on BHP Billiton marketing mix, help the brand succeed.
BHP Billiton marketing strategy helps the brand/company to position itself competitively in the market and achieve its business goals & objectives.
Let us start the BHP Billiton Marketing Strategy & Mix to understand its product, pricing, advertising & distribution strategies:
BHP Billiton Product Strategy:
The product strategy and mix in BHP Billiton marketing strategy can be explained as follows:
BHP Billiton is a top player in the major commodities. It has made sure that the company stays in the leading position all through. We find that the major commodities are coal, iron ore, copper and oil-gas. The oil gas segment is the main segment for the company. It is the world’s greatest player in this segment. The other commodities are as stated above. These also have a large share in the world market. BHP Billiton make sure that they keep themselves as one of the world largest player in the world market. The commodities which they supply mainly depends on the demography. They make sure that the products are available at the places and if not then they make sure that they get that commodities which they want. BHP Billiton has a large hand at playing the supply of the products to the whole world and the amount they supply to the world will be beneficial as these commodities are needed on a day to day basis.
BHP Billiton Price/Pricing Strategy:
Below is the pricing strategy in BHP Billiton marketing strategy:
The prices of the commodities are based on the global market.
We find that these prices are varying according to the market values. Hence the pricing strategy in the marketing mix of BHP Billiton is basically dependent upon external factors like global markets, competition etc. With the up and down of the market, these prices changes. We find that prices of each and every commodities are varying on a timely basis. BHP Billiton deals in the raw materials which are traded at a low price. Now we find that the market prices are varying. But the prices are also dependent on the taxes levied by the government. This also suggest the prices at which the commodities are available in the various countries. This is how the price of coal, iron ore, copper are maintained or varied. But the main thing which is changing is the global prices of these commodities. But the prices of these raw commodities are varying on a daily basis as they are traded.
Following is the distribution strategy in the BHP Billiton marketing mix:
The places where these commodities are traded. These places are not based on a country. These commodities are traded globally. They are not restricted to any demographic border. The raw materials are found all over the world. Thus they have to have places where they can find these materials. The final products are circulated all over the world. The mode of transportation is very efficient and they make sure that they crater to the daily needs of the consumers. The company has made a landmark achievement when it comes to these commodities. They made sure that these are available to the people. BHP Billiton have become one of the largest resources of these raw materials through a set of merger and acquisitions. These are pretty big and they make sure that these are spread all over the world. This makes the company widen its horizon and make sure that the company stays ahead in this sector.
This has in turn made BHP Billiton one of the largest leader in the field of raw material supplies.
BHP Billiton Promotion & Advertising Strategy:
The promotional and advertising strategy in the BHP Billiton marketing strategy is as follows:
BHP Billiton has bestowed a lot of effort when it comes to promotion. They make sure that the promotional activities are upto the mark. The company is investing is all kinds of promotions like the newspaper, radio, television and now even in the online processes. BHP Billiton also has a great number of CSR activities which is wide spread all over the globe. This in turn helps in making the company more promotions indirectly by reaching the common masses. The company also makes promotion in the form of business to business. This helps in increasing the customer horizon base of the company. Hence, this completes the BHP Billiton marketing mix.
About BHP Billiton:
BHP Billiton is among the top producer of the major commodities which include iron ore, coal, copper and uranium. The company has made itself into a large player by investing into all kinds of commodity like oil & gas also, and they are making sure that the products are marketed all over the world. This in a way is making sure that the company is worth the investment. The company has more than 65000 employees and contractors included. The company is mainly focused on the minerals like copper, iron ore, coal. The other minerals which they extract more are like nickel mainly in Australia, Potash mainly in America. When it comes to the segment of oil and gas this company is the global leader in oil and gas exploration, production, development and marketing.
This company has been born in the year of 2001 through the merger of Australian Broken Hill Proprietary Company Limited (BHP) and the Anglo Dutch Billiton Plc. Since that time the company has been a force to reckon with.
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