Blue Dart Marketing Strategy & Marketing Mix (4Ps)
Published by MBA Skool Team, Last Updated: November 16, 2017
Marketing Strategy of Blue Dart 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 Blue Dart marketing mix, help the brand succeed in the market.
Blue Dart marketing strategy helps the brand/company to position itself competitively in the market and achieve its business goals & objectives.
Let us start the Blue Dart Marketing Strategy & Mix to understand its product, pricing, advertising & distribution strategies:
The product strategy and mix in Blue Dart marketing strategy can be explained as follows:
Blue Dart is a leading courier and logistics company which ensures timely delivery of goods. Blue Dart promises a secured delivery through developed tracking system, that has a unique code that can be tracked online, for the current location of the parcel. The service offerings in its marketing mix product strategy can be explained as follows:
Internal Urgency: The premium service by Blue Dart, these are the parcels that have to be delivered fast and hence use aviation mode to be delivered. These are charged higher.
Line service: These are the products that do not require much of time limit, though need transportation at minimal cost. Hence, these are transferred through on road services. This is the economy service of Blue Dart.
Dart Apex: These are the parcels, that consist of both mix of land and air delivery, depending upon which will reach faster. These are medium priced services.
Other services also include smart box service.
The international services, which covers any countries around the world, are now managed by DHL. These services are named as: Worldwide package Express and DOX (Document Express)
Blue Dart Price/Pricing Strategy:
Below is the pricing strategy in Blue Dart marketing strategy:
Blue Dart has an efficient logistics system and uses competitive pricing strategy in its marketing mix to serve its customers.
Based on the location i.e. distance, size of the parcel and handling cost, the prices charged are similar to ones in the market. Apart from simple pricing based and market, company also charges premium prices, depending upon criticality of product, short period delivery, or even depending upon unique locations. Thus, pricing of Blue Dart services is based on type of products which can be Electronic goods, that demand high care, hence high packaging cost, that converts into more charges or Time-sensitive: Products to be delivered at short notices, and of high value are charged more, for providing more reliable service. Although the pricing of products is done according to the need of services, although it’s not completely a variable pricing but rather a standardized pricing policy, where each case is defined for the amount to be charged.
Following is the distribution strategy in the Blue Dart marketing mix:
The main headquarter of the Blue Dart company is in Chennai, with major centers at the 6 major cities of India including Mumbai and Delhi. It covers whole of south-Asia, with a very compact service in more that 13 thousand locations. Door to door delivery are for individual customers, who want parcels to be sent to relatives or friends. The pricing for such depends on the size of parcel, though is less than business carriages. Blue Dart also offers services to Businesses and organizations, in carrying the supplies and logistics for their operations. Here they operate from door to only airport or vice versa. With advent of online shopping, the importance of delivery systems has increased. Many e commerce sites have tie-ups with these companies for getting low cost delivery options, as they require frequent deliveries.
Along with delivery services, it offers Space Management Allocation Reserve and Tracking, SMART system, for providing utmost safety for the customers.
Blue Dart Promotion & Advertising Strategy:
The promotional and advertising strategy in the Blue Dart marketing strategy is as follows:
Being a service provider, the major promotion for Blue Dart, is providing a good experience to the customers so that they can rely upon the services offered. Apart from these, the of the promotional activities basically involve around gain visibility for the brand. With increasing positive word of mouth, which is only possible through reliable services, this is the main promotional tactic for Blue Dart. Various advertisements in magazines and newspapers are given, for offering visibility to brand. Online ads include YouTube channels and social media. The tagline is ‘Solutions for peace of mind’ which influences the reliability and dependability positions amongst the users, about the brand Apart from these, various ways of disguised marketing, like delivery in ads of ecommerce companies, or through movies and Televisions, which offers visibility to the company.
Since this is a service marketing brand, here are the other three Ps to make it the 7Ps marketing mix of Blue Dart.
For companies involving in services, the utmost strength of the company comes from its people. As only quality service can ensure that customers return to access it again. Hence, Blue Dart gives various trainings and incentives to it employees to perform better. As service is of utmost importance for the company, the rewards and appraisals are based on the service level achieved by the delivery persons involved. This also ensure satisfied customers for the company, that affects the sales. The sales team is also incentivized to provide with leads and opportunities of expansions. These are given a specific target to be achieved for a given period. For realizing them the importance of their works, these people are referred to as ‘Soldiers’. The HR management of company is very effective. It is evident as the company is ranked amongst the top 15 best places to work in. A dedicated and effective HR team is also one of the main reason for company’s success.
Blue Dart focuses in its process to be efficient from aspect of the availability of the services, ability to manage the parcels and logistics and timely deliveries that offer trust and reliability to the company. Customers will choose the service only if it offers wide range of delivery options. Blue Dart offers services in many areas inside of India and even outside now through DHL. Efficient management of logistics, though efficient packaging which involves an intersection of cost and quality, is the major differentiating factor for Blue Dart. Due to the effective management of logistics, it has acquired a lot of trusts from its customers, together with generating profitable income from its operations. Depending upon the criticality customers are charged different prices. Also, loyalty is maintained if these premium prices match the service quality i.e. timely delivery is both promised and offered by Blue Dart, always. The process followed is Star Model. For delivery, it follows a Hub-star model, where all parcels are delivered at a hub, and then from there carried on to nearby locations. Thus, Blue Dart is focused in providing a safe and cost effective service, that is reliable for the customers.
Blue Dart has several ways which covers the physical presence of the brand. The number of invoices generated are direct connection to number of customers trusting the services provided by Blue Dart. Hence, Challans and invoices form the major part of physical evidence for the trust on Blue Dart by customers. These invoices are now basically computer-generated records and are easy to gage to give a clear indication of company’s growth. Deals with ecommerce companies, for their belief in timely delivery by the courier service, is another evidence, that gives insight about the growing market share of the company. Deals also include, part of supply chain for various companies, in delivering supplies from vendors. Of the total parcel and delivery services, Blue Dart, is the leading company with share of around 45%, in domestic delivery services. This huge captured market, shows that Blue Dart uses its operations effectively and thus, is able to gain maximum trust of the customers. Hence this concludes the marketing mix of Blue Dart.
About Blue Dart Express Ltd:
Blue Dart is an express courier delivery service, which provides parcel distribution facility, through cargo airline. DHL has acquired Blue Dart in 2004, and now has become the third largest express mail company. Blue Dart is the market leader in Indian logistics and express delivery market, which in total comprises of around $390 billion. With increasing Ecommerce and even globalization, courier service industry has a bright future.
The main competitions of Blue Dart, in these growing markets are Fedex and Gati Ltd. ‘Continued excellence in delivering capabilities, with focus on each individual customers’ is the main goal of Blue Dart.
This article has been researched & authored by the Content & Research Team. It has been reviewed & published by the MBA Skool Team. The content on MBA Skool has been created for educational & academic purpose only.
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