4 P’s of Marketing: Understanding the Marketing Mix Concept
Marketing is a key part of any business.
It’s all about putting the right product in the right place, at the right price, and at the right time.
It seems like a simple enough concept, but marketing is actually a very nuanced skill. A huge amount of hard work goes into finding out what customers want and effectively applying that information.
If you get just one thing wrong, it can spell disaster for your business.
That’s why people rely on the marketing mix concept and the 4 Ps of marketing. But what exactly are these practices? And how can you implement them to create a successful marketing campaign for your business?
Here’s What We’ll Cover:
What Are the 4 Ps of Marketing?
The 4 P’s of marketing is a marketing strategy that is used to enhance the components of their “marketing mix”. The marketing mix is the way in which you take a new product or a new service to the marketplace.
This marketing model helps you to define your options. This would be in terms of price, product, promotion, and place. Using this model effectively will allow your offering to meet a specific customer’s need or demand.
The idea of there being 4 P’s of marketing was first coined in 1960 by E. Jerome McCarthy in his book, “Basic Marketing - A Managerial Approach.” He laid out the 4 Ps as:
- Product (or Service)
Let’s take a closer look at each element of this model.
The product is quite simply what you’re selling. It could be a physical good, a service, consulting, etc. Essentially anything that can be sold and bought.
When you’re analysing your product, you need to ask yourself the following questions:
- What does the customer want from the product?
- What needs does the product satisfy?
- How will the customer experience the product?
- How and where will the customer use the product?
- How should the product be branded?
- How is it different from similar products sold by your competitors?
These questions should give you a good idea of what the benefits of your product are. It should also give you some insight on how they should be sold, and who they should be sold to.
Next up is the place. You should always be asking yourself where your marketing should be utilised. Where should you promote your product or service? Where does your ideal customer go to find information about similar products?
The pricing strategy is a key factor. If you charge too much, will potential customers still buy your product? Is the customer price sensitive? Or can you push the boundaries to gain an extra slice of the profit margin?
It’s also important to compare your price with your competitors. If you’re charging more, how can you justify the increased price? If you’re charging less, is that going to drive sales or will it end up losing you money?
Your promotion is arguably one of the most key elements. It’s all well and good having a good product, in the right place at the right price - but if nobody knows about it then it will all be a waste.
So ask yourself how do your customers find out about you? Does your target demographic consume their marketing on social media, in the newspaper, through PR?
Your marketing communications should be done through specific and thoughtful advertising. It should be able to reach your target market and attract them to your business. It needs to be carefully thought out and implemented with skill and finesse.
The 4 P’s of marketing, or the marketing mix, is a simple yet effective tool in your marketing efforts. It’s the perfect method to use when you are planning a new business venture or trying to optimise your sales.
Any successful marketing strategy will take this method into consideration. That’s why understanding and utilising each of the four elements is so important for your business's marketing plan.
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