Whether you’ve been around the block a few times or you’re just getting started, there always seems to be a few buzzwords that you can’t escape when it comes to marketing.
One of these is ‘The Marketing Mix.’
Or alternatively known as the 4 Ps of marketing.
Some would argue that this is the core or starting point of any marketing strategy.
We can’t help but agree.
But what exactly are the 4 Ps and why is the marketing mix an essential tool when it comes to developing your marketing campaigns?
Is it really that important?
Keep reading to find out exactly what the 4 Ps of marketing are and how they can help
you transform your business!
The marketing mix is defined as “a set of marketing tools that a company uses to
pursue its marketing objectives in the target market.”
The term was coined in 1960 by the American marketing professor and author,
E. Jerome McCarthy, in his book Basic Marketing: A Managerial Approach.
This may sound like the concept is outdated, but these principles are still very relevant today.
Simply put, the marketing mix consists of four categories:
These elements must be analyzed and combined to meet your marketing goals and objectives.
They are the framework for your marketing decision-making and they help you to identify:
Although the world has significantly changed since these fundamentals were first introduced, the principles have stayed the same.
So without further ado, what do the 4 Ps entail and how can you implement them in your business?
A product refers to any item that will be sold with the intent to satisfy the needs and wants of your target audience. In other words, it solves a problem for your customer.
The product can be tangible (goods i.e. clothing, appliances, etc.) or it can be intangible (services, experiences, or ideas i.e. cruise, lawyers, etc.).
Without the product, your business can’t exist.
That is why you must have a clear idea of what your product stands for and how it differs from your competitors' offerings.
If you don’t fully understand:
You’ll have no hope of competing in today's competitive online market.
The market is too saturated for you to offer an irrelevant and common product.
But, don’t be discouraged!
The internet age has also created a space for you to access resources quickly.
It has made it very easy and possible for you to find and sell a niche offering that many customers would want.
Just make sure that it’s unique and something people are interested in!
The price is the amount your customer will pay for your offer.
This is a monetary amount determined by your company’s revenue objectives but it’s also influenced by the customer's perceived value of your offering.
Establishing a pricing strategy is a science and an art form. It involves both relevant market data and careful calculations.
How you price your offer doesn’t just impact your profitability, it also directly impacts how customers perceive you vs. your competitors.
Is your offer a premium product because it’s more expensive?
Or is your competitor’s offer better value for money?
There are, therefore, a lot of factors you need to consider when determining the right price-point for your product:
You need to consider these factors carefully so that you can find a balance between your offer's perceived value with the actual cost of producing and selling it.
This may seem like an impossible task, but here are 6 pricing strategies you can use to establish your business’s pricing model.
If you get your pricing right, you are definitely on your way to making your business a roaring success!
Place refers to the act of providing your customers with access to your offer while making it as convenient as possible for them.
When you consider this element, you are focusing on the distribution of your offer as well as the point of sale.
Simply put, you need to ensure that you are providing:
The right product → in the right place → at the right price → at the right time →with easy/convenient access for your target customer.
Try thinking of the platforms and places your ideal customers are and be there.
You can’t ask customers to come to you; you have to go to them!
This can be done either through direct distribution (selling directly to your customers, eg. your online store) or via indirect distribution (selling through resellers eg.
wholesalers or retailers).
When you decide on your distribution strategy you can incorporate both direct and indirect distribution.
Along with this you also need to consider your market coverage and if your offer requires intensive, selective, or exclusive distribution.
Even if the internet has changed how we consider distribution, the truth is, it’s still all about location, location, location!
Both physical and digital.
Promotion is arguably what most people think about when they hear the term marketing.
The goal of promoting your offering is to show your consumers why they need it and why they should pay a certain price for it – instead of your competitors' offers.
This comprises out of marketing communications which include:
When promoting, your objective isn’t just to make people aware of your brand and offering, it is also to generate revenue.
What’s the point of promotions if they don't lead to conversions and sales?
The trick to converting your leads is to identify the right marketing channels for your target market and how to best make use of these channels.
There are many different marketing channels that you can choose from.
The best choice for your business will depend on your other 3 Ps.
This is truly where the battle for the customer's purchase is won or lost, so make sure you are victorious!
You now know exactly what the marketing mix is, and how important the 4 Ps are for the success of your business!
It is simply impossible to create your marketing strategy without consulting your product, price, place, and promotion.
Each element is as important individually as the interconnected role that they play.
By continuously analyzing, reviewing, and changing these functions — as the market changes and your business evolves — you are giving yourself the best chance for
Time to apply what you’ve learned and get started with the future of your business!
The marketing mix is waiting for you.
It’s now or never!
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