By Yhordan Serpentini | October 7, 2022
A few weeks ago, we discussed Integrated Marketing Communications (IMC) and briefly touched on the four core classifications of marketing, the four Ps. The four Ps are very important for you to understand, as they are the main components to consider for your marketing plan, commonly known as the marketing mix. If you are unaware of what marketing mix is or how to use it, nor are familiar with the 4 Ps of marketing, continue reading.
What is Marketing Mix?
A marketing mix is a comprehensive marketing plan that includes a combination of marketing factors that can be controlled by a company to influence or persuade their consumers and/or target market to take action about, or related to, their products or services.
These marketing factors refer to the four core classifications of marketing. that being Product, Price, Place, and Promotion. Each of these factors has its own area of focus that will significantly influence or alter how consumers view and decide to purchase your product or services.
Product
The product is very self-explanatory—it is the item or service that you are selling and promoting for your target audience to purchase. Your product does not necessarily need to be focused on a physical item or thing. Anything can apply as a product, such as mechanical services, technical services, digital items or markets, cosmetics, donations, etc., however, there are four distinct types of product categories: convenience goods, shopping goods, specialty goods, and unsought goods. The way you market your product may vary depending on which category it falls under.
There are other considerations to Product than simply just, well, the product. There is determining the product’s positioning, the message, the physical marketplace it will be sold at, the launch of the product, the consumer understanding and satisfaction of the product, and the supply and demand, as well as the usage, of the product.
Price
A common mistake that people make with the price is that they associate it with the retail value of the product you’re waging. That isn’t exactly what this element means. Instead, the price is the valuation a consumer sets for a product—in other words, it is how much an individual or group of individuals are willing to pay for your product.
Understanding price is very important in the business world because as much as it can be tempting to set a fixed price on products due to high demand, cost of manufacturing, distribution, the value of the product, avoid break-even, and so on—which are all reasonable considerations that must be taken into account during the pricing of your product—you must also be aware of how consumers will view your product and value it.
If your target market values your product to be worth less than what it is being sold for, they will likely not be willing to pay for the product unless there is a sale. Likewise, if consumers believe that your product is worth far more than what is being sold, they may value the product too “cheap” in price, scaring them away from purchasing out of fear that it is low in price because it is low in quality.
This is where Customer Relationship Management (CRM) may also be of good use, as you can monitor your consumer data to analyze their purchase history and interactions—which will help you better understand where and how your consumers are valuing your products, as well as your marketing mix overall. Doing so will assist you in finding the perfect balance to price your products at a level that satisfies customers while also remaining profitable for you and your business.
Place
The place element, also known as the distribution element, refers to the accessibility of your product to your target audience—in other words, where your consumers can discover and purchase your product. The place element can represent anything such as online websites—like Amazon, eBay, or your company website—retail or direct stores, geographical location, social media, smartphone apps, or salespersons. In short, the place is the distribution process of making your products available to your consumers.
Promotion
The promotion element is the marketing tool strategy that allows you, the sponsor, to communicate to your buyers, the consumers. The promotion within the marketing mix is typically a factor where a lot of individuals tend to confuse the whole of marketing for. Advertising is promotion, but it is not all of marketing or marketing in general.
When it comes down to marketing mix, promotion or advertising is where the largest amount of time, money, and investment is made as it is the communication that will play the largest role in persuading your consumers to purchase your products. That being said, promotion isn’t the only factor, as it also depends on the other three Ps to function effectively.
There are numerous types of advertising, such as sales promotion, direct marketing, digital marketing, personal selling, general advertising, public relations, sponsorships, social marketing, etc. The list can go on and on for different ways you can promote your products or services, so get creative!
How To Use Marketing Mix To Your Advantage
If you want to effectively market your product, services, or company, you’ll need to keep the four Ps in mind and implement them within your marketing. Doing so will help you focus on the most important elements, reach a wider audience, and create consumer loyalty. One thing to note is that you can prioritize one P over the other, depending on the industry you’re in; however, you cannot restrict or lack the use of one or more Ps, since they relatively depend on one another to function effectively and efficiently.
Additionally, you should take into consideration that not every business or form of marketing needs to necessarily be product-focused. There are other methods of marketing that a marketing mix can prioritize focus towards, as there is no strict rule. For example, marketing mixes that plan focuses on things such as customer service, customer experience, public objectives or events, etc., are all consumer-focused or consumer-centric rather than product-focused. If you’re a company selling services, having a consumer-centric approach to your marketing mix may benefit you more.
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