The four Ps are a “marketing mix” made up of four key elements: product, price, location and promotion used when marketing a product or service. The four Ps are the key considerations that must be carefully considered and implemented wisely to successfully market a product or service. Product, Price, Promotion, Place - these are the four P's of marketing that must be taken into account when creating marketing, promotion, advertising and positioning strategies for your product or brand. The person who conceptualized the 4 Ps of marketing was a professor at Harvard University named Neil Borden.
In 1964, Borden presented the idea in one of his published articles, entitled “The Concept of the Marketing Mix”. He mentioned that many companies could use the framework to increase the likelihood of success when advertising their products. A product is any good or service that meets the needs or desires of the consumer. It can also be defined as a set of utilities that includes physical aspects such as design, volume, brand, etc.
The type of product impacts its perceived value, allowing companies to price it profitably. It also affects other aspects, such as product placement and advertising. Companies can change packaging, after-sales service, warranties and price ranges, or expand to new markets to meet their objectives. Salespeople must understand the product lifecycle and develop strategies for each stage of the lifecycle.
The price of a product directly influences sales volume and, consequently, business profits. Demand, cost, price trends between competition and government regulations are crucial factors that determine prices. The price usually reflects the perceived value of the product rather than its actual value. This means that prices can be increased to promote exclusivity or lowered to create access.
Therefore, pricing involves making decisions in terms of the basic price, discounts, price alteration, credit terms, freight payments, etc. It is also important to analyze when and if techniques such as discounting are necessary or appropriate. Venue involves choosing the location where the products will be available for sale. The primary reason for managing business channels is to ensure that the product is available to the customer at the right time and place.
It also involves decisions about the placement and pricing of wholesale and retail outlets. Distribution channels, such as outsourcing or company transport fleets, are decided after cost analysis. Small details are also included, such as the shelf space committed to the product by the department store. Promotion is an important part of marketing because it helps create awareness about a product or service among potential customers.
Promotion includes activities such as advertising campaigns on television or radio; print ads in newspapers or magazines; direct mail campaigns; online campaigns; public relations activities; trade shows; sponsorships; etc. Promotion helps create an image for a product or service and helps build customer loyalty over time. The evolution of the digital age has caused the standard methods and practices of almost every industry to change and grow to function within this new paradigm, and marketing is no exception. Lauterborn suggested in 1990, it presents a more customer-centric approach that shows different elements of the marketing mix from the buyer's perspective, rather than from the seller's point of view.
If we add to that Big Data, or the ability to collect, analyze and act on huge amounts of customer and product information, the idea of providing reliable and predictive one-to-one marketing becomes very real. A fundamental review of traditional approaches, the six Cs aim to address the needs of modern, customer-centric digital marketing strategies. The 4 Ps of marketing may seem boring but they are essential to creating a successful marketing plan. These are the key elements involved in planning and marketing a product or service and they interact meaningfully with each other.
Marketers must take into account all four Ps when creating their strategies in order to ensure success.
