Marketing is evolving and so are its essential elements.
We have already explored the ABCs of marketing, so it's time delve into the Four Ps – which, together are considered to be the essential ingredients of the 'marketing mix'; namely:
Originally the idea of the academic Jerome McCarthy, the Four Ps were widely popularised by economist and ‘father of modern marketing’ Philip Kotler, who rose to prominence in 1967 with his seminal textbook Marketing Management.
His book introduced rigour and mathematical analysis to the field of marketing – and became the 'marketing bible' for students around the world.
According to Kotler, the 'marketing mix' is “the set of controllable variables that the firm can use to influence the buyer’s response”.
The four Ps help us to integrate marketing into our strategy and decision-making, from the products and services we offer to how we price, deliver and promote them. Marketing is often (incorrectly) seen as being about the Promotion P, but the Four Ps remind us that there’s a whole lot more to it.
So, let’s take a closer look at the big four, building on what we have already learnt :
Successful companies find out what customers need or want and then develop the right product to meet that need, rather than simply making something and then seeking a market for it.
It’s advisable to have a system in place to check regularly what our customers think of our products and services as we need to consider not only what their needs are now but how they might change in future.
A product is only worth what a customer is prepared to pay for it. However, ‘competitive’ needn’t always mean ‘cheapest’.
For example, a small business can compete with a much larger rival by offering a more personal service. We should also remember that pricing tells customers where to place us in relation to our competitors. The more we charge, the higher their expectations will be.
Our product or service must be available in the right place, at the right time and in the right quantity for the customer, while keeping storage, inventory and distribution costs to an acceptable level. And this isn’t just pertinent to bricks and mortar operations. In e-commerce, reliability is also a key factor.
For example, a consumer website must be optimised for mobile, especially as Google may penalise us in searches if it is not.
Promotion includes branding, advertising, PR, corporate identity, social media outreach, sales management, special offers and exhibitions – and we should always be prepared to explore new channels.
However we communicate, the message we send out must be consistent and give the customer a really good reason to choose us. This means turning features into benefits (‘feature X’ which means that you enjoy ‘benefit Y’). We should also encourage dialogue with customers, whether in person or virtual, and ensure that our staff understand the value of our products and services so they can become ambassadors for them.
With the rise of the internet, social media, and e-commerce, some people have questioned the continuing validity and relevance of the Four Ps model. Take ‘promotion’ for example. Some high-flying brands, such as Google, became popular without ever really advertising. And in our digital world, the idea of ‘place’ is also radically different to what it was in the 1960s.
However, far from dying off, the Ps are ever-evolving. In fact, the set now comprises seven Ps: product, price, place and promotion (the original 4) plus people, process and physical evidence.
Here’s a whistlestop tour of those additions:
Many customers struggle to separate a product or service from the staff member who provides it. This means the reputation of our brand rests in the hands of our people; they must be appropriately trained and well-motivated.
Superior after-sales support and advice can add a lot of value by generating positive feedback on consumer review sites. We should always recognise our best-performing products and ensure that we give adequate after-sales support.
Today, a customer’s buying experience begins at the moment they first discover our company and lasts through to the purchase and beyond. This means that the whole process counts – from how user-friendly our website is to the helpfulness (or otherwise) of our staff and the way they handle any problems that arise.
We should never undervalue a good first impression. And from there, everything should be seamless and designed for the customers’ benefit. Above all, we must give them no cause whatsoever for them to give up and go elsewhere.
Choosing an unfamiliar product or service is often perceived to be risky, but we can reduce this sense of uncertainty with ‘physical evidence’ that confirms the customer’s assumption; for example, an appropriate level of formality or informality (which will be very different for a funeral than for a hen do).
A clean and tidy reception area and a clear and compelling homepage can be reassuring, as can testimonials from existing customers.
Kotler himself still advocates for the Four Ps but is also open to their evolution:
“The Four Ps model of marketing is still king”, he says: “Some people have added other Ps… others have suggested using the Four As (availability, affordability, acceptability, and awareness) as a prelude to using the Four Ps. All of this is welcome.”
Generous words indeed. Let’s all hope that the original Four Ps continue their long success, no matter how many others new Ps are thrown into the pot.
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