Author: Nicola Ferrari
Date of Publication: 08/08/2022
Although marketing doesn’t follow fixed patterns, it is characterized by paradigms and a series of rules. That is schemes to develop effective strategies, aimed at creating value around a brand, the goods and services it markets. Therefore, as the basis of marketing there is the 4 P marketing mix, useful for the definition of the perfect strategy.
To be successful in marketing you need to find the right balance between these 4 points, which obviously change for each company. What we will see in this short article is to better understand the 4 P of marketing.
What are the 4 Ps?
Product: the product or service that is sold. It is the first factor to consider in a marketing strategy. So, you have to ask yourself for example, what differs it from competitors or what advantages it offers.
In the management of the product, you have to take into account its life cycle. And its life cycle consists of certain stages, such as: launch, growth, maturity and decline.
The way in which it is proposed on the market is very important. Some examples may be: design, packaging, after-sales services etc.
Price: It’s obviously another aspect to keep an eye on. It affects the perception and expectations of the customer, and also sets you apart from competitors.
It represents the exchange value that the customer is willing to pay to get the product.
It is an important component of product marketing.
Place: physical or virtual, it consists in the choice of the distribution channel (online or offline) more suitable for the sale of the product or service.
In addition to traditional locations and e-commerce, other aspects such as: logistics, product stocks, transport and store assortment are also on the agenda.
Distribution strategies can be varied:
Intensive: distribution of the product in as many stores as possible. These are the most affordable and low-value products (such as candy);
Exclusive: the company has agreements with reviewers to distribute that type of product in specific stores (car dealerships);
Selective: The company decides where and which stores to use to distribute the product, finding the most strategic location for that type of product.
Direct: the company does not use intermediaries and/or physical points of sale. It may be the door-door selling case like the Folletto vacuum cleaner case.
Promotion: How the product/service is advertised and marketed. So, you have to choose the right communication strategies based on the type of audience and the resources available. The activities to be carried out are advertising, reviews, word of mouth and public relations.
These elements are part of the so-called corporate storytelling.
From 4 Ps to 7 Ps
Thanks to the evolution of markets and the use of technology in communication, the 4 P model has evolved and new voices have appeared. The relationship between company and customer has changed as well as the process of product creation. The additional elements are:
People: You need to highlight the customer figure. That is to understand if that target can be useful to the company. In addition, you need to decide how to win him over and understand if the product is right and meet them.
Process: that is the process of organization during the phase of distribution of the product. Therefore, the processes must be as clear as possible and reach the customer. An example can be after-sales service.
Physical Evidence or brand awareness: that is the image that a consumer makes of the brand. The consumer generally seeks all possible information from those who have already bought that type of product before purchasing. So, reviews and testimonials on the web are crucial points.
The best way to succeed is to find the right balance at the marketing mix stage to stimulate product demand in the consumer. So, the models described above are very important in marketing strategies throughout the process. In fact, the model of the 4 P and then of the 7 P represents a strong point of reference. Hence, the main goal of marketing is to identify which levers are most effective and find the right model for the product.