The terms Marketing Mix and 4Ps are the marketing buzz words. If you have ever researched how to position your market offering, then you have surely bumped into these definitions. The term Marketing Mix was coined by Neil Borden and the ideal was later refined by E.Jerome McCarthy with the concept of 4Ps. This concept focuses on putting the right product in the right place, at the right price and at the right time and has been widely used by marketing companies throughout the world. Each aspect of the model is discussed in more detail below:
Product: The first element of the 4Ps model is the Product and it can either be a tangible good or an intangible service that satisfies a customer need. Here, it is key to understand the product’s life cycle as well as the unique selling proposition of the product in question. Moreover, the potential pool of buyers needs to be better examined and understood.
Price: The second element of the 4Ps model is Price and it represents the actual amount that an end consumer pays for a product or service. Price pays an important role in the perceived value of the product and also in the decision of whether the consumer will actually pay that amount of money for it. For this reason, it is vital to understand how your product is valued against its price in the eyes of the consumers. If this value is high then the product or service could be charged even higher and paid as ‘premium’. On the contrary, if the product is not valued by the consumer then this could be a signal that the price of the product needs to be adjusted lower.
Promotion: The next element of the 4Ps model is the Promotion and it entails all marketing communication strategies that are used to promote the product or service. This includes all types of advertising, promotions, below-the-line events, public relations and even special offers. Here, it is important that the correct type of channel is used according to the type of product marketed, as well as to the target audience.
Place: The last element of the model is Place and it has to do with how the product is provided to customer, or in other words the distribution. The strategy to be followed needs to be carefully assessed, taking into consideration what channel is the most suitable for the product or service.
If the Marketing Mix model is used correctly it can be a very useful tool in the hands of marketer. This model examines the key elements of a successful marketing strategy and aims to satisfy both the consumer and the company. By clearly defining your product, price, place and promotion, you are in the right path for creating a successful marketing strategy. .The Marketing Mix model is a flexible concept which can be used on a variety of industries while making the necessary adjustments in the four interdependent variables.