The 4 Ps of Marketing (Explained)
What are the 4 Ps of marketing and why should you even care? If you currently own a business or dream of having one someday, you need to understand how this works.
What are the 4 Ps of Marketing?
Basically, the four Ps stand for Product, Price, Place, and Promotion, the four major pillars of a solid marketing strategy. Also known as the marketing mix, these factors must work harmoniously together if you want to effectively promote your brand and differentiate it from the competition.
Your success relies on whether you can make your target audience see and appreciate the unique value of your brand. And this is where the 4 Ps of marketing helps. To better understand how it works, let us take a closer look at each of these four elements.
This refers to a tangible or intangible item (goods or services) being offered by a company to its customers. Using the 4 Ps strategy, you need to know what your product stands for, how it meets your target audience’s needs, and what makes it unique. Remember, if you want to reach your business goals, you shouldn’t blend in. You need to stand out!
How can you satisfy these criteria? Start by answering the following questions.
- What does the customer want and how can your product meet their needs or solve their problems?
- Which product features provide their needs?
- How and where will the customer use the product?
- How does it differ from the competition?
The second P refers to Price or how much you charge for your product. It may sound simple enough but coming up with the right price requires tons of data and careful calculations. You wouldn’t want to price it too high or too low since it can have a profound effect, not only on your sales and profit, but the perceived value of the product as well.
Have you successfully set the right price for your product? Answer these questions to know if you did.
- What is the value of the product or service to the customers?
- Are there any established price points for such products?
- Is the customer price-sensitive?
- How does your price compare to your competitors?
In marketing, the place or location where customers are provided access to the product is critical. You need to put your products where your ideal customers are. They shouldn’t go around looking for you. That simply wouldn’t work.
Are you selling your products in all the right places? Answer these questions to know if you are.
- Where are your customers and where do they look for your products?
- Which platforms and distribution channels give you the results you need?
- Do you sell directly to your target market or do you go through a middleman?
- Where are your competitors?
After optimizing the first three Ps (product, price, place), it’s time to promote your products. It’s time to let your target audience know about your product and start driving sales. How do you do this? By using the most appropriate communication channel (e.g. advertising, direct marketing, public relations, social media marketing, email marketing, sales promotion, etc.) available.
Do you think you’re doing a great job promoting your products or are there still areas for improvement? Answer these questions to find out.
- How will you reach your target market and which channels or platforms will you use to send your marketing message?
- When is the best time to promote?
- How do the competition promote their products? Does it somehow affect your own promotional activity?
The four Ps of marketing may not sound exciting enough but it can help you create a successful marketing plan and stand out from the competition. So, go ahead and answer the questions listed above. Probe deeper by adding “why” and “what if” questions and ask yourself the same questions from the customer’s perspective. Keep optimizing, reviewing, and revising your marketing mix to develop a successful marketing strategy and keep up with the ever-changing market.