The four Ps of marketing are cornerstones within the marketing and advertising world that deal with the four main factors when marketing a good or service. They are also commonly referred to as the “marketing mix,” since every company deals with these factors every time they think about selling a good or service. The four Ps are Product, Price, Place, and Promotion.
Why are the 4 Ps so important? Well, there are certainly more than four factors when it comes to marketing and advertising, but Product, Price, Place, and Promotion have become the pillars of the industry. These four factors are so important because they translate across all types of businesses, goods, and services. If you simply use these four areas as a guide to your marketing plan, you’re off to a pretty good start! Let’s look at each area in more depth.
Product is all about the specific good or service your company is offering to consumers. This is the baseline for your marketing plan. Is your product or service desirable? Does it answer an existing demand in the marketplace or does it create new demand from consumers who feel like they now need this product? What problem does your product answer? How is it different from competing products? These are all questions that factor into how you will market your good or service. It is imperative to know exactly what your product is, the problems it solves, and the target consumer group that will purchase it before you enact your marketing plan. As the baseline, the product is most important and affects exactly how your marketing team can use the other factors of price, place, and promotion to help sell your good or service.
Price is the next most important factor in the 4 Ps. Price is what you will charge consumers for your good or service. While your company obviously wants to make a profit, it is important to consider other factors when determining your price, like how much your competitor is charging for a similar product or whether you want the item to be viewed as a luxury or to be accessible to all consumers. If you want the item to seem like a luxury, then the price will be slightly higher than the industry standard, but if you want to entice consumers to try your product out, then offer it at a discounted price. Ultimately, the price of your product will depend on the consumers you are targeting and the competition you are facing in the market.
Place is all about where you market and distribute your product. This can be at physical, brick-and-mortar stores or, as we’ve seen trending in the last few years, online. It also deals with where the product is actually displayed, whether online or in-store. The placement of your product is an essential part of your marketing plan because it won’t do any good to get your product in front of people who are not going to buy it or if your consumers have trouble finding it on your website. This is why it is so important to know the shopping tendencies of your targeted consumers and, therefore, where to place your product so they will find it.
The final P is Promotion. This is where the real marketing comes into play because this is where you publicize and advertise your good or service to consumers. Here, you will develop a brand message that should resonate with consumers and make them want to buy your product. You will also be focusing on brand awareness and generating leads and revenue. Promoting your product is all about convincing people why they need your product and why they should pay a certain amount for it.
As mentioned earlier, the 4 Ps will not be the only things you have to worry about when developing your marketing plan for your product, but they do entail the majority of the decisions that you will have to make. Keeping these factors in mind will help ensure you have a good plan and a good plan means a successful campaign. Throughout all of these decisions, the most important things to always keep in mind are your product, your competition, and your company. Making sure you are absolutely clear and fully understand each of these three areas will help your marketing plan succeed!