The term Marketing Mix was first coined by Neil Borden in the late 1940’s to describe a list of important ingredients that constitute marketing programs. This term was later built up by E. Jerome McCarthy in his 1960 textbook Basic Marketing: A Managerial Approach. This textbook outlined the conceptual framework that would be used by Marketers worldwide for the next six decades.
As all markets become increasingly competitive, it is often valuable for business owners to revisit the Four P’s: Product, Price, Promotion and Place.
The first of the Four P’s of marketing is product. A product refers to an item that satisfies the consumer’s needs or wants. A product can be either a tangible good or an intangible service. Whether you sell sustainable soil or synergetic solutions, it is vital that you have a clear understanding of what your product is, what its point of difference is and what it is offering to the consumer. These product decisions include quality, features, style, design, warranties and the product’s life cycle.
Once you completely understand your product offering, we can start to make some pricing decisions. The price of a product will impact your profit margins, your supply and demand and your marketing strategy. The price that you set may influence your positioning in the market, and affect the way customers perceive the value in your products. Set your price too low and you may put pressure on your margins and your product may be interpreted as low quality and cheap. Raise your prices too high, and you might outprice your target market, causing them to turn to your competitors.
Now that you have your product, and you’ve placed a price on it, it is time to think about promotion. Promotion refers to the various ways marketing communication manifests itself. Creating a marketing strategy and marketing schedule that carefully balances advertising, public relations, direct marketing and sales promotion is imperative to converting potential customers into actual customers. Each section of the promotion must be supported by a well-positioned brand to maximise your return on investment.
Being at the right place at the right time is not just a matter of chance. Businesses need to evaluate and understand what the ideal locations are to convert potential customers/clients into actual customers/clients. Although you may have the greatest product, offered at the perfect price with great advertising, setting up in the wrong place can cause consumers to turn to easier closer, more convenient options. Whether it be online or offline, ensuring your messages are in the right place incredibly important.
How to make the most of the Four P’s?
At The Schaefer Group we create marketing strategies that make the most of our clients’ potential. To make the Unzip Your Potential contact The Schaefer Group on 1300 855 410 or firstname.lastname@example.org.