What is Marketing
Marketing, which is the main purpose of businesses, in its simplest form, refers to all the processes that companies carry out to transform their activities into profit through specific products and services. The strategies followed from the production of the products to the distribution and finally to the sales are called marketing strategies.
What is the 4Ps of Marketing
The four P’s of marketing is the key factors that are involved in the marketing of a good or service. Also called the Marketing Mix, the 4 P’s of marketing are the four pillars of a successful marketing strategy. The 4P’s formed the nexus of the marketing strategy elements are product, price, Promotion, and Place. The definition that all marketing specialists learn as they start out in the industry is: putting the right product in the right place, at the right price and at the right time.
Marketing is focused on customer service. In other words, it should understand the expectations and wishes of the customers, and the design of the products or services should be planned in this context. First of all, we must have our product and price it according to market conditions. Then, the product should be reached to the consumer and finally we should promote our product in the market.
It would be best if you considered the 4P model while testing your current marketing strategy while launching a new product to the market. It would be great for you to follow these steps while implementing your 4P marketing strategy.
Identify the product and service you want to analyze. Approach the product and service from 4 different perspectives.
“Why is that?” and “What if?” Test your arguments with questions like. What happens if the price of the product falls by 5%? What if the launch color of the product is yellow?
Once you’ve got your marketing mix ready, try to look at the issue from the customer perspective. Does the product meet customer needs? Where can customers buy the product? What do customers think about the price? Which channels are used to communicate and interact with customers?
What Are the 4Ps of Marketing?
Perfecting your marketing mix using the 4Ps model requires a careful analysis of your product in each of the below categories:
Today, the competitive market is getting tougher day by day. Companies are no longer in their own national markets, but in an international structure. Increasing product variety and increasing technological development have increased the importance given to marketing. In spite of all this process, Philip Kotler introduced the concept of marketing as a marketing mix on how to start marketing the company and how to hold on to increasing competition. Let’s try to explain these 4 items one by one.
An effective marketing mix starts with a product offering or service that fills a significant customer need. Evaluating how your new product is likely to change over the course of your product line lifestyle is the backbone of a good marketing mix. It’s vital that marketing managers and public relations professionals understand new products inside and out before they devise larger marketing strategies.
In fact, when we say the product, the ingredients in its taste, shape, smell, mechanical properties, packaging, etc. such features should be understood. If we want to do a marketing activity, we must own the product and position the features and content of this product correctly.
In order to be able to market, we first need the product. With the product, which is the 4P of marketing, we determine with what we will reach the market, our position in the competition, and what should be the features of the product.
4P of marketing is generally accepted in the marketing world, and it is also criticized by many people as it is particularly inadequate and deficient. For example, as Kotler stated, cosmetic companies want the packaging item to be added as the fifth p. Sales managers asked whether sales-generating power was not added because it did not start with “p”, and service managers asked if the concept of “service” was also out of the marketing mix for the same reason.
You can get an idea about how this stage takes place, its importance and results with the questions below for the products.
- What does the customer want from the product?
- What needs does it satisfy?
- What features does it have to meet these needs?
- Are there any features you’ve missed out?
- Are you including costly features that the customer won’t actually use?
- How and where will the customer use it?
- What does it look like?
- What size, color, and so on, should it be?
- What is it to be called?
- How is it branded?
- How is it differentiated versus your competitors?
- What are the most it can cost to provide and still be sold sufficiently profitably?
A good pricing strategy is one in which price points are in line with the perceived value of a new product while still being high enough to maintain profit margins. Finding the right price can involve raising a price to make a product or service seem more exclusive or lowering the price to make a product more accessible.
The company has a product to put on the market, but in the second stage, the product must be priced. Many factors are effective in determining the price of the product. The first of these is production costs. While determining the price, the price ranges that consumers are willing to buy this product are tried to be determined. Pricing, according to the target audience, is an important part of the roles of marketing, other prices in market competition. The most important point to be considered when pricing, which is 4Pof marketing, is to correctly determine the price that the seller will want to sell and the last price that the buyer will agree to pay.
You can get an idea of how this phase takes place, its importance and consequences with the following questions about price.
- What is the value of the product or service to the buyer?
- Are there established price points for products or services in this area?
- Is the customer price sensitive? Will a small decrease in price gain you extra market share? Or will a small increase be indiscernible, and so gain you extra profit margin?
- What discounts should be offered to trade customers, or to other specific segments of your market?
- How will your price compare with your competitors?
Place is determined by the physical environment or online stores where a product or service is sold. It also includes the delivery method used to get a product to your customers.
Marketers have to evaluate the potential customers in their target market to decide what sort of retail business or Internet platform they are most likely to shop at.
With distribution, it is aimed to meet the customer in the right place at the right time. In short, your product should be in the right place at the right time. The place is one of the 4p’s of marketing, but often its importance is not understood. The place lies beneath many successful marketing stories. And likewise, distribution lies beneath many unsuccessful marketing stories.
Let’s explain the matter with an example. You have a very high quality and affordable product. Your brand is known to consumers and customers are ready to buy your product. But the consumer cannot find your product where they want it. Because your distribution network is disrupted and you cannot deliver the products to the stores demanding products on time. The problem is that the customer gives up the products that they cannot provide or whose deadlines are too late and turns to their counterparts. Therefore, if you cannot establish your distribution network well, your marketing efforts will be disappointed.
You can get an idea of how this stage takes place, its importance and consequences with the questions below for place.
- Where do buyers look for your product or service?
- If they look in a store, what kind? A specialist boutique or in a supermarket, or both? Or online? Or direct, via a catalogue?
- How can you access the right distribution channels?
- Do you need to use a sales force? Or attend trade fairs? Or make online submissions? Or send samples to catalogue companies?
- What do your competitors do, and how can you learn from that and differentiate?
Promotion covers any marketing campaign, including public relations outreach and discount strategies. Increasingly, the promotional activity takes place over the internet via social media marketing or targeted ads, but there’s still room for old-fashioned advertising via broadcast ads, print ads, or signage.
Today, there are dozens of competitors and hundreds of products in almost every sector in the increasing competition. It is very difficult for companies to highlight their own brands among so many alternatives.
We made the right pricing, delivered the product to the sales points in the right place at the right time, but if the consumer is not aware of your product, it is not possible for you to sell successfully. If you go the way of promoting your product, the success of your promotional campaign will cause people to notice your product, and Promotion can be the magic key for sales.
For example, by advertising on Google, you can engage in digital promotion activities. By setting up sales stands in retail stores, you can inform your customers about your products and have them try your products. With the Promotion, which is the 4P of marketing, you ensure that your product is noticed by the consumer and that the product perception remains alive in the consumer mind.
With the following questions for Promotion, you can get an idea of how this stage takes place, its importance and consequences.
- Where and when can you get your marketing messages across to your target market?
- Will you reach your audience by advertising online, in the press, on TV, on radio?
- Internet, Digital media?
- When is the best time to promote?
- Is there seasonality in the market?
- How do your competitors do their promotions?
- How does that influence your choice of promotional activity?
Marketing to Sell Your Product
When it comes to the 4Ps — product, price place, and Promotion – it’s time to break down how to incorporate each of these elements into your overall marketing mix. Here’s a step-by-step guide to developing a marketing mix using the 4Ps:
Clearly identify which product or service you are analyzing. Before you start developing a marketing mix, it’s important to have a singular quality product or service that you are trying to market. Even when companies have a diverse product mix, the 4Ps should be applied separately to individual products.
Analyze how your product meets the needs of your customers. Your product should clearly serve specific customer needs. It’s important to be able to articulate what those needs are and how your product or service uniquely meets them. You’ll use this information later when you develop a marketing campaign that tells customers what your product does and why they should buy it. You should be able to point to market research and other data that backs up these customer needs.
Understand the places where your target audience shops. Evaluate what sorts of retail stores and online platforms your target customers frequent. If your product is being sold in a physical location, make sure that it’s available in neighborhoods where your customer base lives and at stores where they shop. If you are selling a product online, be sure that customers in your target market actually shop at the e-commerce sites you are featured on.
Decide on a price for your product. Draw on market research to set a proper valuation for your product that will appeal to your target customer. Valuation should rely on economic data regarding the budget and spending habits of your customer base. Some marketing professionals will raise their product’s price to make it seem more exclusive or luxurious.
Formulate marketing messages to promote your product. Develop marketing concepts that will appeal to your customer base and communicate how your product serves them. This is also the stage of your marketing mix process when you’ll decide what types of marketing communications to invest in. Depending on your product and target customer, your marketing plan could use a variety of channels, including traditional marketing methods, direct marketing, or digital marketing.
Look at the four P’s for your product holistically and decide if they fit together. Now that you’ve created a cohesive marketing mix take a look at each of your 4Ps and decide if your plan fits together. Constructing a marketing mix is all about crafting a plan where each element works in concert with the others.
Check your marketing mix periodically. A successful marketing strategy requires you to revisit and adjust over time. As a product grows in market share and popularity, the place and promotion strategies you use should change to keep up with demand. Your potential buyers might change as might the profile of your product. The elements of the marketing mix are not static. They are meant to be adjusted and refined over time. Revisited regularly over the course of a product’s lifestyle, and your marketing plan will most likely evolve.