Marketing Mix | The 4Ps

Knowledge Center

Generating the optimal response in the market. Explanation of the 4Ps of E. Jerome McCarthy.

Contents

  1. Summary
  2. Forum
  3. Expert Tips
  4. Resources

  Print





What is 12manage?
Log in

What is the Marketing Mix? Description

The Marketing Mix model (also known as the 4 P's) can be used by marketers as a tool to assist in defining the marketing strategy. Marketing managers use this method to attempt to generate the optimal response in the target market by blending 4 (or 5, or 7) variables in an optimal way. It is important to understand that the Marketing Mix principles are controllable variables. The Marketing Mix can be adjusted on a frequent basis to meet the changing needs of the target group and the other dynamics of the marketing environment.


Product

Historically, the thinking was: a good product will sell itself. However there are no bad products anymore in today's highly competitive markets. Plus there are many laws giving customers the right to send back products that he perceives as bad. Therefore the question on product has become: does the organization create what its intended customers want? Define the characteristics of your product or service that meets the needs of your customers. Functionality; Quality; Appearance; Packaging; Brand; Service; Support; Warranty.
Price How much are the intended customers willing to pay? Here we decide on a pricing strategy - do not let it just happen! Even if you decide not to ask (enough) money for a product or service, you must realize that this is a conscious decision and forms part of the pricing strategy. Although competing on price is as old as mankind, the consumer is often still sensitive for price discounts and special offers. Price has also an irrational side: something that is expensive must be good. Permanently competing on price is for many companies not a very sensible approach. List Price; Discounts; Financing; Leasing Options; Allowances.
Place Available at the right place, at the right time, in the right quantities? Some of the recent major changes in business have come about by changing Place. Think of the Internet and mobile telephones. Locations; Logistics; Channel members; Channel Motivation; Market Coverage; Service Levels; Internet; Mobile.
Promotion (How) are the chosen target groups informed or educated about the organization and its products? This includes all the weapons in the marketing armory - advertising, selling, sales promotions, Direct Marketing, Public Relations, etc. While the other three P's have lost much of their meanings in today's markets, Promotion has become the most important P to focus on. Advertising; Public Relations; Message; Direct Sales; Sales; Media; Budget.

The function of the Marketing Mix is to help develop a package (mix) that will not only satisfy the needs of the customers within the target markets, but simultaneously to maximize the performance of the organization. There have been many attempts to increase the number of P's from 4 to 5P's in the Marketing Mix model. The most frequently mentioned one being People or Personnel. Booms and Bitner have suggested a 7-Ps approach for services-oriented companies.


Book: Nirmalya Kumar - Marketing As Strategy: Understanding the CEO's Agenda.. -

Book: David A. Aaker - Strategic Marketing Management -




Marketing Mix | The 4Ps Forum (28 topics) Help

To get access to this forum, you need to be a member! Register (30 seconds)  |  Log in

  New Marketing Mix Concept: SAVE      
  Add a Living Element to the Marketing Mix      
  How the Marketing Mix Influences Operations      
  What are the Implications for 4Ps if the Exchange Rate Changes      
  Marketing Mix Modelling      
  What is the 5P's Marketing Mix?      
  4P Implementation Steps. Order of Implementing the 4Ps?      
  4th P includes Image and Reputation      
  Impact of Marketing Plan on Employees?      
  Marketing Mix P's for Online Companies      

See 18 more topics




Marketing Mix | The 4Ps Special Interest Group


Special Interest Group

Marketing Mix | The 4Ps Education & Events


Find Trainings, Seminars and Events


Compare with the 4-Ps: Extended Marketing Mix (7-Ps)  |  4S Web Marketing Mix  |  3C's  |  Product/Market Grid  |  SERVQUAL  |  Competitive Advantage framework  |  BCG Matrix  |  Bass Diffusion Model  |  Positioning  |  Co-Creation  |  Disruptive Innovation  |  Relationship Marketing


Return to Management Hub: Communication & Skills  |  Marketing  | Strategy  |  Supply Chain & Quality


More Management Methods, Models and Theory

Sponsor
Is your firm specialized in Marketing Mix?

Special Interest Group Leader
Would you like to be our Marketing Mix SIG Leader?

All you need to know about management

12manage for:



Management Smart Card

12manage in:





Copyright 2014 12manage - The Executive Fast Track. V12.0 - Last updated: 16-4-2014. All names tm by their owners.