In 1960 American marketing professor and author Edmund Jerome McCarthy proposed the ‘4 Ps marketing mix’ in his book ‘Basic Marketing’. Which is concerned with developing a marketing strategy out of the following 4 Ps key factors:
1. Product
2. Price
3. Place
4. Promotion
It’s crazy to think that marketing ideas and concepts that came about in the 60s can be just as effective in modern times. The evidence is right in front of eyes, take Google AdWords as an example. The advertising platform is a huge success because it uses and promotes the 4 Ps marketing mix framework within its strategy. In theory, anyone who has advertised on the platform should already be accustomed to the 4 Ps.
Wonder, did Google learn this from Prof Ed J McCarthy? Who knows, who cares, it’s a known fact that if you have the right product, and making it available at the right place at the right time and a good price, and it works, that’s all that matters when it comes down to it.
Okay, so the 4 Ps marketing mix is a pretty basic and ‘traditional’ concept, so it's easy to disregard it, as so many do, but sometimes we ‘human beings’ complicate things when they need not be complicated.
Product
It’s important to be aware that the success of applying the theory and practical approach of this simple concept depends on your ability to establish your target market. Second, to that, have a good understanding of the product lifecycle and create a product that is in demand for your market and is going to satisfy their needs. Ensure to carry out extensive market research before, during and after for honest feedback and inspiration to improve and reinvent your product line. When conducting market research consider covering ‘who, what, why, how, and when’ questions that will help you even better understand your market and help you make the right decisions.
Price
The price of your product should be carefully thought out. Consider the following: How much it cost to make? What are your competitors offering and how do you differ? What is the perceived market value?
Place
Place or placement involves channels of distribution (for example, selling direct from your website, or Amazon, Etsy, Facebook etc), logistics of e-commerce (for example, storage, transportation & delivery etc), and distributed customer service (for example, live chat, SMS chat, email, social media, telephone, face-to-face communication etc).
Promotion
The 3 Ps already described above are all building blocks for the 4th P ‘promotion’. The final ingredient of a recipe for success. Nonetheless, the promotion itself is comprised of its very own building blocks including sales, advertising, PR and marketing (Digital, Traditional or both).
Ever since Prof J. E. McCarthy published the concept of the 4 Ps, the concept has become popular with business and marketing schooling across the world. Today, experts tend to use the framework with additions added to the mix as a ‘contemporary’ approach, commonly known as the 7 Ps marketing mix which includes:
5. People
6. Process
7. Physical Environment
The 7 Ps marketing mix is an expansion of the 4 Ps as mentioned above; below we detail the additional 3 Ps.
People
Putting the people that have a direct impact on your business at the heart of your business marketing strategy will help build the company culture, ethos and customer service. After all, if your employees are happy, your customers will be and as a result, will help to grow the business.
Process
The overall internal and external systems, tasks and processes that a company has/undertakes affects the performance of service. Its good to ensure that any systematic measures you have in place are running as effectively and efficiently as can be so that the flow of activities lead to an exchange of great value.
Physical Environment
The physical environment is concerned with the components of service that are perceptible to the senses including sight, sound, smell, taste, touch, all which lead to a dependent variable on customer satisfaction.
