The Four P’s of The Classic Marketing Mix
Many marketing plans and strategies have been largely centered around four key components, making up the Classic Marketing Mix—product, price, place, and promotion.
Each of these distinctive components can create an extraordinary online marketing plan if you correctly assess your business, organization, website, or blog in these areas and implement a tactical strategy to fit your business’s needs.
The Classic Marketing Mix | #1: Product
At the core of every product is the product concept—the satisfaction and convenience you wish to bring to the consumer. A good product strategy acknowledges the importance of your product concept, covering everything from product quality and packaging to distribution.
Products vs. Services: What’s the Difference?
The world runs on the exchange of products and services. So, what separates a product from a service?
- Products are tangible (e.g., a coffee mug you can take home and use).
- Services are intangible (e.g., hiring an electrician to solve a problem).
Despite their differences, both are solutions and benefits for the customer. In that sense, they’re not different at all.
Why the Product Concept Matters
How beneficial your product or service is depends on your product concept. Both products and services need a strategy to help them reach their potential. Without proper planning and promotion, products fail.
To develop a product strategy right for your business:
- Determine exactly what you are offering and to whom.
- Conduct periodic assessments of your target audience and competition to refine your approach.
- Strengthen your brand image to align with your product’s value.
This will:
- Help your brand image stand out.
- Boost your sales.
- Make you more successful overall.
Example: Product vs. Service Strategy
Offering a sweater to a consumer can be very different than offering financial consulting to a business. However, brand image is a key element sold with every product or service. Here are ways to make your product stand out:
- Create a unique purchasing experience:
- Offer flexible return policies.
- Provide post-sale support.
- Adopt ethical practices:
- Go green or implement sustainable business practices.
The Core of Success: Your Product Concept
Shine a light on your product for customers to see, and stand by it. Your product concept forms the foundation of your product, its strategy, and ultimately, its success or failure.
Start your planning with a solid product concept, and your success will start on the right foot.
The Classic Marketing Mix | #2: Price
Just as developing a product is important, creating a good pricing strategy is equally crucial. You can lose otherwise guaranteed sales if your pricing isn’t set properly.
The Connection Between Price and Brand Image
Similar to the product concept, brand image is tied to perceived value—but in this case, it’s driven by price. Customers evaluate your business based on how your pricing aligns with their expectations.
Here’s how to ensure they see you as valuable:
- If you offer a high-quality product with outstanding service and prices your customers perceive as reasonable, they’ll value you and your product.
- Satisfied customers are happy to pay for products that meet their expectations of quality and value.
Developing a Pricing Strategy
To set your pricing effectively:
- Research your competition. See how they’re pricing similar products or services.
- Leverage pricing tactics that set you apart in highly competitive markets. For example:
- Offer an initial low price to attract first-time customers who will buy more later.
- Use bundling strategies, such as grouping multiple products at a discount (e.g., “Buy three for less”).
Example: A customer who buys a bundled package perceives they’re getting a bargain, making your offer more attractive.
Balancing Cost, Demand, and Perception
When setting prices, always:
- Consider cost and demand to ensure your pricing is sustainable.
- Never lose sight of your customer’s perception of value.
If customers feel your prices are unreasonable, they’ll shop elsewhere. Adjust your pricing strategy when necessary to stay competitive.
The Classic Marketing Mix | #3: Place
The “place” component involves your channel of distribution—how a finished product moves from producer to consumer.
Distribution Strategy: What to Consider
Your physical distribution strategy must focus on your customers’:
- Needs
- Wants
- Perceptions
A practical distribution system that cuts costs is essential, but don’t sacrifice the value your customers receive.
The Role of Location in Marketing Success
The place component also includes choosing the right location. The success or failure of your business can hinge on where you’re located—both physically and online.
Key questions to ask:
- What kind of customers do you want to attract?
- Is there enough foot traffic near your location?
- Does your location provide sufficient parking?
- Can customers find you online?
How Location Affects Perception
The answers to these questions directly impact how customers perceive your business. A poor location can mean missed opportunities, while the right spot—be it physical or digital—can make all the difference in how your brand is received.
The Classic Marketing Mix | #4: Promotion
If you’re visiting our website, you probably know that your promotional strategy is essential to develop. Sales promotions are short-term tactics designed to boost sales through incentives. Customers often need encouragement to make a purchase, and a strong promotional strategy provides just that.
Creating a Promotion Strategy
A promotional strategy clarifies how, when, and whom you’ll target for your product or service. To make it successful:
- Develop a promotional media strategy to ensure your tactics reach your audience.
- Choose the most effective channels for your promotions, such as:
- Mobile SMS Marketing campaigns
- Online marketing (e.g., email campaigns, social media ads)
- Traditional advertising like broadcast ads
The Importance of Timing and Delivery
Promotions work best when their timing and delivery are spot-on. The way you present and deliver your promotional message has a significant impact on your:
- Response rates
- Conversion rates
Why Online Marketing is Key
Note: Online marketing is often the most efficient promotional tool because it directly targets specific audiences in ways that are often welcomed by consumers. Use it strategically to enhance the effectiveness of your promotions.
Now Write It Out!
These four components—product, price, place, and promotion—are the key to a thorough, well-planned marketing plan using the Classic Marketing Mix.
Steps to Success:
- Assess these four areas and ensure they align with your overall strategy and brand image.
- Use the Classic Marketing Mix as a practical guide for outlining your plan.
- Write your assessments for each component into a detailed marketing plan.
Implementation Made Easy
Once your plan is written, implementing it will feel like a breeze. Taking the time to evaluate these key areas is your first step toward success. Here’s why:
- A thoughtful strategy leads to clear, actionable steps.
- Addressing each component ensures your plan is comprehensive and cohesive.
Your Next Move
Get started with this advice, and then take a look at the techniques we’ve shared throughout our website. It’s our goal to offer you expert insights and the most relevant information for making the best use of these strategies.
Remember—there’s always something new to learn!
