4Ps of Marketing Mix describes the combination of the 4 inputs, which constitute the core of a company’s marketing system: the product, the price structure, the promotional activities, and the distribution system.
4Ps of Marketing Mix was developed by E. J. McCarthy in his book, “Basic Marketing – A Managerial Approach” in 1960 by.
4p’s of the marketing mix are;
- product,
- price,
- place, and
- promotion.
Product in Marketing Mix
The product is something like good, service, information, etc. that satisfies the wants of a company’s target market.
Products must follow a logical product lifecycle, and marketers or producers need to understand and plan for the stages of the product lifecycle and their core challenges.
The product must answer some questions, for example, what problem the product will solve, is the consumer or customer needs the product, and/or what will be the components of the product?
Here are a few marketing tools under Product in Marketing Mix;
- Product variety
- Quality
- Design
- Features
- Brand name
- Packaging
- Sizes
- Services
- Warranties
- Returns
Price in Marketing Mix
Price means the number of dollar customers or consumers must pay to obtain/use the product. It is the amount paid by the customer to a business.
For example, a bottle of juice that may cost $10.
Prices set by the business depend on the business policy; those it may be adjusted through discounts, allowances, and/or credit terms.
Some marketing tools under Product in Marketing Mix are;
- Advertising
- Personal selling
- Sales promotion
- Public relations
Place in Marketing Mix
Place indicates the company activities that ensure a product or service available to target consumers.
It includes all activities like distribution channels, logistics, transportation, and locations offered by the company.
A company may have many stores offering its products across the United States, but there may still locations where customers or consumers will not access that company’s products.
This is a great loss for the company, so that it must ensure that products are available to target customers or consumers.
A few marketing tools under Place in Marketing Mix are;
- List Price
- Discounts
- Allowances
- Payment period
- Credit items
Promotion in Marketing Mix
Promotion refers to the activities that communicate the merits of the product to target customers and influence to buy it. One of the major factors of promotion for products or services is advertising.
Some marketing tools under Promotion in Marketing Mix;
- Channels
- Coverages
- Assortments
- Locations
- Inventory
- Transportation
- Logistics
Conclusion
4Ps of Marketing mix is still relevant even though it was developed in 1960. But now 7Ps of Marketing Mix is used to define the Marketing mix.
To better understand the use of 4Ps of Marketing we need to know the 4Cs of Marketing.