MARKETING MIX

A foundational business model known as the “marketing mix” has historically focused on the four Ps: Product, Pricing, Place, and Promotion (also known as the “4 Ps”). “Collection of marketing tools that the organization utilizes to pursue its marketing objectives in the target market” is how the marketing mix is defined.

Marketing theory emerged at the beginning of the twenty-first century. The current marketing mix was first published in 1984 and has since developed into the foundation for all marketing management decisions. An extended marketing mix is employed in the service industry; it often consists of 7 Ps (Product, Pricing, Promotion, Place, Packaging, Positioning, and People), which are the original 4 Ps plus Process, People, and Physical Proof. The phrase “8 Ps” is sometimes used by service marketers to refer to the “Price, Product, Location, Promotion, People, Positioning, Packaging, and Performance” in addition to these seven Ps.

The four Cs model was proposed as a more customer-focused alternative to the four Ps in the 1990s. Lauterborn’s 4 Cs (Customer, Cost, Convenience, and Communication) and Shimizu’s 4 Cs are two ideas based on the 4 Cs (Commodity, Cost, Channel, and Communication).

It is computationally impossible to choose a product’s attributes in a way that maximizes the number of customers who prefer it given the valuation of customers toward potential product attributes (in any category, such as product, promotion, etc.) and the attributes of the products sold by other companies.

The success of a company’s marketing is significantly influenced by the enterprise marketing managers’ selection of the marketing mix:

• Maximize your advantages and minimize your disadvantages.
• Enhance the flexibility and competitiveness of businesses by ensuring close collaboration between their internal departments.

McCARTHY’S 4Ps

A framework for making marketing decisions is provided by the original marketing mix, sometimes known as the 4 Ps, which was first put forth by academics and marketer Philip Kotler and E. Jerome McCarthy. McCarthy’s marketing mix has subsequently evolved into one of the industry’s most reliable and well-liked models. Product, Pricing, Place, and Promotion are the four Ps.

Product: The products and services that a business offers are referred to as “products.” The “quality, features, benefits, style, design, branding, packaging, services, warranties, guarantees, life cycles, investments, and returns” are considered while making judgments about products.

Price: Pricing choices include those involving “list prices, discounts, special offers, credit payment or credit conditions.” The term “price” refers to the overall cost to the client to purchase the good, which can include both monetary and non-monetary expenditures like the time and energy expended on the purchase. Distribution channels such as retail, wholesale, business-to-business (B2B), or business-to-customer are taken into account (B2C).

Place: “Direct or indirect pathways to market,” “geographic distribution,” “territorial coverage,” “retail outlet,” “market location,” “catalogs,” “inventory,” “logistics,” and “order fulfillment” are all considered to be part of the Place. Location can refer to a company’s actual office space or to the channels it uses to distribute goods to customers. The place can relate to a physical store, but increasingly it refers to online retailers like “a website, a call center, or a mail-order catalog. Luxury goods manufacturers like Louis Vuitton, for instance, use an aggressive placement strategy by only making their products available at a select few high-end stores. By making their products available to as many different merchants as they can, manufacturers of lower-priced consumer items, such as toothpaste and shampoo, often utilize an extensive placement strategy.”

Promotion: Promotion is defined as “the marketing communication used to spread awareness of the offer to potential customers and encourage them to learn more about it.” Promotional aspects include things like public relations, sales promotions, direct selling, and advertising.

3 More Ps are introduced later:

People: People in the marketing mix refer to both the employees of the company and the interaction between customers and employees. Customer service, staff training, and the overall customer experience play a crucial role in shaping customer perceptions.

Process: The workflows, methods, and procedures used to deliver a good or service to a consumer are referred to as the process element. It’s about ensuring that the customer’s journey, from initial contact to post-purchase interactions, is smooth and satisfactory.

Physical Evidence: This refers to the tangible and intangible cues that help customers evaluate the product or service before making a purchase. It includes elements like the physical environment, branding materials, customer testimonials, and any other evidence that supports the value proposition.