4 P's of Marketing Mix of marketing was first proposed by E. Jerome McCarthy in 1960, which defines four factors essential for evaluating the business activities and should be kept into mind while developing a marketing strategy.
The four P's: Product, Price, Place and Promotion are basically a product-oriented model that helps the marketers develop a strong and effective marketing strategy to keep pace with the dynamic market.
Four P's of Marketing mix
A product is something that fulfils the needs of consumers and provides customer satisfaction. A product is tangible when it is good and intangible when it's a service. Before developing a product the marketers need to keep certain things on mind:
After analysing all the aspects the marketers should position the product keeping in mind factors like how to exploit the brand, how to utilize the business resources and how to configure the product mix so that each product complements each other.
The second P of marketing mix stands for 'Price', which is defined as the amount of money a customer invests to buy a product or service. The price of a product or service depends upon following factors:
Before deciding the price, all the above factors should be kept into consideration along with the customer perceived value for the product. Based on all the factors there are basically three pricing strategy: market skimming pricing, market penetration pricing and neutral pricing.
The third P of marketing mix, promotion represents all the methods of communication that can be deployed for all types of promotional activities advertising, public relations, personal selling and sales promotion. Promotion is a continuous process that runs in every stage of product life cycle. Communication in form of advertisement in cinema commercials, radio, Internet and print media, promotion through public relations like press releases, sponsorship deals, exhibitions, conferences, seminars or trade fairs and events are quite effective in increasing the sales volume of the product as well as for reminding the target market about the product or services constantly.
The fourth P in the marketing mix is the place where your product or services are to be sold. The marketer should explore a place after extensive research that is easily accessible to the customers and covers large number of target customers. The marketer can choose the best option of distribution such as intensive distribution, selective distribution, exclusive distribution and franchising in order to make the product or service available to the end consumers.