Question
What are the 4Ps & 7Ps of the marketing mix?
Answer
The marketing mix is a tool used when developing a marketing strategy. The four P’s of the marketing mix consist of product, place, price and promotion:
Product – This refers to an item which can satisfy customer needs or demands, which can be either a tangible good (physical existence) or an intangible service.
Price – This refers to the price that you will charge for the product/service. The three basic pricing strategies include market skimming, market penetration and neutral pricing.
Place – This refers to providing a convenient place for consumers to access the product or the distribution channel from where the value is created.
Promotion – This refers to how the product or service can effectively reach the target market focused on. There are a variety of ways in achieving this, which can include advertising online, public relations, sales promotion etc.
There is also a theory of 7P’s (Service Marketing Mix) which includes the original 4P’s and 3 additional ones, these are:
People – This refers to ensuring you have trained staff to deliver the service as would be expected by customers.
Process – This refers to systems used to deliver the service. It is important to have consistent systems so that customers all receive the same service experience.
Physical Evidence – This refers to the environment in which the service is delivered. For example, if you were providing a hotel service you would need to ensure that each room has a bed, wardrobe, bathroom with shower etc. and that the environment be clean and tidy.
