The Marketing Mix Today
(...or Why the “4 Ps”
No Longer Apply!)
The Marketing Mix has long been defined in terms of the “4 Ps” of marketing - Product, Price, Place and Promotion - but these offer a limited perspective on doing business in today's world.
In this section you can read about the traditional “4 Ps” and understand how they apply to you doing business in the Information Age. In addition, you will learn how the “4 Ps” have evolved to become “7 Ps” as well as the customer-oriented perspective of “4 cs”. The Marketing Mix that applied to the Industrial Age is different from the approach and perspective needed to succeed in sales and marketing today. Marketing is far more complicated in today's business climate the elements of your specific mix should be studied alongside Marketing Communication and Strategy within your overall Marketing Plan.
As always, don't hesitate to ask me for help if the information and guidance provided does not answer all your questions!Related Links: The "4 Cs" • The "7 Ps" • A New Mix
The Marketing Mix: Then And NowThe traditional definition of the Marketing Mix as Product, Price, Place and Promotion is a product of the manufacturing mentality of the late 60's that birthed modern marketing. It no longer applies to you in the same way.
Today, marketing means much more than the simplistic approach served by the traditional "4 Ps" model. That model served the notion of, build it and they will come whereas it is not enough to simply have a “good product” in the current marketing climate.Focusing on the old model will leave you ill-adjusted to serve the discerning consumer of today who demands choices, interaction and an experience out of buying something.
The old model does not take into consideration people, process, technology, presentation, positioning and a host of other factors necessary for successful sales and marketing today. Simply put, the old model is too outdated and simplistic to serve you well.What you will read about in this section and the related pages is a new approach to what this Mix Model is and should be. The purpose of asking, What is the Marketing Mix? should be to give you all the tools you need to succeed in sales and marketing.
Marketing Mix Definition
In seeking to understanding Mix Management with regards to Marketing, the traditional approach of the “4 Ps” follows. A newer Mix definition redefines these very same P's from a customer-centric perspective to arrive at the “4 Cs” of Customer Value, Cost, Convenience and Communication.
Product (Customer Value)
• Then: “Product” used to be a physical product or a service and by definition is any commodity that customers are willing to pay for. The first marketing P asks the question of “what are you marketing?” • Now: The definition of “Product” has grown from products and services to include experiences, add-ons, privileges, information, partnerships and more. The basic definition is still the same, that “Product” encompasses value customers will pay for.
Price (Cost)
• Then: Monetary price used to be a critical factor in what was produced and how much of it customers would buy. Determining optimum price varies for different products and is generally a factor of cost and profit or a number determined by the market. • Now: Should price be seen as a standalone marketing function any more? This question is explored more in What is the Marketing Mix? The definition of “price” should now accommodate value, add-ons, partnerships and other factors in weighing how you satisfy customer needs against finite resources.
Place (Convenience)
• Then: After answering what and how much, the traditional Mix looked at the question of where and how customers would purchase products. • Now: In doing business today, you must be cognizant at least of the fact that “Place” encompasses a lot more that just physical, if not that a new model should be used to look at this marketing dynamic. Purchasing online, delivery and manufacture-on-demand are just some of the ways that “Place” has change in recent decades. You must also consider that where and how a customer buys may be different from where and how they pay for and where and how they consume a product.
Promotion (Communication)
• Then: The last “P” has come to symbolize what marketing is all about and has traditionally encapsulated advertising, direct marketing, personal selling and the other elements of the Marketing Communication Mix. Promotion is how you create customers for the value you create. • Now: Nowadays, it is important to nurture relationships with customers through Interactive Marketing Communication. It is not enough to manufacture a “good product” and hope it sells. As well, Integrated Marketing Communication should align all of your sales and marketing efforts in a unified voice encompassing your Marketing Personality.
The Extended Marketing Mix:
7 Ps and More...
What is the Marketing Mix, really? As well as looking at the popular “4 Ps” you should deconstruct the question that this traditional mix seeks to answer for marketing. That goal is to make sure that you “have your bases covered” in creating a marketing plan. An Extended Mix that has become widely accepted adds 3 more Ps to the standard “4 Ps”. These are People, Process and Physical Evidence. The aim, once again, is to provide marketers with everything they need to think about in strategizing for sales and marketing success. Why stop at 3 more Ps, however? In reality, the modern business environments demands far more insight and analysis of a tremendous number of interwoven factors in creating sales and marketing success. These factors, as well as a comprehensive definition of The New Mix, are dealt with in the section What Is The Marketing Mix?
As always, don't hesitate to ask me for help if the information and guidance provided does not answer all your questions!Related Links: The "4 Cs" • The "7 Ps" • A New Mix
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