The entire brand value of a company depends on how well the various aspects of the company are upheld in the public domain. Previously, the efforts required in building a business step-by-step were monumental. Today, with the advent of digital marketing, things have become easier. The branding of a company has become hassle-free. Digital marketing makes more people access the ideas and vision shared by the company. Hence, more people will be attracted to the products and company. The strategy in improving the business of a company is entirely based on the 4Ps of marketing. Depending on how well the brand has been able to align the 4Ps, the future of the brand is determined.
What are the 4ps of marketing?
Neil Borden stated the importance of the well-alignment of all the elements of marketing in his paper, “The concept of Marketing Mix.” It was then formulated by Jerome McCarthy, who proposed in 1960 the 4Ps of marketing comprising of Product, Price, Place, and Promotion, in his book Basic Marketing: A Managerial Approach, the marketing plan of a company is built on the foundation of the 4Ps. This theory has been the rule since then. The business keeps these four pointers in mind while planning its business strategies. A well-aligned functioning of the 4Ps will lead the company to great heights. The product, their price, where you place the product, and how you promote it, determine the reach of your product.
Let us see, how each of the Ps defines the market accordingly and serve their individual purpose.
The product has to be such that it caters to the needs of people of all demographics and residing in all parts of the country. The wider the scope of the target audience, the more it’s chance of generating revenue. If the products, be it goods or services benefit the people for a prolonged period of time, the product will be considered to be a good boost to the company’s brand value.
There are a few parameters that the product makers should take into consideration. Who is the target audience, whether the product benefits the target audience entirely, or it does half a job, whether there are similar products in the market and how their product is different, and if the target audience will be benefitted from the product throughout their lives? If the utility of the product in a particular household is only temporary, then the product will not add much value to the company. The product should be so unique that it is irreplaceable when another company launches a similar product. The company’s ability to identify the major needs of their customers and also to make the product well suited to fit the criteria of their entire range of target audience will determine how well the customers will take to the product. A lot of the marketing strategy depends on the product being offered.
After the product is finalized, the determination of the price is done. The price is fixed keeping in mind the mindset of the consumers. Sometimes, keeping a high price of the product is a foolish strategy. People will easily replace the product with its cheaper alternatives. If you want to create a sense of luxury in possessing the product, there will not be many people who will be able to make such expensive choices. Hence the product will lose out on a number of potential customers. Again, if the price is kept too low, people usually confuse such commodities as being of inferior quality. Sometimes, the price of a commodity becomes the marker of its quality. In that case, the products should be priced justifying the value they add to the consumers’ lives. The benefits that the product will provide should be the best in the market and hence, the price could be set accordingly.
There are some marketing strategies that provide discounted prices during peak season or festivals. This usually boosts the sale of a product. However, for services, one should not offer discounts, since in providing the services you are offering your own skills, time, and energy to the other person. An individual should not lower their charges while they create an entire service and make it available to the market.
The company should be able to answer questions as to whether the product serves the customers better than similar products in the market if the price they are charging is justified according to the services they are providing, and if that is affordable for the majority of their target audience. If these are answered in the affirmative, then the price of the product will be a boost to the marketing mix of the company and will add to the company’s brand value.
For a sale to take place, a product should be at the right place at the right time. The right place is within the sight of the person who is likely to be benefited from the product. This scenario has gotten better with the advent of digital marketing. The 4Ps of marketing have been modified according to the requirement of the digital world.
With the advent of artificial intelligence, potential customers get to see products even if they have only viewed them. The constant showing up of the product on their feed will positively influence them into making the purchase. Hence, the place is of utmost importance. Someone could actually be in need of a product and not be aware of its existence. In that case, the product should have enough reach through marketing that it is within the purview of the general mass.
A huge percentage of sales of a product actually depend on the promotion of the product more than the product itself. Without promotion, the 4P stands incomplete. No marketing strategy will fare well without advertisements and promotions. The idea of the product as perceived by the mass is what pushes them towards making the purchase. This idea is spoon-fed to the audience by means of the advertisements. It has been statistically noted that the advertisement campaigns of a product determine its success in the market.
Nowadays, promoting a product is no more an issue. Products get promoted on social media where the reach is maximized. Moreover, affiliate marketing has recently popped up in the market. Hence, all products are being advertised to the fullest, and depending on the quality of image that they are being able to create in the minds of the customers; the sales of the products are being affected.
The 4Ps of marketing determine the career of the company in the long run. The companies that have been able to align the 4Ps of marketing set an example in the market. They reach new limits in terms of business and flourish. A lot of the company’s reputation depends on how well the 4Ps have been used in the management mix.