A marketing mix can be referred to as a planned mix of the controllable elements of a product’s marketing plan, commonly termed as 4Ps: product, price, place, and promotion.
These four elements are adjusted until the right combination that serves the needs of the customers, while generating optimum income for the company is found.
Explanation of 4ps
In marketing mix, the product or service is the most important element. Customers acquire products for a singular reason that they are perceived as the means to satisfy their needs and wants. According to Philip Kotler, “A product is anything that can be offered to a market for attention, acquisition, use, or consumption that might satisfy a need or want.”
Price directly influences the development of marketing strategy as it is a major factor that influences the assessment of value obtained by customers. Firms have to consider some factors while deciding the price of a product.
- Objectives of business
- The competitive environment
- Product and promotional policies of the firm
- Nature of price sensitivity
- Conflicting interest between manufacturer and intermediaries
- Routine pricing decisions
- Active entry of non-business groups in pricing decisions
This is another key marketing mix tool, which encompasses the various activities the company attempts to make the product available to the target customers. Place mix deals with the physical distribution of products at the right time and right place.
This includes the methods to communicate the features and benefits of the products or services to its target customers. Some common methods include advertising, sales promotion, direct selling, public relations, and direct marketing.
This is a very important element of the modern marketing mix or the service mix. An essential ingredient to any service provision is the use of appropriate staff and people.
This refers to the way in which a service is delivered to the end customer. For example, when you go to McDonalds drive-through, you are first greeted by an attendant who asks you for your order. Then, he/she notes down your order and informs a crew member about it. By the time you pay the billed amount, your order arrives. You take your order and leave.
Physical evidence is the tangible part of a service. Service customers experience a greater perceived risk as they cannot rate a particular service until it is consumed. Therefore, service providers should try to attach an element of tangibility to their service offering.