What is mix marketing?
The 4P mix marketing was created by Kotler and helps establish the company’s strategy and objectives in terms of product, price, place, promotion. The marketing strategy of the offer will be based on these 4 components and will help position the company on the market. The mix marketing makes it possible to define the actions that must be implemented to meet the needs of targeted consumers.
The elements componing the 4Ps
Product
This first point allows us to focus on the characteristics of the product that will make the company stand out from the competition. We will talk here: packaging, functionalities… Through this element, we must define the functional and aesthetic aspects of the product taking into account the chosen positioning.
Price
Sales prices are defined through three different strategies: skimming, alignment, penetration. The challenge of this aspect is to define the right selling price through 3 key elements to take into consideration:
- The price consumers are willing to pay for the product or service
- Taking into consideration costs and desired margins
- Prices practised by competitors
Place
The third element makes it possible to define the distribution strategy chosen by the company. You must choose how customers will be able to access the offer proposed by the company. Different distribution channels exist: direct, short or long. This element also makes it possible to define distribution: exclusive, selective or intensive.
Promotion
Promotion (or communication) allows you to choose the communication policy and the different media that will be used. These communication supports can be categorised with the POEM (Pai, Owned, Earned Media) or PESO (Paid, Earned, Share, Owned) model. Communication will be an essential element in making products/services known and promoting their quality.
The elements constituting the 7Ps
It is also possible to complete this mix marketing using the 7Ps. These are made up of the 4Ps seen previously and 3 new elements:
Process
This point concerns the sales process, it allows us to expose the purchasing journey that customers benefit from. It starts from the first contact between the product and the customer, until the final purchase. The objective is to stand out from the competition and provide an optimal customer experience.
People
The company’s human resources are responsible for the company’s image; this is an essential point in providing a quality customer experience. It is a necessary resource to promote and sell products. This aspect takes into account the different actions that can be put in place to help employees promote a good image of the company, management, corporate culture, etc.
Physical evidence
Physical items are important, especially for businesses selling services, because they are not tangible products that customers can try for reassurance. It is therefore necessary for companies to find alternatives, for example customer reviews after purchases.
Furthermore, the 4P mix marketing evolves with the 4C mix marketing (Cost, Customer, Communication, Convenience).