Back in my show business marketing days I was once called a marketing “Generalist” by a marketing “Specialist.”
At the time, his declaration had me baffled. I thought my skill set was specialized, or at the very least, special. Otherwise, why hire me?
As a new day dawned, so did the realization my job and skills weren’t specific to one marketing discipline.
Generally speaking, my job and skills encompassed bits and pieces of the 4 P’s of marketing – commonly known as the marketing mix.
The 4P’s of Marketing
1. P: Product
2. P: Price
3. P: Placement
4. P: Promotion
The brainchild of Marketer E. Jerome McCarthy, his 4P’s has been around since, well 1960. And, still relevant today they form a critical foundation in determining what your business, or service offers.
A 4P’s Snapshot
The intangible service, or tangible product, the “thing” you want, need, or desire to buy.
What you’ll pay. What you’re prepared to pay.
Setting the right price for your product is no easy walk in the park. And takes into account a multitude of factors including, production costs, advertising, expenses, time & expertise, staff, overheads, profit, break-even etc etc…it’s complex, and dependent on the type of product offered.
What you’re prepared to pay is the other side of the price equation.
Only in very rare circumstances is it ok to price above and beyond what your market will pay.
Rare diamonds, precious jewels, artwork painted by the masters…. fit into this rare, aspirational, and you’ll need more than a ton of money category.
Perceived value is what the customer is prepared to pay.
Think about how many times you’ve put something back because it’ll rip your budget to shreds, or there’s a cheaper comparable option you’d rather buy.
In most cases, you’ll only pay what you are prepared to pay. What you think is fair and reasonable to pay.
It’s reaching a happy “win-win” price point for the buyer, and seller.
Communication. Spreading the word. Telling people about your product.
– Advertising – a controlled paid, or unpaid (contra) message
– Public Relations
– Sales Promotion
– Personal Spruiking (shameless self marketing)
– Precious word of mouth
– Social Media
In another word, distribution.
Where people can buy, access, or find out more about your product or service.
Using, and understanding the 4P’s as the foundation of marketing will definitely:
– shape any marketing plan
– help define your product
– communicate, spread the word, tell others…about what you’re offering
Generally speaking that is!