🚀The 4 Ps of Marketing: Price, Product, Promotion and Place

The 4 Ps of Marketing: Price, Product, Promotion and Place

by Team AllYourVideogames | Oct 29, 2022 | Entrepreneurship |

If you have already studied something about communication and marketing or are curious about this subject, you must have heard about the 4 ps do marketing.

This is a very widespread concept in the area and it summarizes the basic pillars of any business strategy.

Due to the importance of this concept, we are going to explain what the 4 ps of marketing are and how you can use them in your business.

4 ps of marketing: what are they?

The 4 ps of marketing is a concept, also called the marketing mix, thought up by Jerome McCarthy and spread by Philip Kotler.

These are the four basic pillars of any marketing strategy: Price, Place, Promotion and Product.

The idea is that for a business to reach the goal of generating sales, its strategy needs to be supported by these 4 pillars.

Let's understand what they are and how each of them works.

What do the 4ps of marketing mean?

Price

The idea of pricing a product is theoretically simple, but in practice it is not so easy.

In fact, there are many entrepreneurs who make serious pricing mistakes.

For example, if you buy a shirt for R$10 and resell it for R$20, it does not mean that you are making a 100% profit.

It is necessary to consider expenses with transport, the time spent, packaging, advertising, etc.

When we think about the marketing 4ps strategies, more specifically the P of price, we are also talking about added value.

The idea is to consider what value your customer sees in your product, because the more value to them, the more they will be willing to pay for what you sell.

This is precisely why very similar products, such as leather bags, for example, can have such different prices depending on the brand they carry.

Therefore, working on the P of price means having a strategy to add value to your product or service so that this is reflected in the figures stamped on the label.

Product

Although the term product refers to something physical, services offered are also included here. Consider as a product everything that is offered and purchased by your customer.

In this pillar, several variables are considered, such as: design, packaging, warranty, service, etc.

In addition, we take into account all the attributes of what you are offering your customer and how that product or service makes sense for your audience.

This P is directly linked to how your business meets your persona, how it solves their problems and desires.

The idea is that your business needs to make sense to your audience, and for that, you need to know these people.

Therefore, market studies, business plan, persona studies and all initial research that show the relevance of your product or service to your audience come in here.

Promotion

Promotion OP is not necessarily about discounts or offers, as the term might imply. This pillar is linked to the way to publicize and promote a product or service.

Here, it's about the communication channels and effectively how you communicate with your customers, whether at the point of sale, on social media or email marketing.

It's about reflecting on what your brand's tone of voice is, how you offer, what you've been doing so that your customer gets to know your business.

Square

This P is related to how your customer gets to your product or service, that is, how he has access to your business. Here, we are talking about your distribution channels.

The idea is to understand how these channels make sense with the rest of your strategy, as they also need to be aligned with your business persona.

The Gucci brand, for example, has a clear positioning of being a luxury company. Their products have a lot of added value, which makes their consumers pay thousands of reais for them.

Now, thinking about distribution channels or points, would it make sense to sell a Gucci bag at a neighborhood grocery store or a department store? Certainly not.

So, the idea here is to distribute your products where it actually makes sense for your persona.

Why are the 4 ps of marketing important?

Including the concept of the 4 ps of marketing in your business strategy is important so that you have a direction in your campaigns.

When you consistently and fully meet the 4 ps, the strategy has a firm foundation.

It's like the example of the Gucci bag. What good would it be to have thought about Price, Product and Promotion and put it up for sale in the market? It wouldn't make sense.

In the same way, what would be the point of putting this same bag for sale in a luxury mall if the public didn't see the added value in it?

The idea, therefore, is to use the 4 ps of marketing as a guide to cover all sides that involve your business strategy and, with that, develop successful actions.

Books to delve into the 4 Ps of Marketing

There are several books that address this topic, but the author who helped to spread this concept was Philip Kotler.

Kotler is called the “father of marketing” and recognized as one of the most important experts in the field.

So, if you are interested in delving into this subject, a good way is through books in the area. Here are two Kotler publications that will help you with that:

In this book, Kotler addresses the transition from traditional to digital marketing. It shows how connectivity has radically changed the way we live and helps to understand the paths consumers have taken in the so-called digital age.