The 4 P’s of Marketing

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The 4 P’s

Referred to as The Marketing Mix
All four are essential to the success of a marketing plan for either a product or a service
4 P’s stand for
Product
Price
Place
Promotion
A mix of the four is necessary to sell a product

The Marketing Mix

Think of a Cake
All cakes need 4 things – flour, egg, sugar, milk
However, you can play with the flavour of your cake by changing the ingredients slightly
Example: Sweeter cake – add
more sugar



The same thing is true with the marketing mix
You can very the type of message you are sending out about your product/service by mixing different elements of each of the P’s
Example: Want to be seen as a luxury item – make the price high, have limited selection

Product

Packaging – if your selling a product what image will the packaging communicate?
If a service – how will the appearance of your operation communicate an image about your business
Range of Products – what complimentary products may you offer
If service: Will you offer other products with your service
Example: Moose Winooski’s – you can buy T-Shirts and Hats
Example: Think of the range of products that apple has

Price

Marketing is responsible for establishing the price of their service/product
Must consider the costs of all the inputs (materials, labour, etc)
Mark-up Price – How much profit do you want to make on every product/customer
Example: Selling Cupcakes
Every cupcake uses $1 of materials and labour roughly costs $0.25 to make one muffin
You must charge at least $1.25 to break-even