7 PS of Marketing Mix With Example of Marketing Mix With Example
In today’s competitive business landscape, creating a winning marketing strategy is crucial. The components of marketing mix, a foundational concept in marketing, provide a framework for businesses to develop effective strategies to reach their target audience and achieve their marketing goals. This article dives deep into the 7 Ps of marketing mix meaning, exploring their significance and providing real-world examples. The components of the marketing mix, with its 7 Ps, provide a comprehensive framework for businesses to develop effective marketing strategies. By carefully considering each element and tailoring it to their specific target market and industry, businesses can create a recipe for marketing success.
What are the 7 Ps of Marketing?
In the ever-competitive world of marketing, businesses need a strategic recipe to attract customers and stand out. The 7Ps of marketing, also known as the marketing mix 7p or simply the marketing mix, provide a powerful framework for crafting a successful strategy. These seven elements of marketing, acting as controllable ingredients, allow companies to influence how consumers perceive their products or services. From the features of your offering to how you present it, the 7Ps provide a holistic approach to crafting a targeted marketing strategy. Let’s delve deeper into each of these Ps and explore how they can be leveraged to achieve your marketing goals.
1. Product:
This encompasses tangible good or services offered along with its features, functionalities, benefits, branding, and packaging. A well-defined product caters to your target audience translating features into real-world benefits that solve problems and improve their lives. You need to understand this part of the marketing mix to solve customer problems and deliver value propositions. There are other points also to consider in this context they are as follows
- Understanding the needs and wants of the target audience: This is the foundation. You need to offer a product (features, benefits, branding, packaging) that solves their problems and delivers value.
- Develop strong branding and packaging: Branding establishes your product’s personality, values, and differentiation and effective packaging can attract attention, convey brand identity, and provide important information to consumers.
- Ensure consistent product quality: Customers expect a certain level of excellence, and delivering on that expectation is crucial for building trust and loyalty.
2. Price:
This refers to the monetary value assigned to your product as such. It’s a strategic decision that goes beyond covering production costs considering competitor pricing, perceived customer value, and cost-based pricing structures. Utilizing price psychology through strategies like discounts or anchoring can influence customer behavior.
- Consider cost, competition, and perceived value: Price goes beyond covering production costs. It’s a strategic decision that influences customer perception and buying behavior.
- Choose a pricing strategy (cost-based, value-based, competition-based):
1. Cost-based pricing involves calculating production, development, and marketing expenses to determine a profitable price.
2. Value-based pricing focuses on the perceived value your product offers to the customer.
3. Competition-based pricing involves analyzing competitor pricing strategies to position your product competitively. - Utilize price psychology (discounts, anchoring): Leveraging psychological factors can influence customer behavior. Strategies like price anchoring (setting a higher reference price) or offering discounts can create a sense of value or urgency is important
3. Place:
This refers to the distribution channels you utilize to get your product from you to the customer. Choosing the right place ensures your target market to conveniently access and purchase your product. It may involve direct sales (own stores/platforms), indirect sales (retailers/wholesalers), online channels (e-commerce/social media), or physical locations (stores/pop-up shops).
- Choose distribution channels based on audience and product type: This refers to how your product reaches your target audience. Utilize the most relevant channels:
- Direct sales (own stores/platforms)
- Indirect sales (retailers/wholesalers)
- Online channels (e-commerce/social media)
- Physical locations (stores/pop-up shops)
4. Promotion:
This encompasses all the communication efforts you undertake to create awareness of your product and generate interest among your target audience. Any means of effective promotion involves crafting compelling messages that resonate with your customers and utilizing the right channels like advertising, public relations, social media marketing, and content marketing. Sales promotions (discounts, contests) can further incentivize purchase decisions.
- Create compelling messages through various channels: The communication efforts you undertake to create awareness of your product and generate interest among your target audience such as
1. Advertising
2. Public relations
3. Social media marketing
4. Content marketing - Utilize sales promotions (discounts, contests) to incentivize purchase: Effective promotion involves crafting a compelling message that resonates with your customers that utilizes the right channels to reach them.
5. People:
This refers to everyone involved in the customer experience, from your employees to the customers themselves in all scenarios. Your employees are the face of your brand, and their interactions with customers are very important as it shape brand perception. Investing in excellent customer service through a well-trained team is indeed crucial. Additionally, every internal team member, from product development to marketing, plays a role in delivering a consistent and positive brand experience.
- Invest in excellent customer service through a well-trained team: Your employees are the face of your brand, and their interactions with customers shape brand perception fo a particular product
- Ensure all internal teams contribute to a positive brand experience: Every employee, from product development to marketing and customer service, plays a role in delivering a consistent and positive brand experience in marketing
6. Process:
This refers to the systems and procedures behind delivering your product or service.which ensures smooth customer experience and efficient business operations, order fulfillment, customer service procedures, and optimized internal operations like production, accounting, and communication.
- Streamline systems for efficient product/service delivery: This refers to the systems and procedures behind delivering your product or service for smooth customer experience and efficient business operations.
- Optimize order fulfillment, customer service procedures, and internal operations: Here’s what a well-defined process strategy considers at various levels:
1. Order fulfillment i efficiently processing orders, managing inventory, and ensuring timely delivery to customers.
2. Customer service in establishing clear procedures for handling customer inquiries, resolving complaints, and providing efficient support is essential.
3. Internal operations in optimizing internal processes like production, accounting, and communication enhance overall efficiency and cost-effectiveness.
7. Physical Evidence:
This refers to the tangible aspects that customers perceive about your product or service for a physical product, it’s the packaging and the product itself. For a service-based business, it’s the environment and the experience customers have. Physical evidence shapes customer perception of quality and value. Invest in high-quality packaging and ensure the service environment reflects your brand image and values.
- Invest in high-quality packaging that reflects brand identity: For a physical product, the packaging and the product itself are the tangible aspects that the customers perceives.
- Ensure the service environment aligns with brand image and values (for service-based businesses): Physical evidence shapes customer perception of quality and value od a product.
By strategically utilizing these interconnected Ps, you can create a cohesive marketing mix that effectively reaches your target market. This helps you achieve your business goals with a successful strategy that requires careful consideration of each P and their synergistic impact on your overall marketing efforts in marketing .
As you need to have a clear cut view on these two questions and various p’s in marketing mix as such you need to understand in first level what exactly are the key functionalities and importance and postulates of three p’s in marketing .You need to understand the basic questions such as what do you mean by marketing mix? What do you understand by marketing mix?Let’s explore these additional Ps with examples in the progression of the article as well.
Who proposed the 7Ps of marketing?
The concept we know today as the 7Ps of marketing owes its foundation and conception to E. Jerome McCarthy. His book, “Basic Marketing: A Managerial Approach”, published in 1960, laid the groundwork for this influential marketing framework. Here is a pictorial representation of the 7Ps of marketing.
7Ps of Marketing Mix
McCarthy’s initial contribution was the 4Ps of marketing mix, which focused on product, price, place, and promotion. These Ps primarily addressed the marketing of tangible goods. However, as the service industry grew in importance, the need for a more nuanced approach emerged.
The expansion of the 4Ps into the 7Ps framework is not credited to a single individual, but rather the result of ongoing developments in marketing theory. While McCarthy deserves recognition for establishing the groundwork, others played a role in shaping the 7Ps as we know them today.
Service Marketing Experts: As the focus shifted towards marketing intangible services, experts in this field like Leonard Berry, Valarie Zeithaml, and A. Parasuraman emphasized the importance of additional elements like the service environment and the role of employees in influencing customer perception. Their work on service quality and customer experience significantly informed the inclusion of “People,” “Process,” and “Physical Evidence” as Ps in the marketing mix.
Marketing Academics and Practitioners: The ongoing dialogue and research within the marketing community undoubtedly contributed to the refinement of the 7Ps framework. Professors, consultants, and marketing professionals have continually tested, adapted, and debated the effectiveness of this model, ensuring its continued relevance in the ever-evolving marketing landscape.
In conclusion, while E. Jerome McCarthy laid the foundation with the 4Ps, the 7Ps framework we utilize today reflects the collective contributions of marketing thought leaders, academics, and practitioners who recognized the need to address the unique challenges of marketing services.
What is Marketing Mix?
what do you mean by marketing mix?what do you understand by market mix?The components of marketing mix refers to a set of controllable elements that a company can adjust to influence the demand for its products or services. By carefully considering what is marketing mix and studying these elements, businesses can create a cohesive marketing strategy that resonates with their target market.to define mix ,In marketing, the term “mix” refers to the market mix, which is a framework for making strategic decisions about how to define mix with best reach and convert your target audience.
What is Marketing Mix in Management?
In the realm of management, the market mix is a vital tool for decision-making. It helps marketing managers:
- Develop new products and services: By understanding customer needs and preferences, businesses can use the marketing mix definition to tailor their offerings.
- Set optimal prices: The marketing mix product helps determine pricing strategies that consider production costs, competitor pricing, and customer value perception.
- Choose the right distribution channels: Selecting the most effective channels to deliver products or services to the target market is crucial. Theis concept of marketing mix product aids in this selection process.
- Craft targeted communication strategies: This concept of marketing mix product helps businesses determine the most suitable communication channels and messaging to promote their offerings.
There isn’t a mathematical formula for this concept of marketing mix. It’s more of a framework that requires ongoing analysis, adaptation, and experimentation to achieve optimal results.
Why is Marketing Mix Important?
The concept of marketing mix is important because it provides a structured approach to marketing decision-making. By considering all the elements of the mix, businesses can create a holistic marketing strategy that is:
- Customer-centric: It focuses on understanding and fulfilling customer needs and wants.
- Coordinated: All marketing activities work together seamlessly to achieve a singular goal.
- Adaptable: The marketing mix 7p allows for adjustments based on market changes and competitor actions.
What are the Elements of Marketing?
Marketing encompasses various elements, including:
- Market research: Understanding the target market, competitor analysis, and industry trends.
- Product development: Creating new products or services that meet customer needs.
- Pricing strategies: Determining the optimal price for products or services.
- Distribution channels: Selecting the best way to deliver products or services to customers.
- Promotional activities: Advertising, public relations, social media marketing, and other communication efforts.
What is Service Marketing Mix
The marketing mix 7p for services is slightly different, with an emphasis on intangibility and experience. The additional Ps in service marketing include:
- People: Even more critical in service industries, as employees directly impact customer experience.
- Process: Efficient and customer-friendly service delivery processes are essential.
- Performance: Ensuring consistent and reliable service quality is paramount.
What is Promotion Mix meaning?
Promotion mix meaning is that it is a marketing strategy that combines various tools and tactics to communicate with your target audience and achieve your marketing goals. Promotion Mix meaning is like a recipe for marketing success, where instead of ingredients, you have different communication channels and approaches.
7 Ps of Marketing Example-Cafe Coffee Day
Let us take the example of Cafe Coffee Day a dominant player in the Coffee market in India.
Product: Cafe Coffee Day (CCD) offers a wide range of hot and cold coffees, including lattes, cappuccinos, and signature blends. The CCD menu boasts a selection of teas, snacks, sandwiches, and desserts. Additionally, CCD positions itself as a hangout spot with a comfortable ambiance and free Wi-Fi. With a great CCD menu and inviting atmosphere, CCD has positioned itself as a great place to hangout and drink great coffee/tea etc.
Price: CCD employs a value pricing strategy. Their coffee drinks are generally priced competitively compared to other cafes, offering a good balance between affordability and quality.
Place: CCD boasts a massive network of cafes across India, strategically located in malls, high-street locations, and office areas. This ensures easy access for a wide range of customers.
Promotion: CCD utilizes a diverse promotional mix. They run television commercials and social media campaigns featuring their new beverages and seasonal offerings. Additionally, they offer loyalty programs with reward points and targeted email marketing to promote deals and discounts.
People: CCD recognizes the importance of well-trained staff. Their baristas undergo training programs to ensure consistent service quality and coffee preparation. However, there’s always room for improvement to make customer interactions even more personalized and engaging.
Process: CCD has streamlined processes for ordering, payment, and beverage preparation. They’ve implemented systems to ensure efficiency without sacrificing quality or customer experience.
Physical Evidence: The ambiance of CCD cafes plays a crucial role. They strive to create a welcoming and comfortable atmosphere with comfortable seating and free Wi-Fi. Additionally, their packaging for takeaway beverages and food items uses consistent branding and maintains a certain level of quality. Their website allows for online ordering and menu browsing, enhancing convenience.
By strategically managing these 7Ps, CCD has established itself as a dominant player in the Indian coffeehouse market. Their focus on affordability, convenience, and a welcoming atmosphere caters to a broad audience.
7Ps of Marketing Example- Apple iPhone
Product: Apple prioritizes innovation and design with iPhones. They boast high-quality cameras, powerful processors, a user-friendly operating system (iOS), and a sleek, minimalist design. Additionally, Apple integrates their iPhone seamlessly with other Apple products, creating a strong ecosystem.
Price: Apple employs a premium pricing strategy. iPhones are generally priced higher than most competitors. However, Apple positions them as status symbols with superior quality, performance, and brand value.
Place: Apple uses a selective distribution strategy. iPhones are sold through Apple Stores, authorized retailers, and carrier stores. This approach allows for greater control over brand image and customer experience.
Promotion: Apple leverages a sophisticated promotional mix. They generate excitement with sleek product launch videos and keynote presentations. They utilize targeted social media campaigns, celebrity endorsements, and strategic partnerships with carriers for promotions.
People: Apple employees in their stores undergo rigorous training on product knowledge and customer service. They aim to provide a premium in-store experience that reflects the brand image.
Process: Apple has a streamlined online ordering and fulfillment process. They ensure timely delivery and prioritize a smooth user experience throughout the customer journey.
Physical Evidence: Apple prioritizes high-quality packaging that reflects the premium status of the iPhone. Their stores have a minimalist and sophisticated design that reinforces the brand image. Additionally, the user interface of the iPhone itself is designed to be clean, intuitive, and visually appealing.
By meticulously managing these 7Ps, Apple has positioned the iPhone as a coveted status symbol in the smartphone market. Their focus on design, innovation, and a premium user experience allows them to command a premium price and cultivate a loyal customer base.
Importance of 7Ps of Marketing
The 7Ps of marketing hold significant importance for businesses because they offer a structured approach to creating a cohesive and effective marketing strategy. Here’s a breakdown of their key benefits:
- Customer Focus: The 7Ps framework encourages considering the customer’s perspective at every stage. By examining each element through this lens, businesses can ensure their marketing efforts align with what their target audience wants and needs.
- Strategic Planning: The 7Ps provide a roadmap for crafting a marketing strategy. It ensures all the crucial aspects, from product development to distribution channels, are considered and work together seamlessly.
- Competitive Advantage: By analyzing the 7Ps of both themselves and their competitors, businesses can identify areas for differentiation. This allows them to tailor their marketing mix to stand out in the marketplace.
- Coordinated Marketing Efforts: The 7Ps framework promotes a unified marketing approach. When all elements are aligned and consistent, it strengthens the overall brand message and customer experience.
- Adaptability: The marketing landscape is constantly evolving. The 7Ps framework allows businesses to be adaptable by providing a flexible structure for adjusting their marketing mix based on market trends and customer feedback.
In essence, the 7Ps of marketing empower businesses to develop a customer-centric strategy that considers all the crucial touchpoints. This structured approach helps them create a strong brand image, effectively reach their target audience, and ultimately achieve their marketing goals.
Conclusion
The elements of the marketing mix are its 7 Ps, which provide a comprehensive framework for businesses to develop effective marketing strategies. By carefully considering each element and tailoring it to their specific target market and industry, businesses can create a recipe for marketing success. what do you mean by marketing mix? What do you understand by marketing mix? what do you understand by marketing mix
Remember, the elements of marketing mix has no static formula but rather has a dynamic approach that requires ongoing evaluation and adaptation. As market trends evolve and customer expectations change, businesses must continuously refine their elements of marketing mix definition to stay ahead of the competition and achieve their marketing goals.
