7Ps of Marketing

Have you ever wondered what makes a brand instantly recognizable? Or how a product goes from unknown to flying off the shelves? The secret lies in a powerful marketing framework called the 7 Ps. It’s like a recipe for marketing success, with each “P” representing a crucial ingredient.

From understanding your target audience to crafting the perfect message, the 7 Ps guide you every step of the way. But what exactly are these Ps, and how can they transform your marketing strategy? Find out the secrets of the 7 Ps of marketing in this blog.

Product

Product is anything that works as a need satisfier of buyer. This refers to what the company is selling, including all of the features, advantages, and benefits that customers can enjoy from purchasing the goods or services.

Product levels help to understand a product beyond just its physical form. Understanding the different levels of a product helps marketers and businesses effectively address customer needs and create a well-rounded product offering.

The five product levels, as outlined by marketing expert Philip Kotler, are:

Core Benefit

This is the fundamental need or want that the product fulfills. For example, someone buying a car isn’t just buying metal and wheels, they’re buying transportation.

Generic Product

This is the basic version of the product that delivers the core benefit. Going back to the car example, the generic product is simply a vehicle that gets you from point A to point B.

Expected Product

This level represents the set of features and characteristics that customers normally expect to find in a particular product category. For cars, expected features might include a steering wheel, brakes, seats, and maybe even air conditioning.

Augmented Product

This level includes all the additional features and services that differentiate a product from its competitors and exceed customer expectations. In cars, this could be luxury features like heated seats, a sunroof, or a navigation system. It can also include additional services like warranties, financing options, or roadside assistance.

Potential Product

This level refers to future improvements and innovations that could be added to the product. Car manufacturers are constantly looking for ways to improve fuel efficiency, safety features, and entertainment systems. This level represents the potential for future growth and development of the product.

Price

The price of a product or service is the amount of money charged for it. It is determined by various factors, including the cost of production, supply and demand, competition, and the perceived value to the customer.

Price Strategies

There are various pricing strategies you can employ depending on your product, market, and goals. Here are a few examples:

Cost-Plus Pricing: Adding a markup to your production cost to determine the final price.
Value-Based Pricing: Setting the price based on the perceived value your product offers to the customer.
Penetration Pricing: Setting a lower initial price to gain market share, then potentially raising prices later.
Premium Pricing: Setting a higher price to convey exclusivity and high quality.

Place

The place in the marketing mix refers to the location where a product or service is made available to the customer. It includes the distribution channels, logistics, and any intermediaries involved in getting the product to the end consumer.

Place Decisions

Several factors come into play when determining the best place to sell your product or service:

Distribution Channels: This refers to the path your product takes from production to the customer. It could involve direct sales, wholesalers, retailers, online marketplaces, or a combination of these.
Physical Location: For brick-and-mortar stores, the physical location significantly impacts accessibility and customer traffic. Factors like proximity to target audience and store ambience play a role.
Inventory Management: Ensuring you have the right amount of product in stock at the right place is essential. Effective inventory management optimizes sales and minimizes stockouts.
Delivery and Fulfillment: For online sales or products requiring assembly, consider how you’ll deliver and fulfill orders. Reliable and efficient delivery options are key to customer satisfaction.

Promotion

It refers to the various methods and strategies used to communicate the value of a product or service to potential customers and persuade them to make a purchase.

There’s a vast array of channels and tools available for promotion, both traditional and digital. Here are some prominent examples:

Traditional Media: Television, radio, print advertising (newspapers, magazines), billboards, out-of-home advertising.
Digital Marketing: Social media marketing, search engine marketing (SEM), search engine optimization (SEO), content marketing, email marketing, influencer marketing.
Public Relations (PR): Press releases, media relations, events, sponsorships.
Sales Promotion: Discounts, coupons, contests, giveaways, loyalty programs.
Personal Selling: Direct interaction with customers through sales representatives.

People

Ensure the right personnel are in place to deliver a positive customer experience. Everyone counts: From employees to customers, this element emphasizes the power of a united front in delivering exceptional service and building a strong brand.

Strategies for Effective People Management in Marketing

Recruitment and Training: Hire people who embody your brand values and provide them with the training and skills necessary to deliver exceptional customer service.
Motivation and Empowerment: Motivate your employees and empower them to make decisions that enhance the customer experience.
Internal Communication: Ensure clear communication within your organization so everyone is aligned with your marketing goals and customer expectations.
Performance Management: Regularly evaluate employee performance and provide feedback to ensure they’re consistently delivering high-quality service.

Process

This refers to the processes involved in delivering the product or service to the customer. Efficient processes ensure that the product is consistently of high quality and delivered on time. It includes aspects such as order handling, delivery, and after-sales service.

Developing Effective Processes

Customer Journey Mapping: Map out the different touchpoints a customer has with your brand and identify areas where processes can be improved.
Standardization: Develop standardized procedures for key processes to ensure consistency and efficiency.
Technology Integration: Leverage technology to automate tasks and streamline processes wherever possible.
Performance Measurement: Regularly monitor and measure the performance of your processes to identify areas for improvement

Physical Evidence

This is the tangible proof or material cues that customers use to evaluate the product before purchasing it.

Elements of Physical Evidence:

Packaging: The design, materials, and functionality of your product packaging all contribute to physical evidence. High-quality packaging conveys value and professionalism.
Store Environment: For brick-and-mortar stores, the physical layout, decor, cleanliness, and overall ambience all create a sensory experience for customers.
Website Design: In the digital world, your website’s design, user interface, and navigation contribute to physical evidence. A user-friendly and visually appealing website creates a positive impression.
Employee Appearance and Demeanor: The way your employees dress, behave, and interact with customers is a tangible aspect of your brand. A professional and courteous staff reflects positively on your brand.
Signage and Branding Materials: Banners, brochures, business cards, and other branded materials all play a role in conveying your brand message and image.