Differences between the 4 P's and the 7 P's of the Marketing Mix

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This is a tricky subject. If a company is new to the market and hasn't made a name for itself, its target audience is unlikely to be willing to pay a high price. While they may be willing to part with large sums of money in the future, it's hard to gain their trust during the early stages of a business. Pricing helps shape the perception of your product by consumers. Generally speaking, a low price can be associated with inferior quality; but a very high price will make the cost outweigh the benefit to be received, and will alienate the public. Pricing Marketing Mix Strategies When thinking about your pricing strategy, make sure you look at the numbers your competitors are running and act according to your goals. There are three main pricing strategies and they are: Market Penetration. Market. Neutral. Here are some of the important questions you should ask yourself when you're pricing your product: How much does it cost you to produce the product and get it into the hands of buyers? What is the perceived value for customers? Do you think slightly lowering your prices could increase your market share? Can the current price of the product keep up with that of your competitors? 3. Place or Location gambling email list Distribution or location is a fundamental part of the marketing mix, as it involves placing the product in a place that is accessible to potential buyers. This requires knowing the target market. How and where do they buy? Which distribution channels are most efficient for your product? Place or Location Marketing Mix Strategies Among the distribution strategies, we mention: Intensive distribution. Exclusive distribution. Selective distribution. Franchise. These are some of the questions you need to answer when developing your distribution strategy: Where do people look for your service or product? What type of stores do potential customers go to? Do they shop at a mall, a regular store, the supermarket, or online? How do they access distribution channels? How does your distribution strategy differ from that of your competitors? Do you need a strong sales force? Do you need an online store? 4. Promotion Promotion is a crucial component of the marketing mix, as it can increase brand recognition and sales. It includes elements such as sales organization, public relations and advertising. Advertising covers paid communication methods such as television, radio, print and online ads. Public relations, on the other hand, focuses on communications that are generally not paid for directly, but do involve investment, such as press releases, content marketing, exhibitions, sponsorships, seminars, conferences and events. Word of mouth is also part of product promotion. It is the way in which, informally,Satisfied customers and people in general talk about the benefits of your product. It is usually the result of an adequate marketing mix. Promotional Marketing Mix Strategies To create an effective product promotion strategy, you must answer the following questions: How can you send your brand messages to your potential buyers? When is the best time to promote your product? Through which media will you reach your potential audience? Could social networks help you promote your product? What is your competitors' promotional strategy? Your promotional strategy will also depend on your budget, the message you want to communicate and your target audience. Factors Involved in the Marketing Mix Not all products are the same, and each one has specificities that must be considered when formulating a marketing mix strategy. For example, if it has special storage needs or requires intermediaries. Factors such as the warranty offered or customer service also intervene in the marketing mix. Both points can define your positioning. Additionally, your marketing planning should take into account that certain variables take longer than others to deliver results. For example, a change in prices may have a short-term impact, but an increase in prestige may take a few months.

It is important to understand the differences between the traditional 4 Ps and the extended 7 Ps of the marketing mix.

These are two frameworks that companies use to plan and execute their marketing strategies and reflect the evolution of markets, where there are increasingly more players and fewer borders.

Previously we explained the 4 Ps of the marketing mix: product, price, place and promotion.

On the other hand, the 7 Ps are a more comprehensive framework that includes these 4 Ps plus three additional elements to more comprehensively address the current marketing landscape. Namely:

People
Processes
Positioning
These additions provide a more holistic view of serving customer needs and recognize the importance of internal processes and the human factor in delivering satisfying customer experiences.

Although the 4 Ps are the starting point of the marketing mix, as companies organize and grow they need to develop more comprehensively. This is when the 7 Ps give them a better chance of becoming a benchmark in a competitive niche.

For example: a company could use the process element (included in the 7 Ps) to optimize its ordering system and become more efficient, since the 4 Ps alone do not allow it to compete adequately in its field.

The New 4 P's of the Marketing Mix
With the digital revolution, it is no mistake to think that traditional concepts also need to change. The means to reach your audiences are multiplying: social networks, email, actions on mobile devices or search engines, etc.

In this media context enriched by digital media, the 4 P model of the marketing mix leaves aside the prominence that had always been given to the product to focus more on people and relationships.

Now, we can define the new 4 P's like this:

Personalization
Stake
Peer to peer
Modeled predictions
5. Personalization
It refers to the creation of products adapted and designed based on the particular needs of the consumer.

Personalization relates to the segmentation of our online experiences, making them as specific as possible for each segment or niche defined in marketing mix strategies.

6. Participation
This P is based on creating and nurturing a community. The core of this element is value creation, and there's nothing like a close relationship with your customer to let them tell you, themselves, what they want.

Some brands have been able to take advantage of participation and have obtained the collaboration of consumers to create their products. An example of this is what Starbucks has done with its coffees created by the consumer.

Participation, on the other hand, involves integrating the consumer into your promotional strategies. For example, when you provide content that is so relevant that people feel the desire to share it, thus expanding the reach of your promotional messages.

Boosting engagement on social media creates fans and potential promoters of your brand, increasing loyalty and audience impact.