Marketing 4Ps Model

Marketing 4Ps Model

Marketing has largely been viewed as the “selling” and “advertising” of products or services (Perreault, 2016). Marketing encompasses much more than promotion. When companies market themselves or their products/services, it is not as simple as creating flashy signs or “product pushing; it is more calculated.” Four essential market components exist production, price, promotion and place. Each part is unique and valuable in marketing. The performance of activities that achieve a business’ goals through customer satisfaction is known as marketing (Perreault, 2016). Marketing can be done in both profitable and non-profitable sectors of business.

Production is the manufacturing of goods and performing services. Essentially, it explains how the product is created. An example of production is a car manufacturer. The parts are created and put together. Next, the parts are assembled and painted. Production is a critical marketing element because businesses must create products that will. Often businesses will survey or use past experiences to find out what they want in a particular product. In the example of the car manufacturer, the company knows that potential customers want reliable, luxurious cars. As a result, during production, the company decides which parts look or function better than others. Ronald Larson noted that Christmas tree marketing surveys were conducted to understand what people wanted when buying Christmas trees. Some wanted artificial over natural, tall versus short, wide versus narrow, dark versus light, etc. There were many factors to consider when it came to Christmas tree production.

Price is another element of marketing. Prices often determine whether a customer buys or leaves a product at the store. One aspect of price is consumer willingness to pay for goods and services. “Is it worth it?” is a”typical question” of a potential buyer. Quality is a factor that plays into pricing. Consumers are less likely to pay higher amounts if a good is of terrible quality. Also, product branding is another factor that determines the price. For example, if there are two identical shoes, one with a Nike logo and the other without, the shoes with the Nike logo will be more expensive than the shoes without the logo. A lot of companies use their brand as a way to increase the prices of their goods or services because of their reputation. Reputation is associated with the brand, and customers are willing to pay more to a company with a good reputation because they are confident in the product quality they receive. According to Larson, increases in price need to be made in small increments. Significant price changes can negatively affect sales. However, price reductions can be made in more noticeable increments. Customers feel they receive a good deal when price reductions are made this way.

Promotion is an activity that furthers a venture. There are many types of promotions, such as health, sales, discounts, and free items. These are all things businesses do to further their cause or company. A grocery store may run one or more promotions if it introduces a new juice. The store can use signs that read, “Try our new juice!” They may also use the “buy one, get one f” ee” tactic to increase “ales. Both are ways t”e company tries to advertise its product. Promotions are time-sensitive. Specific promotions work better than others, depending on the time. Larson focused on the sale of Christmas trees.

Attractive artwork was created to draw consumers’ attention to ads showing Christmas trees placed in the home. Selling Christmas trees during the Thanksgiving and Christmas holidays was more effective than selling them during Valentine’s and Memorial Day. Also, partnerships help promote businesses. If a hair salon partners with a local nail salon and agree to offer a discount to clients who visit the other shop allows cross-promotion. Those who would not otherwise be interested in that service may see the advertisement and use the service.

Product placement is another variable that plays into marketing. Geographic location is important because some products and services are not helpful everywhere. People that live in Nevada may not need skies and a winter coat. Companies have to be strategic in where locations are opened. Product placement also involves where a product is located in stores. Should the product be indoors or outdoors? Should this be placed on the end of an aisle? These are questions that are raised when it comes to sales and marketing. Firework tents and fruit stands are conveniently located near the beach because many people are willing to stop before or after their vacations.

The most important of the four is promotion. For me, promotion is the most critical component because I think it determines whether a product fails or succeeds. How it is advertised shows how well it does. If a company advertises with commercials, whereas another uses paper ads, the one that uses commercials will likely be more successful. Also, the fact that promotion is time sensitive makes it more important than the others. When products are advertised at certain times of the year, especially holidays, the product will sell better.

Four variables influence marketing: production, price, promotion, and placement. Marketing does not solely consist of selling products or services. There is a lot of planning and calculation that goes into effecting marketing. I find that promotion is the most important of the four.

References

Larson, R. B. (2004). Christmas tree marketing: Product, price, promotion, and place tactics. Journal of Forestry,102(4), 40.

Perreault, W. D., Cannon, J. P., & McCarthy, E. J. (n.d.). Essentials of marketing: A marketing strategy planning approach.

ORDER A PLAGIARISM-FREE PAPER HERE

We’ll write everything from scratch

Many people think of marketing as only promotion. However, marketing is much more. A common way of understanding the essentials of marketing is using the 4Ps  model—product, price, place, and promotion.

Marketing 4Ps Model

Analyze each of the 4Ps and explain how they create value for organizations. Remember, value creation is any activity or outcome that will add to the organization’s long-term success. It is more than simply economic value and includes enhancements such as customer goodwill, employee satisfaction, supplier networks, managerial skills and experience, and ethical or community factors. Creating value can include intangible and tangible assets, such as intellectual property and a business plan.

Justify which of the four functions (4Ps) provides the most value to the organization.