Product
The value of your product or service to the customer. This includes how well the product serves customer needs and customer perceptions of the product.A vehicle that is perceived as unusually safe.
A smartphone that is pleasing and productive to use.
A drill that has the features, performance and durability that carpenters and other tradespeople require.
A cosmetic product with few ingredients that is perceived as natural and healthy.
Price
Price is marketing gravity as customers will often chose the lowest price where they see no significant difference in quality. Even if you have a high quality product such as a luxury good, your price may dramatically influence sales volumes.A fast food restaurant that can offer low prices due to the economies of scale achieved by its business.
An ecommerce site that offers lower prices for food than a major competitor.
A luxury chocolatier that purposely sets prices at the high-end of the market with a policy of never offering sales or discounts of any kind.
The cheapest drill that has all the features and durability required by tradespeople such that it is regarded as the best value on the market.
Place
Being at the right time and place to win the customer.The only cafe on a popular beach.
A hobby shop in an obscure location such that only dedicated customers are likely to make the trip.
A small software company that secures a satellite office in a major banking district to be close to large customers and to have a high status address for business cards.
An ecommerce company with a large network of strategically located warehouses and customer service centers that allow it to offer faster delivery than most of the competition.
Promotion
The process of communicating your value to the customer.An ecommerce seller who secures digital ads on an ecommerce site for searches related to their products.
A fast moving consumer goods company that pursues large global ad campaigns each year using mass media to build and sustain close to universal brand recognition.
A nightclub in a small university town that hires a promotion manager who knows thousands of people who know hundreds of people. The manager is able to single-handedly fill the club by promoting through social media and word of mouth.
A cafe that offers small but useful discount coupons to every customer with every purchase such that repeat visits increase and the cafe acquires more and more regular customers.
People
Your employees and the social processes that surround your product such as word of mouth.An airline with unusually professional, patient, diligent and friendly staff.
A small software company with a head of sales who knows everyone in the industry such that they can regularly introduce high value opportunities and influence them to close.
A brand of snowboard bindings becomes popular amongst young freestyle snowboarders who have much influence on the culture surround the sport.
A cafe is able to retain a personable employee for the morning take-out rush for over a decade. This employee establishes rapport with customers and makes the morning coffee routine feel social and engaging. When the employee leaves, morning coffee sales go into a steep and prolonged decline.
Process
The processes that surround your products and services such as order fulfillment and customer service.A fast food restaurant with processes that ensure food is consistent from location to location and from day to day.
An ecommerce company that warns a customer that an order will be late and apologizes in advance.
An airline with rigorous maintenance processes that contribute to a reputation for safety.
Users commonly know that the search box on a social media site is terrible. This broken functionality harms the business year after year but the business has no customer advocacy process to turn customer feedback into improvements.
Physical Evidence
The physical realities of your product or service beyond the product itself.A hotel room that is far too hot for the average customer with insufficient ability to control the temperature.
An engagement ring that comes in beautiful and iconic packaging and ring box.
A boutique clothing shop carefully crafts every aesthetic element of the shop including obscure details such as mirrors that tend to create a positive reflection.
A jazz bar that serves every drink in expensive glasses that are correctly selected for the drink.
| Overview: Marketing Principles | ||
Type | ||
Definition | The foundational elements of the marketing mix that can be crafted and controlled to improve value creation, delivery and capture. | |
Also Known As | 7psMarketing Mix | |
Related Concepts | ||
