How Marketing has transcended the “4 Ps” concept in many ways
PART ONE: A retrospective look at the Four Ps
Years ago, Philip Kotler, PhD., wrote the seminal book on Marketing that has been used in colleges and business schools across the country. “Marketing Management” was my first introduction to Marketing at Rutgers Business School.
In it Dr. Kotler outlined the major foundational elements of marketing with the “4 Ps.” They consisted of:
They, of course, still remain the pillars of Marketing in a global business economy. However, I believe that as the world economy changes and new business challenges emerge there are at least three more elements we need to look at:
- Process & People
Let’s take a look at these individually.
Millions of products have existed since the dawn of time across every civilization. Today, products can range from highly technical products for business-to-business (B2B) environments to almost anything for consumer (B2C) products. Who could have predicted the age of infomercials sixty or seventy years ago?
To have a successful product, you need to either answer the need of a prospect/customer or create a need that the prospect/customer has not seen but would be interested in.
Remember a true Sales Lead consist of the following:
- Prospect has a problem
- Prospect has shared the problem and has the desire to solve it
- Prospect has a budget to solve the problem
- You have a product to solve their problem
- Customer’s wants and needs
- Cost to satisfy the customer
Some interesting context…
“Marketing has changed. We’re in the age of one-to-one marketing, where the customer actually has a role in shaping the messaging for your brand. Social Media – blogs, Twitter, Facebook, wikis, user-generated tools – have given her all she needs to effect whether your products and services do well in the marketplace. Long gone are the 4Ps of marketing, these are the days of the 4Cs, a customer centric approach that includes the customer’s wants and needs; the cost to satisfy the customer; the convenience; and communication.”
Some great points but I still think the 4Ps and the others I intend to point out are very relevant.
In today’s market, it is essential to do some market research on who your target market is before considering price points. Look for analysts’ reports that might be available on pricing. Don’t be afraid to reach out to executives via LinkedIn for discussions on pricing and market conditions. You might be surprised at what you could find out. It gets harder if you have a new product entering a market where there are no competitive price points.
If you are creating a product where there are competitors then you may be able to get competitive pricing from target market executives who already use an existing product. Believe me, I’ve seen it done. Face-to-face meetings with executives can bring a wealth of information.
Lastly, you should be pinging your sales teams – direct and indirect – for competitive pricing if you are creating a product that already has competition in the field.
There are so many ways to promote products today that you will need to determine which one makes sense for your product and company. That would include:
Search Engine Optimization (SEO) through Keywords, Search Engine Marketing (SEM), blogs, banner ads, Google ads, email, LinkedIn ads and targeted campaigns, print materials, YouTube, Twitter, SlideShare, Facebook, Instagram, and Google+.
This also goes back the previous comments on “The 4Cs.” The Internet has turned the world into a global market so be prepared to get up to speed on digital marketing. There are lots of digital marketing individuals, agencies, and groups who will do the nuts and bolts work for you. Remember though, outsourcing carries its’ own burden especially if you are thinking or using an international resource. Are they going to be in the same time zone as you? I once had to work with an agency from California while I was working in New Jersey. Their 9:00 AM was my Noon. Moreover, their 5:00 PM was my 8:00 PM. Think about it especially if you are working on a time sensitive project.
Again, there are many ways to promote products in today’s global and digital economy. Many could be a good thing or a risky thing if you have not fully thought out your promotion strategy. That would include online and offline. One of the top ways to promote a product is face-to-face at trade shows but it is very costly. That also depends on the product, market, and end-user customer. I have done many trade shows for a wide variety of products in both the B2B and B2C sectors. So, I saw the value of those face-to-face interactions.
Now, using the Internet there are opportunities for remote, virtual events where your team can participate. Presentations can be made to an online audience that can attract leads and interaction for your sales teams.
Regarding the previously mentioned online and offline options [see Place section], you will have to know what works best and what potential costs you will incur. One of the best sources for a breakdown of methods and costs comes from www.MarketingProfs.com Each year they publish their annual “B2B Content Marketing Report.” The report details Benchmarks, Budgets, and Trends in North America from over 1,000 executive respondents. So, it’s a great resource to find out the best tools and returns on effort.
Here are some interesting points on promoting your products from Mike Moran, a Digital and Social Media Consultant [https://MikeMoran.com]. Mike teaches both the Mini-MBA in Digital Marketing and Mini-MBA in Social Media Marketing at Rutgers University School of Business. I attended the inaugural class for the Mini-MBA in Digital Marketing in July 2010. I then introduced Mike Moran to the Rutgers programs.
Here is something that I believe is directly related to promotion that came from Mike Moran.
“The Three Rs Concept”
- Are you thinking about a new way to talk about your business?
- Would you show customer reviews on your website?
- Would you show competitive pricing?
- Personalize your offers
- Show demos on YouTube.com
- Does your customer service reach out to customers?
- How far does your customer service reach out?
- Are you helping customers even when they don’t expect it? (Pro-Active)
PART ONE of a Two-Part Series. Look for Part Two on Wednesday, October 11, 2017.
Part TWO: The New “P’s” for a Global Economy
Dominic J. Frúges
Dominic J. Frúges
Dominic J. Frúges is an experienced Product Marketer and Strategist across B2B, B2C, High Tech, and Services. He has worked on twelve product launches from inception to completion in both B2B and B2C industries. He also holds Scrum Product Owner Certified Credential from the Scrum Alliance. He has an MBA – Rutgers University, Mini-MBA in Digital Marketing – Rutgers University, and CloudMASTER® certification from NJIT University.
Cell & Primary: 732-684-4029