The Five P’s for Executing a Successful Marketing Plan
In the realm of marketing there’s a classic principle called the Four P’s. They forge together to develop the necessary components for executing a successful marketing campaign. But it seems that it’s necessary to add a fifth P, especially when we see the focus on deploying a customer-centric business model; which is people.
Quick History of the Marketing Mix + 4P’s
Also called the Marketing Mix, the 5 P’s of marketing (place, price, product, promotion and now people ) are the five pillars of a successful marketing strategy. Combined, they get your product or service in front of the right audience at the right time.
Originally known as The 4 P’s which was developed by Edmund Jerome McCarthy, a Notre Dame marketing professor. Rather than studying marketing from a functional standpoint, McCarthy’s approach focused on the challenges and problem-solving marketers faced.
It was a revolutionary concept starting in the Mad Men era. Instead of just defining what marketing was, McCarthy developed a model that classified the essential marketing activities into four dimensions. This format was able to have marketers improve best practices by incorporating sociology and psychology to gain insight into consumer behavior.
As a marketer, in order to be successful in the execution of your marketing campaigns and put your brand above other competitors, you need to have the perfect combination of supplying a desirable product or service, sold at an attractive price, positioned in the right location, using attention-grabbing and conversational promotional tactics. That is, the 5 P’s:
The Five P’s of Marketing
A product can be either a tangible good or an intangible service that fulfills the needs or desires of consumers. It is imperative for companies to determine which aspects of the product itself are important and will have an effect on customer’s perception (emotionally, physically, and mentally) and purchase intentions. The benefits offered by the product or services need to be understood by the consumer and the unique selling proposition of the product need to be studied. In addition, the potential buyers of the product need to be identified and understood.
Once an understanding of the product offering is established pricing decisions can come into effect. Price determinations impact profit margins, supply, demand, and overall marketing strategy. It is important for this to be linked to what the perceived value of the product is to the customer rather than an objective cost. Determining a pricing strategy is imperative to understand how a customer sees and can clearly differentiate your product from what other companies are selling.
As they say in marketing, it’s all about location, location, location. Place is a huge influence because consumers aren’t actively shopping for your product or service. When consumers want something, they are strongly influenced by what’s currently available to them. Getting the place and timing right is an essential part of success. The placement strategy will help assess what channel is the most suited to a product.
Promotion – Offline to Online
Once you’ve optimized the previous three Ps in your marketing plan, it’s time to promote your offer. Promotion includes elements like advertising, public relations, social media marketing, email marketing, search engine marketing, video marketing, and more. The best way to visualize how a customer interacts with a business is by mapping it. Most customer journey maps outline key events, customer motivations, and areas of friction within the user’s experience. Then, this information is combined into a comprehensive visual that describes an average experience with your business. Each touchpoint must be supported by properly positioning a brand to truly maximize return on investment. Developing a customer journey map is Brands should leverage channels such as;
The fifth P is perhaps the most important one is people. We all know that your customer is fundamental to your strategic success as a marketer. At the heart, everything you do and everything your organization does should be an all-encompassing consideration of your target audience to encompass customer needs and ensure customer satisfaction. But we also need to be aware that people don’t also mean “customer”. It includes staff, salespeople, customer service teams, and anyone involved in the marketing and sales processes. You want your employees to be effective and perceived positively by customers.
Clearly defining product, price, place, promotion, and people must be considered when developing a marketing strategy for any product, service, or brand. Balancing these five core elements in a marketing plan is critical to marketers working hard to compete in the marketplace and deliver on a customer-centric culture. Every aspect of your company should be aligned with the sole purpose of creating an optimal customer experience. When you do this for your customers, they will in turn champion your success