Marketing: The 7 P's

• The marketing mix refers to the actions a company uses to promote its brand or product in the market
• It is a marketing strategy tool, traditionally limited to the core 4Ps: Product, Price, Place, and Promotion
• To appeal to customers, organizations must align the 7Ps effectively
• The 7Ps are all elements that must focus on the target market
• They create value by satisfying customer needs and wants

The 7 P's

• Describe Product, Price, Place, Promotion, People, Process, and Physical Evidence of Marketing
• Product can be a physical object, a service, a place, an organization, or even a personality
• Price is the amount that a marketer charges for a product or service
• Place is the process of moving products from the producer to the intended user
• Promotion is activities intended to boost sales of a product or service
• People includes everyone involved in the product or service, directly or indirectly
• Physical evidence refers to everything customers see when interacting with a business
• Process is the flow of activities or mechanism that takes place when there is an interaction between the customers & businesses

The 4Ps vs The 7Ps

• The 4Ps were designed when businesses were more likely to sell products than services, and customer service wasn't well-known
• Booms and Pitner added Participants, Physical evidence and Processes and Participants was renamed People

Product

• It is anything offered for sale by a firm to buyers to satisfy their wants and needs
• A product can be a physical object, a service, a place, an organization, or a personality
• To maintain buyers' interest, physical products often require quality, reputation of the manufacturer, packaging, credit, warranty, etc
• A product is anything offered for sale by a firm to buyers to satisfy their physical, social, symbolic, and psychological wants and needs
• Raw materials are unprocessed goods that become part of another product
• Raw materials are of two types: farm products and natural products

Packaging & Labeling

• Packaging refers to all activities involved in designing and producing the container or wrapper for a product
• The primary package is the product's immediate container
• The secondary package protects the primary package
• The shipping package contains the secondary package(s), and must provide ease of storage, identification, and shipping
• Labeling is the part of the product which provides information about the product and the manufacturer
• Product labels play a vital role in a product's marketing
• Labels can also persuade them to purchase the product and are called a "silent salesman"

Price

• It is the second variable in the marketing mix
• The price is a vital decision that can make or break success
• A firm's sales and profit goals will be achieved if set correctly
• Customers have prices that they would be willing to pay
• Pricing objectives may consist of, profit-oriented objectives, sales-oriented objectives & status quo-oriented objectives

Place

• It is the process of moving products from the producer to the intended user
• It's how the product is bought and where it is bought
• Consists of distributors, wholesalers and retailers
• The product should be distributed and made conveniently available for the consumer at the right location at the right time

Promotion

• It is a series of intended activities to boost the sales of a product or service, usually short-term
• It covers advertising, sales promotions, personal selling, public relations strategies
• These are the most direct communication elements available to a marketer
• Advertising may be defined as any paid form of non-personal presentation and promotion of ideas, goods, or services, by an identified sponsor
  • The objectives of advertising are to build awareness, to inform, to persuade & to remind
• Brand Awareness is the extent to which consumers are familiar with the qualities or image of a product
  • Achieving a high level has the following advantages: learning, consideration & choice
• Personal Selling occurs when an individual salesperson sells a product, service, or solution to a client
• Public Relations is designed to favorably influence attitudes toward an organization, its products, and its policies

People

• It includes everyone involved in the product or service whether directly or indirectly
• People are the essential element of the marketing mix
• Services tend to be produced and consumed at the same moment
• People must buy from people that they like, so the attitude, skills and appearance of all staff need to be first class

Physical Evidence

• Everything your customers see when interacting with your business
• Includes the location and environment where the customer purchases and/or consumes the product
• Exists where the company and customer interact in the exchange of the product
• The physical environment where you provide the product or service, the layout or interior design, and the layout of the company website

Process

• It is the flow of activities or mechanism that take place when there is in an interaction between the customers and the businesses
• Also refers to processes involved in delivering products and services to the customer
• Having a good process in place ensures that customers repeatedly receive the same standard of service

Group Activity: Quick Marketing Mix Skit

• Objective: To understand and apply the 7Ps of the Marketing Mix
• Instructions:
  • Divide the students into groups of 4-5 members
  • Each group is given a hypothetical product/service
  • Use the product/service to create a 3-minute skit that showcases the 7Ps
  • Each group will perform in front of the class to demonstrate the 7Ps
• Rubrics:
  • Product, Price, Place, Promotion, People, Process, Physical Evidence (5 points each)
  • Time management (5 points)
  • The skit should be engaging, creative, and effectively demonstrate the 7Ps

Evaluation Test - Identify the Marketing Mix

• Refers to the flow of activities or mechanism that takes place when there is an interaction between the customers and the businesses - Process
• An activity to boost sales, usually short-term - Promotion
• Trade channels - Place
• Quality and availability - Product
• Online experience - Physical Evidence
• Steps to take membership in streaming services - Process
• The container for a product - Packaging
• Anything offered for sale to satisfy wants and needs - Product
• A personality like Piolo — People
• The amount charged for a product — Price