The 4 P’s of Marketing is a foundational model for any business or organization, but burgeoning entrepreneurs will find added value in this tool. The immense importance of the 4 P’s–Product, Price, Place, and Promotion–was outlined by MoreSALES’ President, Michael Jennings in a recent presentation to Young Innovative Professionals (YIP). For those of you who may have missed the presentation–or just want an opportunity to take some more notes–pay close attention, because utilizing this tool effectively can make or break your venture.
It all starts with an idea. In this case the idea is a product, which can be a service, a tool, or a revolutionary new technology. Regardless of what category your product falls into, it is absolutely necessary that you identify your Differentiator in this stage. How is your product different? Why should someone buy your product instead of a similar one? In other words, what is your Unique Selling Proposition (USP)? Being able to answer this is not only crucial for your target market, but for your organization as well, as it enables you to advance to the next P.
Is your product superior to a competitor’s? Or is it designed to be a budget-friendly alternative? Pricing your product is critical to its success, and can also dictate the public’s perception of your product or service. Mike Jennings’ choice example is Dollar Shave Club, as the company’s image was built around them offering competitive prices on high-end razors due to their direct-to-consumer model. The price of your product will play a large role in guiding your organization as it pertains to the last two P’s.
Are you selling your product or service to businesses or consumers? Understanding your product’s unique place will be a key factor in its success. If your target consumer is businesses (B2B) your product should be placed so that businesses will find it. If your product is being sold to customers (B2C), they should be able to find it easily and conveniently. Business is no longer limited to retail stores, and adapting to the new way people conduct business will increase your odds of success.
When you know your product inside and out, and understand it well enough to introduce it to the world, it’s time to promote. Your product’s price and place will act as guiding principles as you begin to promote, but creativity will propel your product forward. When promoting your product, it is important to ensure that your target consumer understands your product–and understands why your product is the superior one on the market. However, understanding why your product is superior is not enough, as the consumer should also remember your product. This is where creativity becomes your greatest asset. Be creative (or hire someone or a company that is) and ensure that your promotion has a lasting impact.
The Fifth P: Pivot
Just as a basketball player won’t charge toward the hoop in a straight line if they have three defenders in their way, a business must also pivot to succeed. The goal remains the same, but pivoting allows a business to change its path to success. Further, pivoting does not mean forgetting what your business stands for in order to succeed. In his presentation to YIP, Mike said it best: pivoting is about changing your angle of attack to overcome the competition. If this year has taught us anything, it is that adapting and evolving the way we conduct business is crucial. Therefore pivoting does not mean losing, but rather changing your direction to win.
MoreSALES understands the benefits of the 4 P’s of Marketing better than anyone, and our team is eager to guide your company–whether burgeoning or established–to success. Send us a message at firstname.lastname@example.org or give us a call at 1-519-620-8127 to see how we can make the 4 P’s work for you.