Marketing has changed a lot in the digital age, however the 4P’s remain an integral part of any marketing strategy. Let’s take a look at what they are and how they link to digital marketing.
Product
A product is basically something (pretty much anything, it does not need to be a physical object) that meets existing demand or creates new demand. Since the product has a demand, it can be exchanged for a price.
All aspects of a product – from creating and manufacturing to packaging is important and forms part of the marketing strategy. After all, key points of differentiation are found not only in the final product itself.
Managing a product does not end once it’s in the market, and it is necessary to follow it through the Product Life Cycle: introduction (launch), growth, maturity, and eventually decline.
The internet has created a new marketplace for innovative product offerings we previously might not have imagined, from analytics software to online classes. Digital marketing applies to products and services that exist both online and offline.
Price
We’re all familiar with price. It’s the amount of money charged for a product. However, a pricing strategy also includes discounts and seasonal price changes within an overall brand positioning.
Of course, pricing varies hugely by industry and brands. Carefully consider your product and competitors when positioning a product.
Unlike a price tag on an item in a store, digital marketing allows pricing to be highly sensitive and reactive based on recorded behavior online.
For example, on e-commerce sites, discount codes are sometimes immediately emailed to those who exit on the final check-out page without purchasing. Thus, incentivizing purchase with a lower price point. This is difficult to recreate in brick and mortar stores, after all, it would be bizarre for a salesperson to chase after you if you decided to leave your cart.
Place
This P focuses on where the product is sold, including everything from global regions to a particular aisle in a specific store.
Place can also refer to where a product is featured – namely product placements. This coincides with Promotion.
So Place may seem to apply mainly to brick and mortar shops which use displays but is actually equally important in e-commerce. In this context, think about where the product is found on the site, what images are used, and the overall look of the website. These factors all play equally big roles in creating an impression on the customer.
Brands are increasingly concerned with building a seamless experience from online to offline and vice versa. For example, online shopping with in-store pick up is one-way businesses are increasing convenience for customers. Some stores work in reverse and have limited pieces in-store for fitting before encouraging e-commerce and delivery.
Promotion
Promotion is what is most frequently associated with marketing. Though we know that it’s just one factor, it is still an important one. Promotion is the advertising aspect – deciding what messages you are constructing for audiences and potential customers.
Traditionally, we have found ads on TV, radio, and print (newspapers, magazines, billboards, and direct mail).
Though traditional ads are still used today, digital marketing opens up many more avenues. We have the opportunity to explore social media, partner with affiliates, and use Search Engine Optimization – just to name a few.
Digital marketing focuses largely on creating content as well as targeting the right consumer and at the right time. Something traditional ads can’t really do due to the slower response time.
Find out more about the different aspects of digital marketing.