Marketing mix: learn the 4P's of marketing and their applications to business
Posted: Wed Jan 22, 2025 10:48 am
The concept was created by Professor Jerome McCarthy and spread by Philip Kotler .
Anyone who has already studied the subject has probably spent a portion of their time remembering and having on the tip of their tongue the meaning of the marketing mix, made up of the 4 P's:
product;
price ;
square and
promotion.
Or in English: Product, Price, Placement, Promotion.
Only we are not here to present you with a fact that any person, on the advertising database Internet search engines , can answer without much effort.
In truth, the goal is a little more daring, but more relevant to our readers.
We want you to understand the concept behind these four words and the universe they are part of.
And of course, its immeasurable importance for a brand to establish itself and remain firm and strong in the market, even in the face of crises and insecurities.
Therefore, we are going to fill this article with clear examples and objective explanations to help you understand what the 4Ps of marketing are, separately and together, and how to use this tool to your advantage.
Check out also our complete guide on Marketing Mix and its applications in business !
First of all: what is Marketing?
English terms often catch us off guard, even those with considerable knowledge of the language.
Marketing comes from the word market, which can be translated as market, or “to market”, from the verb to market. The “-ing” is the suffix that can be used to present an action that is happening at this moment.
So, if we take this construction as a hook for the formation of the word, we have marketing as “the action of marketing now.”
However, as much as this definition may help to translate the word, this is just the tip of the iceberg when we think about what that action actually is.
Marketing is adding all the functions that make a product or service offered by a company, able to be purchased by the consumer.
And that is where the marketing mix, also known as the 4 P's of Marketing or Marketing Mix, comes into play.
Before we continue, I want to inform you that our complete Marketing guide has just come out of the oven, in which you will be able to learn in detail all the concepts related to the subject. Download it for free while you read this article!
What is the marketing mix or 4P's of marketing?
The marketing mix, also called the 4Ps of marketing , represents the four basic pillars of any marketing strategy: Product , Price , Place and Promotion . When the 4 are in balance, they tend to influence and win over the public.
But, except for the variations in nomenclature, the central core remains unchanged: the 4Ps of marketing are the basic pillars of any and all strategies.
In essence, what does it mean to be successful in business?
Sell.
But to do that, you need to build a brand . And this means much more than just opening a sales channel and displaying merchandise. You need to design and build your brand on more than one pillar.
Do you want a well-known example in Brazil?
Havaianas. A simple rubber sandal.
Just over 20 years ago, it was one of the simplest and cheapest, sold in markets and aimed at a public with low purchasing power.
Who has never heard that “Havaianas were bricklayer's flip-flops ”?
But in 1994, the company launched Havaianas TOP. Instead of the classic white soles and blue or black straps, the new line came in bright colors and had a slightly higher heel.
Following a long-awaited campaign with original and humorous advertising , they became an object of desire, even being more expensive than the old model.
The distribution also underwent a major change.
Colours, models and sizes were chosen according to the public in the area. They invested in a colourful and quality display, where the pair was placed, ready to be paraded on the feet of the clients.
The result was exponential growth , which even led the company to create an area specifically focused on foreign trade.
And today, the sandal continues to occupy the status of a typical Brazilian shoe, with various stores spread across the country.
What's more, around the world…
Now let's go back to our situation: it would not have been enough for Havaianas to simply create colorful sandals (Product) , with a new value table (Price), invest in a distribution and sales dynamic (Place) or make fun and colorful commercials (Promotion).
The success of this case is that it found the balance between these 4 sectors, working to strengthen the brand in front of a well-selected target audience.
And now that we can show and make understood how the set of the 4p's of marketing or marketing mix works, it is time to understand what the role of each of them is.
Come on?
1. P for Product
A company needs to offer something.
The Product here must also encompass services offered by a business.
But this is not the main focus of this pillar.
The Product serves as a way for your team to understand and define the attributes and characteristics of what is being offered. To help you gain insight into your product , answer the following questions:
What are the needs and/or desires that your product/service must satisfy for your customers?
What are the functions you need to develop to get them what they need?
How, when and where will the customer use it?
What does he look like physically?
What is your name?
What is the brand?
How does it differ from other products and services already on the market?
This is also the time to understand the life cycle of a product or service.
How does this behave in the market? To understand this, how about using the cycle of a tree in nature as a basis:
a seed is planted (introduction);
germinate (growth);
begins to produce leaves and branches, in addition to strengthening its roots (maturity);
and then it begins to shrink and eventually dies (decline).
Once you can visualize your product's life cycle, it will be easier for you to understand what your current situation is and, with that, be able to choose the best strategies for the future.
2. P for Price
The survival of a company is closely linked to this P.
Price is, in fact, the amount that will be charged for the solution you offer to your customers .
This pillar will indicate the future of your company , since it is through the circulation of money that it will be possible to pay employees, suppliers, make investments and get your well-deserved profit.
Some questions need to be answered:
What is the value of your product or service to the buyer?
What are the price ranges for products and services in each distribution area?
What is customer behavior in relation to price?
How much are you willing to pay for what you offer? What is the price limit?
Is there a need to create specific pricing actions for audience segments (legal entities, loyal customers)?
How does your price compare to the competition?
3. P for Plaza
Some people have doubts about this pillar. In truth, perhaps the name is not very clear.
In English, Plaza is Placement , which, in a free translation for our area, can be understood as Placement in the market.
The point is that this is the one responsible, specifically, for how the customer reaches you, your products and services.
In our Havaianas example, these are the distribution channels.
The questions to help you define the position in the best possible way are:
Where does your audience usually search for your products and services?
In the case of physical establishments (point of sale), what are the specific types?
In the case of virtual and online establishments, which ones ( e-commerce , catalog, social networks )?
How can your company access the best and most effective distribution channels?
These answers, along with the study of other pillars, will help you define where and how your company should be accessible to consumers.
Sometimes we think that this part is less complicated, mainly because of the ease of setting up a virtual store.
But it is necessary to understand that it is useless to have a nice window display if there is no public in front of it or, even worse, if that public is not the one that actually makes the purchases.
The Ultimate Guide to Content Creation for B2B Companies
4. P for Promotion
Promotion here is different from the idea of clearance sales and deals we see in so many malls.
Promotion is actually about promoting your brand and solutions, getting your brand's marketing message in front of the right ears.
Transform your company from a mere unknown into a possible solution to a client's needs and desires.
When and where can you effectively deliver your marketing messages about your business to your target audience?
What are the best channels (TV, radio, internet, print) and public relations actions to present your solutions to your potential customers?
Is your market seasonal (Easter eggs, Christmas trees)? What, then, should be the calendar to take advantage of opportunities and increase sales and promotions? And
How does your competition promote their products and services? What influence do they have on your actions?
These are some of the questions that will help your team direct their efforts more effectively to ensure that they understand what you have to offer and consider it in their purchasing decision.
Anyone who has already studied the subject has probably spent a portion of their time remembering and having on the tip of their tongue the meaning of the marketing mix, made up of the 4 P's:
product;
price ;
square and
promotion.
Or in English: Product, Price, Placement, Promotion.
Only we are not here to present you with a fact that any person, on the advertising database Internet search engines , can answer without much effort.
In truth, the goal is a little more daring, but more relevant to our readers.
We want you to understand the concept behind these four words and the universe they are part of.
And of course, its immeasurable importance for a brand to establish itself and remain firm and strong in the market, even in the face of crises and insecurities.
Therefore, we are going to fill this article with clear examples and objective explanations to help you understand what the 4Ps of marketing are, separately and together, and how to use this tool to your advantage.
Check out also our complete guide on Marketing Mix and its applications in business !
First of all: what is Marketing?
English terms often catch us off guard, even those with considerable knowledge of the language.
Marketing comes from the word market, which can be translated as market, or “to market”, from the verb to market. The “-ing” is the suffix that can be used to present an action that is happening at this moment.
So, if we take this construction as a hook for the formation of the word, we have marketing as “the action of marketing now.”
However, as much as this definition may help to translate the word, this is just the tip of the iceberg when we think about what that action actually is.
Marketing is adding all the functions that make a product or service offered by a company, able to be purchased by the consumer.
And that is where the marketing mix, also known as the 4 P's of Marketing or Marketing Mix, comes into play.
Before we continue, I want to inform you that our complete Marketing guide has just come out of the oven, in which you will be able to learn in detail all the concepts related to the subject. Download it for free while you read this article!
What is the marketing mix or 4P's of marketing?
The marketing mix, also called the 4Ps of marketing , represents the four basic pillars of any marketing strategy: Product , Price , Place and Promotion . When the 4 are in balance, they tend to influence and win over the public.
But, except for the variations in nomenclature, the central core remains unchanged: the 4Ps of marketing are the basic pillars of any and all strategies.
In essence, what does it mean to be successful in business?
Sell.
But to do that, you need to build a brand . And this means much more than just opening a sales channel and displaying merchandise. You need to design and build your brand on more than one pillar.
Do you want a well-known example in Brazil?
Havaianas. A simple rubber sandal.
Just over 20 years ago, it was one of the simplest and cheapest, sold in markets and aimed at a public with low purchasing power.
Who has never heard that “Havaianas were bricklayer's flip-flops ”?
But in 1994, the company launched Havaianas TOP. Instead of the classic white soles and blue or black straps, the new line came in bright colors and had a slightly higher heel.
Following a long-awaited campaign with original and humorous advertising , they became an object of desire, even being more expensive than the old model.
The distribution also underwent a major change.
Colours, models and sizes were chosen according to the public in the area. They invested in a colourful and quality display, where the pair was placed, ready to be paraded on the feet of the clients.
The result was exponential growth , which even led the company to create an area specifically focused on foreign trade.
And today, the sandal continues to occupy the status of a typical Brazilian shoe, with various stores spread across the country.
What's more, around the world…
Now let's go back to our situation: it would not have been enough for Havaianas to simply create colorful sandals (Product) , with a new value table (Price), invest in a distribution and sales dynamic (Place) or make fun and colorful commercials (Promotion).
The success of this case is that it found the balance between these 4 sectors, working to strengthen the brand in front of a well-selected target audience.
And now that we can show and make understood how the set of the 4p's of marketing or marketing mix works, it is time to understand what the role of each of them is.
Come on?
1. P for Product
A company needs to offer something.
The Product here must also encompass services offered by a business.
But this is not the main focus of this pillar.
The Product serves as a way for your team to understand and define the attributes and characteristics of what is being offered. To help you gain insight into your product , answer the following questions:
What are the needs and/or desires that your product/service must satisfy for your customers?
What are the functions you need to develop to get them what they need?
How, when and where will the customer use it?
What does he look like physically?
What is your name?
What is the brand?
How does it differ from other products and services already on the market?
This is also the time to understand the life cycle of a product or service.
How does this behave in the market? To understand this, how about using the cycle of a tree in nature as a basis:
a seed is planted (introduction);
germinate (growth);
begins to produce leaves and branches, in addition to strengthening its roots (maturity);
and then it begins to shrink and eventually dies (decline).
Once you can visualize your product's life cycle, it will be easier for you to understand what your current situation is and, with that, be able to choose the best strategies for the future.
2. P for Price
The survival of a company is closely linked to this P.
Price is, in fact, the amount that will be charged for the solution you offer to your customers .
This pillar will indicate the future of your company , since it is through the circulation of money that it will be possible to pay employees, suppliers, make investments and get your well-deserved profit.
Some questions need to be answered:
What is the value of your product or service to the buyer?
What are the price ranges for products and services in each distribution area?
What is customer behavior in relation to price?
How much are you willing to pay for what you offer? What is the price limit?
Is there a need to create specific pricing actions for audience segments (legal entities, loyal customers)?
How does your price compare to the competition?
3. P for Plaza
Some people have doubts about this pillar. In truth, perhaps the name is not very clear.
In English, Plaza is Placement , which, in a free translation for our area, can be understood as Placement in the market.
The point is that this is the one responsible, specifically, for how the customer reaches you, your products and services.
In our Havaianas example, these are the distribution channels.
The questions to help you define the position in the best possible way are:
Where does your audience usually search for your products and services?
In the case of physical establishments (point of sale), what are the specific types?
In the case of virtual and online establishments, which ones ( e-commerce , catalog, social networks )?
How can your company access the best and most effective distribution channels?
These answers, along with the study of other pillars, will help you define where and how your company should be accessible to consumers.
Sometimes we think that this part is less complicated, mainly because of the ease of setting up a virtual store.
But it is necessary to understand that it is useless to have a nice window display if there is no public in front of it or, even worse, if that public is not the one that actually makes the purchases.
The Ultimate Guide to Content Creation for B2B Companies
4. P for Promotion
Promotion here is different from the idea of clearance sales and deals we see in so many malls.
Promotion is actually about promoting your brand and solutions, getting your brand's marketing message in front of the right ears.
Transform your company from a mere unknown into a possible solution to a client's needs and desires.
When and where can you effectively deliver your marketing messages about your business to your target audience?
What are the best channels (TV, radio, internet, print) and public relations actions to present your solutions to your potential customers?
Is your market seasonal (Easter eggs, Christmas trees)? What, then, should be the calendar to take advantage of opportunities and increase sales and promotions? And
How does your competition promote their products and services? What influence do they have on your actions?
These are some of the questions that will help your team direct their efforts more effectively to ensure that they understand what you have to offer and consider it in their purchasing decision.