The Marketing Mix Recipe
The "marketing mix" or the "Marketing program" or "The four Ps", was gathered by E. Jerome McCarthy, an American marketing professor and author in his book: “Basic Marketing: A Managerial Approach” (1960)
The “Marketing mix” contains "Product", "Price", "Place" and "Promotion".
It might seem obvious but the first thing we need to figure out is what is our product or service, we want to offer and what differentiates us from other products in the same category.
It’s not enough just to create a chocolate bar because it seems like there are quite a few of them already. Instead, we should think about how can we make our chocolate bar different from the rest whether by adding some special new ingredients like a chocolate bar with M&Ms or chocolate bar with sweet corn.
The second thing we need to consider is the price.
This is actually the process of One of the biggest chocolate factory is called “Elite”.
“Elite” is very innovative and constantly trying to come up with new initiatives like a chocolate bar with M&Ms inside.
When they come up with an idea, like a chocolate bar with M&Ms for example, the first thing they figure out right after the concept idea is the price.
They try to figure out how much money will there target audience will be willing to pay for this specific chocolate bar with M&Ms.
Then they see if the making prices of this chocolate bar will be profitable enough and how expansive the making process of this bar. There are quite a few times in which ideas get off the table because the ingredients are simply too expensive.
Most chances are, people will not be willing to pay 45 bucks for a chocolate bar even if it’s with Brazilian special almonds or any other expensive magic powder.
I’m not saying the price is supposed to be low but the price has to be a right fit for the target audience.
If it’s a luxurious watch, for example, the price should defiantly be high because there are no luxury cheap watches, right?
The channels by which we are going to deliver our business and our marketing materials.
Is it going to be online or a physical retail store? What kind of environment our product will be exposed to?
Fast food restaurants like McDonald’s quite often use the place for their benefit.
McDonald’s usually try to find the best place for a billboard ad on the way in which people will drive back home and see a huge McDonald’s sign.
It could be very convenient to have dinner at McDonald’s on your way back home.
Promotion is actually an advertising strategy or marketing strategy for our business.
Is it going to be promoted by printing ads in a newspaper, a television ad or maybe even a physical salesperson that will go door-to-door and sell our products?
Times have changed dramatically since the days of the printing press and one channel TV but human beings still feel, think and operate the same way.
Even if we’re creating an online business or "Skype Calls Consultancy" agency, we still need to consider the same things.
What is our product or service or offering?
What is the price people will be willing to pay for it?
What place are they going to meet us?
And how will we promote it?