Elements of the marketing mix are often referred to as 'the four Ps':
- Product - A tangible object or an intangible service that is mass produced or manufactured on a large scale with a specific volume of units. Intangible products are service based like the tourism industry & the hotel industry or codes-based products like cellphone load and credits. Typical examples of a mass produced tangible object are the motor car and the disposable razor. A less obvious but ubiquitous mass produced service is a computer operating system. Packaging also needs to be taken into consideration.
- Price – The price is the amount a customer pays for the product. It is determined by a number of factors including market share, competition, material costs, product identity and the customer's perceived value of the product. The business may increase or decrease the price of product if other stores have the same product.
- Place – Place represents the location where a product can be purchased. It is often referred to as the distribution channel. It can include any physical store as well as virtual stores on the Internet.
- Promotion represents all of the communications that a marketer may use in the marketplace. Promotion has four distinct elements: advertising, public relations, word of mouth and point of sale. A certain amount of crossover occurs when promotion uses the four principal elements together, which is common in film promotion. Advertising covers any communication that is paid for, from cinema commercials, radio and Internet adverts through print media and billboards. Public relations are where the communication is not directly paid for and includes press releases, sponsorship deals, exhibitions, conferences, seminars or trade fairs and events. Word of mouth is any apparently informal communication about the product by ordinary individuals, satisfied customers or people specifically engaged to create word of mouth momentum. Sales staff often plays an important role in word of mouth and Public Relations (see Product above).
Today there are many approaches of Marketing mix enlargement. Just the 4 P can not describe all possibilities and needs, a company has to deal with when thinking about itself and the market. To fulfill all different point of views, markets and managerial studies, there are still more P relevant. Some of them are:
The four elements are:
- Commodity (Original meaning of Latin: Commodus=convenient) : the product for the consumers or citizens. Not product out.
- Cost (Original meaning of Latin: Constare= It makes sacrifices) : producing cost, selling cost, purchasing cost and social cost.
- Channel (Original meaning is a Canal) : Flow of commodity : marketing channels.
- Communication (Original meaning of Latin:Communio=sharing of meaning) : marketing communication : It doesn't promote the sales.
The Four Cs can be compared to the Four Ps. This system is basically the four Ps renamed and reworded to provide a customer focus. The four Cs Model provides a demand/customer centric version alternative to the well-known four Ps supply side model (product, price, place, promotion) of marketing management. This is a part of 7Cs Compass Model.