4 P’S MARKETING MIX                                                                                              EXISTING          IN PROGRESS
                    T
                    C                                                                                                      Discounts                  P
                    U                Features                   Quality                                                                               R
                    D                                                                          Payment terms                                          I
                    O                                                                                                                                 C
                    R                                                                                                                                 E
                    P                          Packaging                                                                Allowances
                                                                                                                                                      P
                                                                                                                                                      R
                    E                                      Inventory                                                                                  O
                    C                                                                          Public relations         Direct marketing              M
                    A          Transportation                                                                                                         O
                    L                                                                                                                                 T
                    P                                                                                                                                 I
                                                    Market coverage                                         Advertising                               O
                                                                                                                                                      N
                                                                                                                     7 P’S MARKETING MIX                                                                                                                                     04 PROD-
                                                                                                                                                                                                                                                                                           UCT
                                                                                                                                                                                                                                                                                           •    Design
                                                                                                                                                                                                                                                                                           •    Technology
                    01 PLACE                                                                                                                                                                                                                                                               •    Usefulness
                                                                                                                                                                                                                                                                                           •    Convenience
                                  •    Retail                                                                                                                                                                                                                                              •    Warranties
                                  •    Wholesale
                                  •    Mail Order                                                                                                                    Place                                                                                                   05 PEOPLE
                                  •    Internet
                                  •    Direct Sales                                                                                                                                                                                                                                        •    Employees
                                                                                                                            Physical                                                                                                                                                       •    Management
                    02 PRICE                                                                                                     Evi-                                                                       Price                                                                          •    Culture
                                                                                                                               dence                                                                                                                                                       •    Customer Service
                                  •    Skimming                                                                                                                                                                                                                                            •    Personnel
                                  •    Penetration
                                  •    Psychological                                                                                                                                                                                                                         06 PROCESS
                                  •    Cost-Plus                                                                                                                  TARGET 
                                  •    Loss leader,                                                                                                                                                                                                                                        •    Especially relevant to ser-
                                       etc.                                                                                                                       MARKET                                           Promo-                                                                       vice industries
                                                                                                                   Process
                    03 PROMOTION                                                                                                                                                                                       tion                                                                •    How are services con-
                                                                                                                                                                                                                                                                                                sumed?
                                  •    Special Offers                                                                                                                                                                                                                                      •    Performance & analytics
                                  •    Advertising                                                                                                                                                                                                                                         •    Validation
                                  •    Endorsement                                                                                                                                                                                                                           07 PHYSICAL EVI-
                                  •    User Trials                                                                                                                                                                                                                                         DENCE
                                  •    Leaflets/poster                                                                                         People                                    Product                                                                                           •    Interface
                                       s                                                                                                                                                                                                                                                   •    Comfort
                                                                                                                                                                                                                                                                                           •    Facilities
                                                                                                                                                                                                                                                                                           •    Foot traffic
                                                                                                                                                                                                                                                                                           •    Store lines
                                                                8P’S MARKETING MIX
                                              PERFORMANCE                                                                 PRODUCT
             How well the service competes in the marketplace, in-                                                        Includes design, packaging, usability, 
                  cluding measuring the company’s financial goals                          CE     P                       quality, features, colors and size op-
                                                                                          NNN     P
                                                                                         N         R
                                                                                        OOO        E
                                                                                        A
                                                                                      TTTIII         OO                   tions
                                                                                     M                 P
                                                                                                       D
                                                                                    OOO                 L
                                                                                    R                    U
                                                                                  O                       E
                                                                                  MMM                     C
                                                                                F                           T
                                                                                OOO
                                                                               R
                                                                              RRR
                                                                             E
                                                                             PPP
                                                                            P
                                                                                                              E P
                                             PROCESS                     S                                    V  H P              PRICE
                                                                         S                                        Y
                                                                        E                                      I    R
                                                                        E                                      D  S
                                                                       C                                             I
                      Activities and actions involved in de-           C                                           I              Depends on packing, discounts, timing, lo-
                                                                       A                                        E   C C
                                                                      O                                          N    E
                                                                      L                                             A
                      livery of the product to the customer           R                                           C               cation, shipping and other offer elements
                                                                      P                                              L
                                                                     P                                            E
                                                                                  TARGET CLIENT
                               PHYSICAL EVIDENCE                                                                                  PLACE
             Environment in which service occurs and cus-                                                                         Includes retail, wholesale, internet, 
                     tomers and service personnel interact                                                                        phone and other multi-channel op-
                                                                                                                                  tions
                                                        PEOPLE                                                            PROMOTION
                                Includes employees, customer ser-                                                         Advertising, communications, messaging 
                                 vice, and everyone with customer                                                         and content to persuade the customers to 
                                                          contact                                                         buy
                                                                            PROMOTION 
                                                                            MIX
                                                                               MASS OR CUSTOMIZED                                               PAYMENT                                           STRENGTHS                                           WEAKNESSES
                                                                                                                                                                                                                                           •   High absolute costs
                                                                                                                                                                                      •   Efficient means for reaching 
                                   Advertising                                                    Mass                           Fees paid for space or time                                                                               •   Difficult to receive good 
                                                                                                                                                                                          large numbers of people
                                                                                                                                                                                                                                               feedback
                                                                                                                                                                                      •   Immediate feedback                               •   Extremely expensive per 
                                   Personal selling                                                                              Fees paid to salespeople as                          •   Very persuasive                                      exposure
                                                                                             Customized
                                                                                                                                 either salaries or commissions                       •   Can select audience                              •   Messages may differ between 
                                                                                                                                                                                      •   Can give complex information                         salespeople
                                                                                                                                                                                      •   Often most credible source in                    •   Difficult to get media 
                                   Public relations                                               Mass                           No direct payment to media
                                                                                                                                                                                          the consumer’s mind                                  cooperation
                                                                                                                                                                                      •   Effective at changing behavior                   •   Easily abused
                                                                                                                                 Wide range of fees paid, 
                                   Sales promotions                                               Mass                                                                                    in short run                                     •   Can lead to promotion wars
                                                                                                                                 depending on promotion selected
                                                                                                                                                                                      •   Very Flexible                                    •   Easily duplicated
                                                                                                                                                                                      •   Messages quick to prepare                        •   Declining customer response
                                   Direct marketing                                                                              Cost of communication through 
                                                                                             Customized                                                                               •   Facilitates relationship with                    •   Database management is 
                                                                                                                                 mail, telephone, or computer
                                                                                                                                                                                          customers                                            expensive
                                                                             PRODUCT LEVELS
                                                        PRODUCT
                                                                                     POTENTIAL 
                                                                                     PRODUCT
                                                                                     This provides additional tangible and intangible features
                                                                                     AUGMENTED PROD-
                                                                                     UCT
                                                                                     Goes beyond physical product and sets it apart from competitors
                                                                                     EXPECTED PRODUCT
                                                                                     This offers generic product plus other attributes consumer 
                                                                                     wants.
                                Potential Product
                               Augmented Product                                     GENERIC PRODUCT
                               Expected Product                                      This provides actual product with tangible qualities
                               Core Product
                                Generic Product
                                                                                     CORE PRODUCT
                                                                                     This fulfills basic benefits consumers 
                                                                                     want