A pair of pale gray sneakers sits on a table next to an open laptop, a shipping box, and a few office supplies. In the background, slightly out of focus, a young man takes a picture of the shoes with his smart phone.
The first P is Product. Every company starts by determining what product (or service) it's going to sell. — Getty Images/miodrag ignjatovic

A well-rounded marketing strategy identifies a target audience, creates brand recognition, and helps your business continue to grow and acquire new customers. The seven Ps, also known as the marketing mix, is a strategy that’s been around for decades. Let’s look at how the seven Ps work and how you can apply them to your business.

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What are the 7 Ps of marketing?

The seven Ps of marketing are the fundamentals that make your marketing plan work. The framework originally had four Ps — product, place, price, and promotion — but was expanded in the late 1980s. Here are the seven Ps and how they fit into your marketing mix:

  • Product: Every business starts by attempting to create a product that provides value for customers and meets their expectations. A product doesn’t have to be a tangible item—it could also be a service.
  • Price: A product or service must be competitively priced but priced high enough that the company can earn a profit from it. The more you charge for a product or service, the more value your customers will expect to receive.
  • Place: This P refers to how your customers will buy your product. For example, will you set up a brick-and-mortar store or sell your items on an e-commerce website?
  • Promotion: Promotion is what most people think of when it comes to marketing—it’s how you’ll get your products or services in front of your target audience. You could promote your products through email, social media, or paid ads.
  • People: Everyone at your company who interacts with your customers will make an impact on how they view your products and services. That’s why recruiting and training your staff is so important.
  • Process: Your business processes are the road map for how you create, market, and distribute your products to customers. The right processes create a better experience for the customer.
  • Physical evidence: Physical evidence refers to other elements that customers encounter when interacting with your business. Things like your brand marketing, testimonials, and how friendly your staff is can reinforce how a customer perceives your business.

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The seven Ps of marketing are the fundamentals that make your marketing plan work.

How do they fit into a business’s marketing mix?

The seven Ps and the marketing mix can be used interchangeably—it’s the combination of strategies and tools a company uses to market its products or services. It’s the framework for how your company plans and executes its marketing strategy.

A crucial aspect of any good marketing mix is diversification—you can diversify your product offerings, marketing channels, and even the types of customers you’re trying to reach. Diversification protects your business from risk and helps it become stronger and more adaptable. For example, if one product stops selling as well, you can more easily pivot to focus on other product offerings.

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Marketing mix example

To understand how the marketing mix works, let’s look at the global coffee chain Starbucks. Here’s how Starbucks uses the seven Ps:

  • Product: Starbucks is known for its coffee beverages but also sells tea, pastries, and sandwiches. The company puts an emphasis on high-quality ingredients and sustainable sourcing.
  • Price: Starbucks charges higher prices, which reflects its premium brand, but it also gives customers an opportunity to earn rewards and promotions through its app.
  • Place: Starbucks has over 40,000 stores worldwide and offers online ordering through its app.
  • Promotion: Starbucks is very well-known and can rely on a certain amount of word-of-mouth marketing. The company also focuses on building its brand through its social media, loyalty program, and online campaigns.
  • People: The company focuses on providing quality customer service through its baristas and customer support staff.
  • Process: Starbucks has a standardized process for making drinks to ensure each customer has a good experience.
  • Physical evidence: Starbucks offers more than just coffee—it provides an experience each time you step into one of its stores.

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CO— aims to bring you inspiration from leading respected experts. However, before making any business decision, you should consult a professional who can advise you based on your individual situation.

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