The 4 Ps comprise what’s known as the marketing mix. These components are the building blocks of marketing. They are PRODUCT, PRICE, PLACE, and PROMOTION.
One of the easiest examples of how these work together is in real estate sales. When a real estate agent signs with someone who wants to sell a house, the agent naturally considers all of the Ps and how they work together.
4 Ps In Action
If you watch any of the real estate sales reality shows you know there are some factors that affect the product right away. “Location, location, location!” is the old real estate adage but that’s really only the start.
Let’s say the PRODUCT is a four bedroom, two bath house in a good neighborhood with good schools (PLACE). What condition is the house in? How old is it? How is the plumbing, heating and AC, electrical, roof? Is it owned by the first owner or was it recently flipped? All of those things and more come into assessing the PRICE.
When a veteran Realtor® considers the PRICE they take into account what has sold in the neighborhood recently that compares to this new listing. In other words, they consider the PRODUCT and the PLACE. Once the price tag is established, the PROMOTION starts.
Location, Location, Location!
If this is a supremely desirable neighborhood where sales happen very rarely, then a sign might be all that it takes. But let’s face it, those neighborhoods, or any PRODUCT set apart exclusively by PLACE are atypical.
It is more likely that the agent needs to turn to PROMOTION and buy a few ads, coordinate a mailer focusing on this particular property, and hold an open house (virtual or live). Common these days are Video tours and even drone footage if it boasts a spectacular plot of land or scenic view.
What are your 4P’s? Here’s a downloadable chart to help you map them out. 4Ps_2020_McCormickLA
Leslie A.M. Smith founded McCormick L.A. in 1994 offering public relations and marketing consulting to nonprofits and businesses of all shapes and sizes. Sign-up on her website today to receive helpful insights like this one in your inbox. See how easy your promotional efforts can be here.