The 4 P’s of a Marketing Plan
Your marketing plan is one of the most important sections of your business plan. It outlines all actionable tasks that your company does or will do to penetrate the market.
The marketing plan of big and small companies includes 4 common elements more commonly known as the 4 P’s or marketing mix. They are designed to attract customers and plan long-term revenue generation from customers. through customer retention.
Marketing P #1 – Product
Products or services are the first things a company offers and centers its strategy around. The marketing plan details all the features and services of the product and how they work. It is important to include both current and future products in the plan while focusing on the short-to-intermediate horizon.
Marketing P #2 – Promotions
Promotions are all activities that induce customers to buy the company’s products. They include advertising, public relations, free samples, discounts, direct mail, telemarketing, partnerships. The marketing plan discusses which promotions will be used and how they’ll be used with specific details.
Vague statements about future promotions can cause complications in operations and finance as they do not give concrete numbers to plan around. All promotional activities must support the agreed upon positioning – the attributes that a customer assigns the company.
Marketing P #3 – Price
Pricing details the price points at which the products or services will be sold. If they are to be sold in bundles, they should be detailed in this section. The calculation and reasoning behind the models and rates should be explained and detailed.
Marketing P #4 – Place
Place or distribution is the final element of the marketing mix. It explains how the company’s products and services are to be delivered. This part of the plan has to be seamless because if customers cannot get the products they purchase, it can cause a deep rift in customer satisfaction and a drop in sales.
It is especially critical in high-growth, capital-constrained companies. If your service is based online you distribute your content through servers much like retailers distribute from warehouses.