When we talk about the “8Ps” we are referring to a set of commercial variables. These are: product, price, promotion, place, staff, processes, perceptibles and productivity.
The 8P’s are the basis of any business model (especially those that have a store to sell their products) and their analysis is very useful when rethinking a value proposition or brand concept.
Below, we will explain in more detail What each of these variables consists of, what they are used for and how to build them in your company.
What are the 8P’s of marketing?
The 8P’s are variables that are analyzed as part of an integral practice known as “marketing mix”.
The marketing mix is an analysis that deals with everything a company can do to influence the demand for its products and services.
The term was coined by Neil Borden in 1950, who drew up a list of the core elements that should concern the person responsible for the marketing department of a company.
From that list emerged the first 4P’s: product, price, place (distribution) and promotion, which were present in the definition of marketing proposed by the AMA (American Marketing Association) in 1984:
“Marketing is the process of planning and executing the concept, price, promotion and distribution of ideas, goods and services to create exchanges that satisfy individual and organizational objectives”
Over the years, the AMA definition has changed and new variables have been incorporated into the marketing mix, until the 8 big “P’s” were built, thus adding to the list: processes, perceptible, personnel and productivity.
What are the 8P’s of marketing and what are they for?
Analyzing these 8 critical marketing points is a practical exercise that can help you lay the foundations for your new venture or understand the current state of an existing business model.
It is a versatile, useful and important tool in the development of marketing strategies.
How to build the 8P’s of marketing?
1. Product/delivery
In marketing, a product is a good that meets a need in the market. It is the core of the business model of a company that wants to earn revenue through its marketing.
Products must have attributes that differentiate them and make them attractive to consumers. They must also satisfy a demand or solve a latent problem.
When building your 8P’s, the product is the first pillar because the other variables are focused on it and, therefore, you must point out its attributes or competitive advantages taking into account the following elements:
- Design of its facade
- Quality of its materials
- Technologies used in its development
- The brand that represents it
- Delivery services that are around the product
- Its availability in the market
2. Price/costs
Price is the monetary value assigned to a product. It arises from a cost analysis that takes into account multiple variables such as market coverage, profit margins, negotiations with suppliers, among others.
Calculating the price of a product is only the first step. Then, you must take into account aspects such as:
- Variety of price lists
- Discounts
- The payment methods through which your product can be purchased. For example, cash, debit, credit, cryptocurrency.
- Credits and payment installments with clients
- The waiting time for receiving payments
In this variable, all the elements that will make it easier for your customers to acquire your product or service come into play.
3. Place and time
After defining your product attributes and pricing strategy, it is time to establish where they will be sold and on which channels will your customers purchase your products or services?
At this point, the distribution of your products and where they are located for sale matters. The elements to consider are:
- Sales channels, which can be physical or virtual
- The market coverage you will have
- The variety of sales points where you will have a presence
- The location of these sales points
- Transportability of products
- Distribution logistics
- Using e-commerce as a marketing channel
- The times during which your product or store will be available.
It is essential to know where your target audience lives and which establishments they usually frequent: whether they prefer to buy online or in physical stores, and other points about distribution and consumption.
4. Promotion and education
When promoting a product, all the marketing and sales strategies that will increase the desire to buy it come into play.
Within this pillar, all the actions that will make your product or service known and educate customers on its use fall, such as:
- Advertising
- The effort of a sales staff
- Public relations strategies
- Online and offline marketing techniques
- The design of corporate identities that improve the image of your brand
- Education and customer service
In this section of the 8Ps analysis, it is important to think about what your ideal client’s interests are in order to create advertising content that quickly captures their attention and connects with their lifestyle.
5. Processes
Processes represent the workflows, procedures and methodologies that are implemented in a company.
They can be divided by areas, functions or objectives to be achieved, and each of them must be tied to a staff responsible for its fulfillment.
In building your 8P’s you must describe the processes that contribute to the production, distribution, promotion and sales of your products. As well as:
- What is the organizational support
- What are the roles of the people in charge of the processes?
- What technologies influence them and increase their degree of automation?
6. Perceptible
The perceptible ones are related to the presence and atmosphere of the point of sale where the product or service is sold. At this point, it is important to consider aspects such as:
- Facade and design of the point of sale, both internal and external
- Cleaning the place
- Decoration style
- The background music
- The scents of space
- The appearance of the staff or vendors
A point of sale that meets standards of order, cleanliness and quality is essential for a rewarding experience when purchasing a product.
7. Staff
To attract quality staff, it is important to have recruitment and human resources strategies aligned with the company’s management philosophy. In this pillar, you should point out:
- What are the training programs?
- How tasks are assigned
- How is staff involvement?
- What benefits or supports are provided to you in addition to your monthly salary?
8. Productivity and Quality
Productivity and quality in a business is related to its ability to meet objectives in the established time and guarantee quality in all its processes. In this last P, it is important to point out:
- What are the strategies that guarantee productivity and quality in your company?
- What are the indicators that allow you to measure quality standards?
In short, The 8P’s of marketing is an analysis that allows you to create the structure of a business model to understand the best way to market the products and services you offer.
It is built collaboratively and thinking about all the key variable areas that are important to define and keep in mind for a business to be successful. Now that you know the 8P’s of marketing and how they can transform your business strategy, it’s time to get to work! At Enjoy Minder we help you implement each of these marketing pillars with precision and creativity.
