New 4P’s of Marketing Mix – Success Recipe for any business

Still remember the first time I had my very first lecture on  Marketing Management during my BBA (Bachelors of Business Administration) in University of Pune, India. During the very first day, I learned about the 4P’s of Marketing Mix; Product, Price, Place and Promotion made me think about the whole ballgame of business  around.

Let’s be practical; those 4P’s of marketing mix is still the sole pillar for any market driven organization. The core of marketing still didn’t really change; but the business situation around us has changed with the time. Competition is even more intense, with the immense power of the internet and new technologies, we marketers are faced with new challenges everyday to sell our products whether we are in the B2C or B2B industry.

Many of you who are reading this article right now, come from a business background and already aware of 4P’s of marketing. Today, I want to share my view towards “New 4P’s of Marketing Mix” – completely new 4P’s of marketing, which I personally believe is a crucial addition to the conventional ones.

Proactive People

We can debate whole day and night about, whether the egg came first or the chicken. But when it comes to marketing, it’s the people who come first. It is the ultimate component of marketing strategy. However, in this era of crisis and tough competition, most of the companies are looking for proactive people who are willing to go the extra mile and always pushing themselves to outperform. After all, end of the day, it’s the employees who make campaigns work, sells the product and they are your biggest ambassadors of your product.

One of the best examples would be, Google culture, where employees are constantly pushing themselves to go extra mile for the company.

Perspective

Every time, you are selling a product whether directly to a customer or to a business, put yourself in their’s shoe. May be you have had successful balance sheet previously with your way of doing business, but now customers are more choosy and extremely selective when it comes to spending their money or your product. If you want to sell your product, ask yourself these questions:

  • How does this product change them?
  • What do they see as a benefit?
  • Why should they buy them specially for me?

I have been in the field of marketing since I have graduated and one thing I have learned clearly, It’s not the products nor price, but it is the customers’ product experience that creates a favorable impression and in result induces sales.

New 4P Marketing Mix

New 4P’s of Marketing Mix

Personalize

You have to differentiate product not only from your competitors; but also for each and every customer. I know, it sounds easy for me to write, but if you can pull it off; it will work like a miracle for your business. One of the best examples, would be tourism industry. Many 5 star hotels, leave a small personalized note for you when you enter the room or a personalize gifts for your kids. Even though most of the hotels offer the same service, but it’s that message or gift that enhances the experience of your stay.

Partnership

Myself being a firm believer of  Co-creation, I personally believe each and every company needs rethink their business model and ask themselves, “how can they bring customers together to create value for the company. The more you can involve your customers in your product, more valuable your company will be. After all, 2 brains together are more innovative than just one. Isn’t it?

What’s your view towards these new P’s ?

Well, that was my view towards, new 4P’s of Marketing Mix. Do you have any other “P” for marketing that you use in your organization?

Feel free to drop a line in the comment below. . .

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Innovation redefined: the ultimate guide to become an innovative company

We all talk about innovation; every company wants to be innovative. But, do we actually know how to? Time has changed, so did the definition of innovation. It’s crucial for any company to adopt the new ways to be innovative in order to survive in today’s competition. Here’s my view towards the ultimate guide for becoming an innovative company.

Co-creation
It’s one of the most used words lately. Well, you must be wondering, that is this “Co-creation”. Let’s start with a formal definition, “Co-creation is a form of marketing strategy or business strategy that emphasizes the generation and ongoing realization of mutual firm-customer value.” The words to focus on here is “mutual Firm-customer value”. In today’s world it’s crucial for companies to break out of the box and work together with the customer or suppliers to generate innovation and provide better solutions to problems.
A perfect example would be, Nedschroef, a leading manufacturer of fasteners working with its customers like VW, Audi, BMW etc to create innovative fastener solutions.

Crowd Funding
It’s 2013 and we are still experiencing the aftermath of global financial crisis. The Euro crisis is taking a high toll on countries like Netherlands, Germany, once known as one of the strongest economy in the world. Getting funding for starting a business is really difficult these days. Even when it comes to produce innovative products it requires good amount of investment before theory turns to reality. Especially for SME’s and individual entrepreneurs, crowd funding has become the ultimate source for turning a great idea into a reality. Yes, crowd funding is the collective effort of individuals who network and pool their money, usually via the Internet, to support efforts initiated by other people or organizations.
The Pebble Watch has been the most famous example of crowd funding. The original team scored more than $10 million with a target of less than $1 million via crowd funding platform named “Kickstarter

5C's of Innovation

Collective Knowledge
“Coming together is a beginning, Keeping together is progress, and working together is success” that’s definitely one of my favorite quotes anymore. When it comes to innovation, people from different background, different part of the world, even from different work experience can contribute to provide innovative solutions to any problem. Thanks to the rapid growth of the internet, people from different part of the world can share their knowledge and create innovative solution and products.
Recently, Facebook friends helped a scientist to identify nearly 5,000 fish specimens collected in Guyana in less than 24 hrs, YES less than 24 hrs. The majority of people commenting held a Ph.D in ichthyology or a related field, and hailed from a great diversity of countries including the United States, Canada, France, Switzerland, Colombia, Peru, Venezuela, Guyana and Brazil. By quickly tapping the collective expertise of their social network to help with the preliminary identification process, the expedition members were able to sort, pack and export the specimens to Washington, D.C in a timely manner.

Collaborative Consumption
Zipcar is a US membership-based carsharing company providing automobile reservations for its members, billable by the hour or day. Members can reserve Zipcars online or by phone at any time, immediately or up to a year in advance. Zipcar members have automated access to Zipcars using an access card which works with the car’s technology to unlock the door, where the keys are already located inside. Zipcar also offers an iPhone or Android application that allows members to honk the horn to locate a Zipcar and unlock the doors.
I was amazed by the overall idea behind such innovative car rental service when I first came to know about it in Marketing and Service Management Class during my MBA at Maastricht School of Management. And this is one of the best examples of innovation via collaborative consumption. In more formal terms, collaborative consumption is an economic model based on classical market behaviors of sharing, swapping, bartering, trading or renting access to products as opposed to ownership which both creates and adds value to existing products and services

Creativity
California State University defined Creativity as the tendency to generate or recognize ideas, alternatives, or possibilities that may be useful in solving problems, communicating with others, and entertaining ourselves and others.
It’s no doubt creativity paves the way towards ultimate innovation. But, in order to be creative, you need to be able to view things in new ways or from a different perspective. Among other things, you need to be able to generate new possibilities or new alternatives. You can be from a totally different industry yet you can always add value and create innovative products to other industry just by able to see things in new ways. In fact, a research named “Innovation through diversity” by Forbes insight has proven that formula for success is in the diversity of people in the organization. People from different background when put together in a perfect environment produce creative and innovative solutions.