The 4Ps are

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Product (or Service) Place Price Promotion

A good way to understand the 4 Ps is by the questions that you need to ask to define you marketing mix. Product/Service
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What does the customer want from the product/service? What needs does it satisfy? What features does it have to meet these needs?  Are there any features you've missed out?  Are you including costly features that the customer won't actually use? How and where will the customer use it? What does it look like? How will customers experience it? What size(s), color(s), and so on, should it be? What is it to be called? How is it branded? How is it differentiated versus your competitors? What is the most it can cost to provide, and still be sold sufficiently profitably? (See also Price, below).

Place
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Where do buyers look for your product or service? If they look in a store, what kind? A specialist boutique or in a supermarket, or both? Or online? Or direct, via a catalogue? How can you access the right distribution channels? Do you need to use a sales force? Or attend trade fairs? Or make online submissions? Or send samples to catalogue companies? What do you competitors do, and how can you learn from that and/or differentiate?

Price
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What is the value of the product or service to the buyer? Are there established price points for products or services in this area? Is the customer price sensitive? Will a small decrease in price gain you extra market share? Or will a small increase be indiscernible, and so gain you extra profit margin? What discounts should be offered to trade customers, or to other specific segments of your market? How will your price compare with your competitors?

Promotion

try "testing" the overall offer from the customer's perspective. or the timing of subsequent promotions? How do your competitors do their promotions? And how does that influence your choice of promotional activity? The 4Ps model is just one of many marketing mix lists that have been developed over the years. and its market. grow. It can also be used to test your existing marketing strategy. by asking customer focused questions: 1. 6. or radio. And will the marketing communications reach them? (promotion) 5. . Once you have a well-defined marketing mix. 4. Start by identifying the product or service that you want to analyze. Keep on asking questions and making changes to your mix until you are satisfied that you have optimized your marketing mix. What if you drop your price by 5%? What if you offer more colors? Why sell through wholesalers rather than direct channels? What if you improve PR rather than rely on TV advertising? Tip: Check through your answers to make sure they are based on sound knowledge and facts. Does it meet their needs? (product) 2. Try asking "why" and "what if" questions too. or facts and figures that you may need to gather. mature and adapt in an ever-changing competitive environment. Review you marketing mix regularly. ask why your target audience needs a particular feature.as defined in detail above. Will they find it where they shop? (place) 3. or on billboards? By using direct marketing mail shot? Through PR? On the Internet? When is the best time to promote? Is there seasonality in the market? Are there any wider environmental issues that suggest or dictate the timing of your market launch. identify any market research.    Where and when can you get across your marketing messages to your target market? Will you reach your audience by advertising in the press. Using the 4Ps Marketing Mix Model The marketing mix model can be used to help you decide how to take a new offer to market. If there are doubts about your assumptions. given the information and facts and figures you have available. 1. Now go through and answers the 4Ps questions . to challenge your offer. as some elements will need to change as the product or service. follow the steps below help you define and improve your marketing mix. 3. For example. Whether you are considering a new or existing offer. Will they consider it's priced favorably? (price) 4. or on TV. 2.

For e.Key points: The marketing mix helps you define the marketing elements for successfully positioning your market offer. place. One of the best known models is the Four Ps. Use the model when you are planning a new venture. The Indian Retail Sector& the 4 P's of Retailing: Industry Evolution: Industry Evolution Traditionally retailing in India can be traced to:. ISMR/PUNE 4 P’s of retailing : . Planet M and Music World in music. 13. or evaluating an existing offer. Era of government support for rural retail: Indigenous franchise model of store chains run by Khadi & Village Industries Commission. 900/. Crossword and Fountainhead in books.example of reaching to the bottom of the pyramid. ISMR/PUNE Emergence of hyper and super markets trying to provide customer with 3 V’s .Value. At year end of 2000 the size of the Indian organized retail industry is estimated at Rs. which helps you define your marketing options in terms of product.The emergence of the neighborhood ‘Kirana’ stores catering to the convenience of the consumers. Retail in India is brought up by SHOPPER’S STOP when it established its first customer care associates in the year 1993 and was providing a salary of Rs. Variety and Volume Expanding target consumer segment: The Sachet revolution . S Kumar's and Grasim first saw the emergence of retail chains Later Titan successfully created an organized retailing concept and established a series of showrooms for its premium watches The latter half of the 1990s saw a fresh wave of entrants with a shift from Manufactures to Pure Retailers. Raymond's.g. Textiles sector with companies like Bombay Dyeing.to an employee. 1980s experienced slow change as India began to open up economy. price and promotion. Food World.000 crore Ujjwal Abhishek. Post 1995 onwards saw an emergence of shopping centers. with facilities like car parking targeted to provide a complete destination experience for all segments of society Ujjwal Abhishek. mainly in urban areas. to optimize the impact with your target market. Subhiksha and Nilgiris in food and FMCG.

usually referring to feelings of intense desire and attraction. Pleasure : Pleasure is commonly conceptualized as a positive experience.00. entertainment. service and entertainment. and euphoria. However. the Mumbai books retailer Crossword. Located mainly in metro cities. Place : Place The place refers to placement (usually managed by sales or OEM).. . is a difficult concept to define as the experience of pleasure differs from individual to individual.e. in proximity to urban outskirts. all under a common roof. Possession : Possession It is generally seen that whenever a firm/brand/company launches a new product for which the customers have been waiting for a long time. They lend an ideal shopping experience with an amalgamation of product.000 sq ft to 7.Passion Possession Place Pleasure Passion : Passion The term Passion may refer to feeling very strongly about a subject or product. RPG's Music World and the Times Group's music chain Planet M. are focusing on specific market segments and have established themselves strongly in their sectors. Pantaloon. Retail formats in India : Retail formats in India 1. E. is very passionate about something. It generally shows the attitude/eagerness of a customer towards a product that he/she buys. Piramyd. 2. such as having the product available where and when targeted customers want to buy it .4 P’s of retailing The four P’s of retailing that enhance the sell of a product are.000 sq ft and above. possess an eagerness to buy/ avail the product or service as soon as possible. to what extent the customer is addicted to buy a product. Malls: The largest form of organized retailing today. happiness. Ranges from 60. enjoyment. ecstasy.g when BAJAJ launched Pulsar many of the youngsters have eagerness to buy it. Specialty Stores: Chains such as the Bangalore based Kids Kemp. i. Examples include Shoppers Stop.

the pressure to look for the way of constant cost optimizing in line with rapid growth is mounting. Multi –Format Retailing: Multi –Format Retailing About 40-50% of the organized Indian retail ventures are multi – format in nature. groceries. Discount Stores: As the name suggests. Premium Format of retailing? : Premium Format of retailing? Premium retailing deals with retailing of luxury items. These usually do well in busy market places and Metros. which started in Mumbai and now has more than seven large stores (over 30. Irrespective of the format and merchandise focus.000 sq ft. 6. feet located near residential areas. . It also deals with fulfilling the customer’s needs to an extent limit so that the customer can be fully satisfied by using the product/service for the first time. Given the rigorous expansion plan and industry wise generally thin margins.3. CCD (Café Coffee Day) which is going to start this format and will be providing his customers with LIVE DJs. Prices are slightly higher due to the convenience premium. They stock a limited range of high-turnover convenience products and are usually open for extended periods during the day. Indian retail venture are mostly owned by holding organization with multiple business interest. 5. MBO’s : Multi Brand outlets. seven days a week. ft. catering to a variety of consumer needs. Departmental Stores are expected to take over the apparel business from exclusive brand showrooms. These stores today contribute to 30% of all food & grocery organized retail sales. Convenience Stores: These are relatively small stores 400-2. ft) across India and even has its own in store brand for clothes called Stop!. Discos and many more. eg.500 sq ft to 5. Department Stores: Large stores ranging from 20000-50000 sq. 7. the biggest success is K Raheja's Shoppers Stop.000 sq. offer discounts on the MRP through selling in bulk reaching economies of scale or excess stock left over at the season. Additionally. etc. having a strong focus on food & grocery and personal sales. Super Markets can further be classified in to mini supermarkets typically 1. also known as Category Killers.000 sq ft and large supermarkets ranging from of 3. The product category can range from a variety of perishable/ non perishable goods 4. home. discount stores or factory outlets. Among these. toys.000 sq ft to 2. offer several brands across a single product category. Further classified into localized departments such as clothing. These are located in or near residential high streets.000 sq. Hypermarts/Supermarkets: Large self service outlets. catering to varied shopper needs are termed as Supermarkets.

. Over next two years India will see several Indian retail businesses attaining a critical mass as growth in the industry picks up momentum driven by two key factors: Availability of quality real estate and mall management practices Consumer preference for shopping in new environments Wal-Mart : has huge plans for India.Major Retailers : Major Retailers India’s top retailers are largely lifestyle. clothing and apparel stores This is followed by grocery stores Following the past trends and business models in the west retail giants such as Pantaloon. Shoppers’ Stop and Lifestyle are likely to target metros and small cities almost doubling their current number of stores These Walmart wannabes have the economy of scale to be low –medium cost retailers pocketing narrow margin.

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