• Who can tell me…

1) The aim of psychological pricing

Recap… 2) The difference between above and below the line promotions
3) How we an use product placement to promote a product
4) What we mean by product orientation
4.6 – The
7 P’s (HL)
Lesson objectives…
• By the end of the lesson you will…

1) Be able to explain the three additional

elements of the marketing mix

2) Be able to analyse the importance of

physical environments for service
industries.

3) Be able to demonstrate how the

additional P’s can be used to support
business marketing.
The 3 extra P’s…
• People – the human capital in terms of skills, attitudes
and abilities needed in the production of goods and
delivery of services.

• Processes – the procedures and policies that are needed

to ensure the goods/services are provided effectively.

• Physical Evidence – the elements of the physical

environment the customer experiences
People…
“successful businesses will get the right
people on the bus and the wrong people
off it”

• How are people important to

marketing?

• As decision makers
• Providing good customer service
• Setting the culture
• Representing the business/brand
Processes…

• This focuses on how procedures and

policies help an organisation deliver
its product.

• The processes should be smooth, and

customers shouldn’t notice these
things if they work well.

• For example, the process behind

scanning a barcode at the
supermarket.
Physical Evidence…
• These are the physical cues that indicate the quality
of the product.

• This is easy food goods but harder for services.

• Businesses often rely on reviews to support their

claims of quality.

• However, there can still be physical signs for

example:
• Well dressed and well-groomed staff
• An organised reception area
• Nice lighting and music
• Clean, tidy with modern finishing's
 • This is essential for the service sector.

• In order to remain competitive customers will need to trust that the

Physical business can deliver the quality they need.
Evidence…
• These tangible clues help convince customers that the service will
be of the required quality.
 Demonstrate…

01 02 03
Select a service Show examples of Include a suggestion of
business and analyse what they do. how they could further
how they uses the apply these extra P’s in
‘additional P’s’ to help the future.
them be successful.
Lesson objectives…
• Now you should…

1) Be able to explain the three additional

elements of the marketing mix

2) Be able to analyse the importance of

physical environments for service
industries.

3) Be able to demonstrate how the

additional P’s can be used to support
business marketing.