If you are new to marketing, a simple way to approach it is to start by recognizing what marketing
professionals refer to as the “Five Ps” or the “Marketing Mix” — product, price, place, promotion, and people.
In this marketing model, the product refers to what you sell or offer consumers. It can be anything
from a more generalized industry such as hair products, including shampoos, hair accessories, and wigs,
to a more specific market, like a one-of-a-kind tool for repairing a particular boat engine part. When
deciding what products or services to offer consumers, it is typically important to determine if your
product or service can fill a consumer need not currently being met in the market.
Price refers to what you intend to charge consumers for your product. Setting the correct price for
your product or service can determine if your business succeeds. To find the most effective price requires
research into such things as what consumers are willing to pay, what your competition is charging, what
you need to make to cover your overall costs.
Place refers to where you intend to sell your product or service. Will you sell it in physical stores,
online, or both? Determining the most effective distribution channel can directly affect your bottom line.
You might first look at how your competitors sell similar products, how well they are selling, where your
target market shops, whether consumers want different purchasing options, and your budget. For example,
if you sell custom-made wigs, is it essential to have physical interaction with your consumers? If so, can
you afford to have a physical location? Can you effectively sell your product to consumers online? What
does your target audience want?
Promotion encompasses how you intend to reach your target market and the messaging you want
consumers to hear about your product or service. For example, its benefits, how it differs from your
competitor’s products, and what you can offer consumers to convince them to buy your products over
In this marketing mix, people are arguably the most important component of your business.
Without people to purchase your products, whether you sell to wholesalers, other businesses, or directly to
consumers and the people involved in the operations and processes of your business, your business will
not be successful. While it is vital to focus on your target market, what consumers want, need, and their
purchasing habits, it is just as important to consider the effectiveness of the people involved in the
manufacturing and distribution of your products.