The mix of product, price, place and promotion form the core of every product marketing strategy. While each “P” is important on its own, it’s the effect the combination mix has on a target market that ultimately determines whether a marketing strategy succeeds or fails. A study of the importance of the marketing mix for a specific product or service starts with an intimate understanding of its core component four P's.


The focus of a marketing mix is on the product or service a business wants to sell. It’s the foundation from which all other components evolve. The importance of a product or service in a marketing mix lies in how well it meets the needs of a target market. A product, then, is a bundle that, in addition to the product itself, also includes its brand name, features, options, guarantees and quality of construction. Where a product lies in its life cycle is also important. The marketing mix for a product at the end of its life cycle will be significantly different than when it was first introduced.


By itself, price is what a business charges for a product or service. Its importance in a marketing mix lies in how the combination of product and pricing strategies affect customer perceptions. Pricing a product too low not only affects business profitability but may cause customers to feel the product is inferior. Pricing a product too high can have equally negative results if customers feel the product isn’t worth the higher price. Market research is often necessary to help determine an optimal price that strikes a balance between what a customer is willing to pay and what the business needs to make a profit.


Product distribution channels figure significantly in a marketing mix. The right product at the right price won’t help the business make a profit until it becomes available to the public. The right place is wherever it is that makes a product most convenient for customers to buy. Distribution channels for a small business usually include distributing products through a reseller or vendor, or selling directly to customers, either in a brick-and-mortar store, from a company website, or both.


The promotion component of a marketing mix is where everything comes together. The product or service, its pricing strategy, and distribution method or methods determine the techniques the business will use to create awareness and attract customer attention. Promotional strategies incorporate a combination of one or more elements of print, electronic and technology-based advertising, public relations, sales techniques, customer service, and word-of-mouth “buzz.” The right strategy fits the product according to how customers perceive its overall value.

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