The 4P's of marketing have replaced by the 4C's. Product by CONSUMER needs and wants, Price by COST to satisfy consumers, Place by CONVENIENCE to buy, and Promotion by COMMUNICATION. Hence, the roots of the 4C’s of marketing can be traced back to the classical 4P’s marketing mix. And in it the focus has shifted from a consumer transactional view-point to a consumer relationship viewpoint and very recently launched strategy “consumer engagement”. However, the fundamental strategies remain unchanged at its very core.
A product is today no longer succeeding by making what one wants but instead of it on finding out what customers want. Focusing on Customer Value allows one to reset his perceptions around what it is one are creating and bringing to the market, be it a product, service or some other value. Everything begins and ends with customers. Value is what customer is concerned about, not about fabulous product. Value is how one does define marketing mix “products” and what one should seek to engage its customer with. It is the value one provides that defines one in the marketplace.
Instead of thinking of price as something one charge, think of cost as something customers pay. This simple adjustment once again opens up a whole new way of thinking about marketing. When one define marketing mix cost tune into the customer dilemma of deciding “how to spend limited money to satisfy unlimited wants”. Is one providing enough capital to compete effectively? Motivation in going to market should not be to maximize one gain but to maximize customer value. Therefore, one should ask how one can provide more for the same cost to the customer instead of asking to make more profit from a product.
Thinking about convenience not only allows one to open up to newer ways of connecting with customers and distributing products, but helps one shift into the mindset of providing an optimum overall experience for customers. To define marketing mix in terms of convenience reminds one that customers today are very busy and have many choices. It is no longer one right as a business owner but a privilege when customers choose one. Make it as easy as possible for them to do so.
Promotion is for the days of mass marketing. Customers today seek to be engaged and have meaningful interactions with one product. One must therefore strive for two-way communication and building relationships.