Question

Compare and contrast a four Ps approach to marketing versus the value approach (creating, communicating, and delivering value).

Answer 1

The four Ps approach to marketing is mainly concerned with marketing mix. The four Ps are product, price, place and promotion. These are the important factors that are involved in the marketing of a product or marketing of a service. Product refers to the good or service being marketed, price is the price that the consumer pays, place is the location where the product is being/will be marketed and promotion refers to advertising. The four Ps approach is used by businesses to identify important factors like what consumers want, how their product or service can help consumers to meet that want, the manner in which their product or service is perceived and how their product and service stand out from competitors.

The value approach to marketing, on the other hand, focuses on value. It involves creating, communicating, delivering, and exchanging value. So we can say that value approach to marketing is an upgraded step or an upgraded form of the four Ps approach. While the focus of four Ps is on the product or the service itself the primary focus of the value approach is on delivering value to the customers.