Change Implementation Techniques for Creating a Sense of Urgency

Technique 2.55 Marketing Ps (7 Ps)

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. Marketing is a customer-related activity that covers distribution, advertising, sales promotion, product planning, market research, etc. It involves relationship building with your customers

. The 7 Ps is an extension of the traditional 4 Ps, ie product, price, place and promotion; the additional 3 elements are participants, physical evidence and process. By expanding the traditional framework to 7, the marketing of services is more effectively covered

. The 7 P framework is a conceptual framework rather than a tactical technique, as it generates insights rather than options for action

7 Ps and alignment matrix

. 7 Ps

i. product (quality; brand name; service features, such as warranty, installation, support; tangible features such as packaging, accessories). This means offering the customer in the target market the right product or service

ii. price (level; discounts and allowances; payment terms; customers' perception of value; quality/price interaction; differentiation). Need to understand the customers' price objectives for a given product or service

iii. place (location; accessibility; distribution channels; distribution coverage). This is how the market is physically reached. The more intermediaries involved, the less control the provider has over the final perceived quality of a product or service. Furthermore, the width of the channel may determine a range of intangible benefits, such as convenience and availability

iv. promotion (advertising; direct selling; sales promotion; publicity; public relations). This involves communicating with the customer

v. participation (personnel such as training, discretion, commitment, incentives, appearance, interpersonal behaviour; customer's behaviour, degree of involvement, customer-to-customer contact). Staff and customers are participants in the marketing process

vi. physical evidence (furnishings; colour; layout; noise level; facilitating goods; tangible clues). This is the environment in which the service and/or product is delivered

vii. process (policies, procedures, mechanisation; employee discretion; customer involvement; customer direction; flow of activities). This is the variety of procedures, mechanisms and activities that are involved in delivering a product or service to a customer

. Alignment matrix

The completion of this matrix ensures that there is alignment between the variables and elements of the 7 P and strategies chosen by the organisation, ie

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NB This can be used for revenue v. profitability (main contributors to business profit); revenue v. costs (identifies levels of profitability); revenue vs. market growth (identifies growth products); profitability vs. market share (identifies market segment profitability)

(source: Harry Onsman, 2004d)

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